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I'm Lani. I live in Austin, Texas (jealous?). I am the New Media Director of Single Pointe Realty (and AgentGenius.com). I keep this blog as my personal take on the market, the business of Real Estate, and the agents that make up the profession from all over the nation. Because I am not a licensed agent- I write commentary from the unique perspective of part consumer, part insider. Oh, and I have a ridiculous affinity for cheese.

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We're a unique real estate company that doesn't operate as a traditional brokerage. We bring new technology, modern buying & selling strategies to our clients- it's been my job to create a home buying & selling experience that is fun, fresh, & exciting for today's Austin real estate consumer.

Archive: Customer Service

CSI Factor- Sprint Earns 0 of 10

Customer Service Case StudiesThe CSI Factor (the grade a customer service provider receives) short for the “Customer Service Index- Factor” series (Episode One here, Episode Two here) is back.  Today is PART TWO of our Sprint experience and on a scale of 1-10 (1 being the worst, 10 being the best), they receive a 0.

Here’s what went down:
1.  Tuesday, we had a nightmare experience with Sprint.  I learned in the comments that many others have had similar experiences.

2. Wednesday, we thought we’d try again.  Because my husband’s Treo650 is insured, if repairs can’t be done at a Sprint store, it is relatively easy to have it replaced.  Well, if you’re in a Sprint corporate repair center (SCRC), not to be confused with a Sprint repair center that is a reseller.    I look online for another inconveniently placed SCRC and set out for Round Rock, hoping for a better experience.

3. We arrive at the SCRC and go to the little host booth where the guy who has apparently had a recent frontal lobotomy said “we don’t have a repair center.”  The Sprint website said it was a SCRC.  “Obviously we’re not,” he said as his slumped arm lazily pointed to the back wall where there was no repair center.  We asked for suggestions and he pointed us to another location which was contrary to the website (which we now determined was bunk).  So, do we rely on the bunk website or the guy who could give a crap less that we were at our wit’s end?

4. Neither.  I call Sprint customer service and ask for them to locate a SCRC for me.  They told us the same address and we let them know that we needed another one due to our new knowledge.  They were very friendly over the phone and instead of just saying “uh, I’m sorry but that’s the only one unless you go to where you went last night,” he said, “let me call and find out what shopping center this one is in.”  I asked if he would verify that it was a SCRC and not third party.  Nearing the 7:00 cutoff of SCRC, we sped to the next Sprint store and walked in to the host podium.

5. We’re sorry, but they’re not taking phones anymore (it’s 6:55).  Now, I’m a kind person and I am very nice in person, but I’m pretty sure there’s some section of my brain where the blood vessels popped and the freakin’ Hulk was about to come out.  This poor girl had no idea what we’d been through.  Benn calmly asked if she could go check because we’d been through hell and back to get there.  My clenched fists and shallow breathing and new posture of “I may snap” helped.  As she walked away, I said audibly “I think this is the final straw- we’re leaving Sprint.”

6. “Okay, he said he’ll look at it,” she said as the clouds parted, a beam of light shone on her and I think I imagined that she sprouted feathered wings and grew a halo.  “Thank you so much,” we said exasperatedly.  The other customer was being helped, so the Sprint lady asked what we’d been through.  We told her.  She was upset with us but wasn’t surprised.  “Yeah, Sprint corporate stores are just like that.”  WHAT?  “You’re not a corporate store?”  You’ve got to be effin’ kidding me- Sprint told me they’d called and verified that it was a SCRC.  I could sense the Hulk coming out again.  “Don’t worry- we’ll take care of your phone here.  If he doesn’t fix it, we’ll replace it at no charge.”  I may have told her that I love her, but I’m not sure.

7. The non-corporate Sprint store was my new best friend.  The guy in repair had a personality and said we’d experienced a great disservice by our past experience and assured us he would do more than just push the reset button.  After a long examination, he simply came out and told Benn that it could not be repaired and he didn’t have a replacement in the store but it meant that when he ordered it, Benn would probably get an upgrade in 3-5 days.  Sweet.  I may have told him that I love him, but I’m not sure.

