There’s always something to howl about.

Category: Enduring Interest (page 6 of 10)

Apprehending Realtor 2.0: Seven essential skills of the 21st century real estate agent . . .

[Russell Shaw taught a symposium today in Phoenix on Geographic Farming. Cathy and I were there, and Russell was sweet enough to give a plug to BloodhoundBlog Unchained. At the break, I was swarmed by people wanting more information on Social Media Marketing, especially weblogging — most regretting that they hadn’t gotten started sooner. Teri Lussier is a scorching read on those same kind of ideas today. Both events put me in mind of this post, which I wrote on July 23, 2006 — a Sunday — I can remember the day. This is flagship content for BloodhoundBlog, one of the posts that established who we are, our steady position in this discussion. But it’s amazing to me how timeless this advice has turned out to be — how much we are all still “situated at various points from painfully awful to Insanely Great on the continua for each one of these skill sets.” This one is worth studying — and worth pursuing the links. –GSS, 03/05/08]

 
People leaving comments at BloodhoundBlog keep confusing Cathleen Collins for me, so I decided to steal an idea from Rain City Guide and put our photos beside each of our posts. That entailed revising BloodhoundBlog’s weblog template, of course, which also meant adapting its Cascading Style Sheet. A significant number of people reading this already don’t know what I’m talking about, so I’ll endeavor to lose most of the rest: I had to rewrite a few little bits of PHP to make everything work.

Like this:

That puts the pictures, which I had prepared in Photoshop, in place. This code:

is the actual name of the photo. That dumb little bit of PHP says, “Get the ID number of the current author and replace everything from the < to the > with that number. The photos are named 1.jpg, 2.jpg, etc., so the PHP substitution makes the right photo show up for the right author.

PHP is an amazingly robust and incredibly loose language, but the amount and kind of PHP you use to manage a WordPress weblog is minor and very simple — baby-steps PHP.

But this occurred to Read more

Rock Stars Aside (Please, Lord?) My Take On What Matters

You’re a real estate agent? You wanna be a rock star? Be my guest, as there’s room for everyone and every approach. Frankly, as a graduate (with honors) from The Old School, I’d prefer a somewhat different approach, one that has survived the last several thousand years. I’ll get to that later.

First I’ll use a present day example of a different approach.

The example I’ve chosen is not a rock star but a sports figure. I think talking about real estate agents as rock stars has been, at least temporarily turned into the third rail. 🙂

For those not into football, specifically the NFL, there’s a running back in the league named LaDainian Tomlinson. (Known universally as LT) As luck would have it he plays for the San Diego Chargers. Simply put, he’s the best running back of his generation.

One must go into the archives of the 1960’s NFL highlight films to find a football player scoring a touchdown and reacting as if maybe he’s been there and done that a few times before. No dancing, no ‘look at me’ gyrations, no asking the crowd to cheer more loudly. When LaDanian scores, he finds the nearest referee and respectfully hands him the ball. On the way back to his teammates on the sideline he humbly accepts their heartfelt congratulations, then finds the bench and sits down until called on to do his job once again.

LT let’s his on-field performances speak for him.

Back to the different approach. I wrote a post last night…What Really Matters?… approaching this from a slightly different angle.

It’s known as The Old School.

The Old School teaches so many principles which these days are under attack. I’ll deal with just one here, one of my all time favorites.

RESULTS

Nothing trumps results. Let the glitzy agents do their thing as it won’t matter unless in the end they produce results. Same goes with vendors — those who offer a service or product consistently producing the promised results are still around. They are the ones who love BloodhoundBlog too. 🙂

BloodhoundBlog is all about results. It’s what drives the bus here. In fact Read more

Like a Dog With a Bone — Vindicated By a Super Star — Hyper-Local Blogs Rock

No less than Seth Godin has now come out and said it’s the only way to go. Even went as far as telling agents to quit otherwise. 🙂

Seriously, take a look at what I’m talking about. Yeah, yeah — I know Greg already beat me to it. So what?

