There’s always something to howl about.

Author: Thomas Hall (page 1 of 3)

Realtor, Rabble-Rouser

A Home that’s Worth at Least a Million

Sometimes location, location, location isn’t the key to defining the value of a home.  Often times its God’s providence.

When I relocated home to Dallas last July, my brother and his family decided to put their home on the market – they wanted to take advantage of a soft market and ideally get a deal on a property not far from their current location.  They had two offers but neither stuck.  It just seemed like they weren’t destined to move.

Their existing place was fine but rather than sell, they decided to stay put. An extensive renovation was in order, however, there was one feature of their home that simply couldn’t be changed – their home’s  best feature transcended any physical characteristic, it was a metaphysical connection – or rather a spiritual one.  A bond they shared with their neighbors – Dave, Carol and their daughters Patrice and Anna Basso.  The Bassos aren’t really just neighbors, they’re more like family.

I believe there was a far greater reason why my brother’s house didn’t sell.

Just a day before Thanksgiving, 2009, Anna, Dave and Carol’s youngest, was diagnosed with Ewing Sarcoma, a very rare and terribly aggressive form of cancer that typically strikes children to young adults between the ages of 10 to 20.  So rare that only a handful of cases are diagnosed in a year.  Anna’s cancer was diagnosed at Stage 4.  The tumors were identified on her pelvis and the cancer had spread to her bone marrow.

While the news was devastating to Dave and Carol, the impact was almost as severe to my brother and sister-in-law – they’ve seen Anna grow up.  She was simply part of the family.  There is perhaps no stronger or more overwhelming sense of helplessness felt by a parent or loved one when the there appears to be no hope for a child.

But again, this is God’s providence.  Where there is faith, there is always hope.

My brother Mark knew he had to do something for Anna.  While Anna’s health was in the hands of the medical professionals, her emotional and spiritual well-being – as well as her family Read more

Heckuva Job Brownie

I believe in change.

I do not believe in politics as usual.

Horse trading behind closed doors isn’t change.

Has Scott Brown’s election defied the norm that all politics are local?

Yup.

Does Scott Brown’s victory represent change?

Jury hasn’t even been seated.  However, I suspect it may actually be the first green chute to all of this change business.

I can honestly say that I was pleased with the results.  Not because I am in alignment with his Republican cohorts, but because voters sent a message – not just locally, but nationally.

Now I openly profess that I voted for Obama despite the Neo-Con rhetoric bombarding me at home.  In my short few months living back home in Texas, my father has almost convinced me that our President’s name isn’t Barack Hussein Obama, but God Damn Obama.  While he hasn’t quite branded me with the cast iron “liberal” prod on my backside, he has broadly casts his brush to paint me with the same blue color – “you and your liberal friends” … needless to say, perhaps I put a smile on my father’s face after admitting Brown’s victory was a good thing.

I think I am more in alignment with the 51% of Massachusetts voters who identify with the Independent political affiliation … they are still in Massachusetts, let’s not kid ourselves – perhaps they’re not blue – maybe light blue.

I’m happy with the results because I want change.  I buy that health care reform is a priority, but the option(s) presented by Congress today represent neither change nor reform.  Again health care reform is important.  I personally agree it’s a priority, yet under our current economic turmoil, is it job number one?

No.

In this morning’s Dallas Morning News I read an interesting article that may share a common theme with Scott Brown’s victory defying the politics is local norm – maybe all real estate is NOT local.  While it doesn’t come as any surprise to all of us – except perhaps Congress – jobs do play a fairly significant role in driving the housing market.  In fact, when people are employed, they tend to purchase homes.

Fascinating.

According to the Read more

I’m Drinking More Tea

Late this Spring, I came to the realization that my life wasn’t in enough upheaval, so I decided to give up everything and move back home to Texas to be closer to my family and aging parents.  My trip to visit my parents while my dad recovered from surgery in April made a much larger impact on me than I realized.

Family matters.  Life is short.  Carpe Diem.

… and let’s face it, my business was in the toilet and I’ve been toying with starting my own Web 2.0 endeavor so what the hell.  Texas here I come.

