As Easy as M-L-S

When it comes to finding the ideal abode, real estate experts suggest that homebuyers remember three simple letters: MLS. The rest, they say, is elementary.

Short for the multiple listing service, the MLS is an intricate, shared computer network created by real-estate professionals to help consumers purchase and sell homes. The MLS database contains detailed information on thousands of listed properties for sale in a specific city, region or state that can be viewed by brokers and realtors in the area.

"The MLS offers buyers and their agents a valuable resource as a one-stop shop of information on homes listed by other agents in their area," says Rhonda Duffy, the owner of Duffy Realty in Atlanta. "Its value is incalculable for the amount of information it provides [as an] all-in-one source with search capability."

The MLS allows agents of clients searching for residences to easily locate and view details on properties that fit that buyer's specific criteria. The MLS contains active listings as well as closed sales info, records of canceled listings and more. It simplifies the process of hunting for a home and provides the most comprehensive information on available homes in a given area. Additionally, it encourages a spirit of cooperation between all real-estate professionals by sharing data across all brokerages and realty companies.

"The value in the MLS is that it allows buyers and sellers to see activity in real time as it relates to the purchase or sale of properties in their specific area," says Barry Salottolo a licensed broker and co-owner of Westchester Spaces in Pelham, N.Y.

Dedicated MLS sites typically are operated by private entities - often a real-estate trade association, a local board of Realtors or a real-estate company. Access to that MLS is usually restricted to its authorized members, among whom are licensed agents who pay fees for the exclusive privilege of belonging to the MLS.

Unfortunately there is no public access to the MLS. "However, every listing placed in the MLS by a member broker automatically is listed on Realtor.com," says Walter Hall, the chairman of HouseSavvy in Norwell, Mass. "These Internet listings provide complete information, including details of the property and the list price."

Prospective buyers can access MLS data from "proprietary Web sites dedicated solely to disseminating this information, including Realtor.com," Duffy says. "Or they can use search portals on many real-estate company national Web sites."

What's more, many local real-estate companies feed MLS data into the searches on their Web site.

Other similar sites, including Zillow.com, Redfin.com, and Trulia.com, track market data, offer property for sale listings, suggest true market values of properties, and provide real estate-related news. Salottolo says, however, that sites like these "have unsubstantiated data when estimating the price of homes for sale, and are not a reliable source for information."

Moreover, "the majority of people using these sites don't know how to interpret the data they're seeing," says Kate Eugene, president of Go! Appraisals in Phoenix.

And while such sites allow the public a free pathway to view for-sale listings, "not all of them are updated correctly, and most do not have all MLS data," says Heath Coker, the owner of Cape Group Real Estate in Cape Cod, Mass. "Also, in my area, I know of inaccurately priced listings on MLS-type sites. Because these sites are not selling property, they don't need to have correct prices - only pictures to draw traffic."

Hence, brokers' and agents' Web sites are some of the best places to look for updated property listings. "These professionals have a definite interest in accuracy and correctness," Coker says, "and they will also put properties on their Web sites that may not appear in the MLS because of MLS listing rules."

Considering more than 80 percent of all home buyers start their home search on the Internet, according to the National Association of Realtors, and that approximately 85 to 90 percent of sellers list their homes for sale via the MLS, Hall says having direct or indirect access to actual MLS listings online is very important to home shoppers.

Coker advises that the best way to actually view and scrutinize MLS property listings online is with an agent or broker sitting next to you. They can "explain a listing and its location, condition, amenities, local issues, et cetera."

A professional also can create a personalized packet of MLS listings upon request that can be e-mailed to a prospective purchaser.

The bottom line is that if you want to access the most up-to-date and accurate listings and information on available properties, rely on the MLS - with an agent or broker being your gatekeeper to what's out there.
"Since the public now has access to this information, it has brought an empowerment to buyers and sellers alike," says Duffy, "which has provided efficiency and cost-savings across the entire industry."

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