Realtors: Which Is It? (RE agent, appraiser, investment, fee)

[Flat2MT]

Originally Posted by Silverfall

The OP asks to ALL Realtors...

All Realtors don't say that. It is the leadership of the NAR that is promoting the contradicting information, not its individual members. It seems better posed to ask those folks why they think it's okay.

The OP is asking real estate agents that are REALTORS to defend a position they may not take. The REALTORS on this forum are a solid group of agents who think through each situation individually because that is in the best interest of consumers.

It's a great time to buy for some people and not for others. The real estate market will continue to tank in some areas and not others. Life doesn't exist in terms of black and white....lots of grays in the real estate world.

I mean seriously, should the NAR slogan be "It's a great time to buy in Keizer Oregon because it appears that the market is skidding on the bottom and we only have 5 months inventory, but in wherever California don't buy because we think it may still correct there more, unless you get a killer deal on an REO or short sale, then buy!"

Silverfall,
I think the key point you've made in attempting to answer this is the issue of 'contradicting information' coming from the NAR.

Doesn't it put its members between a rock and a hard place generally across all markets? If so, shouldn't its members speak up with one voice because their association leaders are doing them and their customers a disservice?

I would think that this could become a credibility issue for the NAR which would have blowback on its members.

What I see being done today is not in the best interest of consumers but more in the best interest of its members. I have no issues with that as long as the taxpayer isn't paying for it either directly or indirectly.

During the bubble, the NAR said it was a great time to buy yet there wasn't a FTHB credit. So if there wasn't a FTHB credit today, could one assume that the NAR would still say that it is a great time to buy generally across all markets?

[rjrcm]

Originally Posted by rubber_factory

Well, I'd say that requiring a person to be a dues-paying NAR member in order to fully access information in the MLS database is one significant barrier to entry. ...

There are some MLS's that do not require NAR membership (mine does). However, all require you to be a licensed agent, and to pay an annual MLS subscription fee. MLS databases are owned by private companies that charge agents for access.

[Silverfall]

Originally Posted by Flat2MT

Doesn't it put its members between a rock and a hard place generally across all markets?

Yes some members are uncomfortable with the NAR's positions.

Originally Posted by Flat2MT

If so, shouldn't its members speak up with one voice because their association leaders are doing them and their customers a disservice?

Not all members agree. Some think that NAR's position is correct and other's don't. Whose voice are they supposed to listen to?

Originally Posted by Flat2MT

I would think that this could become a credibility issue for the NAR which would have blowback on its members.

I think that has already happened. I actually got a listing because I wasn't a REALTOR. I'm a good agent anyway, but I think that is a bad way to pick an agent.

Originally Posted by Flat2MT

What I see being done today is not in the best interest of consumers but more in the best interest of its members.

I think some members would disagree with that. Whose best interest the NAR serves depends on your political leanings.

Originally Posted by Flat2MT

During the bubble, the NAR said it was a great time to buy yet there wasn't a FTHB credit. So if there wasn't a FTHB credit today, could one assume that the NAR would still say that it is a great time to buy generally across all markets?

Yes, I think they would say that. They would just change the focus of the advertising. It is the job of the NAR to promote home ownership/property rights, etc. They are not a source of objective information but that doesn't mean it's members aren't. Many members have to be members in order to conduct business as real estate agents. My MLS is not a REALTOR required MLS, but most are.

I guess the question is, are consumers mature enough to discern the difference between a lobbying, political group vs. an individual. I think they are more than capable of that. I mean I'm not impressed with the NRA, but I have many friends who own guns who are great.

[Bill Keegan]

Originally Posted by rubber_factory

Well, I'd say that requiring a person to be a dues-paying NAR member in order to fully access information in the MLS database is one significant barrier to entry. In my mind, the primary purpose behind professional organizations like the AICPA, the NAR, or the ABA is to ensure the scarcity and information asymmetry of its members.

Of course, you also have lobbying, advertising, and marketing. I mean, hell, somebody had to come up with all these stock answers that below-average agents all seem to repeat. Surely they didn't all come to the same conclusions independently of one another.

First, I don't believe one needs to be a member of the NAR to gain access to any MLS. At least in my MLS, you have other options if you want that access and don't want to join the NAR.
Second, the cost of an annual membership to the NAR is low enough that, even if it were required, it cannot honestly be called a barrier to anyone who wamts to be in this business. And certainly not a significant one.