It’s been more than 2 months and I am working on my business plan.   I have a  lot more free time, so I am reading a lot.  I am enjoying seeing my folks, my brothers and sisters-in-law, nieces and nephews, but surprisingly, I’m having difficulty reconnecting to my home town.

I finally started reading The Fountainhead and I am looking forward to reading Dan Brown’s new book, but one book in particular that I just finished has really made me think about the process of really starting over – starting over is tough.

The book Three Cups of Tea has profoundly impacted my process of starting over and reconnecting.  It’s about the power of relationships – deep, meaningful relationships.  Relationships that truly transcend our differences and forge  bonds because of our shared experiences and common purpose.  If you haven’t read the book, needless to say, I highly recommend it because I believe it has remarkable relevance to how we value and maintain relationships in our business and personal lives.

In the book, the significance of sharing tea with a person is a deeply routed cultural experience with profound meaning.  The more one shares tea, the stronger the bond.  Connecting and reconnecting with people is all about building, nurturing and maintaining relationships.   Building a relationships begins with a common purpose or shared experience, but to maintain it and for it to become valuable, it requires nurturing.  How much time do we really, truly devote to the nuturing of our own relationships?  Not just our business relationships, but our Read more

Why Web 2.0 Still Hasn’t Mastered the Real Estate Mantra: LOCATION, LOCATION, LOCATION

So Goggle thinks it’s going to win the real estate search game.  As far as I’m concerned, there is no more meaningless a result in an online property search than a red pin designating the location of a property on a map.  Take the map above in the example – a snapshot of the the greater New York City area with little red dots designating search results.  New York’s a big city with alot of little neighborhoods.  Help me understand how this solution is any better than any of the others? How has Google upped the ante in providing a better solution?

They haven’t.

What I find interesting about the online search game is how many players fail to understand what makes a particular property unique – desirable – a one of a kind.  How does a little red dot convey the weighty significance of LOCATION, LOCATION, LOCATION?  I just read Joe Burslem’s post over at FOREM, regarding how Google is now getting serious about real estate.

Should Zillow and Trulia be worried?  Not if they view search as a value added activity.  SEO juice isn’t necessarily the fuel that runs an effective or valuable search.  The content around the search is key.  What makes a location important?  When consumers seek a home – not a house – what evokes the emotional response?  A view?  The possibility of walking to a farmer’s market on Sunday, while passing a Starbucks?

A street view is a “window” into a location, but it doesn’t define it’s personality.  Location has an identity.  Zillow has already done the homework to identify the boundaries to neighborhoods.  Perhaps a valuable next step may be to better identify a neighborhood’s identity – its personality – or maybe link the characteristics of a location to the attributes of a property.

If a search result can personify a property’s location, consistent with how a consumer lives, the red pin comes alive.  Search is meaningful.

Google – you’ve got your work cut out for you.

Data Discrimination, A Class Action Lawsuit in the Making

Anyone a member of the Texas Bar Association looking for Pro Bono work?  I think you may be able to rassle up a class action lawsuit in big “D”, little “a”, double “L” a, s (Dallas folks 😉 )

Texas is one of five states that do not require disclosure of sale prices, however, I believe the local MLS board in Dallas may be violating their fiduciary responsibility to their buyers and sellers.  I strongly suggest you read the following article.

Actual home sale prices are not being entered into the MLS.

Does this not blatantly fly in the face of transparency.  Moreover, how can the local board stand for this?  Without accurate data shared at least to local members, the guidance and counsel for properly pricing a property places sellers, but more clearly buyers, in a very bad position.  The article suggests that lower priced properties which have sold may be intentional left out in order to provide a perception that property values are higher.

Not only is this a direct violation of an agent’s fiduciary responsibility to his/her client, it is borderline fraud.

Real estate is local, consult a local REALTOR and find out how much your home is worth – or NOT.

Is it any reason why data aggregators are winning?

Darwin and the Notorious NAR

One of the most powerful outcomes of attending an REBarcamp isn’t necessarily attending the many great discussions during the day, but the great conversations and discussions which take place over a beer after the meeting is over.  I also believe that REBC – now after experiencing yesterday’s REBCCHI – is the real personification of a virtual tool – a living and breathing example of how Twitter converts 140 characters into 140+ face to face meetings and discussions.  Followers carry more weight when they transform from the virtual world to the real world.

