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2 months ago
in Take Back Your SERP: New Real Estate Agent Grassroots Movement on Sellsius
"I don't think media companies like Trulia will survive in the real estate space without jacking prices to agents for featured listings and ads."
I don't know if anyone has actually done a business analysis of looking at listing aggregator sites as a media play. It may be that even with a ceiling, the more segmented audience may lead to a higher CPM/CPC rate than generic media.
That's looking at it from non-realtor advertisers, like Home Depot, of course.
-rsh
PS: Loopnet seems to do just fine as a "media play" by the way.
I don't know if anyone has actually done a business analysis of looking at listing aggregator sites as a media play. It may be that even with a ceiling, the more segmented audience may lead to a higher CPM/CPC rate than generic media.
That's looking at it from non-realtor advertisers, like Home Depot, of course.
-rsh
PS: Loopnet seems to do just fine as a "media play" by the way.
1 reply
2 months ago
in Take Back Your SERP: New Real Estate Agent Grassroots Movement on Sellsius
Joe -- you're on fire today. :)
While I may agree with everything you've written, I do think there's something a little bit missing. Which is... why does T&Z have any traffic at all?
Fact is, consumers don't care whose website they are on; they care about user experience. Perhaps buyers need to know that they're not getting 100% of the MLS/IDX listings, but that's something an agent will do for them anyway somewhere in the process. And most agent/broker websites provide the user experience of a particularly opaque federal agency.
So my question is this: Suppose tomorrow, Pete Flint were to resign and hand the reins of Trulia to you. How would you change things? How do you make money if you're T&Z in real partnership with the realtor community, if as you say, they're currently taking advantage of them?
Is there a way forward? Or is this simply a case of T&Z (along with Realtor.com) needing to go out of business?
-rsh
While I may agree with everything you've written, I do think there's something a little bit missing. Which is... why does T&Z have any traffic at all?
Fact is, consumers don't care whose website they are on; they care about user experience. Perhaps buyers need to know that they're not getting 100% of the MLS/IDX listings, but that's something an agent will do for them anyway somewhere in the process. And most agent/broker websites provide the user experience of a particularly opaque federal agency.
So my question is this: Suppose tomorrow, Pete Flint were to resign and hand the reins of Trulia to you. How would you change things? How do you make money if you're T&Z in real partnership with the realtor community, if as you say, they're currently taking advantage of them?
Is there a way forward? Or is this simply a case of T&Z (along with Realtor.com) needing to go out of business?
-rsh
1 reply
jfsellsius
Must be all the Harvard videos I watched at YouTubeEdu.
Yes, buyers do need to know they're not getting 100% of the MLS/IDX listings, which are available on RE agents' websites. And yes, this falls on the agents' shoulders to make this common public knowledge. But in the name of all that is holy in the transparent age, shouldn't TruZilla expose this bug in their soup as a service to the consuming public, or is the median error rate more valuable (that error rate is totally worthless BTW) IMO, they should. Not their job? That's Web 1.0 non transparency-- same old shitake. I thought we are in a new age. Apparently not. They are transparency posers, plain and simple.
If Trulia & Zillow were up front about the MLS/IDX gap they would actually be helping agents-- so keeping it a dirty little secret means, to me, they really don;t want consumers going to agent websites directly to see all the MLS/IDX listings. Bad kitty.
Consumers care about listings #1-- even over user experience. I'd wager you can give them a crappy Craigslist UI-- if it had ALL the listings, they would go there. So agent ads on Trulia or Zillow-- a total waste of money IMO. I'm rooting for a metasearch engine like retrove.
Here is my advice to Zillow (Im still waiting for their check), a company which could win the cola wars if they knew how to use what they, and no others, have:
http://blog.sellsiusrealestate.com/zillow/a-val...
But their Kelley Blew It Book zestimate is their curse. Plus their UI really needs an overhaul. Awful. I feel like I want to squint.
I don't think media companies like Trulia will survive in the real estate space without jacking prices to agents for featured listings and ads. (IMO Pete and Sami would rather sell their science project and move on. These guys dont come from the industry & have no attachment to it). The reason for the ad dollar straightjacket is because, IMO, there is a "visitor ceiling" on real estate portals-- you're never going to see 10 million monthly uniques for listings-- unless you take the TruZilla monster to China.
Yes, buyers do need to know they're not getting 100% of the MLS/IDX listings, which are available on RE agents' websites. And yes, this falls on the agents' shoulders to make this common public knowledge. But in the name of all that is holy in the transparent age, shouldn't TruZilla expose this bug in their soup as a service to the consuming public, or is the median error rate more valuable (that error rate is totally worthless BTW) IMO, they should. Not their job? That's Web 1.0 non transparency-- same old shitake. I thought we are in a new age. Apparently not. They are transparency posers, plain and simple.
If Trulia & Zillow were up front about the MLS/IDX gap they would actually be helping agents-- so keeping it a dirty little secret means, to me, they really don;t want consumers going to agent websites directly to see all the MLS/IDX listings. Bad kitty.
Consumers care about listings #1-- even over user experience. I'd wager you can give them a crappy Craigslist UI-- if it had ALL the listings, they would go there. So agent ads on Trulia or Zillow-- a total waste of money IMO. I'm rooting for a metasearch engine like retrove.
Here is my advice to Zillow (Im still waiting for their check), a company which could win the cola wars if they knew how to use what they, and no others, have:
http://blog.sellsiusrealestate.com/zillow/a-val...
But their Kelley Blew It Book zestimate is their curse. Plus their UI really needs an overhaul. Awful. I feel like I want to squint.