8. Within 48 hours, they called us to let us know that the new phone was in and it WAS an upgrade.  They under-promised and over-delivered which has never once happened in the entire time we’ve been with Sprint (10+ years).  I generally have the theory that if something ain’t broke- don’t buy a new one and I prefer to replace phones when they are completely dysfunctional (like missing pieces or having to hold the battery in with your hand while talking) while Benn likes the shiny and new tools.  When we picked up the new phone, we decided (and informed them) that in the future, we would purchase ALL of our phones there and refer everyone there because of their level of service.

So, the lesson is that Sprint corporate earned a 0 but the Sprint Reseller earned an 11.  Thank you, Round Rock Sprint for not giving me an aneurysm as we all know that I was pretty dang close to having.  We decided to stay with Sprint and drive the 20 minutes away when we need any help of any kind.  It only takes a few people that are caring to keep a corporation alive.

CSI Factor- Sprint Earns 2 of 10

Customer Service Case StudiesI’m bringin’ back an oldie but a goodie- the CSI Factor (the grade a customer service provider receives) short for the “Customer Service Index- Factor” series (Episode One here, Episode Two here). Today, Sprint is on the chopping block who, on a scale of 1-10 (1 being the worst, 10 being the best), receives a 2.

Here’s what went down:
1. Benn’s insured Sprint Treo 650 had problems freezing intermittently.

2. On TUESDAY, we drive waaay across town to a Sprint corporate repair center because the 40 Sprint stores in our neighborhood don’t have repair centers (thanks, Sprint).

3. We finally arrive at 6:55pm. The store closes at 8:00pm. The sign on the door says nothing more and 10am-8pm- not even that the repair center doesn’t admit phones after 7:00pm (an HOUR before they close).

4. We walk around the store where no one will help us. Finally, we find Rude Guy who spoke like Ben Stein in a pissy mood. “They’re not taking phones anymore.” Benn said “sure they are, it’s before 7:00.” He looked up at him like the snooty clerks at Bergdorf’s sneer at you when you’re in the shoe section (expensive) when you should be in the accessories section (less expensive) because you’re wearing Pay-less shoes. Then he clickity-clacked our info making sure we knew he was irritated.

5. Benn tried to lighten him up with a joke which he totally ignored. Are we in NYC or something? This is the South, jerk- smile even if you don’t want to. He literally threw a piece of paper at us and said “it may be an hour, but don’t go far.” Then he stomped off into the depths of the repair center.

6. Benn asked for his phone back (as they might spit in it like an angry waiter). As Stompy asked why, Benn said he didn’t like the way he was being treated, he doesn’t mind taking it somewhere else if there is a problem. Stompy said “I’m not treating you badly.”  ”Yes you are.” In chimes the dude in back who sounded like he was part of the cast of Clerks said “you’re gonna lose all the info on this phone if I reset it.” Benn said, “I’ve synched it and done a hard reset.” “okay.” We decided to just give them a chance.

7. We went to Starbuck’s and lounged, giving them 45 minutes to tend to the precious phone. When we walked back in, Clerks dude picked the phone up from the exact spot we’d left it in and took the back off and asked, “uh, do you mind if I like hard reset it, you’re going to lose the memory but it’s the only way.” WTF!?!?- read #6. “That’s not a repair, I’ve already done that” Benn told him. “It’s all I can do.” Really, Clerks? Pushing a button is all your repair center that we drove 20 minutes to is capable of doing? Yep. Benn asked, “so, your official position is that a hard reset is a repair and you refuse to examine the phone?” Silent blank stare. Bye bye.

8. We were LIT! If choking people didn’t result in jail time, I’m pretty sure Clerks would have had a rough night.

9. In the car, Benn calls Sprint customer service. They hear him out. A really nice girl was very honest about the fact that there may be nothing they can do but assured him that his anger was valid and that we should have better luck at a different corporate repair center and they would likely replace it with a refurbished 650 or if unavailable, upgrade to a 700 or 755. She was absolutely no help, but she was good at her job (listened, validated, suggested a possible solution). She left us only 90% sure we were leaving Sprint instead of 110%.

Number 1-8 reinforced our years of frustration with Sprint. Had Number 9 not occurred and Number 10 (Sprint has the best coverage in Texas- it’s a big big spread out state), Sprint would have scored a 0. A big round zero.

