As in most markets our MLS membership has decreased quite a bit in the last year or so. Our MLS membership went from 16,000 agents to 11,000, and it expected to go down to about 8,000 members after the first of the year. We have lost a little over 50% of its members in just about 2 years. So why am I so happy.
Well less competition first, but many of the agents that left were not cut out to be in real estate. The few brought down the many, and we have to strive everyday to contradict the perception of a real estate agent. If you ever read the book "Freakanomics" you know what I mean. In the book of "Freakanomics" they compare the secret realtor's society to the Klu Klux Klan. Ouch. Their theory is because we have tried to withhold information from the consumers for so long that we act like a cult. However, the authors also predicted that the traditional brokerage would collapse, and everyone would be a discount 1% broker. That definitely has not happened. The reason why this has not happened is that even though consumers can basically search the MLS and can access as much information as realtors can the consumer still sees value in a realtor:
- Negotiating on their behalf.
- Knowing the stories of the many communities.
- Advising consumers on their financing options.
- Setting up Appraisers, Inspectors, and Handymen.
- Advising consumers on what costs they may incur.
- Setting up appointments for homes that the consumer may not know about.
- Most importantly, the value of a realtor besides being the professional is that a good real estate agent will know the ins and outs of specific properties. We will be able to tell a consumer the story of the home. We may have some inside scoop on why the seller wants to sell, and maybe even what price and terms they are looking for.
There obviously are many more behind the scenes jobs that we as realtors do, but I think you get the gist of it.
Getting back to my point however, we are so fortunate to be in a business that we genuinely love. A business that allows us the freedom within reason to spend time with our family, and take vacations while working very hard on a day to day basis. We are fortunate that we are very good at what we do. We sell real estate and we love it. I have never dreaded even one day of work. I get up in the morning, and cannot wait to go to work. How many people can say that? Lets be Fine in 2009!!! Happy Holidays, Merry Christmas, and Happy Chanukah
David Serle
Vice President/Managing Broker
RE/MAX Services
561-912-3500 Office
561-912-3502 Direct
561-756-3104 Mobile
Interestingly, we are not seeing a drop off in agent population or mls membership. The only thing I can attribute that to is the advent of "no fee" brokers. Agents cutting corners are able to move their license from flashy high profile franchise offices to the "no fee" office and wait this correction out.
I think the wait will be longer than anyone expects, so the attrition may lag in this correction.
Please remember me if your learn of anyone moving to Orange County and I'l do the same your way.
Best regards.
Michael Caruso, broker ABR ABRM CRB CRS GRI
207 President, Orange County Association of Realtors
Michael, thank you so much for commenting. I would think membership across the board would see a huge decrease as the invoices for being a member of the boards and MLS come due. I will definitely keep you in mind for any referrals I have for you. Thanks again.
It's pretty sad but you are definitely right and I agree with you. It's more business for everyone else right?? :) Thank you for sharing that with us. I hope you have a great day and Happy Holidays!
James thank you for your comment. Have a wonderful Holiday, and Lets have an amazing 2009
Hope you have a very good next year and wish all those good realtors who could not afford to renew will be able to come back when the market improves and they will be needed again.
David, This is a very good post. We went through the same problems in the 1980's and Texas lost a lot of agents and some brokers. In our area we are not seeing a lot of agent loss at this time but that could change. What we do see i a lot of agents moving from te high dollar offices and moving to the smaller offices. We just opened a new office this month and are looking forward to a renewed new year in 2009.
Thank you for your comments. We are all in this together, and we have to look back at how fortunate we all are. Thanks so much, and Have a great New Year. Let's Shine in 2009
David, So many people got into this profession and were able to make good money, with little effort. That no longer is the case. I know that here in Ct, they have raised our association fees. It will be interesting to see who continues on next year. Easy is gone, who knows if it will ever return. I doubt that it will or can.
Working for a Strong 2009!
It's a Good Life!
Fran
Our area has not seen such a huge cut in agents, and we really need it. I hope january brings more reductions in the ranks. We also need to increase the barrier to entry, with higher educational standards.