The obsession to keep the Days On Market (DOM) “accurate” is just one example of a misevaluation of relative importances. Our local MLS, Arizona Regional Multiple Listing Service (ARMLS) fixed up the system so it would show the “true days on market”. If a property had been listed before then the Cumulative Days On Market would show up on a one-line printing of listings and on a full print-out. The agent days on market is also shown, but each and every listing shows the “cumulative” DOM and one can even do a search of the MLS based on the DOM. Any days on market with another company or another agents in the past 90 days shows up in the cumulative number (CDOM). This fabulous benefit to “tranparancy” is now common in many Realtor multiple listing systems around the country. There are articles in the press about how agents have “tricked” the buying public by canceling and listing the same house again, giving it a new MLS number – and thus resetting the DOM number to zero.
Setting aside that I am a listing agent and the fact that the seller ultimately pays the commission that the buyer agent collects (in Arizona, the listing agent pays it, with money he or she has collected from the seller) – why do I think CDOM is retarded?
First, I have never seen an MLS data base that shows all the price reductions and when they occurred. If the price reduction was substantial isn’t it really a “different listing”? Before you answer that it is the same house but at a lower price (which is true), isn’t it then a different listing? If an agent with no backbone takes a listing at 500k that should have been listed at 400k (quite common in our current market) how is it “fair” to penalize the seller for having his house on the market for 90 days at 500k? When I later take that same house and list it for 400k the first day I have it on the market the CDOM would show 91 days. It would look to Read more