Be Aware: Commission Position on “Coming Soon” listings

In June 2014, the Colorado Real Estate Commission adopted Commission Position CP-44  regarding advertising properties as “coming soon” to the market.

CP-44 outlines a broker’s obligation to “exercise reasonable skill anss_Warning Croppedd care” when advising a seller or landlord of the advantages or disadvantages of different marketing methods. Further, the manner in which the broker and seller or landlord agree to market the property must be memorialized in writing in the listing contract, prior to any marketing being performed.

“Motivation for limiting exposure of the property should be carefully considered. Is the property being marketed as “coming soon” because the seller is preparing it for sale or lease? This would be a legitimate use of that particular marketing method. However, if the property is being marketed as “coming soon” in an effort for the listing broker to acquire a buyer and “double end” the transaction, this would be a violation of the license law because the broker is not exercising reasonable skill and care.”

Click here to read the complete Commission Position 44 on coming soon listings.

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