The potential benefits of marketing a property with a Coming Soon listing are significant. Before you buy into the crowded MLS market, exploring the option of coming soon listings can bring you more leads, more flexibility, and more time. Here are 10 benefits of this approach:
1) Generate Hype - A Coming Soon listing is designed to generate demand, helping line up potential offers from the ensuing buzz. Having a line of interested buyers when the property hits the MLS helps build momentum towards additional leads.
2) Exclusivity - On the MLS everyone will do what they can to get as much out of you for as little as possible. Off-market listings keep you exclusive to a group of your choosing. Real estate agents enjoy being messed around even less than you, so this lets you know that you are working with someone reliable and friendly in equal measure.
3) Gauge Buyer Interest - A Coming Soon listing is also a great way of testing the initial reaction from buyers, allowing sellers to assess general interest levels at a specific price point or location. Based on the overall reaction, a price can then be adjusted to better match the market.
4) Sell The Property Faster - A Coming Soon listing can also result in a much quicker sale. In an article featured in Realty Today, Amanda McMillan, agent team leader at Chicago-based @properties, reports that listing a property as ‘coming soon’ has helped generate significant buyer attention before it is listed on the MLS. Once on the MLS, McMillan has found that interested buyers often race to get a first viewing and can end up buying the home. A study of Chicago homes reported by Inman found that on average, the pre-MLS properties spent 14 days less on the local MLS before going under contract.
5) No Stale Listings -The longer a property spends listed on the MLS, the greater the risk it becomes of going stale. In a hot market, anything that sits on the market for more than 90 days can be considered stale. At this point potential buyers may skip over the listing, or perceive the property as being less desirable because it’s been idle for so long. Pre-MLS listings can bring a level of momentum that offsets this risk.
6) Better Value - You can get a better price for your home outside of the MLS because you are now selling to a group of chosen buyers that know and trust the homes that they sell, and it allows them to come in and buy with more confidence.
7) Less Haggling - A major problem with pre-MLS management is that we are led to believe you’ll be forced to haggle but often it’s just the opposite. People try and push you to the point of financial despair when you go to the MLS market which means taking hits just to get the sale at a price you can afford, as everyone tries everything they can to force you under market value.
8) Greater Options - It’s true that you’ll have fewer people to buy from but you’ll be dealing with more people who regularly buy homes. This means avoiding the frustrating delays you get when selling to other inexperienced homeowners. This lets you avoid the irritation of being left high and dry by someone who just decides to change their mind at the last moment.
9) Increased Privacy - Not listing on the MLS offers the advantage of increased privacy. The seller can have more control over who sees the listing because it is not going on the universally-accessed listing service. Some clients prefer to have as little foot traffic going through their homes as possible. By limiting the number of potential buyers who can see the property, you are pretty much guaranteeing that fewer buyers will walk through the door.
10) Discounted Commission - Some real estate agents will offer to discount their commission if the home sells before it officially goes on the market. The agent would not have the same marketing expenses in this scenario since the sale is happening immediately, so they may agree to pass that benefit on to the seller. Just be careful that the agent is not creating dual agency by attempting to represent a buyer as well.
