Still Casting Stones . . . But Now With (Lots of) Caveats An economist is an expert who will know tomorrow why the things he predicted yesterday didn’t happen today. “Laurence J. Peter [Editor’s note: to see my rebuttal to Freakonomics, the predecessor to SuperFreakonomics, click here] So, I finally finished off the (surprisingly short)...Read More
“Full Service” vs. “Discount” Realtors Much attention is paid to what Realtors get paid. A lot less to what services they perform for that money. The reality is that there is no such thing as a “discount Realtor” offering full service. Rather, what they offer is more properly called “limited service.” What do I mean...Read More
Framing the Choices In politics, it’s often said that “whoever defines the terms of debate, wins.” The equivalent in real estate appraising would be, “whoever decides the geographic area for choosing the comp’s, defines home values.” What does that mean? One of the challenges choosing and analyzing “comparable sold properties” (comp’s) is coming up with...Read More
Attention to Detail + Hands On Role What exactly do Realtors mean when they say they’re “full service?” It’s certainly a fair question, because a full service commission in the Twin Cities these days typically ranges from 6% – 7%. By contrast, “discount” Realtors charge 5% or even less (“limited service” is actually a better...Read More
Are Realtors Underpaid??Consider the following parallels between these two groups of professionals: –Both groups include highly skilled, highly trained individuals; –Both are known to tackle cases with long odds and a high risk of failure; –Notwithstanding the aforementioned risks, both get paid only if their client gets paid. If their client walks away empty-handed ....Read More
The Mysteriously Disappearing FSBO One of the less-remarked developments in today’s housing market is the relative absence of FSBO’s (“for sale by owner” homes). As recently as two years ago, more than 10% of all listings were; now, I’d guess that number is less than 5%. (Note: there are actually two kinds of FSBO’s: the...Read More
