Review the following to find out!
Describe the 7 potential violations that can result as a result from improper “Coming Soon” marketing.
- A violation of license law 73-35-21 (d). Intentionally using advertising that is misleading or inaccurate if the property is represented as “coming soon” and is, in fact, being marketed to a limited pool of buyers. (one of the grounds for having a license revoked or suspended)
- A violation of the MREC Agency Rule – if the licensee is “seeking a price acceptable to the client, BUT the property is only being offered to a limited number of potential buyers through “coming soon” marketing (office only, Facebook friends or other social media groups, etc.)
- A violation of the MREC Agency Rule – not promoting the interest of the client in good faith if “coming soon” is used to produce an offer that places the interest of the licensee above that of the client.
- A violation of the proposed MREC Advertising Rule 3.3C if the listing broker does not have a signed listing agreement and “coming soon” or any other type of advertising is being done
- A violation of the Federal Fair Housing Act if “coming soon” is used to limit (or perceived to limit0 or exclude certain classes of people based on race, color, national origin, sex, or familiar status.
- A violation of TWO Articles of the REALTOR Code of Ethics. Article 2 – prohibits REALTORS from misrepresentation and Article 10 prohibits REALTORS from discriminating against protected classes of people.
- MLS rules if a yard sign of an MLS Participant is installed that indicates “coming soon” and the listing broker has not filed the MLS EXEMPTION signed by the seller indicating he/she does NOT want the property exposed in the MLS until a future date.
On the other hand, “coming soon” can be an effective marketing tool if:
- A signed listing agreement is in place
- The MLS Exemption was filed with the MLS within 24 hours of having the signed listing agreement
- The property is not shown to anyone, by anyone until it is exposed to the full buying market for the benefit of the seller