Where Real Estate Gets Its Dirt

MLS PIN promotes key executives Melissa Lindberg and Holly Haines

I’m still catching up from the CMLS conference but didn’t want to forget to share this exciting news.

MLS Property Information Network, Inc. Appoints Melissa Lindberg to Chief Strategy and Marketing Officer

“In this new role, Melissa will provide leadership and management while focusing on MLS PIN’s strategic initiatives and opportunities in alignment with the company’s goals for growth. Her responsibilities include industry relations, marketing and communication, expansion, customer engagement and education, product user interface, and the roll-out of company initiatives.”

MLS Property Information Network, Inc. Appoints Holly Haines to Chief Operating Officer

“In this new role, Holly will provide leadership and management while focusing on organizational excellence and technical vision in alignment with the company’s goals for growth. Her major responsibilities include internal operations, software and product development, quality assurance, administration, and human resources.”

In reading both press releases about Melissa and Holly’s accomplishments it easy to see why Kathy has given them these new responsibilities. Congrats to Melissa and Holly.

Bill Andrews leaves Remine Annette Sheffler leaves SentriLock, both headed for Black Knight

Bill Andrews, and maybe at this point I should clarify, Bill Andrews Sr. since he has made this industry a family affair. His son Bill Andrews is National Sales Manager- MLS relations at RateMyAgent and his other son, Ryan Andrews is Director of MLS relations at LionDesk. ????

Bill Sr. has joined Black Knight, this is after joining Remine back is October 2019. Bill has worked for several companies in the industry, I think it goes something like this. Rapattoni, Tarasoft, CoreLogic, Zillow, Remine, a little consulting, and now Black Knight.

Also, fellow DeVry grad, Annette Sheffler, has left SentriLock and joined Black Knight as a product consultant.

I’m also hearing rumors about one or two others that could be making moves. Don’t know who or where yet, seems like the powers to be haven’t taken their finger off the chess piece yet.

Great to see that Black Knight is not sitting still during this crazy time and making investments in what matters most, good people.

Caitlin McCrory joins Redfin

Welcome Caitlin McCrory, Redfin’s New Head of Industry Relations!

“We’re thrilled to announce that Caitlin McCrory is becoming a Redfinnian! As head of industry relations, Caitlin will work to strengthen Redfin’s relationships with multiple listing services, associations and other brokerages around the country. Caitlin will focus on supporting the MLSs’ mission to share data fairly, advocating for listing brokers to get proper credit for the listing data they share, and suggesting ways MLSs and associations can support innovations that benefit agents and customers alike.”

Nice get for Redfin. Super excited for her. Congrats to both Redfin and Caitlin.

Industry Relations EP013: Barriers to Change in the MLS with James Dwiggins and Sam DeBord

Stakeholders from every facet of the real estate industry are calling for change. Problem is, that’s about the only thing they can agree on. So what happens when you put a broker, a vendor, a consultant, and NAR leadership in the same room to talk about all things MLS? A sometimes uncomfortable, yet revealing discussion around consolidation, data standardization, MLS fees, and the policymaking process.

Stakeholders from every facet of the real estate industry are calling for change. Problem is, that’s about the only thing they can agree on. So what happens when you put a broker, a vendor, a consultant, and NAR leadership in the same room to talk about all things MLS? A sometimes uncomfortable, yet revealing discussion around consolidation, data standardization, MLS fees, and the policymaking process.

Live from CMLS2017 in Austin, Rob and Greg are joined by James Dwiggins and Sam DeBord. James is the CEO of NextHome, a progressive real estate franchise with consumer-focused branding, technology and marketing. Prior to founding NextHome, James served as Chief Strategy Officer and VP of Realty World Northern California & Nevada. Based in the San Francisco Bay Area, James’ impressive resume also includes VREO, a groundbreaking company he co-founded in 2000 to develop web applications for agents and brokers.
Sam is both the managing broker for Seattle Homes Group and VP of Strategic Growth for Coldwell Banker Danforth. In addition, he is a member of the MLS Technology and Emerging Issues Advisory Board, and he will serve as the Vice-Chairman of MLS Policy for NAR next year. Sam writes for a number of real estate news outlets, and he was named to SP200’s Top 20 Social Influencers and Inman’s Top 101 in Real Estate.

