{"id":367,"date":"2006-09-22T13:25:31","date_gmt":"2006-09-22T20:25:31","guid":{"rendered":"http:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/?p=367"},"modified":"2006-09-22T13:51:39","modified_gmt":"2006-09-22T20:51:39","slug":"realty-reality-calculating-the-value-of-effective-new-build-buyer-representation","status":"publish","type":"post","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/367\/realty-reality-calculating-the-value-of-effective-new-build-buyer-representation\/","title":{"rendered":"Realty reality: Calculating the value of effective new-build buyer representation . . ."},"content":{"rendered":"

Greg just posted an email<\/a> he received from a West Valley broker, Joe Bourland. I want to respond to his last paragraph:<\/p>\n

Maybe you should look into your established practices of real estate. There is an immense value in representation. Hopefully, the educated buyer you warn will realize the disservice you promote for clients.<\/p><\/blockquote>\n

Mr. Bourland,<\/p>\n

Specifically, what disservice have you identified? Let’s assume that the base price of the home is $200,000. If the builder is offering me, the buyer’s agent, 6% for bringing my buyer into the community, I could look forward to a $12,000 payday when the sale closes! What is the most effort and money I could possibly do to earn that money? Well, I am in process of such a transaction at this very moment, working with numbers close to these. Let’s see what I’ve done and what I plan to do to earn this money:<\/p>\n

At the beginning of this process, I introduced the couple to a few lenders who I thought would be a good match for them. They loved one, and she worked up a couple of Loan Status Reports (a loan document referenced in the Arizona Department of Real Estate’s standard contract language for Residential Resale Real Estate Purchases), depending upon whether we found a free standing house or a condo that the couple wanted to buy. (Ardell did a great job of explaining why this is important yesterday on Rain City Guide<\/a>.) This filled in an important parameter of what we could look for.<\/p>\n

Over the next couple of weeks I researched on MLS, looking for new and resale houses that fit the criteria that the clients gave me. I drove the wife around for about 20 hours total, and during this period I was better able to refine our search, based upon her reaction to what she was seeing. Once we had narrowed our search down to houses that would truly please her, the husband joined us to exercise his veto power. Finally, we found something they could qualify for, which satisfied both of their wants and needs, in a new home development. <\/p>\n

The house Read more<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Greg just posted an email he received from a West Valley broker, Joe Bourland. I want to respond to his last paragraph: Maybe you should look into your established practices of real estate. There is an immense value in representation. Hopefully, the educated buyer you warn will realize the disservice you promote for clients. Mr. […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_crdt_document":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[6,5,10],"tags":[],"class_list":{"0":"post-367","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"hentry","6":"category-marketing","7":"category-real-estate","8":"category-realty-reality","10":"no-featured-image"},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":366,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/366\/buyers-agency-at-new-home-subdivisions-there-is-an-immense-value-in-representation\/","url_meta":{"origin":367,"position":0},"title":"Buyer’s agency at new home subdivisions: “There is an immense value in representation . . . “","author":"Greg Swann","date":"September 22, 2006","format":false,"excerpt":"This is email I had from Joe Bourland, branch manager of a Century 21 office in Avondale, Arizona, objecting to my column in this morning's Republic. His arguments are not wrong, they're just beside the point. There is no possible doubt that a good buyer's agent will do a lot\u2026","rel":"","context":"In "Marketing"","block_context":{"text":"Marketing","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/marketing\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":629,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/629\/links-for-a-very-busy-saturday\/","url_meta":{"origin":367,"position":1},"title":"Links for a very busy Saturday . . .","author":"Greg Swann","date":"November 11, 2006","format":false,"excerpt":"I'm selling at least two houses this weekend, so I'm catch as catch can. I want to write a very involved Realty Reality story, too, so my Saturday is much enriched. Here are some other riches: Realty Thoughts ponders the differences between the Inman shows and NARdiGRAS. Here's one that\u2026","rel":"","context":"In "Blogging"","block_context":{"text":"Blogging","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/blogging\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1115,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/1115\/true-reform-in-the-real-estate-industry-will-not-result-from-undermining-buyer-representation\/","url_meta":{"origin":367,"position":2},"title":"True reform in the real estate industry will not result from undermining buyer representation","author":"Greg Swann","date":"March 5, 2007","format":false,"excerpt":"I've been sitting on a post from Jeff Corbett, The X-Broker, for a few days. Jeff Argues that Realty.bots will eliminate buyer's agents. This actually ties in with recent announcements that major brokerages will be feeding listings to Realty.bots like Trulia.com and Google base. I get the idea Jeff thinks\u2026","rel":"","context":"In "Blogging"","block_context":{"text":"Blogging","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/blogging\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":18324,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/18324\/buyer-agency-project-buyer-agents-offer-no-value-today\/","url_meta":{"origin":367,"position":3},"title":"Buyer Agency Project: Buyer agents offer no value today.","author":"Brian Brady","date":"July 17, 2021","format":false,"excerpt":"\"I just showed three houses this week, out in L******, and all of them had 2% co-brokerage fees.\u00a0 Learn to sell, listing agents\" I read this post (paraphrased), from a former car salesman with a Florida real estate license, in a Facebook group the other day.\u00a0 The irony of it\u2026","rel":"","context":"In "Disintermediation"","block_context":{"text":"Disintermediation","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/disintermediation\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":649,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/649\/dual-agency-smack-down-a-category-11-hurricane-of-arguments-against-disclosed-dual-agency\/","url_meta":{"origin":367,"position":4},"title":"Dual Agency Smack-Down: A category 11 hurricane of arguments against Disclosed Dual Agency . . .","author":"Greg Swann","date":"November 17, 2006","format":false,"excerpt":"I'm going to stir up a category 11 hurricane by basing my initial entry in the Dual Agency Smack-Down on our past posts on the subject. Cathleen and I have dealt with this topic at great length in the past, so it seems reasonable to reinforce our arguments by revisiting\u2026","rel":"","context":"In "Dual Agency"","block_context":{"text":"Dual Agency","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/dual-agency\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":11082,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/11082\/regrettably-we-have-to-rethink-all-of-our-ideas-about-staging-homes\/","url_meta":{"origin":367,"position":5},"title":"Regrettably, we have to rethink all of our ideas about staging homes","author":"Greg Swann","date":"January 30, 2010","format":false,"excerpt":"How are we ever going to top this? Oh, yes. It's real. Mrs. Buyer said, \"I don't even want to think about what happened in that room.\" My risposte? \"Nothing happened in that room!\" But: Even so: It's an interesting real estate problem, isn't it? It would be $500, at\u2026","rel":"","context":"In "Group Therapy"","block_context":{"text":"Group Therapy","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/group-therapy\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/367","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/comments?post=367"}],"version-history":[{"count":0,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/367\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/media?parent=367"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/categories?post=367"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/tags?post=367"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}