Thread: Why Non Exclusive listing are bad for Panama.

As the market in Panama cools down i see pattern developing and problems arising as sellers try to shift property that they now find themsleves unable to close on.

Sellers are panicking and are contacting every man and his Dog to see if they can find a buyer for ther property.

The comment "There is no MLS in Panama so i cannot have an exclusive listing" is on ever sellers lips. But does an MLS and exclusive listings have to be part and parcel of the same thing. I say no.

The MLS in the USA is a regional database that brokers in the particular area list the properties. Brokers must have an exclusive listing agreement with the seller before they can add the property to the list. Once listed other brokers can see the listing ans try to sell the property and share in the commission.

This is good news for brokers as it means a closed shop and only authorised brokers and sales people can sell the properties.

This also means that the unit is only listed once and the price is fixed at the agreed sales price between the agent and the owner.

Now in Panama we don't have an MLS but why don't we have exclusive listing agreements? You don't need an MLS if you use a responsible agent.

At present we have 20 - 30 agents all listing 1 property at different prices. A buyer comes along see all the varying adverts and then believes that a Building must have a problem because so many people are selling units in the same property. This in turn forces the price down.

Exclusive listing would not stop agent from advertising but it might help control pricing levels.

The other comment i hear from sellers is that what happens if i list my property and the agent does nothing. This say that the seller didn't do his homework to find out which agents work hard to sell units.

Non exclusivity is an easy option but it has also brought problems to the market here in Panama. When everything was pre construction exclusivity was not a issue as the developer was the exclusive agent and they controlled the sale of the units.

Now we are focused on resales there still needs to be control or this market will end up chasing its own tail.

If a seller is seriously looking to sell his property and get a good price they should consider exclusive listings with an agent that is prepared to work to sell there unit.

I cannot agree more with this. I joined a company that only has exclusive listings because of the level and quality of service that can be offered the client after observing the old way for more than 2 years. An MLS would be great but at least someone is working in your best interest when you actually "hire" someone instead of letting everyone have a free for all with your property.

Is it easy to buy in Panama an hard to sell ? Tell the truth ;

The truth i feel is that the people involved make it hard work.

Sellers get to involved in the brokering, agents dont qualify hard enough with there buyers, Buyers get left to there own devices as many agent dont follow through on a sale. Then we have to deal with 2 seperate lawyers that is before we add an bank into the equation.

Another simple way to look this is the sellers are asking to much at present and the buyers are wanting to pay to little so that will make for hard work any where in the world.

All i ever seem to here from people is in the US its this and in Canada its that. I probably do it myself. But selling real estate should be same anywhere in the world.

A broker should make sure the seller is able to sell and their price is correct for the current market and also that the buyer is capable of buying and understands what they must do to complete on a sale.

Its the same rule for selling anything not just Real estate.

I hope this go some way to answering your question.

Sometime in Panama i feel its easy to sell but hard to buy! because people make it harder than it really is.

Thanks alot for the info