I don't think media companies like Trulia will survive in the real estate space without jacking prices to agents for featured listings and ads. (IMO Pete and Sami would rather sell their science project and move on. These guys dont come from the industry & have no attachment to it). The reason for the ad dollar straightjacket is because, IMO, there is a "visitor ceiling" on real estate portals-- you're never going to see 10 million monthly uniques for listings-- unless you take the TruZilla monster to China.
2 months ago
in Zillow vs. Trulia – A Cage Match For The Ages on Tribus Real Estate - The "UnFranchise"
Unless I'm very mistaken (entirely possible), neither Trulia nor Zillow get a true "IDX feed" from anyone. They're not participants in an MLS in the sense a broker or agent is.
The feed that Zillow gets from CB is not the IDX feed, but the CREST feed. I suppose where Zillow/Trulia has a relationship directly with an MLS, they may be getting the direct MLS feed -- but who knows?
Plus, allowing data editing is a tricky, tricky proposition. Ensuring data integrity is no small feat. For example, how do you deal with overwrite rules? Does the MLS feed data overrule hand-edits in Trulia? Or does the hand-edits in Trulia take precedence, based on timestamp of entry?
-rsh
The feed that Zillow gets from CB is not the IDX feed, but the CREST feed. I suppose where Zillow/Trulia has a relationship directly with an MLS, they may be getting the direct MLS feed -- but who knows?
Plus, allowing data editing is a tricky, tricky proposition. Ensuring data integrity is no small feat. For example, how do you deal with overwrite rules? Does the MLS feed data overrule hand-edits in Trulia? Or does the hand-edits in Trulia take precedence, based on timestamp of entry?
-rsh
3 months ago
in Does Size Matter In Social Media? (Or Does It Just Feel Better?) on Sellsius
Hehe, if they came to our LSSMC meetings, they'd know. :)
Anyhow, re: this passage:
Maybe the problem is that I fundamentally see social media as just a way to have interesting conversations. So quality followers to me are folks I can have interesting conversations with.
The Walmart example is again skewed and not on point. Quality doesn't translate to "wealthy". If I were out to sell a whole mess o' goods, then I'd want to be the low-cost provider to get the largest number of poor folks buying from me.
But if my goal is to have interesting conversations, and learn from people, and expand my horizons, then I rather think the definition of "quality" vs. "quantity" change dramatically. i can't have a conversation with 1,000 people; I can broadcast to a 1,000 people, but not truly converse with them.
I can -- with social media tools -- have convos with multiple people at the same time, as long as they're responding back, giving and taking, and so on.
-rsh
Anyhow, re: this passage:
Quality will not always trump quantity when it comes to ROI. Just ask Sam Walton or F.W. Woolworth (wait, they're dead) or the guy who came up with the Dollar store. In real estate, are you getting a better ROI selling mansions over starter homes? Is a seller a better quality client than a buyer? It depends on the market. Maybe the smarter ROI strategy is to do rentals. Quality v quantity comes down to -- it depends.
If One Quality Follower is Good, is 10 Better?
In terms of followers, I certainly would prefer quality followers, i.e. those who might hire, refer or recommend me. But there's a problem---I don't know how to make that judgment. Do you? So by increasing the followers you attract (as supposed to solicit by quid pro quo following), you increase the chances of attracting more quality followers.
Maybe the problem is that I fundamentally see social media as just a way to have interesting conversations. So quality followers to me are folks I can have interesting conversations with.
The Walmart example is again skewed and not on point. Quality doesn't translate to "wealthy". If I were out to sell a whole mess o' goods, then I'd want to be the low-cost provider to get the largest number of poor folks buying from me.
But if my goal is to have interesting conversations, and learn from people, and expand my horizons, then I rather think the definition of "quality" vs. "quantity" change dramatically. i can't have a conversation with 1,000 people; I can broadcast to a 1,000 people, but not truly converse with them.
I can -- with social media tools -- have convos with multiple people at the same time, as long as they're responding back, giving and taking, and so on.
-rsh
1 reply
jfsellsius
So would you think it better to have 5 of those quality followers or 50?
3 months ago
in Does Size Matter In Social Media? (Or Does It Just Feel Better?) on Sellsius
Love the continuation of the debate, Joe. :) Since this one, I am personally on the other side, I can take that back up.
The truism that if you have zero followers, then quality doesn't matter is just that: a truism. The real question is whether quality trumps quantity or not.
And FWIW, I don't know that you measure quality in terms of "how much $$ will this follower bring me". I rather think of quality in terms of "how much does this person add to the conversation, bring up questions and points, and is worthy of following himself/herself?"
One thing that does strike me is that the more someone tries to use social media as a lead-gen tool, the less effective that someone tends to be. Why is that? I'm not sure I know. But it does happen.
-rsh
The truism that if you have zero followers, then quality doesn't matter is just that: a truism. The real question is whether quality trumps quantity or not.
And FWIW, I don't know that you measure quality in terms of "how much $$ will this follower bring me". I rather think of quality in terms of "how much does this person add to the conversation, bring up questions and points, and is worthy of following himself/herself?"
One thing that does strike me is that the more someone tries to use social media as a lead-gen tool, the less effective that someone tends to be. Why is that? I'm not sure I know. But it does happen.
-rsh
1 reply
jfsellsius
I always enjoy rasslin' with you, Rob. Readers should know we do it all the time.
Quality will not always trump quantity when it comes to ROI. Just ask Sam Walton or F.W. Woolworth (wait, they're dead) or the guy who came up with the Dollar store. In real estate, are you getting a better ROI selling mansions over starter homes? Is a seller a better quality client than a buyer? It depends on the market. Maybe the smarter ROI strategy is to do rentals. Quality v quantity comes down to -- it depends.
If One Quality Follower is Good, is 10 Better?
In terms of followers, I certainly would prefer quality followers, i.e. those who might hire, refer or recommend me. But there's a problem---I don't know how to make that judgment. Do you? So by increasing the followers you attract (as supposed to solicit by quid pro quo following), you increase the chances of attracting more quality followers.
