Todd explains it.
The only comment I have is you are basing on true “investor” buyers at auctions. A person buying for their family are as we know emotional buyers and that is a whoe different story because the buyer may not know their highest and best….it is based on emotion. As for other issues…don’t have time to get into that nor do I want to but I liked watching your work….but just remember the “normal” market whatever that is!
A very thoughtful and well presented analysis of the issue of good business practices. If agents would simply say that on behalf of their client they are not disclosing offers, that would not be an issue. But that is not the case in 999/1000 cases. The issue at hand is the statement from listing agents that disclosing all current offers is illegal, followed up by the statement that their broker says so. I am not objecting to the issue of “won’t”, I object to the issue of “can’t”.
With regard to your auction theory, we can debate that for quite some time. With the caveat that my family has been in the auction business longer than any other family in the nation (since 1917), and the Rosen family is responsible for many aspects of modern day auction techniques, the argument of appraisers, judges and many government departments (as well as auctioneers) is that based on the definition of “Market Price”, the final results of an auction are, in fact the true market value of a property.
Setting that issue aside, I return to the all too often statement by Southern Nevada Realtors, that “offers are confidential and it is illegal to disclose them.” There has still been no feedback from anyone showing how or why that statement is true.
Again, I believe “we won’t disclose” is perfectly acceptable, “we can’t disclose” is not. What are your thoughts….
Thank you for your attention in this matter, and PLEASE comment on the original post in the “notes” section of my Facebook page, so we have the discussion where it can be a learning tool for our colleagues.
Again, I thank you for your attention to this subject…
Jay Rosen, Since 1917 Realty & PM
Here is the language I use when asking another agent to disclose this information . Unfortunately most don’t understand or care . So I ask them , wouldnt your seller like to get more for his property of he could ? But again most Realtors are limited in the ability to think things through , act in the the best interest of the client and get out of the way of their own ego . Sad but true .
Here’s what I say
In response to inquiries from cooperating brokers, the listing agent may , with the sellers approval , disclose the existance of other offers. Where such disclosure is authorized , the listing agent , upon request , will also disclose the source of said offers . ( Article 1 Standard of practice 1- 15)
This disclosure may include , price , terms and conditions as authorized by the seller.
So , I am now requesting the confirmation of the existance of other offers as well as the source of said offers . Additionally , please provide my office with whatever additional information regarding the price , terms and conditions of those offers as authorized by your seller.
Your feedback has been received.