For me, the most meaningful discussion took place at the end of the day.  Todd Carpenter, NAR’s Social Media Guru, invited the CEO of NAR, Dale Stinton, to share his thoughts and address questions posed by the group.  His initial stance was somewhat defensive, however, during his discussion I gained a somewhat different perspective regarding the challenges that NAR is seeking to address and overcome.

NAR’s largest challenges is to address the needs and the ranks of the young professional.   Attempts by NAR to try to level the playing field may be difficult because of entitlement issues with older members.  Of the 1,500 boards throughout the country, 200 or so wield the most power.  Many of the larger, more influential boards may not embrace attempts to level the playing field for younger, more independent brokers.  Hence, Dale encouraged everyone to get involved in the boards to influence change.

I think NAR is evolving.

Come the end of 2009, NAR is rolling out two intiatives that have been more than a few years in development:

  1. RPR – Real Property Repository – to all NAR members, a database consisting of the property attributes including tax records etc. for 70 million properties in the US, allowing members to provide comments and additional information to the unique property description.
  2. A consumer focused website, equivalent to Realtor.org.  It is NAR’s response to providing everything a consumer needs to know about real estate.  Again, consumer focused versus member focused.

Timeline again for both is slated for fourth quarter, 2009.

Okay – so now RPR appears to be an almost national MLS, provides data Read more

Is Rice A Roni Really a San Francisco Treat?

Just think about my disappointment when I entered a prominent San Francisco eatery seeking the most coveted food stuff, only to find it was neither a specialty nor an item on the menu!

Yet again, I was bamboozled.

What ever happened to truth in advertising?

Perhaps my San Francisco mishap taught me to be perhaps a bit less gullible.  When I see a claim, even a statement of fact, I figure it might be important to do some more digging.

Let’s take NAR’s recent press release regarding Pending Home sales, up 6.7% from a year ago last year.  Sounds encouraging – and let’s face it, we all could use encouraging news.  But what does the increase really mean?

Let’s take a look at the data behind the aggregated index of 6.7% that NAR published:

NAR Pending Home Sales Index

NAR Pending Home Sales Index

While 6.7% sounded encouraging, I am not necessarily convinced that it means we are anywhere near out of the woods.  Why?  Because if you look at the seasonally adjusted for the West and South, areas that have the highest concentrations of inventory and loss of value, the numbers don’t seem to be telling the same encouraging news.

Here’s why.  Take Las Vegas for example:

Single Family Home Inventory in Las Vegas per Altos Research

Single Family Home Inventory in Las Vegas per Altos Research

There are about 15,661 properties on the market in LAS VEGAS as of June 07, 2009.

How about Phoenix:

Single Family Home Inventory in Pheonix per Altos Research

Single Family Home Inventory in Pheonix per Altos Research

There are about 7,816 properties on the market in PHOENIX as of June 07, 2009.  Definitely making progress, but still a fairly long way to go.

What about Miami?

Single Family Home Inventory in Miami per Altos Research

Single Family Home Inventory in Miami per Altos Research

There are about 8,450 properties on the Read more

Can a REALTOR Truly be a Consumer Advocate?

My query is sincere.  But first, I want to make a distinction between a REALTOR and a licensed real estate agent.  NAR tells consumers to seek the counsel of REALTOR – in fact, make sure they are working with a REALTOR, leading consumers to believe that a licensed real estate agent and REALTOR are synonymous.  They are not.

A REALTOR is a licensed real estate agent who is also a  member of the National Association of REALTORs, who’s mission is:

The core purpose of the NATIONAL ASSOCIATION OF REALTORS® is to help its members become more profitable and successful.

Clearly absent from the mission is any reference to the consumer.

The vision of the National Association of REALTORS is equally insightful:

The NATIONAL ASSOCIATION OF REALTORS® strives to be the collective force influencing and shaping the real estate industry. It seeks to be the leading advocate of the right to own, use, and transfer real property; the acknowledged leader in developing standards for efficient, effective, and ethical real estate business practices; and valued by highly skilled real estate professionals and viewed by them as crucial to their success.

