Listing and Pending: "arm length" or "listing"?

[yes4me]

What is the Sale or Financing Concession of a pending or a listing?
Is it consider a sale type "arm length" or "listing"?

I have just heard that both are accepted by AMC and banks. But what is the "correct" answer?

 

[Terrel L. Shields]

It is a listing. Arms length only describes a transaction (sale). There is no sale

 

[residentialguy]

A concession is something towards the sale. Pending sales will have the concessions drawn out in the contract, but the contract has not closed. A listing is just that...for sale, no contract.

Arm's length describes the relationship of the buyer/seller...or more acurately, it descibes it as having no relationship, ie Father/Son sale (which would not be an arm's length transaction.

As far as the UAD form goes, first line would be Arm's length sale (unles it was REO, Short, etc) if it were pending sale (choose listing if it had no contract pending status). The date of sale (3rd line) would say contract on a pending sale and only the contract date will be shown.

 

[gregb]

What is the Sale or Financing Concession of a pending or a listing?
Is it consider a sale type "arm length" or "listing"?

I have just heard that both are accepted by AMC and banks. But what is the "correct" answer?

With either a listing or pending sale on the grid, the sale type on the uad form is "listing."
If it is a pending sale, you will state the contract date.
Seller concessions for a listing or pending sale are included if appropriate, per either MLS comments or subsequent to your interview with the listing agent.

 

[residentialguy]

Greg, pending sales are not listed as listing...you should call them up and put the correct description of the sale, ie arm's length. It's an arm's length pending sale.

And you can't determine concessions on a listing, since there is no agreement.

 

[Sarge]

Greg, pending sales are not listed as listing...you should call them up and put the correct description of the sale, ie arm's length. It's an arm's length pending sale.

And you can't determine concessions on a listing, since there is no agreement.

First time I've heard of that. I've been told on the UAD to mark as a listing and then report the contract date. The property has not sold so it isn't an arms length transaction.....yet.

 

[residentialguy]

First time I've heard of that. I've been told on the UAD to mark as a listing and then report the contract date. The property has not sold so it isn't an arms length transaction.....yet.

I disagree. You certainly know if the transaction is a REO, short, arm's length, etc...and it is pertinent information to disclose. I would say it would be misleading not to disclose that.

 

[gregb]

Greg, pending sales are not listed as listing...you should call them up and put the correct description of the sale, ie arm's length. It's an arm's length pending sale.

And you can't determine concessions on a listing, since there is no agreement.

Check again resguy. Pending sales are entered as listings, certainly not as closed sales or arms length sales. Concessions can be determined on listings (which includes pending sales), as when the listing agent states in the comments that seller will pay X% of the buyer's closting costs as a seller concession, or carry financing at a below market rate.

 

[AnonApprsr]

"Unknown;0 "

This is the only correct and whole answer of truth.

On the line above is: "LISTING"

On the line below is: "ACTIVE"

These are self evidently the only awesome and wicked true response to such a questioning!

This goes for both "pending" or "UAG" listings and listings with a status of Active via MLS.

 

[residentialguy]

Check again resguy. Pending sales are entered as listings, certainly not as closed sales or arms length sales. Concessions can be determined on listings, as when the listing agent states in the comments that seller will pay X% of the buyer's closing costs as a seller concession, or carry financing.

Doesn't say closed sales. Being that you state below that is a contract below, it is a much better description of the contract. Show me where UAD says to state pending sales as "listing"...and not to state that the pending sale is not a pending REO, or court ordered sale or arms length or a non arm's length sale. That better be black and white before I omit that valuable information.

As far as the seller stating that they will pay X% doesn't mean a hill of beans. It has to be something that is agreed upon...and it is often different. How much closing costs are they going to pay on a cash deal? What if they need more closing costs? It is an unknown.