Stay tuned for WEDNESDAY’s Sprint debacle. Will another repair center score better or will they fail as miserably as Tuesday’s poostorm?

Out of 10, what would CSIF score would YOU give Sprint regarding Tuesday’s events?

Holiday Tipping? Oh, Brother!

cash.jpgI have always considered myself generous (almost to a fault- ask my husband).  I tend to overtip on a daily basis.  I enjoy receiving repeat services, and before living in a referral-based world, I was always extremely loyal (I am a Southerner after all!).

All that said, I apparently have committed a crime against the service industry by not tipping every person I come in contact with this month.  There is proper etiquette to follow, but the “book” of etiquette seems to have been written in New York where people will punish you for not tipping… I could be wrong, I haven’t been there since I was 5. 

Who will you be tipping this season?  Here is MY “will tip” and “won’t tip” list:

My hair stylist- I DID tip Francesca because I value her services more than anyone else’s… seriously.  This fancy blonde ain’t accidental, y’all!  My husband tipped her a ridiculous amount. (Tip amount tip- equal to one visit)

The baristas- I WILL tip the baristas at both Starbuck’s we frequent.  They are great- if your barista knows your drink and doesn’t have to ask you how many pumps of Classic syrup you want, you better tip them! (Tip amount tip- $20 per barista buddy, max 2 buddies per location)

The recycling & trash crew- I WILL NOT be tipping these clowns.  They always leave the bins tipped into my driveway.  I’ve had to get out of the car, move the cans and THEN drive onto my own property.  Tipping didn’t fix it last year for anyone on the street. (Tip amount tip- if your service is good $10-25 plus a card)

USPS Deliverer- I WILL NOT tip these people.  There is a new one every week and my mail gets to everyone BUT me.  I keep getting a neighbor’s social security checks.  She’s lucky I like her marginally… (Tip amount tip- USPS is not allowed to accept cash or gifts, so skip it regardless of service)

The Title Company- I WILL NOT be tipping them even if it were legal.  They’ve gotten waaaaay too many policies from us this year!  That’s tip enough. (Tip amount tip- your loyalty is all that’s necessary)

My Kids’ Teachers- I WILL NOT tip them.  I had no idea people did this.  Bath & Body works sets will be it. (Tip amount tip- keep it inexpensive so as not to appear to be bribing)

I don’t employ a personal trainer, life coach, driver, housekeeper (blame our OCD), door man, nanny, or babysitter (the kids aren’t babies).  The article did show that Southerners are likely to tip the least, but they failed to mention that it is customary to be generous year round in our culture, even to those providing bad service.  We typically tip regardless- we’re rarely stingy.   Charity is different than serving those you interact with daily- it feels good.  I encourage everyone to give everything you can to charity but don’t you dare forget those who support you every day… like your Realtor, perhaps??? :)

What’s it like where YOU are?  Who will YOU be tipping (or not tipping) this season?

Holy Spit!!!

Benn rips Realtors a new one- see if he’s talking about you or not…

***comments are closed here, please comment on AgentGenius

VC Money Doesn’t Guarantee Success

Amp’d Mobile Closing Down— VC Money Doesn’t Guarantee SuccessAs if we’re back in the late 90’s, venture capitalists with bulging pockets (from a hot stock market) and amnesia are looking for online startups, small companies and whatever company says things like “sleek. thin. hot” or “the skinny” or “sexy” with their Web 2.0 sites.  VCs are chomping at the bit to find fund the next Google.  Some will find the next hot investment, while others will crash.

Amp’d mobile ran endless TV campaigns that appealed to a younger crowd thirsting for music and video on their phones. Sure seemed like a good bet- trendy commercials, cheapo products… fills a gap that needed to be filled, right? Nope- even after $360 million in VC money, and sexy ad campaigns, they had to lower their credit criteria to boost subscription rates.  To add insult to injury, Amp’d had 200,000 subscribers this spring but had to drop HALF of them for not paying their bills.  So much for courting the “low credit score” demo.