Listen in as Greg, Rob, James and Sam search for a little common ground when it comes to the future of the MLS. James shares his concern regarding a lack of non-REALTOR members in NAR decision-making bodies, and Sam offers his take on the future of the industry. They cover the political barriers that prevent true collaboration in the industry, how the not-for-profit mandate hinders MLS progress, and the value of vendor-inclusiveness. 

 

What’s Discussed: 

James’ message at the CMLS event in Austin
The ongoing conversation among NAR, brokers and MLSs
The continued consolidation of MLSs
NAR’s focus on broker co-op
The vast differences in how MLSs are run
The challenges around a lack of data standardizationFactors that prevent a common data share
The brokers’ contribution to the technical barriers 
How a common MLS feed might affect membership
How members of the MLS Technology and Emerging Issues Advisory Board are selected

-Vetted by leadership
-‘Standard of experience’James’ concern regarding a lack of non-

REALTOR members NAR’s effort to bring in advisors/speakers from other industries to inform the advisory board

Why having your heart in the right place doesn’t mean you are a qualified decision-maker
The challenge of overcoming politics to engage in true industry collaborationNAR’s role in fostering cooperation
How CMLS is setting the standard of vendor-inclusiveness
Rob’s argument that the nonprofit mandate is the biggest issue hindering MLS progress
The pros and cons of raising MLS fees
The excessive fees vendors pay for access to IDX feeds
The benefits of MLS consolidation:

-Less overhead, more profitable for MLS
-Broker costs decrease
-Vendors can reinvest money saved

The painful loss of jobs that would result from MLS efficiency
James’ prediction that it will take outside forces to facilitate change
The value generated by a very small number of agents -Zillow market cap at 7.6B -80,000 agents

Sam’s take on the future of the real estate industry

-MLS will be part of equation (dependent on data)
-Fewer MLSs
-Realtor will remain at center of transaction

Greg’s A Few Good Men analogy
Rob’s theory about the future MLS breakdown
The top barriers to change: 

-Politics
-Lack of data standards

Sam and James’ advice to MLS execs moving forward

-Focus on broker priorities
-Be flexible, innovative in delivering
-Discuss pain points with vendors
-Work with other MLSs on same process

Resources:

Seattle Homes Group

NextHome

MLS 2020 Agenda

CMLS 2017

Connect with Rob and Greg:

 
Rob’s Website 

Greg’s Website 

Industry Relations 14: ‘MLS of Choice,’ Sam DeBord and Jeff Young of RPR

Hang around the hotel bar at CMLS2017 long enough (we’re looking at you, Greg), and you will overhear conspiracy theories about ‘MLS of Choice’ somehow leading to a national MLS. The MLS community has long feared that NAR is looking to get into the MLS business, and the rhetoric ‘of choice’ raises alarm bells in the industry. What is NAR’s intent in changing MLS Policy Statements 7.42 and 7.43? Could RPR eventually evolve into a national MLS?

Today Rob and Greg dig into the ‘MLS of Choice’ debate with Sam DeBord and Jeff Young. Sam is a member of the MLS Technology and Emerging Issues Advisory Board that revised 7.42 and 7.43, and he will serve as the Vice-Chairman of MLS Policy for NAR next year. He also serves as the managing broker for Seattle Homes Group and VP of Strategic Growth for Coldwell Banker Danforth. Sam writes for a number of real estate news outlets, and he was named to SP200’s Top 20 Social Influencers and Inman’s Top 101 in Real Estate.

Jeff Young is the Chief of Operations for Realtors Property Resource (RPR), an NAR resource providing comprehensive data, powerful analytics and client-friendly reports for each of NAR’s constituencies. Jeff has been a REALTOR since 1996, serving in various NAR leadership positions including President of the Michigan Association of Realtors in 2008. (In this live recording Jeff happen to walk by as the podcast was being recorded and coaxed in to participate.)

On this episode of Industry Relations, Greg, Rob, Sam and Jeff walk through the details of ‘MLS of Choice,’ discussing how the policy change will offer greater flexibility for brokers and agents in the MLS marketplace. They explore the MLS community’s skepticism around NAR’s intent, and whether there is any merit to the theory that this new policy might eventually lead to RPR becoming a national MLS. Listen in to understand the arguments for and against ‘MLS of Choice’–tin foil hat optional.