In the example I use in the post, if the goal was to attract 100 quality followers, if A has 100 and C 10,000, A would need 100% of his followers to meet the goal while C would need only 1% of his. And if C can do better than 1% he will beat even A's 100 quality followers.
Now, here's a little story that may help. Gary V said he put an offer for free shipping on his website and other online and offline venues (I think even his billboard) and he got more takers from Twitter (1700) than from all other venues combined. Now, Gary has over 100,000 followers so 1700 maybe aint that great--- but if he had only 100 followers, I think 1700 sales would be out of the question. (Maybe that's why Super Bowl ads cost so much.)
(Yes, I agree that you don't have to judge quality in $ and can look at what comes from the interaction in SM-- but that interaction is not restricted to your social media entourage.)
The lead gen thing is up for grabs-- the problem lies in the quantity and quality of the lead gen message. Too much is no good and even a little won't work if it's cheesy. IMO, the degree of lead gen success is a function of the quantity and quality of the message and, more importantly, the perceived value the receiver derives from that message. That's why tutorial marketing is, perhaps, the lead gen tool of web 2.0 and social media-- I'll buy the Thesis theme for my Wordpress blog because Brian Clark is one helluva blogger and teacher.
In the case of lead gen in SM, the old in and out may not bring the most pleasure.
Quality will not always trump quantity when it comes to ROI. Just ask Sam Walton or F.W. Woolworth (wait, they're dead) or the guy who came up with the Dollar store. In real estate, are you getting a better ROI selling mansions over starter homes? Is a seller a better quality client than a buyer? It depends on the market. Maybe the smarter ROI strategy is to do rentals. Quality v quantity comes down to -- it depends.
If One Quality Follower is Good, is 10 Better?
In terms of followers, I certainly would prefer quality followers, i.e. those who might hire, refer or recommend me. But there's a problem---I don't know how to make that judgment. Do you? So by increasing the followers you attract (as supposed to solicit by quid pro quo following), you increase the chances of attracting more quality followers.
In the example I use in the post, if the goal was to attract 100 quality followers, if A has 100 and C 10,000, A would need 100% of his followers to meet the goal while C would need only 1% of his. And if C can do better than 1% he will beat even A's 100 quality followers.
Now, here's a little story that may help. Gary V said he put an offer for free shipping on his website and other online and offline venues (I think even his billboard) and he got more takers from Twitter (1700) than from all other venues combined. Now, Gary has over 100,000 followers so 1700 maybe aint that great--- but if he had only 100 followers, I think 1700 sales would be out of the question. (Maybe that's why Super Bowl ads cost so much.)
(Yes, I agree that you don't have to judge quality in $ and can look at what comes from the interaction in SM-- but that interaction is not restricted to your social media entourage.)
The lead gen thing is up for grabs-- the problem lies in the quantity and quality of the lead gen message. Too much is no good and even a little won't work if it's cheesy. IMO, the degree of lead gen success is a function of the quantity and quality of the message and, more importantly, the perceived value the receiver derives from that message. That's why tutorial marketing is, perhaps, the lead gen tool of web 2.0 and social media-- I'll buy the Thesis theme for my Wordpress blog because Brian Clark is one helluva blogger and teacher.
In the case of lead gen in SM, the old in and out may not bring the most pleasure.
3 months ago
in Future of Real Estate Brokerage: Part 2 – The Salary Based Realtor on Tribus Real Estate - The "UnFranchise"
@Lesley -
All of the equity traders at Goldman Sachs are on salary. I personally know one guy who took home $15m in 2006; he was 32 at the time. What's the ceiling?
Salary != ceiling. Because with bonuses, profit sharing, and the like, there really is no ceiling. Salary does, however, mean more control over the agent by the broker. That strikes me as the real sticking point. And the flipside is that the broker really DOES have to provide the salaried agent with all of the tools and training and resources to be able to do his/her job. You can't hide behind the "1099 excuse" anymore.
-rsh
All of the equity traders at Goldman Sachs are on salary. I personally know one guy who took home $15m in 2006; he was 32 at the time. What's the ceiling?
Salary != ceiling. Because with bonuses, profit sharing, and the like, there really is no ceiling. Salary does, however, mean more control over the agent by the broker. That strikes me as the real sticking point. And the flipside is that the broker really DOES have to provide the salaried agent with all of the tools and training and resources to be able to do his/her job. You can't hide behind the "1099 excuse" anymore.
-rsh
4 months ago
in The NAR Made A Dog An Offer He Couldn’t Refuse: A Trademark He Could Pimp on Sellsius
Is the movie over already? I just got my popcorn and candy!
I think Greg and you should debate at RE Tech South instead of me... I'm willing to yield my slot.
-rsh
I think Greg and you should debate at RE Tech South instead of me... I'm willing to yield my slot.
-rsh
1 reply
jfsellsius
The man only debates on Animal Farms.
4 months ago
in Four years of social media. What has it gotten me? on Lenderama.com
Congrats on the venture, Todd. And you ARE in fact the man. And a kind of a big deal.
Now, I'm off to throw cold water on the last sentence in your post... because I have to save the poor deluded legions out there who think they too can be @tcar or @garyvee. :)
-rsh
Now, I'm off to throw cold water on the last sentence in your post... because I have to save the poor deluded legions out there who think they too can be @tcar or @garyvee. :)
-rsh
5 months ago
in In which I respond to the Notorious R.O.B re: “Community” et al. on The Real Estate Zebra
LOL -- great opening music. :)
I will have a response soon brotha. Gotta head home soon.
-rsh
I will have a response soon brotha. Gotta head home soon.