Working on behalf of America’s property owners, the NATIONAL ASSOCIATION OF REALTORS® provides a facility for professional development, research and exchange of information among its members and to the public and government for the purpose of preserving the free enterprise system, and the right to own, use, and transfer real property.

I find NARs Vision statement to be interesting. While the concept of advocacy is referenced – It seeks to be the leading advocate of the right to own, use, and transfer real property – NARs advocacy serves first and foremost its members.  Again, distinctly absent from the vision statement is a direct reference to the consumer – ultimately the guy or gal who parts with their money to own, use, and transfer real property.

As licensed real estate agents, our behavior is bound and regulated by our state laws, written in the interest of protecting the public from unscrupulous professionals.  Licensing is the state’s way to insure that a minimum standard of knowledge and behavior is achieved prior Read more

What a Completely Virtual Real Estate Solution Looks Like

Per my earlier post regarding the evolution of technology driven real estate solutions, I believe the next generation of buyers and sellers will be more empowered to search, purchase and sell real estate themselves, without the services of a real estate professional.

At the highest level, the success of an entirely virtual solution rests in its ability to clearly and confidently shepherd a potential buyer or seller through the process of buying and or selling.  Very few sites provide a path to success.  The irony for me was what I found while reviewing do-it-yourself real estate sites/services.  In my opinion, www.helpusell.com provides decent content regarding the “how’s and what’s” of buying and selling.   I am not holding Help-U-Sell as a beacon of light, but merely a site which provides far more content regarding the “how” of buying than the “what” to buy.

The focus of technology solutions has been too highly skewed towards the data and not the content nor the process.

Clients are not looking for listings – they are looking for homes.  Do not underestimate the connotation or meaning of home.  Data is not the answer – it is part of the solution.  The solution is achieved by execution.  Execution requires clearly defined, repeating steps – a process.

There is a lot of chatter regarding how to keep potential prospects “stuck” on your site.  Many believe that IDX property search is critical.  Important?  Maybe – but if you are relying on search capability as your differentiator, you’re wrong.  I argue spending a majority of your time and effort building content around the process – mapping out the steps – one by one – specifically what needs to be done to get from beginning to close will get them stuck – FIRMLY – on your site.  Everything else is secondary to the process.

So what does a completely virtual solution look like?

First and foremost, it assumes that there is no real estate professional involved with managing the process – or providing “services”.  If you’re recoiling from that last statement, I merely ask, have you mapped out the process step-by-step and defined what you do at Read more

Technology’s Challenge: Understanding How Cats Part with Skins

Several recent posts have had me thinking about just how technology isn’t addressing the needs of cats.  Needless to say, there are many different types of cats – cats that roam alleys picking through the remnants of fish bones versus the ones that eat Fancy Feast and sit on the laps of chauffeur driven owners who may, on occasion, stop at a traffic light seeking Grey Poupon.  It could happen.

I suspect the cat population is quite diverse – many having different likes and dislikes, perhaps differing motivations as well.  Given that some cats roam alleys versus sit in the lap of luxury, perhaps the roamers may be more self reliant- the “fat” cat perhaps in need of greater doting, relying on others to take care of their needs.  Needless to say, there’s a larger, even more diverse range of cats beyond the alley cat and the fat cat.

I reckon there’s a parallel between cats and consumers.

When it comes to measuring the success of  a broker and/or agent, furry walls are often designated as a sign of success.  Jeff recently commented that his hirsute success is based on results.   I have absolutely no doubt that his superior service would make him the Rockefeller of fur trading.  He knows his cats – but more importantly, his cats know him.  Perhaps not all his cats are “fat”, but they have a taste for Grey Poupon.

On the flip side, Greg’s recent post highlighted the self reliant cat’s approach to selling a home.   From Greg’s picture, it may be a good thing that cats have nine lives, because this cat is dead.

How are current technology solutions really addressing the differing needs of cats … er… consumers?

I found Glenn Kelman’s recent survey results enlightening.

