If you list a short sale, and the lender involved instructs you to list it a certain way in the MLS, be sure you keep your local MLS rules in mind.
VAR recently heard from one of our member brokers that Bank of America was requiring this of agents: If you’re listing a short sale with a B of A mortgage, the property must be marketed as “active” on the MLS after contract ratification until a short sale approval letter is issued.
It’s all well and good to request that, but be aware that MLSs have different rules for inputting short sales, and that the Bank of America policy could cause agents to violate those rules.
When VAR heard about this, we immediately got in touch with NAR, which in turn reached out to Bank of America. NAR tells us that B of A was responsive, and indicated it will revise what it asks of brokers so as not to make demands that violate MLS rules. (It doesn’t want to discourage potential offers, but it understands that Realtors must abide by MLS rules and the Code of Ethics.)
The CoE, you should recall, requires you to present a true picture in the representations you make, including those made through MLSs:
Realtors shall be honest and truthful in their real estate communications and shall present a true picture in their advertising, marketing, and other representations.