Agents a ‘powerful’ influence on private listing choice 

The real estate industry has been awash in debate about private listings for more than a year. Those in favor proclaim "seller choice." Those against allege "breach of fiduciary duty." But a recent survey by real estate marketing agency 1000WATT sought the perspective of those directly affected by listing strategies: homesellers.

In April, 1000WATT polled 1,000 adults aged 25 or older nationwide who used a real estate agent to sell a home in the previous six months, excluding anyone involved in the residential real estate industry. 

The survey probed sellers on what they expect and value from agents, their use of AI in the home sale process, and their thoughts on private listings and pre-marketing.

"[I]n our findings on private listings, [we see] just how influential, how powerful, agents can be in directing consumer choices," 1000WATT said in its report, adding that everyone in the industry "should be mindful" of that reality.

What sellers want most from their agent — and where agents fell short

Asked to identify their agent's No.1 job, 32% of sellers said "to negotiate with buyers and their agents" while 30% said "to advertise/promote my home." Just under a quarter (23%) said it was "to price my home properly" and 14% said "to handle showings and open houses."

About half of the seller respondents (51%) felt their agent marketed their home "very well" and 42% said "somewhat well." Just 7% were mostly dissatisfied, and when asked why they gave their agent poor marks, some were frustrated that their agent listed their home and then "largely disappeared."

Others felt a mismatch between what agents promised and what they delivered, and some believed their agent was trying to serve their own interests by pressuring the seller to accept low offers or limit exposure.

But often the shortfall between what sellers expect and what they get is a "perception gap," the report noted. That's because sellers don't see the work agents do, and agents fail to fully communicate their efforts.

To avoid disappointing clients, 1000WATT advised agents to define "what great marketing looks like" and connect it to "the seller's goals before the listing begins"; update sellers weekly in a way that "shows progress, signals activity, and reinforces movement"; and deliver "a clear recap with metrics that connect actions to outcomes and make the work tangible."

The marketing tactic sellers valued most

Just over a quarter of sellers (26%) said putting their home on the MLS was the most valuable thing their agent did to promote or market their home. Another 23% believed visual marketing such as photography, video, floorplans and virtual tours carried the most value.

Ensuring the home was on Zillow and other major portals was cited as the top value-add by 13% of respondents, while "getting early interest from buyers by making my home a 'coming soon' or private listing before it fully hit the market" was chosen by 12% of sellers.

The preferred tactic differed by age cohort, with younger sellers much more likely to value placement on search portals and older sellers more likely to prioritize the MLS. 

Most sellers were offered a private listing option

When asked if their agent mentioned marketing their home privately within the agent's office or company before placing it on the MLS or public search portals, 60% said yes.

Of those who were presented with a private listing option, 43% said their agent suggested, recommended or "sold" the option to them, while half said their agent just presented it as one possible choice.

Among the sellers who chose to list their home privately, the most common reason, cited by 22% of that group, was because "my agent recommended it, and I trusted their judgment."

1000WATT speculated that the agent's recommendation influenced other reasons cited, which included testing the market, creating early interest, privacy concerns and avoiding "days on market."

"This is significant. Whatever your view on private listings, it is worth pausing to consider the potential second order consequences (legal risk, mostly) of selling a home marketing strategy toward which a large majority of consumers are naturally disinclined," the report said.

The report advised agents to discuss private listings with neutrality: "Explain rather than sell, and go above and beyond whatever disclosure requirements exist for your brokerage or MLS."

More sellers open to displaying price cuts than days on market

The survey included this scenario: "You list your home for sale for $500,000. No buyers make an offer, so you reduce the price to $475,000. Would you want both your original price and your new price displayed to buyers and their agents within the MLS and on public home search sites?"

More than half the sellers (56%) said they would want this information displayed in hopes that it would prompt buyers to take a second look at their home or trigger alerts from home search sites to potential buyers.

But when asked whether publicly displaying the number of days a home has been on the market was good or bad for sellers, 71% said it was bad, because it might suggest their price is negotiable or that there is something wrong with the home.

Of those who said it was good, just over half (52%) "said it signals a seller may be willing to negotiate," the report said. "The same dynamic, read from the other side of the table."

Using AI to assess agent guidance 

Only 23% of the respondents used an AI chatbot while selling their home, but among those who did, just over half (51%) asked it to evaluate their agent's suggested price and 43% used it to question their agent's advice.

"Guidance isn't taken at face value. It's checked, compared, and pressure-tested in real time," the report said.

Agents should prepare to respond to sellers who bring up their AI findings by practicing "a clear, confident response" that includes a rationale for their proposed price and highlights their hyperlocal knowledge, the report suggested.

Sellers who are younger or have higher incomes, higher education levels or children are more likely to use AI, the survey found. "That is a growing share of your most valuable clients. Verification follows pressure, stakes, and time. A seller who used AI to prepare is showing you how to work with them."

Think about situations "where your judgment changed the outcome" of a transaction, the report advised. "Those moments are your value story. Write them down and lead with them."