Professional Sales

Have you ever attended an open house and the realtor asked if you wanted to buy it?

Probably not. Yet, isn’t that our job?

I am a salesman and this is what I do. I make a simple statement when you arrive that sets the tone – AND can’t help but put a smile on your face, only because it’s the first time anyone has ever said it to you.

Why do people laugh? Because they see or hear something unexpected. At my open houses, everyone starts with a chuckle.

When leaving, I ask the most obvious question ever – yet you’ve never heard it before at any open house.

Don’t you want a professional salesman in your corner?

Hire me! I’m Jim the Realtor 858-997-3801 Jim Klinge @Compass DRE #00873197

Compass is #1 in San Diego

Last year, Compass was #1 again in total volume and number of homes sold.

We have the most agents too – you can see why going it alone looks more and more feasible.

I’m not sure what I did to get a mention, but, man, Donna is going to wonder what happened!

Inventory Watch

I counted 32 NSDCC houses for sale on the Compass private exclusives list that aren’t on the MLS. They aren’t well-organized – just a one-liner list for the whole county – and they are mostly homes being prepared for market, or tenant-occupied, or old listings that are taking a breather. Photos and remarks are optional, and there isn’t any push from management to actually be selling them off-market.

But it they were actively on the market, the NSDCC inventory count today would be 406 which is where I thought we would be by the end of February.

NSDCC Detached-Home Listings Between Jan. 1 and Feb. 20th

2019: 662

2020: 620

2021: 517

2022: 384

2023: 334

2024: 399

2025: 429 (+8% YoY so far)

This year’s count will continue to grow as new listings taken before the 20th keep hitting the open market over the next week or two. There only needs to be 30 more to reach the +15% mark, and if you want to add the private exclusives then we are already there.

Hard to belive that Saturday is March 1st. This is prime selling season!

(more…)

Today’s Open House Report

Airplanes flying over the house every 5-10 minutes wasn’t the only complaint. “The kitchen is too small, can you get fire insurance, it’s single-zone air conditioning, the bathrooms are original, you don’t have a pantry” – it just never ends, even at a house with hundreds of positives.

I have no regret about doing as many upgrades as we did here, nor do I doubt my attractive price ($2,499,000). It’s because if you don’t sell in the first couple of weeks, buyers want to lowball, period. What’s the lesson about the current market conditions? It’s a market for the affluent only – those who get tripped up over a few bucks don’t have a chance of finding a decent home. Go buy a fixer for cheap and hope you can survive the money pit.

More Compass and the Future

This is the type of name-calling I’m willing to endure:

IMHO, RE industry has descended right into the gutter alongside slimy used car salesmen. License to screw over consumers using information hiding and deceptive practices.

Elimination of pre-sale inspections and mandatory disclosures. Elimination of escrow via mandatory seller-arranged financing (complete with kickbacks). Refusal to allow buyer representation at all. “Sign on the line today, accepting all our slimy terms, or lose the property to the next sucker tomorrow!”

It gets worse – those from within the industry have been slamming Compass and Robert Reffkin for years. Zillow came out with their own study this week where they claim the sellers of off-MLS homes lost $1 billion in the last two years – which is an eye-popping headline! But in the fine print they do admit that they used their zestimate to make the analysis.

Our manager Steve responded on a realtor-news feed:

 

It caused Steve and Robert to talk by phone on Friday, and they discussed the path we are on. It is the one I’ve described where we end our relationship with NAR and the MLS companies and go it alone.

The commercial brokerages have always functioned this way and have only used Loopnet as a last resort. Nobody calls them names or threatens to sue them over their practices. It is inevitable that the same thing happens to residential brokerages, and Compass will just be the first national brand to do it.

It will make for a terrific recruiting tool as well. If you are an agent, we should chat!

Compass PEs – The Reality

The Compass CEO, Robert Reffkin, is a vocal opponent of the Clear Cooperation Policy. Those in the business call him names and say his only motivation for opposing the CCP is to promote in-house sales.

