When Did Real Estate become cheap?

1) Why do you buy real estate?

To Make Money

2) Why do you sell Real estate?

To Make Money

3) Why do I sell real estate?

To Make Money and provide for my family

My office is being repainted. A Number of bookshelves and display items were moved. One that resurfaced was my Listing Presentation Binder. You know; That Vinyl Bound three ring binder with all the plastic sleeves we took to your kitchen table, My History, My career in real estate, What my average sales percentages from asking price are, How many listings I expire unsold, why I am intimate with your community, why my company is well placed to service and handle your sale, Hard  copies of Advertising and Property Presentations. Stuff that Sellers should be asking a Listing Agent. 

I had worked on this book as a Presentation in progress as it spanned 10 years of experience and homes I had sold.

Amongst those sleeved papers were RECO rulings for other members crossing the line with Advertising, Non disclosures, Ethics Decisions and a Form that I signed with RE/MAX in 2000.  Yes.  13 years ago. The single page Agreement indicated that I would not advertise inducements to obtain business. That meant;

• No Kick Backs for Furniture 
• No $1,000 Gas Cards
• No Ipads
• No Cash Backs

This book has not been updated since 2006 when I moved to a Powerpoint Presentation for my Laptop, then updated again when I moved to the iPad.  I regularly receive calls from Sellers that want nothing to do with Marketing, Pricing, Presentation or Negotiation,  they just want the commission rate.  How much do you charge?

Buyers call and TELL ME! That unless I pay them 50% of the GROSS commission they will not purchase with me. I was recently told that [the buyers] are doing their own search and expecting the Listing Agent to cut his commission to make the deal happen.  The FOCUS should be on purchasing a property at a good value compared to the market conditions and recent sales, moving you from pre approval to a FIRM commitment to Finance and to prepare with you for your Statement of Adjustments and final closing.  You can look online for anything you like on my VOW but How will you know which house is a deal and which house is not? I provide the experience to interpret the data and help you move forward with confidence. 

Now we add some perspective. From another real estate source, we can glean that of 34,000 Licensed Real Estate Agents registered in Toronto worked on 80,000 transactions that happened in and around the GTA trading area. Of those registered 6,000 did not sell a home in 2012, while approximately 5,500 averaged one sale. The Author suggests that unless you are selling a minimum of 7- 12 units a year you are not necessarily earning enough to be a full time agent.

What promoted this post?   I received an offer to List for Free*

If the first opportunity to meet and represent your interests is attracted by a FIB, How will our future transaction progress? If the services I offer you have no value  How will I value the equity in your home?  When did selling a house become a BOGO, Two for One or Cash Back Offer? 

When did selling a House become cheap?

Add your comments

Unaware Consumers are becoming an Endangered Species

The Endless path of opportunity

"I want to sell my rental property in Etobicoke Ontario. We’d like to find a great agent who won’t bait and switch us with over inflated estimates on what our property is worth or unrealistic time frames to sell it; just to get the listing."

So [insert client's name] sets out like they do in their hunt for any other product or service, digging online. Research.

A Google search for “Etobicoke real estate agent reviews”  provided 30 pages of results:

Not all are local Agents, but aggregators, lead sellers, directories and others who market their way into the keyword search online. Some are companies that just advertise listings.

In 2003

• We found Buyers with Ads in the paper
• Our daily Tear Sheets were organised into books by district and price.
• We were gatekeepers of the LISTING content.
• Yellow Page Advertising was effective.
• When Door knocking, more people were home and willing to open the door.
• Flyers had tangible penetration rates.
• Direct Mail was effective.

Smart consumers

The Web has birthed a new psychographic known as the Smart Consumer. These are people who dig deep into the data points, content, images, video, news and reviews – the things that drive decisions.  They are either effective in their analysis or paralyzed by the myriad choices. 

Five or even three years ago, you might write these folks off as “obsessed”, “power users” or even “NERDS”. Today, with more and better information available, they’re darn near everybody.

Do you look things up in the Yellow pages?

No,  Now You Google it .... Etobicoke Real Estate Agent Reviews

In 2013,
Will you find your clients online?

