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JOIN SAM WERCINSKI, THE NEW REAL ESTATE COMMISSIONER, ON THURS., JUNE 21, 2007

Regarding the success seminar tonight (Tuesday), it was wonderful to meet Brian Brady in person, and to see Jay Thompson and the other familiar faces (Matthew Hardy & his lovely bride) but a special thanks to Allen Butler and Greg Swann. Also, I need to mention that Greg and his bride, Cathy bought me a wonderful surprise gift – a video ipod. Totally unexpected, and a delightful and much appreciated gesture. (now I can see and hear myself more!:-)

It looks like we now have a direction for the future. I would like to use what we have as a base and in addition get any questions anybody has and respond to them via a direct video recording. We can have the responses indexed via the questions and anyone who wants to hear / see the answer to that question can watch that video. Allan can direct me regarding any needed equipment and Greg now has the web space to host all of this. Feel free to fire away with questions – I won’t
be able to get to all of them at once, but we can get started with the video postings soon.

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I received the following via email. The panel will most likely consist of me, Jo Ann Calloway, Walt Danley and Mike Mendoza. If you aren’t from the Phoenix area those names might not mean much. If you are – you will recognize each of their names as leaders in the industry. I am really looking forward to meeting the new commissioner, as I have heard only really good things about him. I am posting this now, as I suggest you make your reservation early – this will be standing room only.

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Hi Russell,

It was a pleasure to speak with you last week about being on our expert panel at the event being hosted to provide Sam Wercinski with a professional forum to explain his future vision of ADRE. As we get closer to the event, the message below will be altered to include the names of Read more

Open Letter to Minneapolis Area Association of Realtors Regards RMLS Ruling 13

The following was sent to me by Steve Westmark. He was the very first agent interviewed by Howard Brinton for what is now known as Starpower. He is a very nice man, who spends a great deal of his time (and money) working for Habitat For Humanity. He and the other agents using the term “MLS” in their URL got a very raw deal from the shortsighted people who sit on the Board of Governors for the Minneapolis Area Association of Realtors.

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Open Letter to Minneapolis Area Association of Realtors

Regards RMLS Ruling 13

My name is Steve Westmark, a long-time agent with Counselor Realty and prior to my resignation September 2006 a long-time member of the Board of Governors at the RMLS of MN (the “Board”). Because I am, and have always made my living as a practicing Realtor, I can say that my goal while serving on the board has been to protect the interests of “practicing Realtors” as my 1st priority (not necessarily for brokerage “owners and operators”). In July of 2006 I made a very difficult decision to resign my position on the Board in a last resort protest of Rule 13 because I believe the Rule is not in the best interest of Realtors.

I have spoken with many of you (my fellow members), there seems to be a number of misconceptions for my resigning from the Regional Board of Governors of the RMLS, and the ensuing lawsuit protesting Rule 13. I am writing the open letter in hopes that you will better understand why I believe Rule 13 is a detriment for all Realtors.

My History

I served and was Chairman of the MAAR MLS Committee for nearly a decade. I was involved with the task force to bring the Regional MLS into existence. As a Governor for RMLS I have served on the Technology Sub Committee, Executive Board, been involved with vendor selections, task force for bringing on new executive, but most of all wanting to be a representative for the real estate practitioner whose day-to-day use of the term “MLS” is vital and the main source for information for 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

The Carnival of Real Estate . . .

…is at Renthusiast, in London. The affair takes on an international flair, but, for good or ill, real estate weblogging is still largely an American phenomenon.

Top prize went to China Law Blog for “Real Estate Investments in China Seminar.” BloodhoundBlog scored somewhere in the middle of the pack with Russell Shaw’s presentation at the StarPower Summit.

As a reminder, the Russell Shaw Sales Success Seminar is tomorrow night. If you’re anywhere near Phoenix, this event could have a profound effect on your income.

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The Future of Realtor Data Management

Following on the heels of Greg’s write-up on web technology for blogging, I thought I’d share with everyone a relatively recent technology discovery of mine…one that is quickly transforming how I as Realtor organize and manage all the information I come across with in my work.