-rsh
7 months ago
in Charity Makes You Hot on Sellsius7 months ago
in Naming names in the call for participation in my RE Barcamp/Connect NYC surprise on The Real Estate Zebra
Dude... I'm so sorry. But uh... fabric huh? I haven't even touched paper in a couple of years and you want to go back to the old school with actual fabric?
I'm looking to outsource fabric-sending to someone, anyone, with an extra scrap. :) Message me!
-rsh
I'm looking to outsource fabric-sending to someone, anyone, with an extra scrap. :) Message me!
-rsh
7 months ago
in Let U.S. Seniors Defer Real Estate Property Taxes Like Canadians on Sellsius
Deferment of taxes is a clear subsidy mechanism. Otherwise, what's the point of doing it in the first place? Just like having your income taxes deferred on your IRA or 401(k) is a major benefit, creating a real incentive to invest in retirement accounts, deferring property taxes would create a real incentive for seniors to hold on to housing they otherwise would have sold.
Working owners are in fact paying higher taxes, if we assume that the government does not cut spending to take account of the lost current revenues from the Senior Tax Deferment program. Someone has to pay for it.
School taxes are a whole other can o' worms, frankly, as that raises the whole question of whether property taxes are the appropriate way to finance government schools. For that matter, it raises the question of whether government schools should exist in the first place -- and if they should, then whether there should be price-based competition for such schools (via vouchers and the like).
So I consider that a red herring in this particular discussion.
At the same time, if property taxes are too high in order to support government schools, then a senior can justly decide to sell the house to a young family with children (who would gladly pay those taxes) and move to an area with lower school taxes (or none, as some seniors-only developments have). Deferment of taxes would defeat precisely this motivation to sell and move, resulting in lower supply in the market, which in turn drives up the price of housing.
-rsh
Working owners are in fact paying higher taxes, if we assume that the government does not cut spending to take account of the lost current revenues from the Senior Tax Deferment program. Someone has to pay for it.
School taxes are a whole other can o' worms, frankly, as that raises the whole question of whether property taxes are the appropriate way to finance government schools. For that matter, it raises the question of whether government schools should exist in the first place -- and if they should, then whether there should be price-based competition for such schools (via vouchers and the like).
So I consider that a red herring in this particular discussion.
At the same time, if property taxes are too high in order to support government schools, then a senior can justly decide to sell the house to a young family with children (who would gladly pay those taxes) and move to an area with lower school taxes (or none, as some seniors-only developments have). Deferment of taxes would defeat precisely this motivation to sell and move, resulting in lower supply in the market, which in turn drives up the price of housing.
-rsh
1 reply
jfsellsius
As I understand subsidies, they are payments or credits, not loans. To the extent the government is extending interest below market, at worst, you have a subsidized loan--- a tad more tasty than an outright subsidy, no?--- like the ones given to students to attend colleges they would otherwise not be able to afford. I am not against subsidized loans for seniors in this case, absent some proven disadvantage to some more deserving segment of the population. I would await some facts and figures before I am ready to denounce the program as a bad idea.
"Working owners are in fact paying higher taxes, if we assume that the government does not cut spending to take account of the lost current revenues from the Senior Tax Deferment program. Someone has to pay for it."
Yes, that would be an assumption. But even if the gov't were operating at a deficit or would require the raising of taxes to cover the shortfall from senior tax deferments, one group would not bear that burden over another-- as far as I know, the property taxes are uniformly assessed based on home value, not age or employment of the owner. So, in fact, any increased taxes would affect the entire tax paying group and not just working owners (we already covered the case that seniors may, in fact, be working owners)
"...deferring property taxes would create a real incentive for seniors to hold on to housing they otherwise would have sold."
I agree, but it that a bad outcome? I don't know, but I don't think so. As I see it, if they would otherwise not have sold, the result is a "forced" sale by these seniors. Forced sales lead to sales below market value. That seems to me an unfair deal to these folks who have built up equity in their homes and contributed to the community over the years-- at least w/ the deferment, a sale could be made at FMV. And would not the lower sales prices, in turn, drive down the values of other homes in the area?
And if the seniors sold, where would they go? To a rental? Would they then be raising the demand for rental housing, leading to higher rents, given current supply, thereby adversely affecting not only other seniors but young families who must rent. In the end, someone always pays. The question is perhaps seniors may have earned the right to get the break.
PS: School taxes are a part of my property taxes here in PA. If they are a part of BC property taxes, the herring is pickled and seniors maybe ought not be subsidizing (paying, not loaning) the taxes of homeowners with children.
As always, a delight to discuss with you, rsh.
"Working owners are in fact paying higher taxes, if we assume that the government does not cut spending to take account of the lost current revenues from the Senior Tax Deferment program. Someone has to pay for it."
Yes, that would be an assumption. But even if the gov't were operating at a deficit or would require the raising of taxes to cover the shortfall from senior tax deferments, one group would not bear that burden over another-- as far as I know, the property taxes are uniformly assessed based on home value, not age or employment of the owner. So, in fact, any increased taxes would affect the entire tax paying group and not just working owners (we already covered the case that seniors may, in fact, be working owners)
"...deferring property taxes would create a real incentive for seniors to hold on to housing they otherwise would have sold."
I agree, but it that a bad outcome? I don't know, but I don't think so. As I see it, if they would otherwise not have sold, the result is a "forced" sale by these seniors. Forced sales lead to sales below market value. That seems to me an unfair deal to these folks who have built up equity in their homes and contributed to the community over the years-- at least w/ the deferment, a sale could be made at FMV. And would not the lower sales prices, in turn, drive down the values of other homes in the area?
And if the seniors sold, where would they go? To a rental? Would they then be raising the demand for rental housing, leading to higher rents, given current supply, thereby adversely affecting not only other seniors but young families who must rent. In the end, someone always pays. The question is perhaps seniors may have earned the right to get the break.