Well last March we surveyed 1,058 people who were using our site about what they wanted in a real estate agent. Some of the answers were gratifying for us to see — transparency was tops on the list — but one that stood out was the answer as to why people who had already chosen a traditional agent had decided against using Redfin: 47% Read more

Sometimes It’s Good to Go Home

I just returned from a brief respite – short of 2 weeks – in Dallas.  I went home.

I needed to get away from the day-to-day grind that my life had become, seemingly caught up in the negative energy that seems to have taken over.  My dad just had knee replacement surgery and I thought it would be a great opportunity to help out and reconnect with my folks, my brother and his family.  I also wanted to spend some time refocusing my efforts on my business plan to create a web-based community for do-it-yourself buyers and sellers of real estate as well.  I had a full plate.

While I did get a plan down on paper regarding my new business idea, I realized I accomplished so much more – quite honestly, it was a significantly more valuable exercise.

I became grounded again.

Ever feel like you’ve lost your mojo?  Needless to say, many of us are facing really troubling circumstances, but it so important to keep perspective on our lives.  Sometimes when we take a brief moment in time to step away from our crazy lives, we get to experience timeless treasures.

I consider myself blessed to have wonderful, loving parents.  My folks are getting older – edging into their late 70’s.  Still in great health and active, but beginning to show the signs of lives entering into dusk.  I wanted to be around to help out – let my mom have some time to do her own thing.  Just be there.

But something both unsettling and comforting at the same time happened.  I saw for perhaps the first time my dad completely vulnerable.  This is a man that never cracked.  A West Point Grad – a man who served his country.  Raised 7 seven kids.  Proud, disciplined, smart, kind, but a tough son-of-a-bitch.  He’s mellowed over the years for sure – but my brothers and sisters and I often laugh that he’s gone from a Type A++ personality to maybe an A-.  The surgery seemed to have broken him – just a bit.  I wasn’t prepared to see him like that.  I felt like I Read more

You’re Unique – Just Like Everyone Else

What makes you unique?  I’m not referring to your eleventh toe or your ability to recite the Arabic alphabet backwards.  That’s not unique – that’s plain odd.

Why do clients want to work with you?  What makes you better than the rest of the pack?  I ask this question based upon the comments I received in my last past.

Simply because you may rank first or second in a Google search does not make you unique – it makes you visible.   Now that you’re visible, what is the value you bring to the table?

I did a search on an address of a property I’ve listed, sadden to see that my SEO wizardry had failed me – Trulia and a whole host of other sites beat me to the punch – but honestly, I don’t care.  My client’s property is well represented in cyberspace.  It’s visible.  But visibility is not value in and of itself.

Now – say you use the fact that you rank first, maybe second on the list of the Google search you ran, specifically on the property’s address – or maybe even on the property’s characteristics – terrific!

But wait – as a consumer, I see your site and perhaps Trulia, Redfin or another local broker’s site with the same property – and a slew of other sites with the same information.  It’s visible but it is not specifically clear to me as a consumer why I would choose your site versus another.  Perhaps I choose your link because it’s first on the list.  Not a bad choice, but it was relatively arbitrary – it ranked first – not necessarily best.

If you’re marketing yourself as the best professional to sell a client’s home because you own the ranking of their property in a search result, you’re kidding your client – but mostly, you’re kidding yourself.

Greg Swann nailed the value proposition as to why high visibility on the web is a key differentiator:  he’s visible – but he also sells his clients’ listings in less time than comparable properties in his market.  Like almost 50% less.

Your high visibility facilitates your ability to sell Read more

Just Because You’re More Visible Doesn’t Mean You’re More Valuable

What really is the role of technology in real estate today?  So much of the discussion regarding the evolution and use of technology today seems to be centered on SEO – what ever you do, make sure Google finds you.

You have a blog or website.  It has super SEO powers.  It attracts many prospects.  So do hundreds – maybe thousands of other agents.

Sounds great.  You’ve found me.  Now what?

When consumers find me, what makes them want me? Regardless of whether or not potential clients find me via the phone book, website or as a result of a conversation a past client had at a cocktail party, the real question isn’t necessarily how they found me, the question is – once found, what do I offer to my clients that meets their needs like no other broker can?