For whatever reason, going to college in Microsoft’s backyard made me very anti-Microsoft. Perhaps in my youthful, idealistic mindset I didn’t like their apparent lack of innovation. Instead, they just bought everyone else’s ideas (think Powerpoint, Hotmail, Frontpage, Visio) or copied the idea and threw a ton of money at it until they overtook their competitor (think IE vs Netscape). This mindset of mine has gradually changed over the years as I realized that’s just what businesses do (why re-invent the wheel) and also Google has shown that a small player can challenge and beat the big MS. But anyway, I was introduced to a relatively new product from Microsoft by a client of mine who works for them: Microsoft Office OneNote. Probably, in the consumer market, the first really innovative product I’ve seen in a long time from MS…and it’s really not all that complicated…just really smart!

MS OneNote

I don’t know how other people manage their data but I’ve been basically using a combination of my computer, a binder, folders and lots of tree-killing paper. I don’t like this system since the data is not centralized anywhere. Some of it is on my computer, some of it is loose sheets in folders or my binder. However, it’s been working for the most part. All of that has changed in the few weeks I’ve been using (or learning to use) OneNote.

Think of OneNote as a spiral-bound, tabbed notebook, where each page is as long and wide as you want and you can have an unlimited number of pages. It’s free-form so there is no set way to organize your tabs or pages. You’re given 3+ layers of organization: Notebooks, Sections and Pages. (I say 3+ because within Sections you can create another layer Read more

Designations — Real Education — Marketing — Give Me A Break

I apologize in advance for the War and Peace length of this post. And also to those who, even though my intent is good, will become offended at the thoughts offered. My intention here is to offer real clarification to real estate investors as to what is really required in order to give them advice.

For those who may think I feel threatened by this newly acquired knowledge being acquired by mortgage brokers, think again. Michael Cook is just 26 years old. Most mortgage brokers with this 18 hour designation could study real estate investing for another year and wouldn’t know what Michael has already forgotten. Real estate investment brokers/advisors will more likely be cleaning up the messes made by those who think they’re qualified to give advice in that arena. The other day Brian Brady wrote a thoughtful post on Certified Mortgage Planning Specialist — CMPS. Before I continue what is sure to be a full scale Dennis Miller rant, I want to make two things very clear.

Brian Brady does know about the subjects taught in the 18 hours marathon of education they offer. He spent six years on Wall Street before entering the lending industry. You can’t fake it through six years — at least not on that street. 🙂 In fact, it’s my contention Brian could teach most if not all the 18 hours offered in return for this new designation.

Though I don’t take the designation seriously, I certainly don’t extend that opinion to the folks who earn it. They mean well. Brian had it right when he said there are many pros for whom he holds respect and admiration who either already have a CMPS or are headed that way.

Speaking only for myself, it boggles the mind how these folks think they can hand out real estate investment advice with 18 hours of education. That couldn’t possibly make them qualified to even be my assistant.

Is that too harsh? Too bad.

Here are just three of the subjects on which they will be advising their borrowers:

  • Real Estate Equity Management
  • Real Estate Investment Planning
  • Real Estate Taxation Concepts

There are more. And the Read more

Better, faster and cheaper in time and effort: Software for managing the weblogging workflow

Robbie Paplin has a new weblog and he writes there and at Rain City Guide about the Deep Geek thinking underlying his decision-making process in selecting his new blogging platform. Very interesting reading.

I spent my junk time yesterday doing fussy CSS tweaks on Teri Lussier’s weblog, TheBrickRanch.com. This is a hugely frustrating iterative process: Make one minor edit, FTP it to the file server, refresh the page, discover that the change was a mistake, undo, redo, repeat, express frustration in a way that does not exacerbate male pattern baldness.

HTML is hugely forgiving, which is not really a good thing. Web developers have worked for years with multiple computing platforms, each one home to multiple versions of multiple web browsers, all so they could see how their code would be interpreted in an array of hardware and software environments. Not cool.

But: CSS is hugely unforgiving, as crotchety and irascible as a compiled computer language — without the error messages. I was starting with a style sheet created by someone else and trying to torque it into doing what I wanted done. The worst part about making a change in CSS is not seeing that the change you made is wrong, but that the change you made changed nothing. If the original CSS was improperly formatted, the results you’re seeing on the screen are actually inherited from somewhere else. Nice.

I don’t do this for a living, not alone because there are laws against homicide. But I do have good tools, and it’s worthwhile to talk about what good tools can do to make work like this work easier if not actually easy. I live in the Mac world, so, if you’re stuck with Windows, you’ll have to translate. We’re talking about categories of tools, so this stuff exists on both platforms.

