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That is the cool thing about discussion of facts: It can be enjoyable until some fragile participant decides their vision is not being adequately revered.
Not understanding. How am I being fragile and what have i said that indicates a desire to have my "vision" revered? You act as if I don't have the right to define my own argument. I do, in fact, have that right, and that does not make me "fragile". You are attempting to extrapolate my argument to places I am not intending it to go. In fact, your penchant for name calling and subtly insulting those who disagree with you carries the mark of fragility, imo.
a million bucks ain't what it used to be. but there have also been million dollar homes ITB for more than 20 years. and not necessarily 6,000+ sqft homes ... just in the right places.
I have no doubts and your closing line is the key. Location, Location, Location.
I'm just one of those people who thinks, "wrongly", a million dollar home should look like a million dollar home.
Give me the 5 BD, 5 BA, 6200 sq ft on an acre in Hasentree over the 4 BD, 4 BA, 2800 sq ft on a third of an acre ITB.
Mikey,
Ain't you a Hahvahd alumnus with full access to course catalogs due to your robust ongoing support of the Endowment?
Methinks there is merit to the basic proposition of the article, that housing runs in cycles.
Folks who fell for (or still do) "Real Estate Always Appreciates" blather either ignored that fact, were in denial, or just weren't diligent.
Yes, of course, and I had to begrudgingly turn down offers to run the Fed and Treasury department. We spent many sleepless night considering the appointments... tough call. It's a curse having so much in common with Ben Bernanke (fellow big H alum).
Ultimately, I'm happy re: my note on a solid suburban tract home with good schools raising my kids, so this is just simple fun to debate... I really have very little skin in the game. Your opinion matters being on the ground living this every day, more often than not I'm just trying to be comic relief. But you knew that. =P
I do believe it is cyclical - no doubt. But specifically, I'm curious to see YoY numbers this Spring... Find out where we are in the "current cycle". I think we will have some fun discussions over that.
it's a quote from Stacy Anfindsen who provided essentially the same quote to the earlier N&O article you linked.
Nov '15 annual sales in Wake: 18,825
Nov '16 annual sales in Wake: 20,377 (up 8.2%)
Nov '17 annual sales in Wake: 20,942 (up 2.8%)
Nov '18 annual sales in Wake: 20,603 (down 1.6%)
Quite telling that its mostly realtors vociferously attacking OD. If there ever was an industry ripe for a technology based disruption, its residential real estate brokerage, and I say that as a (former) third-generation realtor. Realtors are in the same position travel agents were in 30 years ago. Big changes are coming. I don't profess to know what those changes are exactly, or whether Open Door will be the new paradigm (I doubt it), but I believe technology and new business models will bring substantial changes to the industry moving forward.
This isn't a new concept... and I largely agree with your premise. In fact I had similar "arguments" going back many years on these boards. Picked fights with plenty of RE folks.
However, you've picked a very poor comparison with travel agents - it's not the same position at all. Until you fix the decentralized mess that is MLS and the property tax systems, you won't be able to disrupt the industry. This is a common issue in IT modernization today... you can't overhaul the process when guardians of the data (licensed agents, local governments, lawyers) are misaligned with the consumers of the data (sellers, buyers). There are legal constraints, official closing ceremonies, title / deed transfer, on and on. Lawyers and varying local legal constraints. What is legal in NC may not necessarily be legal in NY. Travel agents didn't have these challenges - they just bundled a vacation package, collected their commission, and were done.
Centralizing unstructured data that exists in many regional implementations and overhauling a complex process that has legal implications is a beast of an IT problem. If realtor.com or Z couldn't even dent the process, I don't know what makes you think OD can. What is OD doing differently from a technology and data perspective?
Don't confuse "lead generation" and advertising with disrupting the entire process. Think about how many hands are touching a RE transaction from listing to keys at close. It's still a very manual and paper driven process.
I haven't popped in here for quite sometime, but we sold our home to Opendoor. (I really need a new username, but we're here in the Triangle ) ...Figured we had nothing to lose by putting our info in. Within 24 hours we had a quote, and it was a hard pass. Received a phone call from them later that evening, and they bumped their offer by 10k, then 15k. It was now within 7k of two estimates we received from a traditional agent. (We had several)
...
This combined with what we were seeing in our own neighborhood, we knew we needed to make a decision. ...Imagine our surprise when they came back 3 days later with $0 in repairs. ...The fees were right in line with what we would pay a traditional agent, ...
We're just glad to be sitting on the extra cash in the current stock market. Right now it's listed on the MLS for about 10k more than they gave us for it.
...