After all of that, the VC pool has clearly dried up- Amp’d is closing down, abandoning all of their users:
Los Angeles-based mobile service provider Amp’d will shut down at 12:01am Tuesday. Existing customers will be able to port their phone numbers to a new service, but Amp’d won’t help them do this, and their will be no customer service after Monday. Amp’d assets will be sold in an auction.

So, what if other companies with heavy VC backing couldn’t get their junk together either?  What if prior to closing, a real estate company’s VC money ran out and their offices closed?  What if their “customer service” call center stopped taking calls 24 hours before they shut their lights off? 

Yeah, yeah- Realtors can simply change brokers and find new sponsorship.  Most people won’t sponsor someone that they think is tainted.  At a job interview, my UT degree was brought into question as a hardcore Aggie interviewed me- I was tainted to him.  Thank God he wasn’t the exclusive decision maker!  The point is that just because you have your hand in a VC’s pocket doesn’t mean your company will succeed- just ask Amp’d!

Yahoo! Better Planet Campaign

I grew up with a homeopathic organic birkenstock stepmom and therefore rejected anything non-commercial or non-fossil fuel related.  I did however continue to recycle cans and pick up other people’s trash.  I decided recently to burn a little patchouli incense and head over to Yahoo’s new Better Planet campaign website.  I read about ways I could make the world better and pledged to do what was in my power to help Mother Earth (wouldn’t ex-stepmom be proud?).  I clicked exit and ventured on with life.

Then, yesterday in the mail came this beautiful gift (that I used at the store today, thank you):
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bag0.jpgSo, THANKS YAHOO!  Everyone else- head on over and read about making Mama Earth happy (and help insure a better planet for your grandchildren)!

A Buyer Who Never Turned His Car Off

Last week, my husband closed a beautiful new home in a new subdivision. The buyer (we’ll call him JR) reads this blog (being a tech-savvy guy and a new friend of ours), so he’ll get a kick out of it (hi JR)!

After months that ran into more than a year of searching for a home, JR fell in lust with a giganto home that the seller was only willing to “seller finance.” JR didn’t have representation so he settled. Although he loved his giant house, he wanted to save some money and with an electric bill equating to multiple car payments, he knew he had to get out of this castle.

Now, JR is working on his MBA with a prestigious program and has a spreadsheet for everything- I mean EVERYTHING! He knew the backend of financing down to the penny. He had a financial plan and needed a new direction to meet his goals. JR the Super Bachelor has two big dogs that he takes everywhere with him. Put the know-it-all and seen-it-all together and you have one tough buyer.

JR and my husband hit it off before physically meeting to shop, so it was no surprise that JR brought his dogs to see the home my husband noted was the best choice for him. We thought the selection process would be lengthy, but JR left his car running (with the dogs inside) as he stepped into the first house and soon said “I’ll take it” and contracted within the hour.

Later, when asked why he didn’t continue his tedious search, he said that he trusted my husband because of the lengthy phone conversations they’d had- he spoke his Web 2.0 type dorko language, he listened to his shopping desires, and he was intimately familiar with the financing JR wanted. JR said that he knew before seeing it that the house my husband picked would match everything he’d asked for- he never even had to turn his engine off.
The RE industry needs more of this- see if you can sell a home this week for a know-it-all-seen-it-all for a two week closing. Consider it your challenge!

CSI Factor: Episode 2

Once upon a time, I vowed to write about my various customer service experiences under the guise of the “CSI Factor” and relate them to the Real Estate industry. We frequently migrate to my husband’s homeland (Oklahoma; boomer!) to see family. This weekend, we are in Oklahoma and I’ve had two experiences with Marriott:

Experience One:
I called some time back to make a reservation at Marriott because the website wasn’t working properly. I am typically anti-phone (much to my husband’s irritation) and prefer to do things in person unless it’s a hotel or car which I’ll do online. During this call, the very friendly older male operator was answering all of my questions thoroughly and found a great deal on a suite for us. He reiterated all of the preferences I had described to him and gave me my confirmation number three times. I was already in a hurry (just my personality) and was fine with this thoroughness because I was multi-tasking and missed half of what he said (but I caught the witty remark about the spelling of my name).

