Updated: 06/04/2013 6:54 PM KSTP.com By: Beth McDonough
Want to sell your home?
It's such a hot real estate market, some people are considering it. And it's leading to more and more pocket listings.
It's an industry phenomenon that happens because homes in certain areas are in such high demand.
"More buyers are chasing fewer properties," says Jim Tice with Century 21 Luger Realty.
The Minneapolis Association of Realtors confirms inventory is down 25% from this time last year.
Pocket listings are for folks who want to sell their home fast, cut the hassle and save on a realtor commission.
"You sleeve the listing so you're not sharing it with other real estate agents," according to Dr. Tom Musil with St. Thomas University.
Homes are posted publicly on the MLS, the Multiple Listing Service, where everyone can see what's for sale.
In the past, pocket listings were mainly for exclusive properties, to screen potential buyers. Now, it's a mainstream selling strategy.
It's perfectly legal, but sellers need to know the trade-offs include limited exposure to buyers which means fewer offers, properties tend to go for a lower price and contract terms aren't as flexible.