Maybe it’d be better if you read (Reread without scoffing?) something from the archives

I feel so vindicated. 🙂 What cracked me up most? He used high school sports as an example to include in your blog, or ongoing conversation. Go figure. Seems like I’ve read that somewhere before.

The folks doing this best? Our own Eric and Teri. Eric is showing agents how, while Teri is an agent doing it in real time.

Life is good.

Thank You Seth: “Why not be great?”

In his last post of the year, Seth Godin visits the archives to pull out a piece of encouragement that has never rang more true in our industry until this year.  Read his whole post and get excited about 2008.

From Seth’s post on Why not be great?

Are these crazy times? You bet they are. But so were the days when we were doing duck-and-cover air-raid drills in school, or going through the scares of Three Mile Island and Love Canal. There will always be crazy times.

So stop thinking about how crazy the times are, and start thinking about what the crazy times demand. There has never been a worse time for business as usual. Business as usual is sure to fail, sure to disappoint, sure to numb our dreams. That’s why there has never been a better time for the new. Your competitors are too afraid to spend money on new productivity tools. Your bankers have no idea where they can safely invest. Your potential employees are desperately looking for something exciting, something they feel passionate about, something they can genuinely engage in and engage with.

You get to make a choice. You can remake that choice every day, in fact. It’s never too late to choose optimism, to choose action, to choose excellence. The best thing is that it only takes a moment — just one second — to decide.

Before you finish this paragraph, you have the power to change everything that’s to come. And you can do that by asking yourself (and your colleagues) the one question that every organization and every individual needs to ask today: Why not be great?

More Predictions for 2008 (Bigger, Better, Newer, Sparkle-ier)

Miss Cleo tells the futchaToo bad Miss Cleo’s not famous anymore- predictions are left up to those with (as Jeff says) a “cracked crystal ball.” 

So who has the fortune telling skills this year?  Time shall tell!  Get a leg up on ’08 by reading the full articles in the links below:

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Jeff Brown’s
predictions include foretelling that the DOW will exceed 15,000.  How’s that for ya? (Oh yeah, this is only his first Volume.  Volume II will include something rude about me, I’m hoping.)

Pat Kitano brought us Economist’s predictions including widespread Open ID and bandwith slowdown.

Adam Ostrow notes that Facebook will go mainstream and newspapers won’t die but will creep into the blogiverse.

Drama 2.0 predicts that there won’t be much new innovation or new faces on the scene.  Huh?

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subscribe to authorsDON’T FORGET- if people like Jeff and I turn you off of reading Bloodhound Blog, don’t leave!  Simply subscribe only to your favorite authors in the sidebar!

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HR 3915: Open Letter to Senator Dodd from a Veteran Mortgage Originator

The Hon. Senator Christopher Dodd
Chairman- US Senate Committee on Banking, Housing, and Urban Affairs
534 Dirksen Senate Office Building
Washington, D.C. 20510

Dear Chairman Dodd:

Soon, HR 3915 will be endorsed by the House of Representatives and most likely referred to the Senate. The committee you chair, will have an opportunity to read, discuss, debate, and amend this bill before recommending it to the general Senate for vote. I am a 20 year veteran of consumer financial services with the last 14 years in mortgage lending. I have helped over 700 families finance their homes and closed some 1700 loan transactions. I humbly submit my expert opinion to you for consideration.

The Libertarian in me begs you to do absolutely nothing; it’s the borrowers’ cavalier attitude towards financial planning that caused this mess. While my statement is true, it is but a component of the underlying malaise in the residential real estate industry; we adopted an even more cavalier approach to loan approvals and that irresponsibility is being felt by the investors who trusted us to perform adequate due diligence. Failure is a costly but cogent instructor; to discourage failure on both the borrower and investing lender sides of the equation might be more costly in the long run.

I oppose individual originator licensing in its proposed form. It doesn’t demonstrate true expertise and might induce a false sense of security to the consumer. This very act may very well damage the consumer by perpetuating the adolescent approach to financial planning the average American exhibits. It transfers the responsibility of prudent money management from the consumer to the license issuing body; sadly, those bodies are not up to the task.