What’s Discussed: 

The broker pain points that led to changes in MLS Policy Statements 7.42 and 7.43
The role of the MLS Technology and Emerging Issues Advisory Board
The current jurisdictional rules around MLS dues
How ‘MLS of Choice’ provides greater flexibility for brokers/agents in MLS marketplaces
Why the previous policy was endorsed
The arguments for and against ‘MLS of Choice’
Sam’s response to industry fear of NAR establishing a national MLS
The rumors that RPR could become the national MLS
Jeff’s rebuttal concerning the rumors around RPR
– RPR contracts with MLSs prevent national MLS
– RPR depends on relationships with 661 of 694 current MLSs
The confusion around ‘MLS of Choice’ as a naming convention
The concept of which MLS not if MLS
How the policy change will adversely affect MLSs that don’t provide value
CMLS’s response to the ‘MLS of Choice’ policy change

Resources:

Sam at Coldwell Banker Danforth
Realtors Property Resource
‘MLS of Choice’ Article in Inman News

Connect with Rob and Greg:

Rob’s Website
Greg’s Website

Industry Relations Episode 11: Redfin Goes Public and Quietly Eats the Real Estate Industry

It’s the quiet ones you have to watch out for…

Redfin has been quietly dominating since its inception in 2004, and no one in the real estate industry seems all that concerned. We dismiss Redfin as a discount brokerage and debate what to call it – Tech company? Brokerage? Something else entirely? Whatever label you put on it, Redfin is disrupting the way real estate works. And with its S-1 filing, we can finally see just how well the company has been doing. With a sales volume of $16.2B and a 31% gross profit margin, Rob is justified in saying that Redfin has the potential to ‘eat the industry.’

Today Greg and Rob get into the impending Redfin IPO and the potential consequences of its success on traditional real estate. They cover Redfin’s phenomenal company culture and the advantages associated with having employee agents rather than independent contractors – and explain how its software has the ability to capitalize on repeat/referral business in a way that traditional brokerages do not.

Listen to understand why Rob believes that the industry should be more afraid of Redfin than Zillow, and hear Greg’s take on the relative importance of agent relationships versus company culture in shaping the consumer experience. Might there come a day when traditional brokerages would have to partner with (GASP) Zillow to compete with Redfin? As the company goes public, let’s talk about why Rob and Greg think industry leaders should start losing sleep.

What’s Discussed: 

The importance of culture at Redfin
Redfin’s recent S-1 filing
– Shares in $12-14 range
– Company valued at $1B
The debate around Redfin’s identity
– Tech company
– Real estate brokerage
– Agent team hybrid
Why there is no backlash against Redfin’s IPO
Rob’s take on why the industry should be more afraid of Redfin than Zillow
How traditional brokerages throw shade at Redfin as ‘discount brokerage’
Rob’s theory that Redfin is going to ‘eat the industry’
Standout stats from the Redfin S-1
– $16.2B in sales volume, #5 in RealTrends 500
– 31% gross profit margin
How Redfin’s software capitalizes on repeat/referral business
Redfin’s focus on data
– Measures customer satisfaction via NPS
How the Redfin culture affects the consumer experience
The myth that only independent contractors can provide high-level service
Greg’s take on Redfin’s limited ‘boots on the ground’
The advantages of employee buy-in to Redfin company culture
Who might be considered Redfin’s competition
The what-if scenario around Redfin establishing a ‘sneak peek’ listing agreement
How Redfin generates traffic to its site
– SEO
– Targeted email
When the heads of large real estate companies should start losing sleep over Redfin
– Redfin offers lower commissions, agents paid based on satisfaction ratings
– Customer demand could force traditional brokerages to enact similar policies to remain competitive
How a company with a multi-brand strategy could incorporate Redfin into its business model
How traditional brokerages might need to partner with Zillow to remain competitive
How reducing costs through automation would allow brokerages to charge less for commission
The way capital acts as an accelerator in the tech world
How having employee agents allows Redfin to fully adopt its technology systems

Our Sponsors:
CSS
Corelogic

Resources:
Redfin IPO: Tech Company, Real Estate Brokerage, or Something New?
Rob’s Redfin IPO Blog – Part 1
Sam Debord’s Guest Blog

Connect with Rob and Greg:

Rob’s Website
Greg’s Website

Industry Relations Episode 12: Can NAR’s New CEO Bob Goldberg Elevate the REALTOR Brand?

