I Write The Words

I was in high school when Proposition 13 passed. Immediately, teachers were concerned about losing their jobs and parents were concerned about the future of public education.

What’s happened since? High schools don’t offer summer school to all of the students. Do you remember summer school? Typing classes, writing classes, taking classes that you didn’t have time . . . → Read More: Proposition 13

The biggest casualty of the mortgage crises is the faith people had in the housing market.  Real estate agents would say that the housing market in California had only dipped once, and the recovery had been quick and strong.  This housing crisis doesn’t look like that.

Prices are dropping and no one knows what will stop them.  . . . → Read More: Foreclosure Help

Frankly, the thought of a fair and open market in California ended years ago.  The benefits of not moving frequently outweigh the benefits of moving.  Why?  Proposition 13.

Proposition 13 was passed in the guise of a way to protect families from their outrageously increasing tax bills.  However, Prop 13 included commercial buildings.  Commercial buildings change hands . . . → Read More: What Happened to the Open Market? – Part 2

In the Mercury News on Sunday 12/10, there was a letter to the editor that commented on the bailing out of borrowers.  Why should the government bail out borrowers?  Why not let these borrowers suffer through the school of “hard knocks”?

In reality, many of the borrowers got there based on promises given by lenders and real . . . → Read More: What Happened to the Open Market?

All industries go through ups and downs.  You hear talk about the seven year cycles.  Businesses expand and contract to adjust to the needs of their clients.  Sometimes, it’s time to tighten the belt, sometimes it’s time to push forward and expand.

Normal business cycles have a way of weeding out the poor business owners, those who . . . → Read More: The Real Estate Cycle

There are many other businesses that use bonuses in combination with a salary.  And real estate should be one of them.  By changing the compensation, you change the model.

No longer will it be in the brokerage firms’ best interest to hire mass quantities of agents.  Instead, the firms will need to pay the agents.  If the . . . → Read More: Changing the compensation – Part 2

If the reason the cost to consumers hasn’t come down in the real estate business is due to the number of agents and the way they are compensated, then maybe it’s time to look at changing how agents are compensated.  Unfortunately the people who have the power to influence legislatures, the National Association of Realtors®, and . . . → Read More: Changing the Compensation – Part 1

As our technology has improved, many businesses have experienced economic savings.   Certain tasks are easier to perform, information is easier to access, more can be done in a shorter period of time.  Real estate commissions seem immune to these economic savings.    Even in the Mercury News Action Line (11/11/2007), the comment from agent is that he  . . . → Read More: Economies of Scale

Real estate agents are required to renew their license every four years.  In order to do this, each agent must complete forty-five hours of continuing education prior to renewing the license.  Given the changes that occur in the real estate business through either legislative or legal means, forty-five hours seems like a reasonable amount of continuing . . . → Read More: Continuing Education

As real estate agents, we are trained, time after time, not to discuss commissions.  We are told that it is an anti-trust violation to so much as share what commissions we charge.  We are told that it is an anti-trust violation to even discuss commissions.

This isn’t true.  It is an anti-trust violation to fix commissions, to . . . → Read More: According to NAR, Discussing Commissions is an Anti-Trust Violation