I am a pragmatist so I know that my remarks about licensing, while philosophically pure, are impractical from a political view. Inasmuch, I recommend that the licensing requirements be strengthened to include any and all participants in the origination process: originators, processors, and underwriters. I further recommend that the license be national in scope so it is more consistent with the standardization mortgage securitizations induced. Read more

The Common Denominator of Success

Today I received two emails from Dean Selvey. One of them was a forward of an email from one of my least favorite people, Mike Ferry. Clicking on the link for the free audio allows you hear a 15 minute commercial for the Action Workshop. I can’t say it isn’t well done. I can say that most everything Mike Ferry ever does is to get people there so they can sell them coaching.

key_successDo you need a coach? Does coaching “work”? I believe that coaching does work but not for the reasons most real estate “coaches” usually think it does. I don’t have a coach. The closest I ever had to a coach was Paul Pastore or Dean Selvey when I was on my way up. Dean sometimes says I am his coach. I don’t believe any coaching organization can really claim “better coaching results” than any other coaching organization. Individual coaches often get better results than other coaches but I really doubt that there is any one organization composed of only good ones – those with a really high “care factor”. But why does it work at all?

It couldn’t possibly be the stupid “someone to be accountable to” reason that most coaches seem to think is so damned important. If having someone to be accountable to was the correct reason coaching “works” then how do so many people without a coach become successful? And If I am Dean’s coach then how is it he is so incredibly successful (he is the # 1 Re/Max agent in the world) talking to me for about an hour a month. And in that hour we may chat about what is new with me, cars I might want to buy, how things are going, etc. Do I give him vital data (usually an organizational concept I learned from Hubbard) that he can use? Yes, but our lunches are hardly “class is in session now”. Over the years (Dean and I have been having lunch once a month for 19 years) he has helped me about as much as I have helped him. What is it Read more

Tennessee, Oregon, and the State of Real Estate

This started as a reply to Greg’s post on the Tennessee legislature, which apparently insists going backward is the new going forward. But then I had The Conversation, and it’s developed into a post of its own.

Involved is someone I respect, a friend, a mentor, perhaps the one person more responsible for getting me into real estate than anyone. In the business over twenty years, he knows RE law better than most principal brokers, and has helped me enormously in the first three years I’ve been around.

Oregon is one of the eleven states that has a “Thou shalt not share commission!” law, passed at least fifteen years ago, notwithstanding Glenn Kelman’s Sixty Minutes inference that it was all about him. I wanted to know why it was passed in the first place: Assuming consumer protection against graft or corruption, I couldn’t figure out how that worked. The answer dumbfounded me:

“That protects us, our commissions. I’m glad it’s there.”

Oh, dear. Thank you for the candor. Elaborate?

“Look, I know you’re a free market kind of guy, but there’s nothing wrong with laws protecting us from consumers. People try to hack away at my commission every day on the listing side. This prevents the same kind of hacking on the buying side.”

Wait. Aren’t you worth the commission you charge? “Of course. That’s my point.” Then when someone asks you to cut your commission, what’s wrong with: No. Why do you need a law, especially a law that reinforces the public perception that we’re all self absorbed troglodytes?

“Twenty years ago, before the internet, we didn’t have that reputation. Now 80% of transactions don’t even really need a buyer’s agent.”

Say what?

It went on, defensively and testily. The internet’s the problem, we’re the victims. When I brought up separating buyer commission from listing commission, he said he hoped he was well out of the business before that happened.

It’s occurred to me: his opinion isn’t an anomaly; as I said here the biggest problem we face as an industry is our industry. I can’t begin to get my mind around treating clients as adversaries, Read more

By withholding the secrets of the mystical MLS system are we betraying the home-buyer’s interests?

