Making Markets

Mar 4, 2008  |  Michael Wurzer

There’s an excellent conversation going on over at agentgenius regarding local versus national MLS, consumer access to listings, and the value (or lack thereof) of listing aggregators. In the midst of this is a post by the XBroker dissecting the value of real estate agents and several posts regarding Redfin’s new features. Let’s see if I can pull all these together.

First, the agentgenius wave of posts and comments illuminate for the participants that there is a difference today between the MLS agents use and advertising listing portals focused on consumers. Second, Redfin is proving that these hitherto disparate worlds are merging into something new. Third, the contrast of Benn Rosale’s rant with the XBroker’s, illuminates that the value agents bring is in making a market for real estate.

At least that’s how I interpret Benn’s post. The agents are on the ground, in the field, representing homeowners. That’s the curious thing about markets, made up of many individuals making many decisions for themselves, creating a whole leaning toward efficiency. That’s the value I see agents bringing to the table. This is backed up by Redfin, which is a participant in the market, bringing their own offer, seeking (and getting) acceptance. There you have it, an offer accepted is a contract and many contracts make markets, which bring efficient value.

Postscript:  I should have mentioned this post earlier, but it’s highly, highly relevant here, from the BlueCollar Agents over at Redfin: Why Sergey and Larry would have a hard time with Trulia and

12 Responses to “Making Markets”

  1. candy lynn says:

    Interesting statement which I think is key to the whole discussion
    “the MLS agents use and advertising listing portals focused on consumers”
    I think this is the key to where web 2.0 is heading. As realtors should we not also focus on consumers?

  2. I think the phrase “focusing on consumers” is loaded. Agents should do what’s in their own best interest, which, I believe, is doing what’s in the best interest of their clients. For agents like you, Candy, the two statements are the same, because you live it, but many hear the phrase “focusing on consumers” and think it means they lose.

  3. I know this isn’t popular but if we were client centric, we would be checking out more than just MLS. Zillow and Craigslist would be good starts. When a buyer hires an agent, it’s not simply to say, please only show me the best homes for me… in the MLS….and don’t worry about the potentially better homes that could be in Zillow and other sources. I’m just saying….

  4. Scott Berg says:

    Mathew is correct. If one is truly client centric they should be showing buyer clients all the properties available regardless of whether they are listed in the MLS. Of course that leaves the problem of getting paid. The best way to address that is with a buyer’s agreement with your client.

  5. Ralph says:

    It is our office practice to use a buyer’s agreement when we first meet with our clients. We have noticed that if you do it upfront in the first meeting, it it less offensive to buyers and accepted.

  6. John says:

    I think the problem is that most agents are reluctant to as thier clients to sign an agreement and do a bad job of explaining why it’s important. In my opionio, they should always use one.

  7. Quin says:

    I think most clients would sign the agreement if the agent properly explained the benefits and to the Seller and Agent.

  8. John says:

    I went to a training class the other day, and they topic of discussion was very similar to this.

  9. FSBO says:

    I think this is the only way to make sure that you are paid for your work.

  10. Flat Fee MLS says:

    It seems that this is a trend that will not be going away quickly. Consumers now have more information and subsequently more choices.

  11. It seems that this is a trend. Consumers have more information and choices.

  12. The links to the posts for Bluecollar agents are not working.

    It seems they need to pay their bills…….. 🙁

    Bu here is the link for the Cache pages.