I agree with the author about answering questions casually – agents look like idiots when they make a flippant remarks about work. The condition of the ‘market’ is relative to your own personal situation – it could be good or bad.
The market is never entirely good, bad, or somewhere in between. It’s always good for some people, bad for others. How the market is depends entirely upon you and your needs and circumstances.
Not a bad question really. But it certainly isn’t one that an agent can or should just answer flippantly. So if you ask it, maybe you should be prepared to get into your specific scenario so they can accurately answer it.
Too many people get flippant answers from agents and base their perspective on the real estate market, and overall economy, on off-handed answers to questions like this.
On the surface, this case seems unusual – the seller’s agent owes both the buyer and seller a fiduciary duty if the buyer’s agent works at the same brokerage. It’s because the agents are working on behalf of the broker – hopefully this will cause better broker supervision of dual agency cases.
The big kahuna of cases will be when a class-action suit is filed against a brokerage for all of the ‘Sold Before Processing’ sales, where the sellers didn’t get open-market exposure.
In a closely watched case involving dual agency, the California Supreme Court ruled unanimously Monday that a real estate agent representing the seller of a property owes a fiduciary duty to both the seller and the buyer if the buyer’s agent works for the same brokerage firm.
The case involved the sale of a luxury home overlooking the Pacific Ocean in Malibu where the square footage was in dispute. The buyer and seller were represented by agents from different Coldwell Banker offices.
Under California law, a broker may act as a dual agent for both the seller and the buyer in a real estate transaction, provided both parties consent to the arrangement after full disclosure that the broker owes a fiduciary duty to both.
What was at dispute in the case was whether that duty extends to “associate licensees,” who are the individual agents/salespeople who operate under that broker’s license. The court ruled 7-0 that it does.
I attended the Sandicor seminar last week about our rules. Here are my notes:
‘Coming Soon’ – The advertising of listings that are ‘Coming Soon’ is acceptable as long as the seller-signed ‘Exclusion from the MLS’ is on file at Sandicor. There isn’t an automated data checker for this issue, so they only respond to complaints, which pretty much means you can get away with advertising direct to buyers prior to MLS input, if the seller doesn’t mind.
Value-Range Pricing – Sandicor has established a limit when using the two-price range. The lower price cannot be less than 80% of the high-end price. I hope there aren’t too many people disappointed by that rule; as we’ve discussed that the ideal gap is around 7%.
Misuse of Remarks – They have had a data-checker for years that sweep the remarks of listings, looking for violations – such as the advertising of open houses, youtubes, agent info, etc. But there isn’t much enforcement or penalties – an offender might get a letter.
Photos – One photo of the front exterior is required within 72 hours. That’s it.
Advertising Other Broker’s Listings – Do you receive the realtor mailings that show the current active, pending, and sold listings? The sold listings are fine, but an agent cannot advertise another agent’s active or pending listings without permission. $500 fine per violation.
Days on Market – The industry has always been willing to deceive the public at will, as long as it can be said that it’s in the best interest of the seller. The constant ‘re-freshing’ of a listing every 30 days is acceptable, as long as the listing agent has several 30-day listing agreements. Thankfully, Sandicor is going to add the same ‘CDOM’ that is popular at the CRMLS where they also publish the cumulative-days-on-market so agents and consumers don’t have to look it up.
We have rules, but there isn’t much enforcement so it’s loosey-goosey (though Daina does the best she can!). I doubt that most agents are aware of the rules (there were 11 agents at the seminar). I think most just copy what they see other agents do – figuring if they’re doing it, then it must be alright.
Sandicor has rolled out their new mobile app for realtors, and it’s a big improvement over the old one. I know it is September, 2016, but this is the first time in history that the MLS has provided us with school information (I’ve been using Zillow for years). The new app also shows nearby comps, and it makes it easy to find out an agent’s sales history too.
If you are interested, Homesnap has a mobile app for the public too. You can take a photo of a house, and get its full history.
Speaking of Sandicor, I have been in conversation with the President of our local association of realtors since I ran the video on Friday (I sent it to her). She is confident that informing the membership is creating positive results, and that the majority of us want a statewide MLS.
She wasn’t keen on my idea of agents joining CRMLS today. She thinks we should work through the proper channels and have Sandicor create agreement with CRMLS and/or the statewide MLS when available. The lawsuit by SDAR is holding that up currently.
I asked about short-sale fraud, and how Sandicor allows the DOM ticker to keep running on short sales which helps to enable agents to commit fraud. She was unaware of the situation, but thought it sounded like a bad thing. I also asked her about the ‘sold before processing’ listings when every agent has signed an agreement to share their listings with the rest of us. She agreed that it was a bad thing too.