In all my spare time, I’ve been working over the past few days on a real estate porn movie. The film features pictures from hundreds of homes, with loads of juicy details. We took the photos over the course of years, so it’s entirely possible that some of those homes are listed for sale right now. In making the movie available to the public, will we be “advertising” those listings without the listing broker’s permission? I don’t think we will be, but I also don’t give a damn. We have a right to our work product, and we have a right to do as we choose with our work product, and I will joyfully fight for my rights down to my last dime.

Let’s be obvious, at least for a moment. An appraisal is something you contract to have done and pay a substantial fee to obtain. Any state attorney general, even Arizona State Attorney General Terry Goddard, should be able to comprehend such a simple fact. In the same way, advertising is something you pay for. Quibblers will insist that paying web site hosting fees is alike unto paying publication line rates or broadcast fees. To this “argument,” the only reasonable retort is a Bronx cheer. When a word means almost anything, it means almost nothing.

The obvious fact is that MLS rules against advertising other broker’s listings without permission are devised to prevent Broker Paul from placing paid ads representing Broker Peter’s listings as his own. In fact, the motivating premise behind the rule is that Broker Paul, even while giving a false impression about his prowess as a lister, would nevertheless be promoting the homes in a positive light.

So why would Broker Peter object to free advertising of his listings? In other words, why does this MLS rule exist in the first place?

Too obvious, isn’t it? It’s because of the double dip. If Broker Paul advertises Broker Peter’s listings as his own, then Broker Peter might lose out on some opportunities to collect commissions from both sides of his transactions.

Real estate brokers implemented Buyer Agency not because they wanted to Read more

Defending Redfin: Sweet Digs weblog buried by inane MLS rules

I don’t like Redfin.com. Its “business” model consists of quietly diverting its agency responsibilities to listing agents while loudly rebating its largely unearned commissions to buyers. My experience of the president of the company, Glenn Kelman, is that he is an oily liar who will say anything to draw the fawning attentions of a gullible mainstream media. I don’t care about discount real estate brokerages in general — let the market sort them out — but Redfin’s modus vivendi is to exploit defects in the real estate industry — that it cannot get along without — while decrying those same defects in its tendentious and mendacious PR.

However: I believe in liberty before everything. Although Redfin will never enter most real estate markets — this being forbidden by a cost-structure that loses money on even the priciest of homes — it nevertheless has a valid complaint when it draws attention to anti-rebating and minimum-service real estate laws. The National Association of Realtors is an anti-capitalist cartel, as are state and local Realtors’ associations and local MLS systems. They are liars just like Kelman, loudly proclaiming their protection of the consumer’s interests while quietly enacting every Rotarian Socialist scheme they can think up.

Today John Cook’s Venture Blog reports that Redfin is being fined and forced to shut down one of its weblogs for violating one of those schemes:

The Northwest Multiple Listing Service has fined Redfin $50,000 and asked them to stop publishing a popular blog in which contractors for the online real estate brokerage posted reviews of Seattle area homes.

Redfin is appealing the fine, though it took steps this week to shut down the reviews on its “Sweet Digs” blog. With about 3,000 e-mail and online subscribers, the blog was written by 15 freelance reviewers who over the past five months posted reviews on about 1,000 homes in Seattle and San Francisco. The company says it plans to maintain the blog as a source of information on pricing trends and recently sold homes.

Redfin Chief Executive Glenn Kelman said he had no choice but to comply, noting that the NWMLS had threatened to Read more

A world fit to be conquered: Five steps to total real estate listing dominance

Here’s the thing: We want to be excellent real estate listing agents. But there’s more to it than that. We want to be so good at listing real estate that no one can compete with us. The idea of selling “by-owner” pales in the light of what we do, but we want to be so effective, and so thorough, that not even our fellow Realtors will be able to compete against us. We want to charge top dollar — take that, Freakonomics! — and we want for other Realtors to get only the work we turn down.

That’s not very nice, is it? We’re not actually mean about anything, but to be the best necessarily implies that everyone else will be less than the best. Plus which, it kindasorta matters to our clients that we get the job done — and we don’t get paid until then, either.

