It was nearly four years ago that CREB® changed the listing rules allowing sellers to decide whether a conditional sale would be reported or left as ‘active’ on the MLS®.
Understandably, many buyer agents and their clients strongly disliked the adjustment. I won’t rehash it here, but you can read this December 2011 post for my initial reaction.
In August 2013, CREB® announced that the hotly contested non-reporting rule would remain in effect, citing RECA’s “very clear signal” that mandatory reporting was potentially putting our members at risk of sanction.
But now, effective October 1st, all listings that are conditionally sold will have to be marked as “Pending” (no more showings allowed) or “Under Contract” (showings still permitted). There will no longer be confusion as to whether a listing is active or conditionally sold.
The reason for the change?
Essentially, we’re going back to how it was years ago (don’t try to fix what isn’t broken) but now sellers will have an additional form requiring signing.
From the Calgary Real Estate Board:
On Oct. 1, CREB® will introduce the MLS® System Listing Addendum– a new form designed to protect the integrity of the MLS® System, and improve the member and consumer experience.
Used in conjunction with the Exclusive Seller Representation Agreement or Contract for Posting without Representation, the addendum strikes the right balance between providing important details about consumer responsibilities when using the MLS® System, and ensuring consumers can provide timely and informed consent to the listing agent regarding these obligations.
The addendum will work in tandem with the updated Conditional Sale Disclosure Instruction form to reinforce integrity of the active listings category. With the exception of clause sales – those properties sold subject to the sale of another home – pending and under contract properties can no longer be listed as active effective Oct. 1.
Any existing listings that receive a conditional sale after 11:59 p.m. on Sept. 30 will be expected to use the new Conditional Sale Disclosure Instruction form. Any sellers who refuse to sign the addendum or use the updated Conditional Sale Disclosure Instruction form as of Oct. 1 will need to be advised that their listing will be terminated.
One new form in exchange for preventing wasted time, confusion, and loss of credibility? I think that’s an excellent trade.