The point that gets trampled over is that consumers and agents should be free to choose how they want to market the properties for sale.

The CCP insists that listings go onto the MLS right away, and be subject to this nonsense:

They don’t name Zillow but obviously that’s the target.

As we saw yesterday, Zillow is not truthful. They don’t care about doing what’s best for sellers or agents. They only care about making money, and dominating the space.

Unfortunately, the NAR and others turned over the control of the marketing of our listings to Zillow, Homes.com, and Murdoch’s Realtor.com – which is the real disappointment! Realtors don’t own, and we don’t control realtor.com? What a travesty!

Compass is determined to take control of the marketing of our listings.

It starts with getting our listings onto the internet before the search portals. Having the consumers see our listings on our website, and thereby contacting the listing agents who know the most about the properties, is better for the consumer than being funneled to outside agents who are paying for leads:

I’ve been saying for a while that everything happening in residential real estate is heading towards single agency, and eliminating the buyer-agents. Homes.com is directing consumers to the listing agent, and spending millions on advertising to make a point of it.

We’re in the transition phase, and I’ll predict the future.

Compass will quit NAR and the MLS, and go it alone.

If you ask me, we’re already big enough to do it now. I have encouraged Robert to do it, but it’s too early.

But it’s coming.

We will still be happy to cooperate with outside agents – they will just have to find our listings on our website, instead of elsewhere. We’re just doing what Redfin did – make our website more popular with consumers.

What about the Private Exclusives, the title of this post?

They are allowed now, and because you only sell a house once, sellers and agents should have the choice to sell a home off-market. Here are good reasons to do so:

  1. The allure of an insider deal can cause a buyer to pay more – they are sexy deals.
  2. Buyers don’t have the benefit of open-market exposure to test the price.
  3. It keeps the bozo agents from screwing up deals.

We have it happening right now. Our sellers are in escrow with buyers who got squeamish this week. Their agent was NO help. He had no experience or ability to try to help them through their foibles which had little, or nothing, to do with buying the house. Donna and I both had to step in to save the day (another reason to hire us to sell your house!).

It is detrimental for escrows to blow out. Trying to ignite the same urgency as when a listing is fresh on the market is impossible. Every buyer thinks something is wrong, and rarely do a home sell for the same price or more the second time around.

Those are three good reasons for our sellers to go Private Exclusive. I still believe in open-market exposure being the best route but it’s because I’m old-school. The current market conditions are tough and inviting every joker to bid on my listings has consequences, and they’re not all good.

Reffkin and Compass will undoubtedly taking more heat for questioning the CCP in the coming months, but it’s a sideshow. There will be bigger changes down the road – promise.

Zestimate Fraud

This morning:

This afternoon:

It is sad how much faith and confidence people put into the zestimates when they are so manufactured and phony. But now that everyone trusts everything they see on the internet, we deserve what we get.

OCEAN & SUNSET VIEWS!

Check out our new listing!

5212 Clemens Ct., Carlsbad 92008

5 br/4.5 ba, 3,535sf

10,053sf lot

YB: 2004

LP = $2,499,000

This is the best 180-degree panoramic ocean view for sale in North County! This former model is situated on the premium lot in the tract and is facing due west for maximum ocean and sunset experiences! Plus, we have spent $150,000+ over the last sixty days to transform the interior into a modern masterpiece too with new flooring, paint, and lighting throughout plus a fabulous kitchen all on a 10,000sf pie-shaped lot with a large grass backyard at the end of a quiet cul-de-sac near the beach – wow!

Are you looking for a trophy property? This is like winning the Super Bowl!

https://www.compass.com/listing/5212-clemens-court-carlsbad-ca-92008/1780715575580142553/

After the open-house extravaganza the first weekend, we received SIX offers over list. Now PENDING!

San Clemente Island view

Santa Catalina Island view

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