But this is about more than a website. … Brokerage companies are in for a serious brain drain unless they can use their assets in a manner that supports, rather than inhibits, these stars [referring to Jonathan Kauffman, our Principal Broker].
First, I think these signs are striking, very interesting graphically. The grid layout is sweet and fine, a very clean style of communication.
From RealCentralVA – This is Jim Duncan’s site who is one of our agents. But, notice the comments he got, many from other agents and brokers. (A few of the more than 20 comments are below.)
What’s not to love? They look great and I am happy to see “single property signs” spreading, I think they are one of the best services you can bring to the seller.
really impressed with this. love how it’s modular (top and bottom are on each sign, the big portion goes with each house). brilliant. well done!
Talk about transparency! That is awesome and I think the gen. public will love it. If the house isn’t what they’re looking for, then “no harm, no foul” and no one wasted anyone’s time.
I like this! Not only do you get a price on the property without stopping the car, but this sign is actually more about the property for sale than the agency representing it. That’s refreshing. I would love it if I were a seller.
Today marks a huge shift. For me, and I believe, for Charlottesville real estate. Today marks the official launch of Nest Realty Group, a team of four experienced Realtors who believe that the consumer has changed, the market has changed, and its time that Realtors change as well.
For more than a decade, I have found myself working at start-up companies in information and technology fields. I suppose it’s not surprising then, that I would head for the start-up route again. Each company in which I have been involved has existed in a mature industry, but has changed the way in which the industry operates. From a company that used genetic algorithms to train and schedule employees, to a firm that used simple (it’s all relative) bio-data from premature infants to predict illness before there were any physical symptoms, every company I have helped steer has believed that there is always a better way to do things. Well, here we go again.
Nest is another real estate firm. We will help list and sell real estate. To that end, we are the same as other firms. I’d like to think that the similarities stop there.
Over the next few days, I will be writing far more in depth posts about the ways in which we are different, but I will give you a few teasers here.
No Dual Agency – Would you ask a Divorce attorney to represent both you and your spouse in your divorce? No. Then why would you believe that a Realtor could represent two sides of the same transaction? They can’t. In my posts in the next few days, I will delve into this more fully. Do I need to be at Nest to refuse Dual Agency? Absolutely not. In fact, I have never worked a deal as a Dual Agent, and I have been very forthright from the start of my career that I have no intention of doing so. Then why Nest? Because we believe that as a firm, our outspoken stance on rejecting Dual Agency will be an asset that Clients will recognize, and it will be a first step in establishing a higher standard for all ethics in our business.
Experienced Agents Only – We are not a training firm. We are not designed to handle hundreds of agents. We don’t want to. We have built our Nest to house only the best, and only experienced agents. All of our team have been in the business more than three years, and within the next few months, we will all complete our Brokerage license. It is a company policy that anyone who joins us down the road will have similar experience and will already have or will pursue their Brokerage license as well.
No Part Time Agents – Nest Agents will not be involved in real estate as a side business. We believe that Realtors who are not fully vested in the industry do their clients a disservice. The value that a Realtor brings to a transaction does not come from simply having a license, it is developed over years of learning every detail of a market and being able to interpret trends from that information. When a Client hires a Nest agent, they will know that their agent is committed to them fully, not just when they are off duty from another job.
Technology – A quick look at our web site www.nestrealtygroup.com will point out that we are different. Clients can find information on listings, but not by stumbling through generic user interfaces. Our clients will be able to begin with maps, or schools, or neighborhood features, or price. Our searches can be saved, and they can be meshed with school information and proximity to shopping… and yes, even the closest vineyard.
Marketing – I can’t go into too many details here, as we are still working with some providers to ensure that Nest does more to market properties than any other firm in Charlottesville. PERIOD. Consumers are changing, and we want to ensure that we are targeting every conceivable market that we can. This means using the MLS, as well as a plethora of on-line services from REALTOR.com to Trulia, Zillow, and about 20 more. It means utilizing social media in ways we may not yet fully understand. It also means revamping the way we think about advertising media that we have been using for decades. Print ads are dead, but that doesn’t mean the only place to advertise is on-line. More about this later.
Transparency – I work for my clients. It’s that simple. Anything I do in the course of business should be an open book. When they make an offer on a home, I will share with them all the information I have analyzed in helping them understand the market. I will share my marketing plan, showing information, everything. There should never be a question as to what I am doing to work FOR my client.
So, here we go in a new direction. I can’t express to you how excited I am to be doing this. For years, I have been writing about ways the industry needs to change to accommodate the consumer. And now, I look forward to being part of that change.
I can’t say where the industry will be in 5 years, but I can’t tell you without a doubt, it won’t be where it is today. We are in a rapid fire time of change; one that should excite consumers and Realtors alike. I can’t wait to change, and I can’t wait to see how the consumer asks me to change.