For editing, I use TextWrangler, a free programmer’s editor from BareBones Software. I use this for everything, writing, editing, coding — everything. I’ve been using BareBones editors since 1991 or so. Someday I’ll pop for the for-pay product. There is so little HTML in a weblog post, you might as well learn to Read more

Arizona Board of Appraisal to Zillow.com: In your Zestimation, does this posturing make us look stupid?

From the Arizona Republic (tipped by Adam Tarr and Sharon Kotula):

An Arizona regulatory board has ordered Zillow.com to stop offering its online estimates of home values.

The Arizona Board of Appraisal has issued two cease and desist letters to the popular real estate Web site, claiming Zillow needs an appraiser license to offer its “zestimates” in Arizona.

“It is the board’s feeling that (Zillow) is providing an appraisal,” said Deborah Pearson, Board of Appraisal executive director.

This would be in contra-distinction to all the other Automated Valuation Methods operating in the state, some of which are actually used by lenders to underwrite home loans.

All last year, I wondered when the appraisers were going to rise up and rail about consumer-level AVMs. Today was that day, it seems.

This is Rotarian Socialism in action. The so-called regulatory body serves at the beck and call of the putatively-regulated industry. They have no hope of doing anything but making themselves look ridiculous in public, but they have to answer to their allegedly regulated masters no matter what.

If this kind of corruption is just now making you sick — you haven’t been paying attention…

Further notice: Official Zillow.com response from David Gibbons:

Lloyd Frink, Zillow’s President asked me to convey this official response to you, Greg:

“We strongly believe that providing Zestimates in Arizona is completely legal (and in fact an important public service), given that Zestimates are the result of our ‘automated valuation model’ and are not a formal appraisal. The Arizona Board of Appraisals relies on USPAP, the national professional standards for appraisers, and USPAP Advisory Opinion to determine propriety of activities. Here is the relevant opinion on this matter (Advisory Opinion 18): http://commerce.appraisalfoundation.org/html/2006%20USPAP/ao18.htm As you can see, it reads: ‘The output of an AVM is not, by itself, an appraisal.'”

< ?php include("Zapraisails.php"); ?>

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Customizing your weblog with CSS and PHP: Navigating from post to post

If you click on an individual post in BloodhoundBlog, you’ll see something like this above the headline:

The code for doing this is built into some themes, but not in the theme we’re using. The PHP code for making it happen is actually pretty simple, you just have to plug it in in the right place. And all of this presumes you are working on a WordPress.org weblog on a host you can access by FTP. I know nothing about WordPress.com-hosted weblogs or other weblogging systems.

Where is the right place to insert the code? In the folder for the theme you are using (inside the wp-content/themes folder), you may find a file named “single.php”. If so, that’s the file you want to edit. If “single.php” is not there, you want to edit “index.php”.

Before you change anything, save a back-up copy of the file you are going to edit. That way, you can back out and try again if things don’t work out.

You are looking for this line of code:

<?php if (have_posts()) : while (have_posts()) : the_post(); ?>

Immediately after that line, paste in this code:

<div class="navigation">
<div align="center"><?php previous_post_link('&laquo; %link') ?></div>
<div align="center"><?php next_post_link('%link &raquo;') ?></div><br>
</div>

Once you have edited the file, FTP it back up to the host and see what happens. If it worked, you should be able to navigate your weblog post-by-post. If it didn’t, go back and try to figure out what went wrong.

I’m going to do some more of this stuff over the weekend, but not too much. The truth is, if your mind runs this way, you’re probably better at it than I am. And if not, your eyes are already glazed over. If you’re somewhere in the middle, a little bit of simple PHP can give you a whole lot of custom control over your weblog’s behavior. To that extent, it’s worth talking about.

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Prioritize home-buying negotiation

This is me in today’s Arizona Republic (permanent link) — kindasorta, anyway. The space I get in the paper is around 350 words, which was really not enough for this topic. What you’re seeing here is my original text, about 200 words longer than the version that ran in the paper.

Prioritize home-buying negotiation

Real estate transactions are all about negotiation. Long before a house goes on the market, the seller and the listing agent will negotiate fees and terms. My take is that buyers should effect the same type of negotiation with their agents before looking at houses, but this rarely happens.