I did become annoyed when he moved from natural booking conversation to scripted offers- “will you be flying or driving?” and then “would you like me to suggest an airline or connect you with our preferred airline?” NO. “Would you like to know about entertainment in the area you will be staying?” NO THANKS. “Lastly, would you like to be a Marriott member.” NO THANKS. “You can earn great savings and if you use the card X amount of times you can earn free nights.” NO THANKS. “You can start with this weekend’s stay and go from there, how does that sound?” NO THANKS. “Okay then, your confirmation number again is…” I finally had to step out of my friendly zone and say “you’ve been very helpful, thank you and goodbye” CLICK.

This call was great until he became unnatural in his tone. The Marriott chain obviously has him offer me a series of pop up ads which frankly pisses me off. I can disable them on my computer without being rude- please pick up on my tone of voice and figure out that I’m tired of being on the phone- let me go!

Experience Two:
I anticipated a call to the hotel to be one of an extremely professional tone as my first call, but when I called the day before check-in to see what time check-in was and to request an earlier check-in, the younger man said “we’re all booked.” Uh… no crap? I have a reservation- again, here’s my confirmation number, can I get an early check-in please? “We’re all booked.”

Sometimes I want to reach through the phone and thump someone in the head!!! He was extremely rude and irritated that I would dream of asking for an early check-in when they are booked. After his third “we’re all booked” and my “I understand that but can you at least tell me what time check-in is so I can see if it will work for me?” I finally lost it. “I hear you telling me you are booked and you are not telling me what time I can check in. Your booking situation is not my problem, nor is your attitude. Transfer me to a manager or simply tell me what time I can check in.” “Oh, check-in is at 3:00, call tomorrow morning for availability on new rooms.”

How hard was that? My second experience was drastically different, yet the two people I spoke with work for the same company at the same location!

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So, how does this all relate to the Real Estate industry? If I had based the entire hotel chain on either one of these phone experiences, I would be blogging about how much Marriott sucks, but I am realistic and know that I just had bad luck on the phone. Maybe the first person was new and knew he was being recorded and maybe the second person had a lobby full of people waiting angrily to check in while his manager yelled at him from the back office. I’m forgiving despite my irritability and sensitivities.

The truth is, Realtors must mind that not ALL clients are as forgiving as I tend to be- EVERY call, EVERY email, EVERY meeting should be as if you are representing an entire industry, because the sad truth is that Realtors do have to represent an industry under fire with every point of contact they make. Be mindful and follow the golden rule- don’t oversell and don’t EVER, under ANY circumstance act annoyed that someone is asking you to do your job.

From SHARK to Perch in 60 Minutes


What a dud. After all the spin and after all the hype, the phones still rang this week in the office. There was hustle and bustle, people in and out, and it was business as usual. I watched the traffic in and out, listened intently for signs of blow back, and still, nothing. There were happy conversations with buyers and sellers eager about their business of buying and selling and agents facilitating. What a great week it has been. Even online there were 10 or 15 blogs on the subject of the huge dump CBS took on your living room floor and a whole lot of commenting, but honestly, it was not the doom and gloom I think some had hoped for.

It got me to thinking about some of the things I had written about earlier in the week- my main point was that NAR is not a business model as some would like to portray. It is still 1.3 million agents all around the country that all do business in thousands of ways. Some would like to think that the idea of a discount is a new thing, but alas, the reality is still true- Realtors invented the discount brokerage over 20 years ago. Some practice it, others do not, but the truth to those who want to hear it is still loud and clear- real estate as we know it will adapt day in and day out (you thought I was going to say something else) as it always has, and so will the 1.3 million agents who practice it.

When the phone was invented, did the world as we knew it stop? Did the candle business cease at the advent of electricity? Did Bell keel over when cell phones were born? Did the desktop or laptop computer get pushed out the window to the awesome technology of the PDA? No. Most even suspected the end of American Airlines when Southwest Airlines popped onto the scene, but it just did not happen. Those businesses adapted and pushed forward, and so will we.