PS: School taxes are a part of my property taxes here in PA. If they are a part of BC property taxes, the herring is pickled and seniors maybe ought not be subsidizing (paying, not loaning) the taxes of homeowners with children.
As always, a delight to discuss with you, rsh.
7 months ago
in Let U.S. Seniors Defer Real Estate Property Taxes Like Canadians on Sellsius
Blogfather -
Forgive my impertinence, but... this has to be one of the worst ideas I've ever seen posted on Sellsius, even by a guest blogger.
So we're going to import socialism from Canada?
Has there been any studies on impact of these tax deferments on market transactions, or market prices? When the taxpayers (aka, the "province" -- it isn't their own money the "province" is spending, but the taxpayers who live there) subsidize the homeownership of elderly people who apparently should have been moving out years ago, what is the effect on the local real estate market?
Restricting supply necessarily means higher prices if demand stays constant. So not only are the working families of British Columbia paying higher taxes so that old people can stay in homes they can not afford otherwise, but they end up paying higher home prices because the supply is restricted.
What a fantastic idea! NOT.
The free market works when it is allowed to work. These policies may be well-intended, but you know what they say about the road to hell....
-rsh
Forgive my impertinence, but... this has to be one of the worst ideas I've ever seen posted on Sellsius, even by a guest blogger.
So we're going to import socialism from Canada?
Has there been any studies on impact of these tax deferments on market transactions, or market prices? When the taxpayers (aka, the "province" -- it isn't their own money the "province" is spending, but the taxpayers who live there) subsidize the homeownership of elderly people who apparently should have been moving out years ago, what is the effect on the local real estate market?
Restricting supply necessarily means higher prices if demand stays constant. So not only are the working families of British Columbia paying higher taxes so that old people can stay in homes they can not afford otherwise, but they end up paying higher home prices because the supply is restricted.
What a fantastic idea! NOT.
The free market works when it is allowed to work. These policies may be well-intended, but you know what they say about the road to hell....
-rsh
1 reply
jf
I'm not sure deferring real estate property taxes to seniors (or others) is the road to socialism. Deferment does not operate to excuse the payment, it merely delays it, and at some cost, due to interest.
Since homes are taxed based on their value, and not age or employment of the owner (value of the owner?), I disagree the working owners are paying higher taxes by virtue of the program. In addition, we cannot conclude seniors who must defer taxes are unemployed-- many of them may still be among the working class of British Columbia.
Consider that "school taxes" are often a part of the real estate tax package. Since seniors have already put their children through the school system (and paid their taxes w/o deferment), their continued payment of those taxes puts them in the position of subsidizing the younger families currently putting their children through school. In such case, the idea is indeed a bad one-- seniors taxes should be justly LOWERED to the extent of any school taxes in the mix.
If studies have been made relating to the program's effect, I am unaware of them. Perhaps the author may shed some light on the consequences and the imagined road to hell may be paved in yellow bricks.
Since homes are taxed based on their value, and not age or employment of the owner (value of the owner?), I disagree the working owners are paying higher taxes by virtue of the program. In addition, we cannot conclude seniors who must defer taxes are unemployed-- many of them may still be among the working class of British Columbia.
Consider that "school taxes" are often a part of the real estate tax package. Since seniors have already put their children through the school system (and paid their taxes w/o deferment), their continued payment of those taxes puts them in the position of subsidizing the younger families currently putting their children through school. In such case, the idea is indeed a bad one-- seniors taxes should be justly LOWERED to the extent of any school taxes in the mix.
If studies have been made relating to the program's effect, I am unaware of them. Perhaps the author may shed some light on the consequences and the imagined road to hell may be paved in yellow bricks.
7 months ago
in 3D Business Cards: Snapily on Sellsius
blogfather - you need to get yourself one of JeffX's stainless steel business cards.
it's the ultimate business card.
-rsh
it's the ultimate business card.
-rsh
8 months ago
in Find My Dream House and I’ll Pay You $10,000: Crowdsourcing Real Estate Search on Sellsius
Heh, thanks Joe. :)
My thought was that it would be your friends and family that would be the crowd, rather than the random stranger. That probably has more to do with how I use blip.fm though -- I like listening to friends list rather than the odd stranger.
I can see offering a bounty like you suggest though -- but then, you'd have to train buyers to pay for buyer services. And if you can do that, then the whole "Buyer Agent" practice would be thriving, I'd imagine.
-rsh
My thought was that it would be your friends and family that would be the crowd, rather than the random stranger. That probably has more to do with how I use blip.fm though -- I like listening to friends list rather than the odd stranger.
I can see offering a bounty like you suggest though -- but then, you'd have to train buyers to pay for buyer services. And if you can do that, then the whole "Buyer Agent" practice would be thriving, I'd imagine.
-rsh
1 reply
jfsellsius
The "house bounty" is equivalent to the buyer's premium paid at auctions for personal property. If you call it a "house reward" you can equate it to finding your lost Rolex. It's all in the packaging.
I do believe the buyer's agent practice will begin to thrive once consumers realize "Hey, I didn't know my agent was actually working for the seller."
Your friends and family sound great-- I can't even get mine to give me a lift to the airport :)
I do believe the buyer's agent practice will begin to thrive once consumers realize "Hey, I didn't know my agent was actually working for the seller."
Your friends and family sound great-- I can't even get mine to give me a lift to the airport :)
8 months ago
in If I were NAR’s Social Media Manager on Lenderama.com
Todd -
I'm completely torn on this.
On the one hand, you're perfectly qualified and your plan makes a lot of sense. As someone said, if not tcar, then who?
On the other hand, I just don't know if NAR is qualified to have you. I think there are fundamental issues with NAR and with the industry as it stands right now that cannot be addressed by social media, and may end up stifling all of the innovation and great ideas and skills you would bring to the table.
