Video
Watch Time: 5 minutes 16 Seconds
Frequently Used Terms:
Listing Statuses
Active (ACT):
Currently on the market and available.
Pending or Under Contract:
The Seller has accepted an offer. This probably will cross the finish line, but sometimes these fail and become Active again. They can be worth watching.
Back On Market (BOM):
Fell out of Contract for some reason. We may never know exactly why, but common reasons include a Buyer Financing problem, or an Inspection Report that was more involved than expected.
Withdrawn – Conditional:
Taken Off Market temporarily. We may never know exactly why, but common reasons include a planned upgrade to the property, or some other change in the Seller’s Circumstances. These may be put BOM in a day, weeks later, or not at all.
Canceled:
The Seller has decided to quit trying to sell at this time. It could also be the Seller and Listing Agent are parting ways. There are all sorts of legitimate reasons, but for now, the property is currently Off-Market.
If it’s a property you were serious about, we might be able to engage the Seller and see if they still want to sell. We can also watch for it to come back on the market later.
Expired:
The contract between the Seller and the Listing Agent has run it’s course and the property didn’t sell. Again, this may come back on the market later, with the same agent or a different one. And if we were serious before, we may be able engage the Seller directly.
Sold:
It does what it says on the tin. Someone bought the property. A week or so after Closing, we can see the List Price vs the Sales Price, that is, it was listed for $500k but sold for $450k.
Other Stuff
FSBO:
For Sale By Owner. It’s usually pronounced “Fizz-Bo”.
These may be a good opportunity, but they can be notoriously difficult to deal with.
REO / Bank Owned:
Foreclosed Properties. The banks, and their representative Listing Agents, usually pile on some terms and conditions that are outside of the normal contract. You might find a good deal, or a poison pill. And you should consider having your Attorney look over the paperwork too.
Probate:
Someone took one last trip to the Funeral Home and bought their final piece of Real Estate. Ever.
So now, the remaining people have to fight the government for the right to the property.
These can be easy, messy, slow, or relatively quick. Sometimes there is a good deal to be had, if you can afford to be patient.
The short list of Do’s and Don’ts:
- No actual shopping until you can prove that you have the money (or access to it).
- Don’t mess with the money situation.
- Be honest with me. It’s the only way I can operate effectively.
- Be ready to pull the trigger.
- Be patient.
- Be picky about the things you cannot change (like the neighborhood), and ignore the things that you can change (like the paint color).
- Remember: There’s always free cheese in a mousetrap.
Make a list:
- What is important to you?
- Kids need good schools
- Boating every day
- Ultra-quiet home / neighborhood
- What would be nice to have?
- High-end kitchen
- Pool
- Vaulted ceilings
- What would be a deal-breaker?
- No garage
- Hurricane Evacuation Zone
- Next to a school