Before I get to my list of five techniques, there are a couple of lists of three to consider. First, a successful listing praxis consists of three parts: Hiring the seller, marketing the home and servicing the transaction. I’ll be addressing marketing tactics below, but note that I said that we hire the sellers. Too many agents think the seller is hiring them, and it leads them into one obsequious error after another. We work with people who know that we know more about selling houses than they do. We interview them very carefully, and we turn down the ones who can’t or won’t do what we need them to do. We can only sell the houses that will sell — and whose owners are willing to sell — so we avoid the others.

Second, contracting a real estate listing actually entails three sales. We work very hard to sell the house with our marketing, but, before we can do that, we have to sell the sellers on working our way. And, as an ancillary consequence of working our way, we are going to sell a certain portion of the neighbors on working our way in the future. We don’t use our listings to market ourselves Read more

A Case (by Case) For and Against Dual Agency

Trevor Smith’s answer to Dual Agency?

Let the buyer represent himself, and give him the commission regularly paid to the Buyer’s Agent. (Granted, this would still leave the buyer relatively unprotected, but at least if something goes bad, its his own fault and not the agents).

Your obvious question is, “Where are the customary apostrophes to indicate a contraction or possessive noun?” No, wait, that is just me. What you are really thinking I suspect is that this sounds suspiciously like a Redfin philosophy, but then, Trevor is not so coincidentally a Redfin agent from Seattle.

By the way, according to Trevor, Redfin’s Blue Collar Spokesmodel, they are gaining market share there at warp speed. In 2006, it was reported that Redfin closed over 200 transactions. Now, it seems they are putting those deals to bed at a clip of 90 a week. I feel a press release coming on!

In light of Trevor’s recent remarks, I’ll take the opportunity to open old dual agency wounds. Is dual agency truly the root of all evil? It depends on who you ask. Even here at the Kennel Club, we have two camps. Now, let’s make that three.

I fall somewhere in the middle on the subject. Steve and I have acted as dual agents in many transactions. We do not like it, and we do not seek it out, but at times it is so very appropriate that any argument suggesting we are compromising our agency duties is simply ludicrous.

BITING THE HAND THAT FEEDS ME

Greg Swann is a well-known critic of dual agency transactions.

Disclosed Dual Agency cannot possibly be effected — in reality — without repeated, overt agency violations.

I will offer one example of how this statement is not only wrong but offensive to those of us that bend over backwards to protect the rights and interests of our clients – all of them. We closed escrow recently on a transaction involving our listing and our buyer. The reasons dual agency worked in this situation relate back to Russell Shaw’s contention that we have less control over our client’s decisions than one might imagine.

The idea that the Read more

The Zillow.com persecution: Why it matters to all of us

Jay Thompson, The Phoenix Real Estate Guy, clued me in to an email he got yesterday, which I was supposed to get as well. Mine didn’t come because the email address was wrong. Jay deals with the substance of the email in the post linked above, but here’s the meat of the matter:

Why are Jay and I, and other principled Realtors, rising to Zillow.com’s defense in response to the attempts at persecution of the net-based real-estate start-up by the Arizona Board of Appraisal?

I speak only for myself, but I can always speak at length about the positions I take. First, it’s important to understand what this is not about, in my opinion:

  • It’s not about Zillow.com.
  • It’s not about real estate.
  • It’s not about appraisals.
  • It’s not about job-protection, although this seems to me to be the objective behind the persecution.
  • It’s not even about Arizona.

I think what is really going on here is the first campaign in a long war to determine whether internet-based commerce will be suffered to grow as it has until now, without restrictions or impediments. Or: Whether the combined forces of power-mad “statesmen,” progress-hating “progressives” and hand-out-hungry “businesses” will be able to break the net to the saddle they have strapped onto every other enterprise in America.

In a sense, I’m not defending Zillow.com’s business, I’m defending my own. I’m about principle before everything, so that doesn’t matter to me, although I do admire the necessary integrity of rectitude: The moral is the practical. But this is so much larger than Zillow that the instant matter blends into the background.

