Brokerage

  • Stormy seas or smooth sailing for real estate search?

    There are quite a few maritime references in a paper about the state of online real estate search, and even a reference to "a sea lion coming over the next wave" as a parallel to the industry standby "lion over the hill" metaphor for new competitors in the real estate arena.

    "Tales of an Industry Lost at Sea," prepared by three industry consultants including the principals at Larson/Sobotka consulting firm and Focus Forward Consulting, highlights the many unknowns about the value of a variety of online search sites (see Inman News article).

    For example, the paper poses, "No one has demonstrated the impact of national aggregator sites on broker site traffic, whether good or bad," "The true impact of public MLS sites remains unmeasured," and "Consumer expectations, preferences and behavior in the real estate search environment have not been studied."

    In March, another real estate consulting group put out a paper that focuses on a public-facing MLS search site maintained by the Houston Association of Realtors, though the report released this month suggests that more study is needed covering many market areas to get a better grasp on the value of various search sites to industry participants and consumers alike.

    The report suggests that Realtor trade groups, MLSs and brokers "still have not united behind a strategy regarding consumer real estate listing search on the Web," and that MLSs and associations should provide tools to make brokers the best source of real estate information for consumers.

    In realizing the vision put forth in this paper, MLSs and associations could "assist brokers in making the best use of new communication channels, such as blogs, widgets and user-generated content."

    So is the industry's approach to consumer-focused online property-search destined to be a total shipwreck, or are calmer seas in store?

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  • Agents trade gas guzzlers for 'Easy Rider'

    The Morning News of Northwest Arkansas reports that some agents are battling high gas prices with two wheels.

    "Obviously, I can't take clients house-hunting on the back of my bike, but I do a lot of scouting, previewing, flier-running and business related errands on a daily basis," said Tami Fagan, a Realtor in Fayetteville, Ark., who increasingly favors a motorcycle over her Mazda minivan in real estate work, the article states.

    "It is doable now that the weather is getting warmer, and though it doesn't do much for my hairdo, my pocketbook loves it."

    The Morning News article also noted that another agent in Springdale, Ark., parks his Land Rover in favor of a motorcycle, when possible, and another agent traded in a sport-utility vehicle for a Toyota Prius gas-electric hybrid.

    Inman's Jessica Swesey asked readers to weigh in on the rising cost of driving (see the blog post here), with one real estate professional reporting a $61 fill-up and another working in a multiple listing service area that spans 10,000 square miles.

    We've seen real estate companies that build a brand around a fleet of Mini Coopers and Volkswagen Beetles. Which real estate company will be the first to use a fleet of Harleys? Note: MotorcycleRealtor.com is already taken (it belongs to Paul Morand, a Florida Realtor). And then there's BikerAgents.com, a "Referral Network for RE/MAX Biker Agents."

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  • Take it from an agent -- sell by owner

    Foreclosure/investment guru "Dr. Dani" Babb claims real estate agents' commissions are hindering the recovery of housing markets.

    "Their added fees are creating inflated home prices, keeping sellers and buyers from reaching deals," Babb says.

    What can you expect if you hire an agent to help you buy or sell a home?

    "Wasted energy and time, which could be spent house hunting, financing or moving," the Newport Beach, Calif.-based "technologist, consultant, author and professor" says.

    The kicker is that Babb -- who earned her PhD online and teaches a course on finding foreclosed properties at UC Irvine Extension -- also happens to be a licensed real estate agent.

    "Bottom line? From an agent?" Babb asks. "Sell by owner. Putting your house on the MLS is as easy as going to housepad.com. Unless you have some overly complicated situation, don’t waste your time or money with agents."

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  • Soft selling "the Windermere"

    Windermere Real Estate has launched a recruiting site that, according to a press release, allows agents to read about "the Windermere’s state of mind .. the company’s organic growth and ... Windermere’s 'secret formula' for being the leading real estate brand in the West."

    It's a pretty slick site, that soft sells the company with pages like:

    --Getting to Know Us: "Windermere is not for everyone ... salespeople need not apply."

    --Our State of Mind: "...we never lose sight of what's important when it comes to this thing called real estate."

    --Our Truths: "We understand that a house is more than a box where people do their living."

    --Our History: The story starts in 1972, when John Jacobi "didn't set out to revolutionize the real estate industry."