What is your value proposition?  Your value proposition transcends your marketing message – it provides tangible, measurable ways in which you meet the needs of your clients, prospects and consumers.

What is the role of technology?”  You can’t answer that question until you know what your client’s needs are and how you meet them.

The role of technology is merely a tool to provide a medium which delivers the desired results to your clients, prospects and consumers.

The emphasis on technology has been entirely too focused on how consumers find you and not enough on why they want you.  Just because you are more visible to potential clients does not make you inherently more valuable.  If you have a blog or website, is it aligned with meeting the desired results of your clients, prospects and consumers?

Having an IDX link or other MLS search tool isn’t unique.  In fact, search in general isn’t entirely unique.

If you’re found, what makes them stay?

What if a purely technology solution met the needs of consumers?  It’s possible.  If you can’t make it clear how you meet your prospects needs, someone or something will.

The Butcher, The Banker, The Candlestickmaker

Maybe it’s just me, but I can’t help but to think that it’s deja vu all over again.  Is it really 1980 again?   Congress appears to have stolen a page from the Conservative’s play book – but with a twist.

It seems trickle-down economics applies as much to government spending as do tax cuts to the rich, yet with the latest infusion of hundreds of billions of dollars poured into the most powerful corporations – America’s largest banks and insurance companies, we have yet to see much of a trickle – less a drop.

TARP did in fact keep the economy dry.

Perhaps the irony of it all – to me at least –  is that the so-called “Socialists” also see virtue in starting at the top – fork over billions to the most powerful to get the engine running again – the proof is not quite in the pudding pie, Georgie.

From my perspective, the deluge is starting at the bottom.  My email has been flooded with comments from my condo association regarding the complications my neighbors are facing in the sale of their condo.  Economic circumstances are hitting very close to home – my neighbors, one of whom is a fellow Realtor – directly below me in my building – is in dire need of selling their home.  Our association has a first right of refusal clause which deems FHA financing impossible.  My neighbor has been soliciting the board and fellow owners that an amendment in our bylaws is required to make the sale of their home possible to more buyers.

I was amazed at some of the comments from fellow neighbors concerned about the “quality” of potential buyers who only qualify for 3.5% down – I could only chuckle thinking that some existing owners were able to buy with 0% down 3 years ago.  Where’s there equity now?

One neighbor argued that we want to prevent a short sale – moreover a foreclosure – from impacting the values of existing homeowners.  I’m pretty sure he didn’t read The Chicago Tribune on Sunday – there was an article about the substantial increase of foreclosures Read more

Monetizing What Counts – Don’t Rain on Their Parade

My brother called me late last week. He lives in Dallas with his wife and kids – he’s in his early 40’s, smart, tech-savvy and owns his own business. He wants to buy a new home. The home he wants isn’t currently listed with a real estate agent – it’s a pocket listing FSBO so to speak -the owner would like to sell but doesn’t want to actively list and sell it. She’ll sell at the right price – she’s not going to go out of her way to find a buyer.

My brother has bought and sold a few homes, rarely with the assistance of a real estate agent – he’s open to cooperating with an agent when he wants to sell his home, but simply not keen on paying a commission for something he feels he is more than capable of doing himself.

I am not an evangelist. If he wants to do it himself, more power to him.

Funny thing happened, however – his call was a plea for help. He wanted me to review the standard real estate sales contract – he doesn’t know what boxes to check – or at least wants to make sure that he’s checked the right ones. He needed to move relatively quickly so he could get his hook into the “unlisted” home before word got out that she would entertain offers.

“Listen Tom, I really need your help – I’ll even pay you.”

Putting the whole lack of being licensed in Texas aside, a smile came across my face. ALAS, my brother of all people understands the value of expertise and knowledge – and you know what, it ain’t free.

I asked him how he knew whether or not the house he wanted to buy was actually worth what the seller wanted?

Not sure but felt her price seemed reasonable. I told him to go to Zillow and find out what it’s Zestimate was – the good news was it fell within a few thousand of the seller’s target price of $1M.

I walked through the contract with my brother Read more