At the same time, having worked in large organizations myself, I can't see how you could possibly remain the tcar you are today while inside of a national, prominent organization. You can't. You just can't. That is the essential tradeoff that individuals make when they take on huge responsibilities in large organizations (that don't 'get it').
Add on to the fact that NAR is in some ways an assemblage of state associations, which are in turn a melange of local associations, etc. and I think you're looking at what might end up as an untenable situation.
At the same time... if anyone can overcome those challenges and truly effect change in the industry, it's you.
So I'm torn. "Put the best man in the job" says to urge you on. But "Don't waste your best shot before it's time" says to urge you to reconsider. Gah!
-rsh
I'm completely torn on this.
On the one hand, you're perfectly qualified and your plan makes a lot of sense. As someone said, if not tcar, then who?
On the other hand, I just don't know if NAR is qualified to have you. I think there are fundamental issues with NAR and with the industry as it stands right now that cannot be addressed by social media, and may end up stifling all of the innovation and great ideas and skills you would bring to the table.
At the same time, having worked in large organizations myself, I can't see how you could possibly remain the tcar you are today while inside of a national, prominent organization. You can't. You just can't. That is the essential tradeoff that individuals make when they take on huge responsibilities in large organizations (that don't 'get it').
Add on to the fact that NAR is in some ways an assemblage of state associations, which are in turn a melange of local associations, etc. and I think you're looking at what might end up as an untenable situation.
At the same time... if anyone can overcome those challenges and truly effect change in the industry, it's you.
So I'm torn. "Put the best man in the job" says to urge you on. But "Don't waste your best shot before it's time" says to urge you to reconsider. Gah!
-rsh
9 months ago
in The House kills it. Capitalism survives for one more day. on Lenderama.com
Chris Brown -
I do actually think (now) that the market can repair this organically with zero gov't interference. I am convinced by Miron's argument:
http://www.cnn.com/2008/POLITICS/09/29/miron.ba...
Jeff Miron is an economist at Harvard. He's pretty smart. And his arguments make much sense, especially this one:
That makes so much sense to me that I can no longer support a government bailout of any kind. Lender of last resort, fine. Nothing more.
-rsh
I do actually think (now) that the market can repair this organically with zero gov't interference. I am convinced by Miron's argument:
http://www.cnn.com/2008/POLITICS/09/29/miron.ba...
Jeff Miron is an economist at Harvard. He's pretty smart. And his arguments make much sense, especially this one:
Thoughtful advocates of the bailout might concede this perspective, but they argue that a bailout is necessary to prevent economic collapse. According to this view, lenders are not making loans, even for worthy projects, because they cannot get capital. This view has a grain of truth; if the bailout does not occur, more bankruptcies are possible and credit conditions may worsen for a time.
Talk of Armageddon, however, is ridiculous scare-mongering. If financial institutions cannot make productive loans, a profit opportunity exists for someone else. This might not happen instantly, but it will happen.
Further, the current credit freeze is likely due to Wall Street's hope of a bailout; bankers will not sell their lousy assets for 20 cents on the dollar if the government might pay 30, 50, or 80 cents.
The costs of the bailout, moreover, are almost certainly being understated. The administration's claim is that many mortgage assets are merely illiquid, not truly worthless, implying taxpayers will recoup much of their $700 billion.
If these assets are worth something, however, private parties should want to buy them, and they would do so if the owners would accept fair market value. Far more likely is that current owners have brushed under the rug how little their assets are worth.
That makes so much sense to me that I can no longer support a government bailout of any kind. Lender of last resort, fine. Nothing more.
-rsh
9 months ago
in The House kills it. Capitalism survives for one more day. on Lenderama.com
@Dave -
Again, it isn't about whether I believe something will or will not happen. Try not to panic. We'll be all right; we'll get past this. Maybe I'm dead wrong, but I do not believe that the United States has become a nation of nancy boys in two generations. Call me a homer, but I believe in the American people and the American economy.
While I have less faith in the American politician, even they have to recognize that something has to be done. And something will be. There simply is no reason to panic just because the House said nyet.
FWIW, if interbank lending has frozen, then the Fed can step in to become the lender of last resort. If banks all go out of business, the Fed can become the world's largest commercial bank, providing credit direct to businesses. We'll get by.
@Chris -
True, the political classes have failed us most spectacularly in recent decades. The media has as well. But again, I'm an optimist, and I remain fundamentally bullish on America.
Now it's time to go back to work and try to influence the things I actually can control... like deadlines. :)
-rsh
Again, it isn't about whether I believe something will or will not happen. Try not to panic. We'll be all right; we'll get past this. Maybe I'm dead wrong, but I do not believe that the United States has become a nation of nancy boys in two generations. Call me a homer, but I believe in the American people and the American economy.
While I have less faith in the American politician, even they have to recognize that something has to be done. And something will be. There simply is no reason to panic just because the House said nyet.
FWIW, if interbank lending has frozen, then the Fed can step in to become the lender of last resort. If banks all go out of business, the Fed can become the world's largest commercial bank, providing credit direct to businesses. We'll get by.
@Chris -
True, the political classes have failed us most spectacularly in recent decades. The media has as well. But again, I'm an optimist, and I remain fundamentally bullish on America.
Now it's time to go back to work and try to influence the things I actually can control... like deadlines. :)
-rsh
9 months ago
in The House kills it. Capitalism survives for one more day. on Lenderama.com
@Dave -
Seems to me the person who needs to get a grip is you. Tone down the language a tad, wouldja? I know it's a stressful time for you, but your ranting isn't exactly 'helpful'. Stop reading blogs; go take a calming walk. Have a drink -- it isn't too early.