    --Our Growth: "Choosing to be better not bigger, has meant that we have grown more slowly than other real estate companies" (to 350 offices and 9,000 agents in 10 states).

    --Our Secret Formula: "A great associate is the person who enjoys connecting with his or her customers and community."

    And that's just the introduction -- there are three more "chapters" in the tour.

    Windermere says it's also created an internal "recruiting and retention intranet site" that's accessible only to Windermere managers and owners, that provides resources for recruiting, evaluating and training agents.

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  • Inman Q&A with "Super Mike" Minervini

    Inman News tracked down Mike "Super Mike" Minervini, a broker-associate for RE/MAX Champions in Matawan, N.J., for this Q&A. E-mail us if you or someone you know would be a good candidate to feature in this recurring Q&A segment.

    Q: How many years have you worked in the real estate business, and how long ago did you begin marketing yourself as Super Mike?
    A: I have been in real estate since 1998. I began marketing myself as "Super Mike" since the beginning of 2007.

    Q: I read that a child's drawing (pictured here) served as inspiration for "Super Mike." How have your clients responded to your "super" branding? What sorts of feedback do you get?
    A: My clients, along with real estate agents, usually begin by laughing. This is the point. My goal is to make them laugh, but also to remember the brand. They all think it is unique.

    Q: What superpowers do you believe you bring to your clients? What superpower do you sometimes wish you possessed to assist your clients in real estate transactions?
    A: The superpowers that my clients usually mention: extreme accessibility, knowledge of the marketplace, patience and enthusiasm. I wish I were able to see into the future to have my clients avoid any pitfalls with home inspections.

    Q: Who or what is your nemesis in the real estate industry, and how do you confront or defeat this foe? What is your weakness?
    A: I don't have a nemesis, however my biggest weakness is the fact that I am always trying to keep up with and answer my cell phone.

    Q: Have you ever changed in a phone booth or worn a cape?
    A: Nope. No cape, just T-shirts that I give out to clients!

    Q: Describe your overall approach to marketing.
    A: My overall approach to marketing is mostly Internet-based and reliance on past clients, friends and family for referrals. I work my database to put buyers and sellers together. I sent out a monthly e-mail newsletter that focuses on the marketplace and featured listings.

    Q: Describe any niches or specialties that you have in the housing market.
    A: I am a multi-family specialist. I thoroughly understand the investment market and can effectively assist my clients with this market.

    Q: What is the most important lesson you have learned during your time in the industry that you can share with other agents?
    A: Keep in touch with all of your past clients! Offer guidance and advice to clients and ask for referrals!

    Q: What is the most important lesson that you can share with buyers and sellers?
    A: Listen to your agent for expectations to be set. Let your agent guide you and when you are unhappy, communicate this to your agent.

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  • 'Put this on my NAR card, please'

    From a National Association of Realtors brochure: a planned Web-based Realtors Federal Credit Union will offer "a full range of products and services for its members, including: deposit and financial services, personal and business savings (including tax accumulation accounts), personal and business checking, courtesy pay (overdraft protection), direct deposit, money market accounts, health savings accounts, CDs, IRAs, loans, personal unsecured, commission advance, open lines of credit, new & used vehicle loans/leases, new Realtor start-up (up to $50,000), home equity loans, first mortgage (to members only), business and investment property loans, Realtor-branded debit cards with rewards program, links to NAR products and Realtor benefits publications, business payroll."

    The brochure also notes, "No, it's not a bank." Credit unions have a select group of participants -- in this case Realtors, Realtor association staff and their families. (Read more here about the proposal.) This emphasized distinction from banks is to be expected, as NAR has aggressively lobbied to keep federally chartered banking entities from providing real estate brokerage services. If approved, the Realtors credit union would be a wholly independent member-owned legal entity.

    There are already examples of other local credit unions established to serve Realtors.

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  • The media blame game

    Maybe it's natural for real estate industry frustrations to intensify in an environment with slowing sales and falling home prices. Worries about media coverage of the housing market downturn have in some instances boiled over into industry uproar about "negative" news and its impact on consumer perceptions. In some cases, industry professionals have suggested that the media is contributing to the downturn by feeding into consumers' fears of market conditions. (See Inman News report.)

