Understanding real estate listings can be a challenge with the many different MLS’s that each state uses. The good news is that most of these programs are very similar and can easily be decoded with a little understanding. First, let’s talk about what the MLS is.
The MLS is short for Multiple Listing Service and it is used by licensed real estate agents, brokers and appraisers. In its most basic form, it is a list of properties for sale by real estate agents. This allows other agents to share properties besides their own listings to their prospective buyers.
Prior to the internet, the MLS was just a large book of properties for sale and you didn’t get to see what was for sale without talking with an agent. Now we can see much of what is for sale by using the internet, and just contact an agent when we see something we like or when we want more particular information.
When you request information on properties that an agent has “listed,” they will send you what’s called a “listing sheet” on a property. On this sheet they usually use the following acronyms (or similar ones):
4B/2B: four bedrooms and two bathrooms.
Area: The location of the home you are looking at. School districts and general location information is here.
Bedroom: Usually a sleeping area with a closet and a window, but the definition varies in different places.
Bathroom: There are three types of bathrooms: a full bathroom is a room with a toilet, a sink, and a bathtub; a three-quarter bathroom? has a toilet, a sink, and a shower; a half bathroom or powder room has only a toilet and a sink.
Closing Costs:? The entire package of miscellaneous expenses paid by the buyer and the seller when the real estate deal closes. These costs include the brokerage commission, mortgage related fees, escrow or attorney’s settlement charges, transfer taxes, recording fees, title insurance, and so on. Closing costs are generally paid through escrow.
CMA: Comparative Market Analysis or Competitive Market Analysis. A CMA is a report that shows prices of homes that are comparable to a subject home and that were recently sold, are currently for sale, or were on the market but did not sell within the listing period.
Contingency: A provision of an agreement that keeps the agreement from being fully legally binding until a certain condition is met. One example is a buyer’s contractual right to obtain a professional home inspection before purchasing the home.
Exterior: Tells you if the home has a deck, pool, patio, etc.
FDR: Formal dining room.
Gar: Garage (yes or no).
HOA: Home Owners Association fee if there is one.
InclSqFT: Square footage is classified as above grade, below grade, non-conforming, and total square footage.
Listing: An agreement between a real estate agent and a home owner that allows the agent to market and arrange for the sale of the owner’s home. The word “listing” is also used to refer to the for-sale home itself. a home being sold by the owner without a real estate agent isn’t a “listing”, it’s called a FSBO (for sale by owner).
MLS: The Multiple Listings Service. An MLS organization that collects, complies, and distributes information about homes listed for sale by its members, who are real estate agents. Membership is not open to the general public, although selected MLS data may be sold to real estate listings web sites. MLS organizations are local or regional, but there is no MLS covering the entire United States, but Redfin is trying.
Mo Maint: Monthly Maintenance charge.
Real Property: Real Estate is legally called and referred to as “real property.”
REALTOR®: A Real Estate agent or sales associate who is a member of the National Association of REALTORS®. Not all real estate agents are REALTORS®.
Title Insurance: An insurance policy that protects a lender’s or owner’s interest in real property from assorted types of unexpected or fraudulent claims of ownership. It’s customary for the buyer to pay for the lender’s title insurance policy and is usually part of the buyer’s closing costs.
There is a great deal of valuable information on every listing sheet so be sure to check it closely when looking for properties. After looking at several listings you will be able to easily understand everything on the listing sheet.