A few things have been written about MOVE’s latest announcement on the creation of the “Real Estate Network” (REN). MOVE’s says REN will “extend the syndication of property listings to highly trafficked websites operate by real estate franchisors and brokerage networks.”

I have to say I think this is a brilliant strategy on MOVE’s part. Here’s why:

1. Zillow and Trulia have already proven quantity (and quality for that matter) of listing data isn’t necessary to operate a highly trafficked real estate portal.

2. This further hedges MOVE’s position. MOVE currently depends upon its agreement with the National Association of REALTORS (NAR) for listings and does not run a national IDX network.

The big question is “who cares?” So I’m going to focus on a few tipping points that would cause a Franchisor or brokerage network to implement a REN feed on their respective websites.

1. SEO benefits
I think this is the weakest case. Most Franchisors running sophisticated IDX networks from vendors like Homes Media Solutions (formerly eNeighborhoods) and RED (formerly LPS Real Estate Group) have already figured out how to maximize SEO benefits using a platform designed to be a launching site for a “network of broker idx sites”.

2. Cost
This is a big factor. As I’ve stated Zillow and Trulia have already proven quantity of listings doesn’t matter. Aggregating MLS data from multiple sources managing all those different display rules and paying those MLS fees have a huge cost associated with it. What if RE/MAX is paying their IDX vendor $70,000 per month and MOVE is offering REN for $7,000 per month. Is it possible that a company like RE/MAX might opt to save the money? Maybe.

3. The MLS Two Step
This is also a potential decision point. Lets say that a particular MLS provider, for the purposes of this example the Houston Associaiton of REALTORS (HAR) has made is very difficult to display listings from their MLS. The Franchisor always has to jump thru a few extra more hoops when dealing with HAR. Will some Franchisors be willing to forego not having all Houston listings as long was they don’t have to talk to Sam Scott anymore? Maybe : )

4. Filling the gaps
The REN might be a great way for new and exisiting Franchisors to supplement coverage in areas where they don’t have a Franchisee yet. According to the rules they would still need a license in the state, but thats relatively easy. This makes Realty Executives participation as a charter member of REN a little clearer.

5. Exposure.
Search traffic to real estate portals is still heavily brand related. Long tail searches are a relative minor piece to the equation. It was announced recently that Century 21 is running a Super Bowl ad on February 5th. Depending on when REN would be implemented how ironic would it be when Realty Executives announced to their agents that all their listings would be advertised during the Super Bowl. Pass the chips!

In a way MOVE, with the announcement of REN, has changed the conversation away from IDX (something they are very weak in) to Syndication (something they are very strong in).

“If you know the enemy and know yourself, you need not fear the result of a hundred battles. If you know yourself but not the enemy, for every victory gained you will also suffer a defeat. If you know neither the enemy nor yourself, you will succumb in every battle”
― Sun Tzu, The Art of War, Special Edition

Smart MOVE.

New York Real Group Forges Statewide Stats Partnership with 10K Research

“The New York State Association of REALTORS® (NYSAR) and 10K Research and Marketing are pleased to announce the February 2012 launch of a statewide housing market reporting partnership using combined data from Multiple Listing Services from throughout New York State.

10K will gather and organize housing sales data from the state’s array of 31 MLSs and provide unique, attractive and localized market reports to 33 participating local associations within NYSAR, making each group the definitive voice of real estate in their respective local markets.”

Two things I love about this. First thing; 10K is clearly doing well. It just shows you how great products combined with a awesome team can succeed (in any market). Secondly, 10K Research is part of the Minneapolis Association of REALTORS. You hear a lot about local associations struggling with generating new forms of revenue and business models. These associations should look look north.

Inman News’ list of the 100 Most Influential Leaders In Real Estate is out. For the 3rd year in a row I’ve made the list. You can check it out here:

http://www.inman.com/inman100/2011/greg-robertson

I started this blog in 2007 and am constantly amazed at the growth of its readership/traffic. Including the fact that in just one week I’m just about sold out of all advertising slots for the entire year of 2012.

I sincerely appreciate your support.