We can all agree that raising the level of professionalism in the real estate industry is a good thing – absolutely necessary, even. But how do we get there? And who’s responsible for elevating the REALTOR brand? With Bob Goldberg assuming leadership of NAR on August 1, there is much discussion around what he can do to be an agent of change in the industry.

The gloves come off today as Rob and Greg debate the validity of the NAR CEO selection process and the best way to go about ridding the industry of incompetent, unethical agents. They discuss the strengths Bob brings to the table, how his leadership may facilitate cooperation among key players, and the likelihood of substantial policy change with Bob at the helm.

Listen in as Greg and Rob get fired up arguing who’s responsible for making the REALTOR brand meaningful. It is up to NAR to raise standards and differentiate between REALTORS and licensees? Or do brokers need to be held to a higher ideal when it comes to recruiting, hiring and training agents? Whether you’re Team Rob or Team Greg on this one, Bob has his work cut out for him as he takes over NAR this month.

What’s Discussed: 

Greg’s experience working with Bob through eNeighborhoods
NAR’s decision to choose someone from inside the organization
Greg’s sense of Bob as a leader
Rob’s take that hiring Bob may have been a ‘done deal’
Greg’s argument that employing a world-renowned recruiting company is ‘thorough’ as opposed to ‘clueless’
Why Rob contends that NAR should have named Bob as successor two years ago
How the NAR membership might have reacted to naming Bob as successor without selection process
How the interview process affords the opportunity for upfront conversation
Greg’s belief in the validity of the selection process
Why a succession plan is more feasible in the corporate world vs. a member-driven organization
Rob’s frustration with the lack of transparency demonstrated by NAR leadership
Greg’s assessment of how things will change with Bob at the helm of NAR
– Shift in tone
– Capacity to facilitate cooperation
Rob’s assertion that conflict in the industry is about policy rather than tone
Rob’s skepticism re: the probability of change in NAR policy
The relationship between personnel and policy
Greg’s assertion that bureaucracy comes from the association side rather than staff
The challenges Bob faces moving forward
– Elevating REALTOR brand
– Incompetent, unethical agents
Greg’s position that brokers are complicit in hiring unqualified agents
Rob’s counter that agents are not employees
– Only Redfin hires employee agents
– Agent pays broker, not vice versa
– Recruiting agents = sales (not hiring)
Why Rob finds it remarkable that any brokers institute standards
How NAR’s code of ethics runs counter to their acceptance of anyone with a license
Rob’s proposal regarding policy changes that would make the REALTOR brand meaningful
– MLS access no longer tied to membership
– Association staff allowed to take part in ethics hearings
– Remove 1099 exemption for real estate agents

Our Sponsors:
CSS
Corelogic

Resources:
Rob’s ‘Bob Goldberg Era’ Blog
Rob’s Response to Bill Brown’s Comment
NAR DANGER Report

Connect with Rob and Greg:

Rob’s Website
Greg’s Website

Industry Relations Podcast: The Firestorm Around the Zillow ‘Instant Offers’ Rollout

If Zillow thought that the industry would thank them for reworking the Opendoor model to involve agents in the process of “Instant Offers”, they underestimated what Rob likes to call “Zillow Fever”, the intense dislike so many in real estate have toward the company.

Today Rob and Greg are engaged in a rousing conversation about the rollout of the Instant Offers test program and subsequent uproar. They work through the source of the industry’s angst toward Zillow and whether or not it is warranted in this particular case.

Listen in as Rob and Greg discuss the arguments against Instant Offers, how the feature might lend itself to predatory behavior by investors, and how Zillow might have changed their messaging to avoid the blowback.