I personally am not worried about the fin I see in the water, I have come to the conclusion that Most in the Know have come to, and that is when you throw everything in the air- the hype, spin, blame, accusations, ill comments and everything else possible you see this cloud of smoke and haze, and beneath it all, you see a client and their Realtor. It will be on the ground, face to face with our clients that the air will be cleared. All the spin in the world cannot stop the one-on-one relationship a client has with his agent. Think about it… from their desk with their dual monitors and snappy headsets, it is hard to relate to the buyer or seller the way we do. On the phone, a client can hang up if he or she gets annoyed, but the service agent has the advantage of being there. That is where Real Estate is practiced- on the ground, face to face. That is precisely our advantage- the ability to do whatever it takes to make a buyer or seller happy. You just can’t do that from a call center. In time, even at a discount, the discounters will be held up to light about their commissions due to this inadequacy. What’s next? In order to become more profitable, the online discounter ships the jobs overseas to India? “Press one for English”

By no means do I advocate ignoring the issue- you should debate it in your office, in your mirror, or even with your clients as I have this week. Sharpen yourself and your business, and keep your eye on the ball. Negativity breeds negativity and that is their game.

Turns out it’s just a perch after all.

-T.R.E.G.

Be Careful What You Ask For- the Flip Side of the Redfin Argument

GUEST ARTICLE by That Real Estate Guy

It should be noted and stated loudly that the same folks who would bring down the NAR or redefine the industry as they put it are the same people who hate and want to bring down Wal-Mart. Not sure what I mean? I’ll explain…

WAL-MART

Before Wal-Mart, the streets were lined with mom and pop shops- from the corner drugstore to the large department stores that had been family owned and operated for years in their communities. When Wal-Mart came along, the nation rejoiced and flocked to the big discount store to buy many of the same products they were getting at the stores I just described, but they were obviously lower quality, lower quantity; you name it, it was lower than just the price. Little by little, the old mom and pops fell off one by one. This phenomenon has been noted on popular shows and your local news. You’ve seen it for yourself when you visit your old hometown only to see the old fashioned drug store sitting vacant on the corner. The reality was explained away on major news networks as capitalism at its best, and the way of the world much the way CBS has done.

NAR is much the same as the mom and pops as the National Association of Realtors is made up of 1.3 million independent contractors (every day average people, mostly sole-proprietors) who already work to the advantage of their individual clients. Realtors assess the situations of all clients and are generally reasonable with them in their listing or buyer commissions. Realtors negotiate their price and sometimes settle with a reduced commission to build a stronger trust with the client because the clients’ needs were put first.

Mom and pops of yesteryear were much the same way. They knew their clients personally and by name most of the time, and knew when the O’Brians needed a helping hand and let them pick up a few essentials on credit until next month. The O’Brians would be grateful and would remain customers for life.

Somehow today, the same folks that would redefine our industry are the same folks who hate what Wal-Mart has done to the landscape of downtown main street- they’ve basically rendered them useless as the independent owner could not compete at volume discount pricing. The Anti-Wal-Mart lobby jeers at the idea of “one more Wal-Mart” while the Capitalists applaud. Slowly over time, the competition has faded away and we really aren’t sure if we’re getting every day low prices at the Wal-Mart because we really have nothing to compare it to. We simply have to pay for quality.

But again, the Anti-Wal-Mart Klan would have you believe that tearing down the network of 1.3 million independent contractors of the Real Estate Industry would fix what may or may not be wrong with it. I would argue that the industry is fine. There is room for argument about real estate practices (such as the argument of dual agency), but fundamentally, the industry could not be more diverse in its current state. Another example of this phenomenon is the oil industry. I remember when independent gas stations were competitive and abundant, creating the kind of competition that kept prices in line. Today, we have roughly five major suppliers around our cities basically deciding what we pay. Let’s face it, tearing down the independents of our country is fast becoming the way of the land; and to be honest, it is scary. Last I checked, there are no discount gas stations opening up, nor an outrage over the fact that real gouging is taking place on a daily basis. Are we going to continue this vicious cycle? I pray not.

THE MEDIA SPIN

I would say to online vendors such as Redfin, pay your dues- your Realtor dues. Be a member of the Board and agree to the CODE OF ETHICS and we’ll work with and trust you; join the list of the already competitive 1.3 MILLION independents in the industry. Work within the guidelines that have already proven to work countless times a day when Buyers and Sellers shop their list of local professionals and make their choice based on their needs. The bottom line of what this is all about is that companies like Redfin want to practice real estate without paying to be a Realtor and following the Code of Ethics. I noticed this was omitted.