@Diane -
You may have confused me for some Ronulan who thinks all gov't is eeeeevil and so on. I'm not opposed to some sort of stabilization, but the devil is in the details. And I'm not aware of any previous financial crises where the federales have stepped in as a direct market participant. Lender of last resort, yes. Injection of capital, yes. Directly buying toxic assets? No.
"What then do you think the role of the federal government is in our type of system.?"
As the above probably makes clear, the Feds are the lender of last resort in times of serious market panic. Frankly, if the Fed were to provide $700B in loans to the top 25 American commercial banks and let them figure out how to deal with toxic assets, I would have fewer issues with the bailout.
Above all, my point is that the Feds can and should take immediate action to create some breathing room. I worry that a truly horrible "plan" gets crammed down due to the emergency. Well, stabilize day by day; let's take it week by week. Until we have a plan everyone can sign off on.
What a natural disaster has to do with this is beyond my ken, except perhaps as a hyperbole invoking some sort of panic response.
-rsh
Seems to me the person who needs to get a grip is you. Tone down the language a tad, wouldja? I know it's a stressful time for you, but your ranting isn't exactly 'helpful'. Stop reading blogs; go take a calming walk. Have a drink -- it isn't too early.
@Diane -
You may have confused me for some Ronulan who thinks all gov't is eeeeevil and so on. I'm not opposed to some sort of stabilization, but the devil is in the details. And I'm not aware of any previous financial crises where the federales have stepped in as a direct market participant. Lender of last resort, yes. Injection of capital, yes. Directly buying toxic assets? No.
"What then do you think the role of the federal government is in our type of system.?"
As the above probably makes clear, the Feds are the lender of last resort in times of serious market panic. Frankly, if the Fed were to provide $700B in loans to the top 25 American commercial banks and let them figure out how to deal with toxic assets, I would have fewer issues with the bailout.
Above all, my point is that the Feds can and should take immediate action to create some breathing room. I worry that a truly horrible "plan" gets crammed down due to the emergency. Well, stabilize day by day; let's take it week by week. Until we have a plan everyone can sign off on.
What a natural disaster has to do with this is beyond my ken, except perhaps as a hyperbole invoking some sort of panic response.
-rsh
9 months ago
in The House kills it. Capitalism survives for one more day. on Lenderama.com
Diane,
I think you may be right, though I do not know the origin of the mark-to-market rule. And I'm not hostile to the rule itself.
However, given the current market conditions, mark-to-market could cause banks that otherwise would be fine to have to shut their doors. Consider that banks have reserve requirements by law; they have to keep some money in cash at hand. Under current market conditions, the incentive is to keep dropping the price of securities lower and lower until someone steps in. That, to me, explains the enormous losses in equities because holders have to sell them to meet reserve requirements, make margin calls, meet debt covenants, etc. in part due to mark-to-market rules and how they blend with other factors.
I just don't get the jumpstart argument, frankly. If private entities are willing to buy at $X, but only the Treasury is willing to buy at more than $X... that's not a mechanism failure but simply a matter of pricing. The Treasury is willing to pay more than what the private market participant is. That to me sounds like a classic bailout.
If you truly believed that these securities have value far above purchase price, then you should be calling your broker to buy them. They can be had for dirt-cheap. This is an opportunity to make a killing.
And so, without the Paulson plan, the market will start to function again. But to buy time, to get some breathing room, I think the gov't could take a few actions short of a full solution.
-rsh
I think you may be right, though I do not know the origin of the mark-to-market rule. And I'm not hostile to the rule itself.
However, given the current market conditions, mark-to-market could cause banks that otherwise would be fine to have to shut their doors. Consider that banks have reserve requirements by law; they have to keep some money in cash at hand. Under current market conditions, the incentive is to keep dropping the price of securities lower and lower until someone steps in. That, to me, explains the enormous losses in equities because holders have to sell them to meet reserve requirements, make margin calls, meet debt covenants, etc. in part due to mark-to-market rules and how they blend with other factors.
I just don't get the jumpstart argument, frankly. If private entities are willing to buy at $X, but only the Treasury is willing to buy at more than $X... that's not a mechanism failure but simply a matter of pricing. The Treasury is willing to pay more than what the private market participant is. That to me sounds like a classic bailout.
If you truly believed that these securities have value far above purchase price, then you should be calling your broker to buy them. They can be had for dirt-cheap. This is an opportunity to make a killing.
And so, without the Paulson plan, the market will start to function again. But to buy time, to get some breathing room, I think the gov't could take a few actions short of a full solution.
-rsh
9 months ago
in The House kills it. Capitalism survives for one more day. on Lenderama.com
FWIW, I join you Todd in celebrating this day. But with caution and trepidation.
As those of us in the dextrosphere have been discussing for a while now, there are practical emergencies that do sometimes require compromising principle. (Insert random ticking bomb torture scenario here.) This credit crisis may just be one of those scenarios.
What Dave and Rebecca and others are pointing out is that this could be a VERY painful period sans bailout. What you and I and others believe, however, is that government inaction here may actually be better than government action -- given the history of government actions in the economy.
And yet, even I have to pause and wonder if this isn't one of those cases where we put ideological purity aside and see if there's something we can do to prevent a full-blown economic depression with minimal interference.
I like the insurance plan that the House Republicans pushed (and apparently couldn't get through); perhaps with a layer of safety net, the private market will start to function again. Fact is that 97% of all mortgages are just fine and dandy (I had a meeting with someone who should know last week). The media distorts the true picture, but then, they've been doing that for years now.
If anything, I could see three short-term steps short of fullblown bailout for immediate relief to the market.
#1 -- Suspend the "mark to market" accounting rules that are causing some of the panic selling by banks. Just with that, banks will have time to sort through their portfolio of mortgages and MBS to see which ones are junk and which ones are sound.
