Comp question

[SaraHillman]

I found a closed comparable on the MLS in my subject neighborhood; one of only four.

1. It showed closed with a final sale price on the MLS.
2. It was not recorded at assessor's office -confirmed
3. There was no record of it at the title company listed on the MLS-confirmed
4. List agent is also the owner as well as the selling agent
5. List agent hung up on me when I started asking the hard questions.

Obviously I did not use it as a comparable. Question: Other than a reporting error on the part of the list agent, are there any other less honorable reasons why she would report a sale closed when in fact it did not? I post this question only because she acted very strangely on the phone. I have not reported the error to MLS yet. Thank you, Sara

 

[The Warrior Monk]

Obviously I did not use it as a comparable. Question: Other than a reporting error on the part of the list agent, are there any other less honorable reasons why she would report a sale closed when in fact it did not? I post this question only because she acted very strangely on the phone. I have not reported the error to MLS yet. Thank you, Sara

One reason for made-up sales is that the agent/firm is trying to set a market. This happens many times with developers, where properties are transferred between corporations to make it look like there is sales activity at a certain level. These persons realize that many appraisers don't verify sales, and take advantage of it.

 

[PropertyEconomics]

The answer to the question is simply that no one can know what is in the mind of the broker / owner. It could be a miriad of things ... one thing is for sure ... Id report this to your MLS system as soon as possible so other appraisers are not subject to using a comp that may in fact not be a comp.
I do hope your MLS system has fines for such things ... only when you hit someone in the wallet will their actions change and this brokers actions should change quickly.

 

[SaraHillman]

David, thank you for your help. Sara

 

[SaraHillman]

The incident ocurred yesterday, and I reported the violation after my post. Thank you for your help, Property. Sara

 

[Elliott]

4. List agent is also the owner as well as the selling agent.

Who's the buyer? Might or might not be a legit sale. Realtors
can sell their home and not be setting the market. But, I'd
think the buyer should have had a buyer's agent.

 

[SaraHillman]

I do not know who the buyer is. Without the other supporting information, and an uncooperative owner/agent/seller, I am at a loss. I agree, owner/agents can have legitimate transactions; this one had too many unanswered questions. Thanks, Elliott. Sara

 

[Mr Rex]

I'm betting its not a sale but a Lease Purchase or some other type of quasi Owner financed deal without a recorded deed or deed of trust. She might have just finished Sheet's tape # 3.

 

[Don Clark]

I found a closed comparable on the MLS in my subject neighborhood; one of only four.

1. It showed closed with a final sale price on the MLS.
2. It was not recorded at assessor's office -confirmed
3. There was no record of it at the title company listed on the MLS-confirmed
4. List agent is also the owner as well as the selling agent
5. List agent hung up on me when I started asking the hard questions.

Obviously I did not use it as a comparable. Question: Other than a reporting error on the part of the list agent, are there any other less honorable reasons why she would report a sale closed when in fact it did not? I post this question only because she acted very strangely on the phone. I have not reported the error to MLS yet. Thank you, Sara

It may be that it would add to the total dollar value of all properties sold, and help qualify her for some award. I have seen that done as well.

 

[jeanwillick]

Or she is trying to hide a profit from the IRS.