    The mantra of location, location, location applies here: industry professionals say it's important to remember that local real estate markets are unique. There are markets that are experiencing good, bad and ugly times these days, and national news coverage can overlook the counter-cyclical markets.

    Some industry trade groups are investing in PR campaigns to pump up consumer confidence in home purchases. Such efforts seek to dissipate consumers' fears about market uncertanties and attract favorable media coverage about the state of the housing market.

    The media, meanwhile, has a challenge in accurately covering national and local real estate market news and keeping its readers informed about actual market conditions. To the media, news is news -- consumers and industry professionals can decide for themselves what's "negative" or "positive" about that news and react accordingly.

    A real estate agent who specializes in selling REO properties may find opportunity in a market with slumping home prices, just as an agent who works with first-time buyers may struggle in a market with tightening lending practices and high home prices.

    Timely and accurate market information is especially important to consumers and real estate professionals alike when the real estate market slows. And while there can be clashes when media coverage conflicts with industry interests, could there be a common ground among industry and media professionals to provide accurate, timely and spin-free information to consumers about market conditions?

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  • Craigslist case draws mixed reaction

    Craigslist, the online classified and community postings site that features for-sale and rental housing ads in markets around the country, is not responsible for users' posts that contain discriminatory language in violation of the federal Fair Housing Act, according to a three-judge panel that considered an appeal by a Chicago lawyers' group (see Inman News).

    Inman News received some divided commentary on the topic: one real estate professional lashed out at craigslist, charging that the site is a "glorified FSBO" platform for owners to sell direct to buyers without using a licensed agent, and that "you almost never see blatant fraud, misrepresentation or racism in any Realtor advertising." There are, though, some Realtors who choose to advertise properties at craigslist. Another real estate professional condemned the lawyers who filed the lawsuit against craigslist and suggested that they should be disbarred for filing the lawsuit in the first place.

    The court ruling does have implications for a range of Web sites that carry property ads. And the battle may not be over -- the Chicago lawyers' group could petition for the court's full group of judges to reconsider the latest decision.

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  • Realtor named in '30 under 30' list indicted on fraud charges

    Eve Mazzarella, broker-owner of Distinctive Real Estate & Investments in Las Vegas, at age 29 was named in Realtor magazine's "30 under 30" feature in June 2007.

    Mazzarella is now linked to a mortgage fraud case reported by CNBC on Friday. From that story:

    "A Las Vegas real estate broker and her husband are facing federal charges they made millions of dollars orchestrating a mortgage fraud scheme.

    "U.S. Attorney for Nevada Gregory Brower says Eve Mazzarella, 30, and her husband, Steven Grimm, 45, were indicted Wednesday on bank fraud, money laundering and aiding and abetting charges."

    The story appeared on the NARWisdom blog, where Realtor magazine editor Stacy Moncrieff chimed in to answer a few questions:

    "You may be wondering, in light of this news, if or how we vet candidates for our annual 30 under 30 presentation. We put all applicants who make it into the finals for "30 Under 30″ through a screening process, as we did with Eve. We do checks with the local association of REALTORS to determine whether there have been any ethics violations and with the state real estate commission to determine whether there have been any complaints, investigations, or license law violations. Occasionally, as a result of that screening, we drop a candidate from contention. We found no red flags with Eve."

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  • Redfin reports death of an anti-rebate bill

    Real estate broker Redfin reported at its corporate blog on Wednesday that Illinois legislation seeking to ban real estate rebates "finally died today," as the legislation did not receive a motion in the Illinois Legislature's Judiciary Committee, according to the post. Bill information at the state Legislature's Web site states that HB 4313 was kicked back, or "re-referred" today to the Rules Committee where the bill was first considered.

    The Illinois Association of Realtors announced opposition to the bill, and Justice Department officials were aware of the legislation (see Inman News). The Justice Department's Antitrust Division has taken actions in other states in opposition to rebate restrictions, charging that such policies can impair price competition.

    A group called the Homeowners Club of America had lobbied in support of the legislation, the state Realtors group reported. Rep. Robert S. Molaro, D-Chicago, introduced the legislation. Rep. Angelo Saviano, R-River Grove, was co-sponsor of the legislation. Another co-sponsor, Rep. Franco Coladipietro, R-Bloomingdale, was removed as a co-sponsor on March 6.

    Redfin does have particular interest in the legislation, as that company is planning to expand services to Illinois this year.

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