A study by MLSlistings Inc. found that “pocket” listings as a percentage of total home sales in some Northern California markets increased from 15 percent in 2012 to 26 percent during the first quarter of 2013. Markets studied included Monterey, San Benito, San Mateo, Santa Clara and Santa Cruz counties.
Pocket listings are homes that aren’t listed in the multiple listing service or otherwise publicly marketed.
Speaking at the National Association of Realtors’ midyear meeting in Washington, D.C., MLS Listings Chairman Robert Bailey said he’s worried about the effects pocket listings could have on the industry. “Could it lead to the collapse of our MLS model as we know it today? Could it lead to the erosion of an agent’s value? There’s not a market that’s exempt from this issue.” Source: Realtor.org.