• Your Listings are on Realtor.ca or Your VOW* provides ALL Listings
• DO NOT CALL LIST
• 88% of Canadians are on Facebook
• 45% of Twitter Fans Follow Brands
• 96% of Home Shoppers begin their search online
• 8 Billion Videos are Viewed on You Tube Daily
• YouTube is the Second largest Search Engine [only to Google]
• Post Video Tours and Topical Content to get Viewers [and clients]
• Web 3.0 Provides interactive Content and immediate contact details

Lets start by making a plan for where you want to be. 

Call me at today  647 218 2414      

http://www.Facebook.com/dpylyp
http://www.Twitter.com/davidpylyp
http://www.SellinginToronto.ca
https://plus.google.com/u/0/109283965469179719942/about/





*VOW  Virtual Office Website   Map Based Listings of Every Listing in Toronto

Whats the Big Deal - I can Sell it Myself

With Internet, computer technology and apparently free advertising there should be a plethora of venues and opportunities to sell IT yourself.

You are saving VAST sums in commissions so you spent the savings on lavish colour brochures, a stunningly presented video about your residence, neighbourhood and amenities. Then added the RAW picture files as a pictorial online.

No...    Why Not?

Lets Examine a potential Transaction;

Remarks for Brokerages:  For All Appointments and Inquiries Contact:  The Home Owner directly at 647 218 2414 Email all offers to david@davidpylyp.com  Agents Welcome Commission Negotiable Via Seller-Use Form 202 -The Seller Has Reserved The Right To Sell The Property Themselves In The MLS ® Listing. 

CB Comm:$1 See Remarks  

Showing your house, is easy. I called and booked an appointment to show.  You agreed that IF we have an offer you are aware of Form 202 from the Toronto Real Estate Board. Sounds like you are Ready and Prepared.  I have a prospect in tow and hope you will not oversell your built in shelving and your son's woodworking project in the basement workshop. 

The Buyers likes your house; your asking price, IMHO is slightly optimistic but they are prepared to Negotiate. After showing a number of comparable properties we have a FIRST round offer. I need to present a Form 202 Prior to entering into a negotiation with you about the value of your home.

Now you feel my value is $1. The Buyer cannot add any expenses, surveys, inspection or taxes of the purchase, nor my commission to the Mortgage, as they generally are using their entire resources for their down payment. 

I need to continue with this Buyer through the counter offer (you didn't accept their initial offer) and explained you feel that your house is worth more [but the comparables do not support that conclusion.]

I do not want to argue LOGISTICS or Terminology or Timelines with you. No, you will not hold the deposit funds.  It is not my responsibility to explain your options to you. I represent my Buyer.
My Buyer clients often need support -- even hand holding -- during the buying and selling process. They need financial planning and approvals. They cannot call a website at night because they are having an anxiety about payments and budgets; Buyers remorse or second thoughts and detailed questions about what they already saw that's sold. It would be nice if they did, but they call me instead.

Websites are perfect for viewing homes for sale, but they however do not provide much in the way of service and are not the new, competing force in the marketplace. Interactive Web 3.0 sites have been around awhile and is here to stay. They have plenty of competition as they compete for consumer eyeballs.

The ability to find homes on the Internet is no longer impressive. Real estate experience and the ability to help buyers sort and filter data, to find and buy the right home for the best price is a valuable service that the Internet still cannot provide.

Updated Listing Kits are being assembled now. If you are considering Selling and you would like to examine one;  call and I will deliver this to you. Buyers receive a Satisfaction Guarantee.

416 233 9000 or 647 218 2414

Conduct your Own Toronto Real Estate Search - VOW

Homes West Toronto VOW

Yes you now can view every listing on the Toronto Real Estate Board by Map.

The listings are arranged in Price Order but you can create individual searches.

Ready to try?

Sit back with your iPad and search for listings in those communities and neighbourhoods where you would like to live.

You can further search the demographics of the neighbourhood with Hood Reports;  http://Bit.Ly/HoodReports

Ready?

Let's Go!

http://homeswesttoronto.tumblr.com/mobile

Yes, Of Course!   You will need to sign in....