OK, so I doubt that Bloomberg reported on real estate advertising sales just so my last blog posting would have some validation, but I’ll certainly reprint what they have to say. Bloomberg reported this week that in the first quarter of 2008, print ads were down 14% across the full spectrum of industries. But amongst real estate, ads were down 35%. Why so much emphasis on real estate? and, where have these ads gone?
As I wrote in my last post, advertising dollars are shifting. Bloomberg has confirmed this with dramatic numbers that quantify how much the shift is occuring. The national media is in for some more belt tightening, as the newspapers have reported that the amount of on-line advertising is not close to making up for the lost print ads. The problem, as Bloomberg reports, is that many of these historical advertisers have turned to creating their own advertising medium in the form of web sites, blogs, and more. Why pay to advertise on a newspaper web site when not all your viewers are looking for your product, when you can start a web site that captures exactly the audience that a company wants. It is target niche marketing at its finest.
Real Estate ads are down for two reasons: 1) Because real estate ads are down everywhere. The number of listings may be up, but the number of agents is down, and the need to conserve cash is becoming more evident. 2) Print ads are not good for real estate. A seller can get so much more information across in web advertising. Why place an ad with a 2″ x 3″ photo (which by the way is huge in newsprint) when you can devote a web page including floor plans, virtual tours, maps, local information and more to a single property?
Print ads continue to be a good way to increase public awareness for individuals not shopping for homes, but they don’t really help in selling properties any more.
While agents are forced every day to determine whether to spend money on print advertising or Internet ads, typically, we are looking at $150 – $5,000 purchase decisions. Landmark Communications out of Norfolk is hoping to fetch $1.4 billion for the sale of their advertising division that includes homes.com and many print publications (AutoTrader, TruckTrader, TraderOnLine, etc…). Consumers won’t notice the change, and frankly, most Realtors don’t know who owns these publications anyway, but it does show a shift that is being recognized by those in power, and profit taking is occurring before there are losses.
If you grab a copy of the Charlottesville Area Association of Realtors adverstising publication The Real Estate Weekly and count the pages, and then look at the publication from 2 years ago, you’ll immediately see what is happening. What was once a lucrative business of publishing listings has become yet another industry to die off at the hands of the Internet.
Print publications, such as those for sale by Landmark, come out a week to two weeks after ads are submitted which could be as much as a month after a listing is available. So, six weeks after you need to get information in the hands of buyers, the information is there. Whereas the Internet provides instant accessibility. Landmark read the tea leaves appropriately years ago when they launched homes.com, but realtor.com has had such a dominating market presence that the brand of homes.com has never really taken off. Now, with sites like Zillow and Trulia providing enormous amounts of information, pure advertising sites just don’t hold the value.
Ironically, while I am spending less and less on print advertising, my ad budget is larger than ever. I now have to pay for upgrades on realtor.com, fees to Visual Tours, web hosting fees, SEO fees, IDX fees, and the list goes on and on. All for the sole purpose of driving customers. But, the truth is that buyers are overwhelmed with advertisements, they want information, they want to find what they want when they want. They only want the tools provided to them.
So, for Landmark, I wish them well in fetching $1.4 billion. But they are right again in trying to get some profits out before this advertising line up diminishes. The future is in information, and providing it in a useable manner. Not in listing home after indistinguishable home on a piece of paper with little to no shelf life.
Nest has completed our 2013 Mid Year Nest Report. Download the whole report here. 2013_Q2_NR. To summarize: The market continues a cautiously optimistic upward trajectory. Sales are up in the County and slightly down in the City. However, many believe that the City transactions have been limited only by a low inventory. In the City and Read More
The fixed income bond market. Likely the most unsexy of all the traders on Wall Street. Also some of the most wildly paid when the bond market is on a roll. It is an area that few casual investors really want to understand. It’s boring. Buying 10 year bonds payable by Chrysler just does’t excite. Read More
We meet with sellers all the time and make estimates on price. We really do our best to provide guidance on what a house is worth. It is a fascinating art. But what we try to stress over and over is that pricing right is not about finding the estimate and trying to get 5% Read More
I requested from the City a breakdown of all residential assessments for 2013 and the adjustments by neighborhood. They were kind enough to respond very quickly. I have reformatted what they sent to me, and thought I would pass it along here. Below, you will find the 22 Neighborhoods that saw decreases in 2013 assessments Read More
The City of Charlottesville released their 2013 tax assessments this week. Mailings have been sent to home owners, and the web site has been updated to reflect the changes. Assessments cause all kinds of a ruckus. There is an erroneous perception that prices should instantly adjust to match these new numbers. Nothing could be further Read More
February 1. Our January stats are far from being updated. We likely won’t have complete numbers for at least another week. But I had to peak anyway. And the numbers are remarkably positive so far. Keeping in mind that in the first week after a month, sales continue to be entered, and thus numbers only Read More
I went out yesterday and showed 5 properties to buyer clients. Nothing odd about that. Except that, for the first time in my recent memory, all the properties were vacant, and none were new construction. The houses I showed yesterday were all in the $300-400,000 range. These are not homes where owners regularly pay cash, Read More