Real Estate: It’s a Changing Thing

According to the oldtimers in the real estate business, never has our industry changed so much, so quickly.  We are going through a constant evolution.  While we remain the primary link between people and their dream for a new home, and/or for real estate investments, the way we do things has changed dramatically.

The most significant change is the way that people can access listings through the Internet.  There are so many avenues to property listings on the Internet these days, that there is no keeping track of them.  No longer is a buyer dependent on having an agent in order to find out what properties are available for sale.  If a real estate professional is not found somewhere in cyberspace, their listings are also not going to be found.  Most buyers start their search weeks or even months before they ever connect with an agent — by looking online.

At one time buyers used real estate web sites for their searches, but now they go to other “free” web sites.  There are property searches everywhere online, including all the various online newspaper/TV/magazine sites. And, we all know about Trulia, Oodle, Google, Hotpads, Dothomes, Backpage, Zillow, Craig’s List, etc.  However, real estate professionals still need to have their own web sites, just like they need to have business cards.  Real estate web sites are also changing and becoming more interactive, with live “chat” capabilities. 

Real estate professionals are also getting more involved with “social networks,” such as Facebook and Twitter, and there is a lot of blogging going on, especially at Active Rain.  We find ourselves on the computer a lot these days.  No longer do agents go door to door, as in the past, and in fact, people don’t like being approached at their homes any more.  Some of us are old enough to remember when there was a constant stream of people coming to your door:  vacuum cleaner sales men, “Fuller Brush men,” women selling make-up, real estate agents, etc.  Those days are over because people really don’t like it when “strangers” come by their houses.  In any case, since most families are two-income households, there is no one home during the day.  Now we visit people online, and must learn how to engage buyers in new ways.

Here in Washington State we are gearing up for more changes.  Our real estate licensing law will be changing, effective July 1, 2010.  Most of us are still trying to figure out what the changes in the law are going to mean to us, and what we will need to do to accommodate those changes.  One thing we know for sure is that it means having to pay for more education credits as there will definitely be an increase in education requirements.  Right now, in our state, we have distinct categories — salespersons or agents, and brokers.  After July 1, 2010 we will all be brokers. 

As I understand it one of the main underlying reasons for the change in the law is the increase in the number of agents who “hang their licenses” in a brokerage office, but actually have little contact with that office.  They are truly “independent contractors,” working out of their homes, or out of some other office space of their own, with less oversight from an actual broker. 

So, after July 1, 2010 we will all be brokers, and the person who is now the “Broker” will become a “Managing Broker”  and/or a “Designated Broker.”  Things get rather confusing here, as at the present time the Designated Broker and the Firm are issued one license to practice, but in the future the designated broker and firm will be issued two separate licenses.  Designated brokers will now have the ability to be licensed to multiple firms, though I’m not sure why.  Managing brokers will be licensed to one particular firm as its designated broker.  Hey, my head is spinning as I try to imagine how this is going to work out.  I’ll be one of the first to sign up for whatever continuing education class is coming along to explain all of this. 

I think what could happen is that more real estate “brokers” will become even more independent.  It is going to be quite interesting to see how it all plays out in the future.  You can go here  to subscribe to Real Estate Licensee Updates.  Scroll down until you find the Real Estate item on Listserv.

Tags: brokers, change, Internet, licensing law, real estate, social networks