[Rakin]

Originally Posted by Bill Keegan

First, I don't believe one needs to be a member of the NAR to gain access to any MLS. At least in my MLS, you have other options if you want that access and don't want to join the NAR.
Second, the cost of an annual membership to the NAR is low enough that, even if it were required, it cannot honestly be called a barrier to anyone who wants to be in this business. And certainly not a significant one.

Bill, we are like you. Our large North TX MLS system does not require anyone to join NAR.

To OP.... I believe if you will read some of the other threads there are many of us agents who do not agree with the tax credit. If they want to apply it equally to everyone buying a house I might go for it.

IMO it is a typical Govt program that is not that effective and discriminates for some people and against others.

They do it to make themselves feel good that they are helping the system. Leave it alone & it will fix itself.

[chesapeakesim]

Thanks for all the great posts! I definitely agree that real estate is local and whether it is a good time to buy or not depends on the area and the individual. There is no way to have a blanket statement that says it definitely is a good time to buy or is not a good time to buy. Also, as people have stated before, the NAR is made up of many people all with differing view points, so what the NAR says is not the voice of everyone in that group.

My main point is that it is just funny how the NAR can post ads that state it is a good time to buy, but at the same time push so hard to extend the tax credit saying that it is needed to keep prices from cratering. It is like the chairman of GM saying you should invest in our company cause we are strong, then asking the government for a multi-billion dollar bailout cause they are in danger of bankruptcy. Well, maybe not exactly the same, but you get the picture.

In the end though, I guess the NAR is a business and they aren't going to say, "You should probably think twice about buying."

[Lake Conroe resident]

John Q public is smart enough to know that home prices are not going up next month, or even next year for that matter; if a realtor tells them they better grab a deal before it goes up, or is gone they know they're being lied to.

What is fact; with all this money the federal government has been printing of late inflation is certainly on the way, probably sooner than later. Interest rates are at an all time low and will not stay where they are forever.

Another fact; inflation will surely affect the cost of building in the future; the cost of materials such as steel, concrete, wire, insulation etc will all go up, as will the cost of the fuel to get it to where its going so new housing will cost more to build.

I would say that if you need a roof over your head and do not care to pay someone else's mortgage then buy a house; if your in it to sell in a couple of years for a profit I would find another hobby...

[rubber_factory]

Originally Posted by Bill Keegan

First, I don't believe one needs to be a member of the NAR to gain access to any MLS.

I am looking at the PDF for the MLS fee schedule in my area.

It says, "You must be a member of a Realtor organization"

Upon joining the local association, you are automatically a member of the national organization.

Second, the cost of an annual membership to the NAR is low enough that, even if it were required, it cannot honestly be called a barrier to anyone who wamts to be in this business.

The cost is a moot point. If I'm a buyer who wants to see comparable sales, or if I'm a seller that wants to list FSBO on the MLS, I am not eligible to do so, unless I am a Realtor.

You don't think that's a barrier to entry?

[Bill Keegan]

Originally Posted by rubber_factory

I am looking at the PDF for the MLS fee schedule in my area.

It says, "You must be a member of a Realtor organization"

Upon joining the local association, you are automatically a member of the national organization.



The cost is a moot point. If I'm a buyer who wants to see comparable sales, or if I'm a seller that wants to list FSBO on the MLS, I am not eligible to do so, unless I am a Realtor.

You don't think that's a barrier to entry?

First, that's not always true, as I already said. In my neighborhood, you can be a participant of the MLS without becoming a Realtor. Yes, there is a dollar cost associated with that, but as you say, the cost is moot.
This is a list created and maintained by and for the benefit of members of the creating organization. Requiring you to contribute, at least financially, to the upkeep of that data ia not a barrier to entry, it's a cost of doing business.

[rubber_factory]

Originally Posted by Bill Keegan

First, that's not always true, as I already said.

Looks to me like you said it was never true.

This is a list created and maintained by and for the benefit of members of the creating organization. Requiring you to contribute, at least financially, to the upkeep of that data ia not a barrier to entry, it's a cost of doing business.

Of course the dues and fees relate to the costs of doing business.

How does preventing non-realtors in my area from using the MLS constitute a "cost of doing business?"