Monsoon agents often get questions about MLS statuses and what they actually mean. A real estate client may have found a property on Zillow, Realtor.com, or some other agent lead generation site (some agents actually purchase leads from these sites) but oftentimes don’t have a clue what real estate professionals are actually talking about when referring to listing statuses. So we thought we’d be a little bit pro-active and provide our buyers and sellers with this list of different status definitions.
This status means that the listing is available and not under any contract. The days on market count continues during this period.
ACTIVE OPTION CONTRACT (AOC)
This means that the listing has an accepted contract but there is an option to terminate the contract. The option period is the time period during which inspections are being performed and it is the time period during which a buyer can terminate a contract after purchasing a building inspection. Once a building inspection notice (or request for repairs to be made) is submitted to the seller, the option period is terminated. The length of the option period is dictated in the contract. The default time period for option status is 10 days but can be changed to a different time period with agreement from both parties. The days on market count continues during this period.
This status means that the home is under contract and the buyer can no longer walk out of the contract on the building inspection results. While pending, a home will no longer be shown. Days on market count is suspended during this period. If the listing is reactivated if the contract falls apart, all of the days on market to date are picked up and applied to the listing.
This status means that a closing has occurred and the property is no longer available for sale. Days on market count is terminated.
CONTINGENT W/ KICK-OUT
This status means that the listing has an accepted contract but it is contingent upon the buyer getting a contract and closing on their current home. Additionally, with kick-out means that a buyer who can purchase without selling a home could make an offer on the home as a backup offer. If the seller likes the second offer better, he could give notice to his first buyer that the first buyer must firm up and waive the contingency or be kicked out of the contract so that the seller can move forward with contract number 2. The days on market count continues during this period.
CONTINGENT (NO KICK-OUT)
This means that the listing has an accepted contract but the seller did not require that there be a kick-out period on the contract. A prospective buyer that might want to write a contract on this property in this status must understand that they can write an offer and if accepted by the seller, it will remain in backup status. The seller cannot kick his first buyer out. The only way contract number 2 can become a primary contract is if the first contract falls apart on its own accord (building inspection, financing, etc.) The days on market count continues during this period.
CONTINGENT SHORT SALE
This means that the listing has an accepted contract but the accepted contract must have lender approval. The home is being sold at a price that will require the lender(s) to accept less than what is owed on the home. A prospective buyer must understand that he may or may not have a chance to put in a second contract offer that may or may not be considered. This is a very tricky situation and requires a professional real estate agent with experience in short sales to help them navigate this type of transaction. The days on market count continues during this period.
TEMPORARILY OFF MARKET
This status is to be used on a short term basis for a home listing that needs to out of the MLS briefly. This could be due to a need for a repair or because the seller has some improvements that are needed based on feedback from showing agents. The home will not be shown during this period. Days on market count is suspended during this period. It resumes when the home listing is activated again.
This status means that the listing agent has removed the listing from the MLS but still has a valid listing agreement with the seller. The house may or may not be able to be shown. The listing agent would need to be consulted on a case by case basis under this status. Days on market count is suspended during this period.
This status means that the listing agreement between listing broker and seller has been terminated. The home is no longer for sale. The days on market count is terminated with this status.
As real estate becomes more complicated, the MLS statuses seem to have become more complicated as well. Any of our Monsoon real estate professionals can help buyers or sellers understand how to navigate the real estate market. We have many years of experience and are always ready, willing and able to help Call/Text/DM us anytime (888) 448-2755.