Have you ever wondered what happens when a listing is removed from the market? Do you know the difference between withdrawn listings and expired listings? Understanding the difference between these two types of listings is vital for real estate agents. Withdrawn listings are when sellers decide to remove their property from the market, while expired listings are when the listing contract expires without a sale. Knowing the differences between withdrawn and expired listings can help you better serve your clients and remain competitive in the real estate industry. This article will explain the differences between withdrawn listings and expired listings, and how to handle each situation.
What is a withdrawn listing?
A withdrawn listing is when a seller removes their property from the market without a sale. This means that the seller did not sell their home, and no one purchased it. Withdrawn listings are also sometimes called “take-backs” or “cancellations.” There are a few reasons why sellers might remove their property from the market without a sale, including: No one visited their property, they miss their old home, they purchased another property, or their health declined. Withdrawn listings have a negative impact on sellers’ profiles, as they are removed from the market without a sale. This can lead to lower seller ratings and a lower chance of future success.
What is an expired listing?
An expired listing means the listing contract has ended and did not result in a sale. When a listing contract expires, the seller can renew the contract for a fee, or choose to remove it from the market. Another option is to leave the listing online but remove the “ask price.” While expired listings still appear on the market, they do not have the same benefits as active listings. Expired listings can still help sellers, but not as much as active listings. For instance, the “GVR” or “gross sales ratio” is a way to measure how well a listing is performing. Similarly, the “days on market” metric is a way to measure how long it takes a listing to sell. So, the longer a listing is on the market, the less desirable it becomes. This is especially true after the listing contract has expired.
Benefits of withdrawn listings
- Sellers can withdraw their listing at any time. While this is true for all listings, withdrawn listings are not included in the “days on market” metric. This means that the listing will not affect the average “days on market” of other listings in the area. This can be helpful if the seller’s home is dragging down the average “days on market” in the area. - Sellers can remove their listing without a financial penalty. When a seller removes their property from the market without a sale, they do not incur any financial penalties. This is not the case when a listing expires without a sale. - Sellers are not required to accept a lower price when their listing expires. When a listing expires without a sale, the seller is often required to lower the price to close a deal. Withdrawn listings, however, do not come with this requirement.
Benefits of expired listings
- Expired listings can help sellers avoid a price reduction. When a listing expires without a sale, some sellers are able to avoid a price reduction. This is only possible, however, if the seller has a track record of high-quality photos, descriptions, and other marketplace features. Sellers who do not have high-quality listings may be forced to lower their prices when their listing expires. - Some expired listings are able to be re-listed for free. Some sellers are able to re-list their expired listings for free. This is not the case for withdrawn listings. - Expired listings can help sellers get more views. This is because the expired listing remains on the market until it is taken down. This means that sellers will continue to see views and have the opportunity to negotiate a sale.
Tips for handling withdrawn listings
- Ask the seller why they withdrew the listing. This will help you understand the seller’s situation and discover ways to improve your services. You may even be able to assist the seller in re-listing the property and getting a sale. - Ask the seller if they would like to re-list the property at a lower price. If the seller’s home is overpriced, you may be able to help them lower the price. This will make the home more desirable to buyers and increase the likelihood of a sale. - Ask the seller if you can publicly promote the listing. There are a number of ways to promote a withdrawn listing. This will help the seller reach a wider audience and increase the likelihood of a sale. - Ask your seller if you can re-list the property on your website. You may be able to assist the seller and increase their chance of a sale by re-listing the property on your website.
Tips for handling expired listings
- Ask the seller if the listing can be re-listed at a lower price. Sellers are often willing to lower the price of their home if a sale is unlikely in the near future. This will help the seller reach a wider audience and improve their chances of a sale. - Ask the seller if you can publicly promote the listing. You can do this by publishing the listing on your website or sharing it on social media. This will give the seller a wider audience and a better chance of a sale. - Ask the seller if you can re-list the property on your website. If the seller is not interested in lowering the price, you may be able to re-list the property on your website. This will give the seller more exposure and a better chance of a sale. - Ask the seller if they would like to end the listing early. There are two ways to end a listing early: The seller can remove the listing, or you can ask the seller for permission to end the listing for them. This will give the seller more control over the situation and help them avoid paying any additional fees.
Conclusion
Real estate listings are incredibly important for sellers. From attracting potential buyers to improving search rankings, listings are key. It’s important to understand the difference between withdrawn listings and expired listings. Withdrawn listings occur when sellers remove their property from the market without a sale. Expired listings occur when the listing contract ends without a sale. Although expired listings are less desirable than withdrawn listings, they can still help sellers. When a listing expires without a sale, sellers can often re-list the property at a lower price or end the listing early without a fee. Real estate agents can help sellers by asking them why they withdrew the listing or ended the listing early. By doing so, agents can better serve their clients and remain competitive in the real estate industry.
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