So while Opendoor worked for us, I'm not confident it's the answer for everyone. Too many variables involved. RE agents despise them, and I certainly can see why.. But I still think contacting several agents, and getting lots of estimates is the way to go first.
TL;DR - we sold through Opendoor. We were happy, it's not for everyone.
So since it's all said and done, would you mind sharing the address (and through DM is fine, I can keep your name out of it) or more importantly what the actual fee they charged you was?
I just had a conversation with a client yesterday that if Opendoor would pay him top dollar (a little more than we think the house would actually sell for), and only charge 5%, that my fiduciary responsibility to him was to say "take it".
But for every "Opendoor charged 5%" I'm also hearing figures in the 10-12% range. They're certainly paying top dollar on sales price regardless.
Centralizing unstructured data that exists in many regional implementations and overhauling a complex process that has legal implications is a beast of an IT problem. If realtor.com or Z couldn't even dent the process, I don't know what makes you think OD can. What is OD doing differently from a technology and data perspective?
Umm, maybe thats because I DIDN'T say OD can. In fact, i actually said "I don't profess to know...whether Open Door will be the new paradigm (I doubt it)".
Quote:
Originally Posted by MikeyKid
Don't confuse "lead generation" and advertising with disrupting the entire process. Think about how many hands are touching a RE transaction from listing to keys at close. It's still a very manual and paper driven process.
Yes, which is all the more reason its ripe for change. Don't confuse "not yet done" for "never will be done."
And as far as travel agents, I just used that as a general example. I'm not attempting to make specific industry related comparisons.
This isn't a new concept... and I largely agree with your premise. In fact I had similar "arguments" going back many years on these boards. Picked fights with plenty of RE folks.
However, you've picked a very poor comparison with travel agents - it's not the same position at all. Until you fix the decentralized mess that is MLS and the property tax systems, you won't be able to disrupt the industry. This is a common issue in IT modernization today... you can't overhaul the process when guardians of the data (licensed agents, local governments, lawyers) are misaligned with the consumers of the data (sellers, buyers). There are legal constraints, official closing ceremonies, title / deed transfer, on and on. Lawyers and varying local legal constraints. What is legal in NC may not necessarily be legal in NY. Travel agents didn't have these challenges - they just bundled a vacation package, collected their commission, and were done.
Centralizing unstructured data that exists in many regional implementations and overhauling a complex process that has legal implications is a beast of an IT problem. If realtor.com or Z couldn't even dent the process, I don't know what makes you think OD can. What is OD doing differently from a technology and data perspective?
Don't confuse "lead generation" and advertising with disrupting the entire process. Think about how many hands are touching a RE transaction from listing to keys at close. It's still a very manual and paper driven process.
I find a good analysis here but not focused on the right problem. Sellers aren't frustrated with title issues and paperwork but the huge take given to REAs (six percent) and the pain of trying to juggle selling and buying and moving.
By making the latter easier and taking a smaller margin they do indeed stand to disrupt
I see a better equivalent to the car market and companies like car Max and carvana driving new successful models...lots of title work in a car sale...
I guess as a recent transplant, you're not aware that the Hasentree homes almost all went bankrupt in 2008.
As in the owners of the homes or the builders/developers of them?
If its the latter, not sure I would care post purchase, with one caveat. If you bought in early and then midstream they changed the concept of the development to be less "higher end" that would suck. I think something similar happened in Cedar Lakes in Rolesville. When we did our look see down here in Jan/Feb 2017, our realtor talked about how Cedar Lakes started out as more "400-500K homes" and then midway, financial issues led it to being finished as a "300-400K" development. Then again hindsight being 20/20, it seems pretty clear now that she wanted us to buy in Heritage (which we did) so perhaps she was trying to guide that decision.
I would agree, all things being equal, that I wouldn't want to own a $1M home next door to a $600K home (this exact concept is what turned us off of Traditions. We were looking at $415K + homes in the Grove section which also included the homes at $220K+ and was a no go for us)
If its the former, certainly not unique for the time and for a few years after. My wife and I got married in Vegas in 2011. We rented a house in gated community with 15 family members; 8 BDs, 6 BA, outdoor kitchen, salt water pool. The whole nine. It had last sold in 2007 for 650K. Owners went under and left. Rental company bought it as a rental (pre AirbnB days). Zillow, when we were there, had their "Zestimate" (FWIW) at $330K.
Last edited by GVoR; 12-22-2018 at 10:40 AM..
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) ...Figured we had nothing to lose by putting our info in. Within 24 hours we had a quote, and it was a hard pass. Received a phone call from them later that evening, and they bumped their offer by 10k, then 15k. It was now within 7k of two estimates we received from a traditional agent. (We had several) 