Once the buyer finds the ideal home, the Realtors negotiate price, closing dates and costs, repairs, etc. The Purchase Contract can be looked at as an agreement to agree — subject to further negotiations.

So how should you negotiate? Your Realtor is going to effect the direct negotiations with the other Realtor, but both of them are agents of their principals. They are bound by the law to obey your lawful instructions to the letter. The style of the dickering may be your Realtor’s, but the substance will be all yours.

Some people have the idea that negotiation is about hurting or taking advantage of the other party. They will ruthlessly go for the jugular at every opportunity, regarding a parley as a failure if they don’t see the other party as the clear loser in the deal. This seems to me to invite future rancor and recalcitrance, should we need a favor at the last minute in order to close the deal.

At the other extreme are those pushovers who are so afraid to stand up for themselves that they give away the store — and throw in the parking lot, too. In our current buyer’s market, sellers can be very reluctant to brook confrontation, and this may not be a bad idea. Too often, buyers are so in love with a house that they are afraid that they’ll lose it if they issue the smallest peep in protest.

So how should you negotiate? Gently but firmly, calmly and rationally, naming your reasons Read more

Exploding Heads

Our homework was to write. I did my homework here, and I wrote a few posts on Active Rain (only because I think it would be fab if we could do the best job and win!) and I wrote on my home blog. I’ve written more this week than I thought possible. Confession: I figured I’d have about one week’s worth of posts in me, then my brain cells would dry up and I’d be done (and if you were wondering how new I am- that’s how new I am). I did not completely fully truly madly deeply understand that ideas spark ideas. Now I wake up at 5:00 a.m. without the alarm clock, regardless of how much sleep I got that night, with several ideas bouncing around my brain.

I’m also beginning to understand about the care and feeding of a blog. I’m putting thoughts in a notebook I’ve started to schlep around, or I park them in draft mode because either they are not fully incubated, or they are ideas I can quickly whip into shape if I’m short on time. My biggest concern now is that I should probably write a complete post and sit on it for awhile. I’m usually writing first thing in the morning, often in a pre-caffeinated state and after I post I look back and see the spelling and grammar and other errors of my ways. I need to learn patience.

And here’s something else I have learned this week: when I post on the BHB I’m essentially talking to strangers. Nothing personal, but we’ve only just met. When I post on AR I’m talking to colleagues. But when I write at the home blog, I’m home. I’m talking to my family and my friends, and until Greg pointed it out I didn’t realize that I do in fact visualize them sitting around the kitchen table with me. Kinda cool.

Now the insanely great idea has been revealed. More ideas sparking ideas (Stand clear- my head is going to explode!). I was thrilled to hear about this. It’s something I was vaguely working towards, but Read more

Real Estate Weblogging 101: Our story so far

Here’s a true fact of weblogging: Sometimes you decide you want to do something that requires you to go back and edit 30 or 40 posts. As an example, imagine that you decided you wanted to add a new category. You would have to go back and re-categorize all the posts that should be shoved into that mental drawer.

I did something like this when I created the Weblogging 101 category. I went back and added that category designation where it was appropriate.

Tonight I decided to go that one better, by highlighting the more important posts in that category in such a way that I could reference them repeatedly from other posts. You’ll see me do this from time to time, where we have multiple posts on one important topic. I’ll link back to all the others from each post so that no one misses anything.

There are two ways of doing this. One is manual coding, pasted in to the affected posts again and again. The other is to use PHP, the web-based programming language WordPress itself is written in. I can write my links into a separate file, then include that file when I want to reference the links. The advantage is that I have one canonical version of the links. Moreover, the list of links is dynamic; every time I edit the list, all the posts referencing that file of links are changed accordingly.

WordPress will run PHP unaided in many places on a weblog, and BloodhoundBlog runs on a lot of PHP. But within what WordPress calls “The Loop,” the software that displays weblog entries, running PHP requires a plug-in. I use the runPHP WordPress plug-in by James Van Lommel.

So, what happens? At the end of a post like this one, I append this code inside angle brackets:

?php include ("REWL101.php"); ?

The file named REWL101.php, my file full of links, is opened and inserted at that point. When I make a change in that file, the change is instantly reflected in every post that “includes” it. I can add my set of links to dozens of posts — even making them Read more