Every month, over 14,000 people Google “how to become a real estate agent,” and consider joining the 2 million real estate licensees in the U.S. And for good reason: Helping people buy the perfect home or make tons of money selling their house is exciting! Not to mention the rather enticing fact that real estate can be a lucrative field.
According to the Bureau of Labor Statistics, real estate agents make an average of $45,610 per year—and the top 10% tier of agents earned a whopping $166,940 in 2015.
“We can make as much money as doctors and lawyers, and they spend tens of thousands of dollars on their degrees,” says Rae Wayne, a Realtor® with the Bizzy Blondes team in Los Angeles.
Still, buying and selling real estate isn’t as easy as it might look. And it’s a notoriously tough industry for newbies; some real estate experts like industry vet Tom Ferry estimate that 87% of all new agents fail within the first five years.
All of which means you should carefully weigh the risks and rewards of joining this profession. Just so you know what you’ll need to invest in terms of time and money upfront, here’s how to become a real estate agent.
Jim found me a multi family property that we purchased as an investment (Please see my review of Donna Klinge for details on how it went). But the bottom line is this: I never would have found this property, which cash flows right out of the gate, if it weren't for Jim pointing me toward that house. It just was not on my radar, even though I consider myself a savvy real estate troll. Jim is giving of his time, and his intelligence. And he is also transparent and truthful. And I think he is funny, which is helpful in stressful situations like RE transactions. Jim and Donna have earned every last penny they made from our deal -- and in fact they deserve more. And that is why I will use them for my RE transactions the rest of my life. Thank you, Jim and Donna!
I can't say enough about Jim and Donna. Jim got a great price for us and negotiated well. Donna walked us through escrow, handling vendors, and negotiating everything we asked for in the request for repairs. They are know exactly what they are doing and I've already recommended them to two other people.
I followed Jim's blog for several years and decided to contact him (along with several other realtors) when an out-of-state work relocation required me to sell my home in San Marcos, Ca. At our initially meeting, Jim spent a significant amount of time discussing pricing options, strategy, as well...
Honesty. Integrity. Professionalism. Dedication. Commitment. Jim and Donna Klinge hold these attributes in abundance. They have acted as both our buyer agent and our seller agent delivering highly relevant insight into local market conditions, spot-on advice to maximize the home's value, and unparalleled management of the transaction process...
I cannot imagine a better experience! Jim was our broker when my husband and I bought our first house. Jim never pressured us or glossed over anything. He was patient, knowledgeable, and helped us buy our dream home. His office was detail-oriented, always responsive and we closed in 30 days! The excellent service didn't end when we bought our house, either, the Klinges have given us excellent and fast referrals along the way. We feel privileged to have worked with such a consummate professional and appreciate how rare this level of skill is. Jim is simply the best in the field.
Jim and his team are top flight. He knows the market better than anyone, and his team ensures the deal goes through without a hitch. There's always something at the last minute, but you'd never know it with Jim and his crew. I've bought and sold houses with Jim as my agent over the years, and I wouldn't use anyone else. Save yourself the headaches and potential costly mistakes...
Buying a house is one of the most emotional,exciting, and sometimes confusing milestones you'll reach for in your life! Being a buyer in this market can make it even more interesting! My husband and I have been looking to buy for a year, and when the time came we wanted a realtor team that would be on our team! Being that I'm a business woman and was 7 months pregnant, I wanted, NEEDED, communication, dependability, and consistency! The Klinges went so far above and beyond ...
Jim was recommended to me when I bought my first house here in the US five years ago. He and Donna explained the whole process and it was a great experience to work with them. Not surprisingly, when my company asked me to relocate my first choice was to work with them again...
I have followed Jim's real estate blog for years and by the time I got ready to sell my townhouse I felt I knew him both personally and professionally. At our first meeting he was prepared with recent comps and listings for the area...
"Jim is an absolute pleasure to work with. He tells it like it is and won't let you buy a clunker. He's very knowledgable about the market and you can get a sense of that by following his blog. We couldn't have been happier with our representation during our purchase - which included navigating a ... more "
"Jim and his team are the best! I bought and sold my house with Klinge Realty and if I ever move back to San Diego County, I will definitely be asking ... more "
The links below give you alternatives to accessing bubbleinfo.com and other real estate-related content. The bubbleinfo.com facebook page includes all the bubbleinfo posts. On the twitter account, Jim tweets articles of general real estate interest, preceded by his descriptive comment (you don't have to have a twitter account, or "follow" to read it). The tweets are also displayed in the right-hand column above.
If you prefer to access bubbleinfo.com with your mobile device, the bubbleinfo mobile app for iOS and Android is available for free at their app stores.
If you are only concerned about buying and selling in SD North County and how Jim can help you, stay right here at bubbleinfo - in fact, subscribe so the new posts come to you automatically.