What's the Difference Between Expired and Withdrawn Listings
The many reasons why a property listing could expire or be withdrawn include market fluctuations and seasonal considerations.
NEW YORK – Real estate professionals must understand the nuances between terms like “expired listings” and “withdrawn listings.” Both terms refer to the status of a property listing in the Multiple Listing Service (MLS).
Expired listings are those that end when the agreed-upon period of a listing contract between a seller and a real estate agent concludes without selling the property. The expiration date serves as a deadline for getting a home under contract. This status can be due to overpriced housing, inadequate marketing strategies and market fluctuations. At the end of the contract period, both the seller and their agent should reassess and adapt their approach.
Withdrawn listings are when a property is temporarily taken off the market and it generally happens because of specific circumstances hindering the selling process. These types of listings do not terminate the contractual agreement between the seller and the real estate firm and generally have to do with seasonal considerations, personal matters or a need to address and rectify issues with the property before resuming the sales process. In some cases, sellers can strategically withdraw a property listing to reevaluate their selling strategy or make necessary improvements to the property without the pressure of an imminent sale.
For sellers, the distinction between expired and withdrawn listings carries significant implications for their selling strategy.
If a property listing expires, it may signal to potential buyers that the property has been on the market for an extended period without success. This perception could impact the property's perceived value and make it more challenging to attract serious buyers. Withdrawn listings allow sellers to regroup and address issues without the stigma of a failed sale.
For buyers, an expired listing might indicate that the property has faced challenges in the market, which could open the door to negotiation on price or terms. Buyers will want to engage in due diligence regardless of property status to understand the property's history and make informed decisions.
Source: RISMedia (12/18/23)
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