Plays well on my laptop and iPad,  Tell me about your experience using the search functions and different browsers

Consumers Can have all the Data; Competition Bureau

The Competition Bureau has been outspoken about Real Estate practices and access to data.  The solution of a VOW may not bring the intended effects.  The Toronto Real Estate Board went for the Hail Mary pass with a procedural Charter Challenge... 

Realtors will send you the history of a street or condo building when requested with merely your Name and Telephone Number directly to your email.  Defending privacy doesn't ring true.

But Vistnes argues more open access would put more information — and power — in the hands of consumers and bring an end to costly and questionable real estate practices.
Making commission agreements public, for instance, might discourage realtors who now refuse to take potential buyers through homes where the owner has negotiated a lower commission, pushing them instead to other homes that may be less ideal but have better payoff.
It would also be more obvious when an agent is engaging in “gaming” — removing a property that’s been languishing on MLS for weeks and reposting it a day later to create the illusion of a new listing, says the report. That can be a red flag to buyers that a home is overpriced.
Consumers would also be able to tell when a realtor has acted as both the listing and the buying agent, a “conflict of interest” that occurs in about 10 per cent of all GTA transactions, says Vistnes, who analyzed several years of TREB’s MLS data.
By denying a new generation of Internet-savvy homeowners and buyers access to information, as travel agents did years ago, realtors remain the only real “gateway” to critical property details, says Vistnes.
“VOWs are not simply a vehicle by which consumers can access raw MLS data and conduct searches. Brokers can also offer VOW-based tools through which consumers can then analyze those data,” says the report.
“VOWs often attract buyers by offering a convenient means to search listings, to learn details about individual listings, to learn how home prices differ by neighbourhood, to see how quickly homes are selling and the extent to which final prices differ from the list prices and, in some cases, by offering a commission rebate.” http://www.moneyville.ca/article/1260564--toronto-real-estate-board-accused-of-abusing-its-power-and-hurting-consumers-in-case-before-competition-tribunal?utm_source=twitterfeed&utm_medium=twitter&fb_action_ids=3909060159869&fb_action_types=og.recommends&fb_source=aggregation&fb_aggregation_id=288381481237582

There are inaccuracies; 

Realtors acting for both parties are indeed in a conflict of interest. You sign for and specifically acknowledge whether you are receiving Customer Service or Buyer Representation.  The solution is to  Bring your own agent!   Yet, Consumers, feel they will SAVE by using only the Listing Agent. Client or Customer?  

Posting and reposting listings to the MLS system is easily solved when you use your own agent to search the property history and provide an impartial CMA when purchasing the home. 

Undisclosed  closing costs are dealt with in a detailed summary of costs, expenses and proposed funding costs available here.  This is used with each transaction. 

Commission rebates sound wonderful;  What about those listings posted by REALTORS who post one penny or one dollar to selling broker?  The Sellers set the commission payable to selling broker when they list the house.  Listing agents do not necessarily "SPLIT" listing fees equally. No. They may discount their fees to induce you [listings] into a transaction.  We can show you those too....   

Lenders will not permit you to add your purchase expenses, surveys, loan application fees, appraisals,  lawyers fees, land transfer taxes, taxes on CMHC insurance to the purchase price of the  house in addition to Real Estate fees that you committed to in the Buyers Representation Agreement. What do we do when the commission is ZERO? *

I cannot rebate money that is not offered or available.

* It is not my responsibility to explain your options to you as an unrepresented Seller or Mere Listing.  My duty is to get the best deal for my client.

VOWs will permit; an out of Territory Agent to post your home for sale  IE  Windsor or London or Burlington Posted to MLS.ca.  They then field those inquiries.  That listing may or may not appear on the Toronto System.  Are all potential Buyers viewing your home?  

More power into the hands of the consumers Yes!  I am in favour of the VOW's. I will post my VOW shortly.  I am also favour of real Brick and Mortar offices where complaints or disputes can be aired, meetings take place, and  live telephone answering occurs.  Those appointment front desks are the lifeblood of getting your listing seen and showings booked.  What services will I continue to provide? 

Personally I think it permits Brokerages /Agents to provide a lower level of service under the pretense of SAVINGS.   More data requires context.   Context needs insight and experience.  That's what I provide.  Add your comments...