You will not find your next home on the Internet.
Did I get your attention? Good.
While the statement is not completely true, it does have some merit. Research has shown that more than 90 percent of buyers start their home search online. Sites like Zillow.com, Trulia.com, Realtor.com and Homes.com are some of the most visited sites. So, what’s the problem with looking for a home on one of these sites? It all comes down to two inherent problems with how these sites procure their information. 1.) Internet Data Exchange (IDX) and 2.) Garbage In, Garbage Out.
Let’s start by looking at IDX. The Internet Data Exchange is an automated data feed provided by the Multiple Listing Service (MLS) to a website. The MLS decides what data in a home listing it will feed to a home search website. This information contains the basic information about a home, such as list price, square footage, number of bedrooms and baths, etc. It is only supposed to feed active listings to these sites, but the Arizona Regional Multiple Listing Service, or ARMLS, decided many years ago to create a separate category for listing status called Under Contract—Accepting Backups (UCB). These listings are also fed to home search sites.
UCB listings are listings in which an executed contract is in place. Therefore, any subsequent contracts would only be in back-up position. This is a way for a seller and his agent to continue to market a property even though it already has an accepted contract. Typically, homes remain in UCB during the inspection period or until all contingencies have been removed. Homes should then move to pending status in the MLS and at that point no longer get fed to home search sites via IDX.
This all translates into frustration. Frustration exists for buyers who spend hours online looking at properties only to find out from their agent that those properties are already under contract. Frustration results for agents who have to tell their clients that the home of their dreams is not available (and more than likely hasn’t been available as long as they have been searching).
Now, let’s talk about Garbage In, Garbage Out. Most good listing agents create virtual tours or videos for their properties. These virtual tours are uploaded to the Internet and are syndicated all over the Internet to home search sites. This is fantastic for sellers because their property quickly is promoted worldwide. But buyers can’t always rely on these home search sites simply because the information is often out of date.
Unfortunately, listing agents often forget to mark a virtual tour as sold once the property is no longer available. Months or even years can go by with this virtual tour living on the Internet as an active listing. Sometimes, the home still may be available, but the price has changed. Again, the information available about the property isn’t always correct because it does not function in real time, which is moving very fast in our current market.
So, what is the best way to find a home, you ask? That is easy. Find a reputable Realtor and trust him with your real estate search. He can very easily set you up with a customized search on the MLS. A portal will be created for you, which will show you all of the homes fitting your criteria, no matter how specific or general your requirements.
If you want a search that is as broad as all single family homes in Mesa, or one that narrows it down to a specific neighborhood, size and price, a good Realtor can find you your dream home. What you see in that portal will be as accurate a search as agents use.
Then, trust your agent to help you understand the market and the comps, as well as the pros and cons of the property. Stop wasting your time, and stop getting frustrated. Use a Realtor to help you find your next home, and make the process fun.
John Karadsheh is the Designated Broker for KOR Properties. He has been a Multi-Million Dollar producing agent for more than 15 years and is an Accredited Buyers Representative (ABR) and Certified Residential Specialist (CRS). In 2014, John was voted the No. 1 Real Estate Agent in Arizona by Ranking Arizona. You can reach John at (480) 568-8684, or visit his website at KORproperties.com. KOR Properties is a boutique real estate brokerage serving the Valley of the Sun and the creator and founding sponsor of Mesa Food Truck Fridays.