Many of the pioneers of internet technology are hard-line Capitalists, stout defenders of the idea of free enterprise. That’s not universal, but there is also a very strong gut-level libertarianism among entrepreneurs generally.

In fact, the internet has grown so quickly, and so unpredictably, that the reactionary forces determined to tax, regulate or forbid everything have been stymied. A few very far-sighted people have successfully argued against regulating the net, and, meanwhile, the would-be arbiters-of-everything have been held in check by their own monolithic ignorance of technology. People who see the net as Read more

Zillow.com at the Dawn of the Age of Abundance: Working for free is not a crime, trying to forbid it is . . .

I read a lot of science fiction when I was a kid (more INTx evidence). One of my favorite books was Voyage From Yesteryear by James Hogan.The plot turned on the conflict between an economy like ours, based on scarcity and hoarding, and a radically different economy based on abundance and sharing. At the time the book was published, the latter economy would have seemed wildly utopian to a lot of people. But there were others who saw the Singularity on the horizon and understood that Hogan’s vision was one way it might play out, in the near term.

By now, of course, Hogan’s ideas don’t seem very radical at all. There are still a great many economic goods stored behind lock and key. But we are seeing more and more goods, especially intellectual values, delivered at no cost, often with no form of “monetization” at all. I wrote about this in my first BloodhoundBlog post and later in a post about disintermediation in the for-pay information business.

The interesting question I asked then is even more interesting now:

How much future is there in a job that millions of very smart people are willing to do for free?

This is a question that Zillow.com’s new Q&A feature asks, and it’s a question that seems to be uppermost in the minds of members of The Arizona Board of Appraisal.

But here’s an angle that may not have occurred to you: When Zillow.com introduces a potential buyer to a Make Me Move seller, it is engaging in the essential act of real estate brokerage. Why isn’t this “illegal,” much as the Board of Appraisal is attempting to claim that Zillow’s Zestimates are “illegal” appraisals?

The answer: Because Zillow is not accepting or anticipating compensation for engaging in real estate brokerage. The Babbitts who wrote the real estate laws did so in the hope of creating a cartel, with correspondingly higher fees, by forbidding non-licensees from listing and selling real estate for compensation.

This is a criminal conspiracy against the consumer, the use of the coercive power of the state — guns and prisons — to forbid consumers and vendors Read more

Planet Zillow.com: Burgeoning Realty.bot grows, potentially, to become a self-sustaining residential real estate eco-system

Here’s the news. We’ll circle back for details and implications.

Zillow.com, the national Realty.bot growing out of the popular automated home valuation service, is releasing a new version of its popular web-based real estate portal tonight. Dubbed Zillow 5, the new functionality comes in three broad categories:

  • Any user of the system — not just homeowners or their real estate agents — will be able to report that a particular home is for sale and at what price. Only owners and/or listing agents will be able to create more elaborate listings for homes for sale.
  • Any user of the site will be able to ask or answer a specific question about a home, whether or not it is listed for sale. The questions and answers will be stored with the record for that home, and each user’s questions, answers and Real Estate Guide (formerly known as the Zillow Wiki) contributions will be recorded on that user’s personal profile page on the system.
  • Agents or other users wishing to promote either themselves or their homes listed for sale will be able to do so through a new “EZ Ads” system. In appearance, the ads will look like a cross between a button ad and a Google AdWords text ad: a headline, two lines of text, an outbound link and an image — a logo or a photo. Unlike AdWords ads, the billing will be pay-per-impression, not pay-per-click. The ads will be sold by the zip-code at a cost of one-penny per impression. Ads targeted at a particular zip-code will rotate at random to exhaust the advertiser’s pre-paid spend over a pre-set span of time.

BloodhoundBlog features extensive coverage of tonight’s announcement from Zillow.com:

BloodhoundBlog contributor Brian Brady will also be covering the story at these sites:

BloodhoundBlog has published more about Zillow.com than any other weblog or publication.


“With this release, Zillow becomes a community,” said David Gibbons, the company’s Director of Community Relations. That’s true, but it’s somewhat Read more