The title of the 60 Minutes Story says it all about the spin that the media has already begun to spew- (“Chipping Away at The Realtors’ 6%”). The last time I checked, I only charge 3% of the transaction, and the buyer’s side (the other Realtor) charges 3%. So you aren’t chipping away at 6%, you’re simply chipping away at my little old 3% that I earned by being married to my client for 30, 45, 60, or 120 days or more. You’re chipping away at my ability to earn the trust of my individual clients (the O’Brians) by giving them back what I see is needed to make a sale work. When bringing a buyer to the table, many listing agents already discount the buyer’s side anyway, so the Redfin argument is moot on the so-called 6%.

CBS was also bias in the fact that it brought one couple from the discount side, versus clients from the 1.3 Million agents around the country to say exactly the same, only at least 1.3 millions times over. Another telling moment of the interview was: “Redfin very proudly says that they returned in rebates $3 million last year to its buyers,” Stahl remarks. “You can’t boast of anything like that.” “Absolutely not,” Arends acknowledges. “I don’t know how to answer that one.” I have the answer to this question- ONE POINT THREE MILLION INDEPENDENT AGENTS can boast a hell of a lot more than 3 Million dollars saved- we save it in equity at purchase, we save it in profit at sale, and you know what? We save it in rebates too. I’ll need a bigger calculator for that one….

Redfin is a tic tac in scale to 1.3 million Realtors in the United States, who are all independent voices and advocates for their clients- and Redfin aims to “redefine” 1.3 Million small businesses, 1.3 Million opinions, 1.3 Million consumer advocates that proudly stand up for their clients daily! Are you kidding me? We don’t need to defend ourselves. The DOJ needs to buck up and get the fact that 1.3 Million voters/agents/human beings make up NAR and those 1.3 Million voices know a little more about “the O’Brians” than a faceless machine that is designed to spend even less focus on consumer advocacy- the small fraction of those complaining or having problems with Realtors are guarded by the local Boards and Real Estate Commissions, we are already held to a higher standard than those that are not members of the Board and believe me, we are held to account!

Commission levels of 3% (standard in Texas) per agent were set to protect consumers from gouging. In the past, that number has remained the standard regardless of the market or home prices. With the home prices spiking, protecting the seller’s equity has become even trickier and even more needed. Realtors have never been MORE needed, yet all we hear is how they need to reduce agent income. If your profit margin on your home is $80 grand, then why are we debating over $2,400- how is that a price gouge? If I had $80k to net on my home, the last thing I would be doing is attempting to go it Wal-Mart style.

REFORM: Redfins needs reform to be able to compete with 1.3 Million agents that make up NAR

Redfin does not scare me nearly as much as this so-called reform many say this industry needs. Why does it need to be reformed? The reality is, the MLS is a product of NAR- not an open source code for any and all to access, much like Zillow’s product offered. Let them build and develop their product the way NAR has done.

Imagine a world with five different NARs and you have the world as envisioned by Redfin. Are you telling me that Redfin is going to allow the other four Redfin-type companies to list on their version of the MLS? Consumers are not best served by this business model that forces home buyers to search four, five, maybe six online listing systems. It’s like the BCS- the MLS may not be the best system in the entire world, but it does work!

CLOSING

NAR represents 1.3 million diverse independent contractors that practice real estate under one code of ethics and one common application of fair Real Estate practices that safe guards consumers. The alternative is to “redefine” ourselves into a corner where we go back to having numerous Listing Services, a lack of industry standards and an overall discord in Real Estate. The alternative is not even viable.

I would suggest that all Realtors throw away the talking points and simply say that all 1.3 Million of us already guard your interest, less than 100 say otherwise.

NAR is not something you just change without affecting the 1.3 Million Mom and Pop voices (who only average $47,700 per year) within it; you don’t just do that because a tic tac says so.

Be careful what you ask for!
That Austin Real Estate Guy

austin real estate relocating sales leasing national real estate check out LiveMom.com


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