#2 -- Start a trial to test the "insurance" theory. Maybe let the Treasury spend up to $5B in insuring mortgages and MBS; that additional layer of protection might get private entities to want to wade through the morass that is MBS and bid on the ones they think are undervalued. Right now should be an incredible buying opportunity for folks with cash -- like Buffet.
#3 -- Immediately pass a temporary 90% tax on Hollywood actors, pop musicians, and media personalities who earn more than $500K a year. Call it an "Entertainment Windfall Tax". They are among our biggest proponents of government programs for "social justice". Let's answer their prayers. Use the proceeds to buy toxic assets. Let the pampered stars argue that they can't make ends meet on $500K a year. That'll be fun to watch.
-rsh
As those of us in the dextrosphere have been discussing for a while now, there are practical emergencies that do sometimes require compromising principle. (Insert random ticking bomb torture scenario here.) This credit crisis may just be one of those scenarios.
What Dave and Rebecca and others are pointing out is that this could be a VERY painful period sans bailout. What you and I and others believe, however, is that government inaction here may actually be better than government action -- given the history of government actions in the economy.
And yet, even I have to pause and wonder if this isn't one of those cases where we put ideological purity aside and see if there's something we can do to prevent a full-blown economic depression with minimal interference.
I like the insurance plan that the House Republicans pushed (and apparently couldn't get through); perhaps with a layer of safety net, the private market will start to function again. Fact is that 97% of all mortgages are just fine and dandy (I had a meeting with someone who should know last week). The media distorts the true picture, but then, they've been doing that for years now.
If anything, I could see three short-term steps short of fullblown bailout for immediate relief to the market.
#1 -- Suspend the "mark to market" accounting rules that are causing some of the panic selling by banks. Just with that, banks will have time to sort through their portfolio of mortgages and MBS to see which ones are junk and which ones are sound.
#2 -- Start a trial to test the "insurance" theory. Maybe let the Treasury spend up to $5B in insuring mortgages and MBS; that additional layer of protection might get private entities to want to wade through the morass that is MBS and bid on the ones they think are undervalued. Right now should be an incredible buying opportunity for folks with cash -- like Buffet.
#3 -- Immediately pass a temporary 90% tax on Hollywood actors, pop musicians, and media personalities who earn more than $500K a year. Call it an "Entertainment Windfall Tax". They are among our biggest proponents of government programs for "social justice". Let's answer their prayers. Use the proceeds to buy toxic assets. Let the pampered stars argue that they can't make ends meet on $500K a year. That'll be fun to watch.
-rsh
10 months ago
in Real Estate Homestead Idea on Maxsell Real Estate
Hi Brad,
Just wanted to say thanks for the comments. Although I share your skepticism about congresscritters... this doesn't strike me as anything that any union or special interest would oppose. It shouldn't have any impact on government jobs, etc. So I thought it might have a shot.
Maybe I need to write my congresscritter -- oh that's right. He hates me and my town, seeing as how we've been gerrymandered into his district....
-rsh
Just wanted to say thanks for the comments. Although I share your skepticism about congresscritters... this doesn't strike me as anything that any union or special interest would oppose. It shouldn't have any impact on government jobs, etc. So I thought it might have a shot.
Maybe I need to write my congresscritter -- oh that's right. He hates me and my town, seeing as how we've been gerrymandered into his district....
-rsh
1 reply
bnix
I completely agree. It's a win-win for everyone. It's so simple and obvious that I am certain congresscritters would junk it up, bloat it up and mess it up, but I am still a bit cynical based on the last real estate law they passed: Housing and Economic Recovery Act. I will write my congresscritter (love that term) and help plant some seeds.
As a local bank director, I can't think of a better plan to bail us out of the foreclosure crisis (and it is a crisis for many many banks).
As a local bank director, I can't think of a better plan to bail us out of the foreclosure crisis (and it is a crisis for many many banks).
11 months ago
in Risk Based Pricing How Mortgage Rates are Determined. Credit Scores and History on The XBroker
Jeff...
This should be perma-pinned somewhere on your site and various other sites.
In fact, this should be required reading for all graduating high school students.
I truly believe that if you took this whole series and turned it into an easy-to-read, easy-to-understand set of videos or books, it would be a valuable public service.
-rsh
This should be perma-pinned somewhere on your site and various other sites.
In fact, this should be required reading for all graduating high school students.
I truly believe that if you took this whole series and turned it into an easy-to-read, easy-to-understand set of videos or books, it would be a valuable public service.
-rsh
1 year ago
in Kentucky’s Un-American Attempt to Outlaw Anonymity on the Internet on Sellsius
Two things, Joe, as you point out.
This bill has no chance of passage. Period. So it's unfair to smear Kentucky with Tim Couch's rank malodor.
Second, you say that First Amendment may not apply to blogs and websites. Not so. It's one thing if the blogger himself or the website owner itself mandates registration before commenting. It is an entirely different beast if the government forces the blogger to force registration before comment.
In that case, yes, the blogger/website's First Amendment rights (that of free association, for one, and possibly freedom of the press) are violated. And all of the visitors' 1A rights are also violated.
-rsh
This bill has no chance of passage. Period. So it's unfair to smear Kentucky with Tim Couch's rank malodor.
Second, you say that First Amendment may not apply to blogs and websites. Not so. It's one thing if the blogger himself or the website owner itself mandates registration before commenting. It is an entirely different beast if the government forces the blogger to force registration before comment.
In that case, yes, the blogger/website's First Amendment rights (that of free association, for one, and possibly freedom of the press) are violated. And all of the visitors' 1A rights are also violated.
-rsh

Loopnet is a commercial real estate site, so a bit of an orange in the TZ apple cart. To the best of my recollection, they charge hefty subscription fees to members and featured listings fees? It certainly provides a model for the future Trulia -- free members get this morsel, paying members get the whole pie.