What’s Discussed: 

The firestorm created by Zillow’s Instant Offers test program
Greg’s take on how a different naming convention would have tempered agent reaction
How the Instant Offers feature works
– Response to consumers looking for easier ways to sell
– Hand-picked 15 private investors
– Seller can accept investor offer and sell directly, accept offer and use agent to complete transaction, or reject offer and move forward with agent to list on MLS
The weaknesses of the argument that Zillow is duping consumers
The hypocrisy/lack of awareness of agents criticizing Instant Offers
How agents can use Instant Offer as a tool to generate seller leads
The importance of establishing a sphere of communication
The vast number of tools available to help agents stay in touch with past clients
Instant Offers as a potential avenue for predatory investor behavior
– Bad actors might target the poor, uneducated
– May require government to step in with regulations
Rob’s problem with the premise that consumers cannot make best decision for themselves based on circumstances
The potential monster success of the Instant Offers feature
The flaws in the argument that Zillow is trying to come between the agent and the homeowner
The way Zillow priorities the consumer over the agent
Whether Zillow has given up on trying to make people happy or if they were caught off guard by the negative reaction to Instant Offers
How other big web operators might respond to this innovation

Resources:

Greg Schwartz ‘We Come in Peace’

Connect with Rob and Greg:

Rob’s Website
Greg’s Website

Our Sponsor:
Centralized Showing Service

Industry Relations Episode 8: Upstream, Millennial Branding and Other Hot Topics in Real Estate Tech

If you ask Wiktionary, to swim upstream means ‘to opt for a difficult course of action when a simpler alternative is available.’ And if you ask Rob and Greg, real estate’s Upstream venture is a prime example of doing things the hard way.

Today Rob and Greg discuss the MLS response to the brokerage community’s push for data sharing and the probability of Upstream’s success. They also cover other hot topics in real estate technology news, including Zillow’s new Millennial consumer brand announcement, the extraordinary capital raised by Placester, and Realogy’s recent changes in management.

Listen in as Greg explains how to think about the ‘real estate ecosystem,’ and Rob outlines the inevitable development of a new brokerage model.

What’s Discussed:

Zillow’s recent announcement regarding its launch of new consumer brand

Why Zillow is likely adding RealEstate.com as a search portal

The real estate industry’s ‘Millennial worship’

-Half of new home buyers under 36

The stereotypes associated with Millennials vs. the reality

What a site designed for Millennials might look like

The staggering capital being poured into the industry

-Placester raised $50M in March, bringing its total to $100M

Placester’s recognition of the aspirational nature of real estate

-Willingness to take any agent

Why Zillow focuses on ‘super agents’ and teams

Placester’s role in the ‘real estate ecosystem’

Realogy’s recent changes in management

How technology undermines the idea of a ‘real estate ecosystem’

The necessity for transformation of the current brokerage model

The mammoth undertaking that is Upstream

The feasibility of Upstream clearing all the hurdles it faces

How MLSs have responded to the brokerage community’s call for consolidation

Rob’s suggestion to add representatives from the broker community to the CMLS Board

Resources:

“Zillow Group to Launch New Consumer Brand” on RISMedia

“Placester Continues Growth with $50 Million Capital Raise” in HousingWire Magazine


Connect with Rob and Greg:

Rob’s Website

Greg’s Website

Industry Relations EP006: What Real Estate Coaches Can Learn from the Pickup Artist Community

Rob and Greg are back, and this time they are debating an unusual strategy real estate coaches and trainers might employ to establish credibility – using the techniques of the pickup artist community.

In researching the dating habits and family formation of millennials (for work – no, really!), Rob happened upon a company called Real Social Dynamics, the world’s largest dating coaching company. Among their promotional materials are YouTube videos called ‘infields’ in which their coaches demonstrate the company’s techniques for attracting women in real situations at parties and nightclubs.

This got Rob to thinking, “Why don’t we do that in real estate?” On this episode of the podcast, Rob and Greg explore the feasibility of real estate trainers generating similar footage to market their services.

 

What’s Discussed:

How infield footage lends credibility to the trainer

The legality and ethics of filming interactions with clients

How Hear It Direct sought to give professionals an understanding of the consumer point of view

Why data (# of transactions) may not be enough to establish a coach’s authority

-Numbers demonstrate personal credibility (sufficient for the consumer)

-Infields would establish credibility for the tactics you are selling

The significance of training as a key value proposition for every association

The aspects of an agent’s work that could benefit from infields

-Listing presentations

-In-person lead generation

-Buyer negotiations

-Sphere of influence calls

-Customer relationship management

Resources:

Real Social Dynamics YouTube Channel

Connect with Rob and Greg:

Rob’s Website

Greg’s Website

 

 

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