MLS Has The Say
“Under Agreement” is the listing status given to a property once the parties come to an agreement. Now, both the buyer and the seller are tied to the real estate contract they both have signed and have bound themselves to.
The only problem here is that the majority of real estate contracts have contingencies placed in them where the seller has allotted the buyer a specific sum of days for various reasons. These reasons can vary but could be for an inspection of the property or to finalize the financing.
Now, on MLS during this time, the property is no longer listed as “active.” The house goes into some pending status determined by the MLS.
In most cases, MLS rules state that “active” can no longer be the status if the property is under an agreement. What if the seller gives an extension to a buyer and still wants to have the home listed as “active” to gather some backup offers? This cannot be done, even if both the buyer and seller agree to the change in status.
Both of the parties have no say over this. The MLS rules are the ones who hold sway over listing status.
It is the duty and responsibility of the MLS participants to understand the status options available in their MLS and how to appropriately use them. No matter the area, all MLSs are looking to display accurate information on a properties availability.
There is no such thing as a perfect system, but the rules are there to make sure that the most efficient and correct message is released in a way that is clear and concise.