{"id":4199,"date":"2008-09-03T08:10:14","date_gmt":"2008-09-03T15:10:14","guid":{"rendered":"http:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/?p=4199"},"modified":"2008-09-03T08:10:30","modified_gmt":"2008-09-03T15:10:30","slug":"realtybaroncom-comes-up-with-something-new-commission-hedging","status":"publish","type":"post","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/4199\/realtybaroncom-comes-up-with-something-new-commission-hedging\/","title":{"rendered":"RealtyBaron.com comes up with something new: Commission hedging"},"content":{"rendered":"

Has SellsiusRealEstate.com (“Just like Craigslist, only not free!”) hit the Dead Pool? The weblog rages on, but the main site doesn’t even 404. The “About” page for the weblog has been re-rendered as yet another those-who-can’t-teach pitch, and, of course, Sellsius was a pioneer in the suddenly-popular practice of making net.friends in order to sell them out to advertisers. Perhaps these business models are enough to keep the wolves at bay. Sic transit gloria mundi.<\/em><\/p>\n

But despair not. Even today, there is something new under the sun. RealtyBaron.com is introducing an idea it calls “risk management for Realtors.”<\/a> What it is is a hedging strategy — akin to an insurance bet in Blackjack — whereby listing agents pay a premium to insure that listings are profitable whether or not they sell.<\/p>\n

Worth a thousand words:<\/p>\n

<\/p>\n

Oh, wait. That is<\/em> a thousand words. \ud83d\ude09
\n 
\nThis is not quite stoopid, although it shares some genes with stoopid. It’s a Realtor-milking scheme, beyond all doubt. It’s not quite as scurvy as some scams, but it does amount to you betting on your own failure, hardly the food of a good attitude.<\/p>\n

I don’t completely hate the idea. But, assuming it takes off in sufficient numbers to matter, it seems to be misaligned to rational market incentives.<\/p>\n

As I’ve discussed in the past, we charge a non-refundable retainer to sellers<\/a> for similar reasons, to cover our front-loaded costs if the rug is pulled out from under us. But the primary<\/em> reason for the retainer is to impose a meaningful cost on the seller for<\/em> pulling the rug out from under us. We want for our sellers to have some skin in the game, to make cancellation an unattractive prospect — and to make sure they’re completely committed before we start working. The hedge bet does nothing to assure the commitment of the seller.<\/p>\n

Moreover, as above, the entire plan is built around a bet on failure. If you as the lister know your ass is covered both ways, are you as likely to do the whatever-it-takes to get your listing sold? And if you are not, what direction should you expect the Read more<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Has SellsiusRealEstate.com (“Just like Craigslist, only not free!”) hit the Dead Pool? The weblog rages on, but the main site doesn’t even 404. The “About” page for the weblog has been re-rendered as yet another those-who-can’t-teach pitch, and, of course, Sellsius was a pioneer in the suddenly-popular practice of making net.friends in order to sell […]<\/p>\n","protected":false},"author":1,"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],"tags":[],"class_list":{"0":"post-4199","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"hentry","6":"category-marketing","7":"category-real-estate","9":"no-featured-image"},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":2658,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2658\/a-custom-weblog-can-be-your-homes-24-hour-real-estate-salesperson-on-the-world-wide-web\/","url_meta":{"origin":4199,"position":0},"title":"A custom weblog can be your home’s 24-hour real estate salesperson on the world-wide web","author":"Greg Swann","date":"February 25, 2008","format":false,"excerpt":"This is my column for this week from the Arizona Republic (permanent link): \u00a0A custom weblog can be your home's 24-hour real estate salesperson on the world-wide web I have an unshakable faith in the three P's of home marketing -- Price, Preparation and Presentation. If the home is priced\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":2696,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2696\/dress-up-that-custom-weblog-youve-built-to-help-sell-your-home\/","url_meta":{"origin":4199,"position":1},"title":"Dress up that custom weblog you’ve built to help sell your home","author":"Greg Swann","date":"March 3, 2008","format":false,"excerpt":"This is my column for this week from the Arizona Republic (permanent link): \u00a0Dress up that custom weblog you've built to help sell your home Last week we built a custom weblog to help you sell your home. This week, let's dress it up a little. Some of the things\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":935,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/935\/just-incredible-incredibleagentcom-steals-images-and-content-from-prominent-real-estate-webloggers-to-sell-free-weblogs\/","url_meta":{"origin":4199,"position":2},"title":"Just incredible: IncredibleAgent.com steals images and content from prominent real estate webloggers to sell “free” weblogs","author":"Greg Swann","date":"January 23, 2007","format":false,"excerpt":"Wanna hear something incredible? Odysseus the TV Spokesmodel Bloodhound, unbeknownst to anyone, has been serving as the Spokesmodel for an internet vendor's site. Involuntarily. Without compensation. Without permission. Forgive me for the following enormous image: Who doesn't love those eyes staring out at you, looking for you through the mail\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":2786,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2786\/how-to-use-engenu-to-support-your-blog-posts-about-homes-you-would-like-to-sell-to-build-single-property-web-sites-and-to-achieve-total-global-hyper-local-long-tail-search-domination\/","url_meta":{"origin":4199,"position":3},"title":"How to use engenu to reinforce your blog posts about listed homes you would like to sell, to build single-property web sites, and to achieve total global hyper-local long-tail search domination","author":"Greg Swann","date":"March 17, 2008","format":false,"excerpt":"This is my response to a comment that Jennifer Castillo left on my post about the benefits of blogging about real estate listings you would like to sell. Jennifer said:My questions to you arise from this quote of yours, \u201cFor each house you preview, build an engenu page. That way\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":459,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/459\/blogoff-post-82-weblog-review-the-phoenix-real-estate-guy\/","url_meta":{"origin":4199,"position":4},"title":"Blogoff Post #82: Weblog Review: The Phoenix Real Estate Guy . . .","author":"Greg Swann","date":"September 26, 2006","format":false,"excerpt":"Hey, wait. I'm the Phoenix real estate guy. Jay Thompson is an East Valley Realtor who publishes The Phoenix Real Estate Guy weblog. All gussied up in a brand new weblog template, this blog is fun reading. Well-researched, deeply-linked and yet still great fun to read. Jay is the Arizona\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":2750,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2750\/how-do-you-get-visitors-to-come-to-your-homes-custom-weblog-shoe-leather-works-well-search-engines-not-so-much\/","url_meta":{"origin":4199,"position":5},"title":"How do you get visitors to come to your home’s custom weblog? Shoe leather works well. Search engines? Not so much…","author":"Greg Swann","date":"March 11, 2008","format":false,"excerpt":"This is my column for this week from the Arizona Republic (permanent link): \u00a0How do you get visitors to come to your home's custom weblog? Shoe leather works well. Search engines? Not so much... Okay, so you've built a custom weblog to help sell your home, and you've dressed it\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":[]}],"_links":{"self":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/4199","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\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/comments?post=4199"}],"version-history":[{"count":2,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/4199\/revisions"}],"predecessor-version":[{"id":4201,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/4199\/revisions\/4201"}],"wp:attachment":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/media?parent=4199"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/categories?post=4199"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/tags?post=4199"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}