Thank you,

Greg

Here are some others you might recognize

Merri Jo Cowen
Russ Bergeron
Art Carter
Bob Bemis
Rebecca Jensen
Bob Hale
David Charron
Saul Klein
Matt Lerner
Mark Lesswing
Brian Larson
Gregg Larson
Errol Samuelson
Ian Morris

Rob Overman

Looks like Rob Overman is leaving LPS and heading to ShowingTime.  Rumors of this has been out there for a couple weeks.  I did happen to speak with Rob today and confirm the news about his new gig.  He has been working with the ShowingTime team for many years while at LPS, and always thought of them as talented guys.   In his current gig Rob is working remotely from home for LPS. Rob lives in a suburb of Chicago, where ShowingTime is located, and is now looking forward to working in an office with others.

ShowingTime sounds like a good match for him.  Rob was quick to point out that he enjoyed his time at LPS but was looking for a new challenge.  Good to see him stay in the industry.  Congrats!

Talk about a piece of the rock!

Brookfield has already acquired GMAC Real Estate and Real Living (which now both operate under. This huge news in the world of Real Estate Franchisors. Brookfield has now seemingly overnight become one of the major franchisor in the United States (think Realogy or RE/MAX).

“Through its various brands, Brookfield’s residential real estate franchisees are now present in all 50 U.S. states, 10 Canadian provinces, Mexico and Portugal, with a network of approximately 80,000 real estate agents, 2,800 real estate brokerage locations and more than $150 billion in annual residential real estate transactions.”

See Full Press Release here.

I heard through the grapevine last week that RE/MAX International (LLC?) has signed a deal with eNeighborhoods Homes Media Solutions, for it’s new marketing system Home Connect. Details are a bit early but it appears RE/MAX agents will have access to some of Homes Connect features and will be able to upgrade to other features. Sounds similar to the Market Leader and Keller Williams for eEdge. But as I said details are still forthcoming.

There are a couple things I like about this:

1. It’s great to see eNeighborhoods Homes Media Solutions get their enterprises sales mojo back. With products like Mercado sun setting, and the siphoning off their IDX business, it was huge to see a deal of this size come out of the pipeline.

2. It’s good for RE/MAX. Outside looking in it appears the franchise is going through a transition period (isn’t everybody in this market?) and it’s good to see them making investments toward the future.

I have a lot of questions still. How does Homes.com fit in? What about LeadStreet? What components are included? How much does it cost to upgrade? But I’ll save that for a later post.

Congrats to Andy and his boys for a nice win!

Hard to believe that RealtyTrac co-founder, James Saccacio, has stepped down as CEO and now acts as a “executive advisor”. As I first reported some time ago (Inman News just posted something today) it looks like my sources were correct and a equity group from Texas has bought a majority interest in the company.

Full press release below:

RealtyTrac Secures Capital Investment from Renovo Capital, Positioning the Company for Continued Growth
Capital Infusion Enables RealtyTrac to Focus on Improving User Experience by Developing Innovative Products and Refining its Nationwide Foreclosure Data

IRVINE, Calif. – Nov. 28, 2011 — RealtyTrac® (www.realtytrac.com), the leading online marketplace for foreclosure properties, today announced that the company has obtained a substantial capital investment from Renovo Capital LLC through the private equity firm’s Renwood Opportunities Fund. Renovo’s investment in RealtyTrac provides the capital necessary to fund growth, nurture expansion into untapped areas of the market, and continue the company’s mission of dramatically improving the overall experience of transacting real estate.

Moving forward, RealtyTrac will focus on expanding its data collection capabilities and footprint while constantly improving the user experience on the nation’s leading foreclosure website, www.realtytrac.com, and developing innovative new products to enhance RealtyTrac’s value proposition for individuals, investors and real estate professionals.

Brandon Moore will assume the CEO role. Moore successfully led the expansion of several online ventures and has specific expertise in subscription-based marketing. He was most recently the senior vice president and general manager of One Technologies, where he was instrumental in growing the company’s annual revenue exponentially over a four-year span.
RealtyTrac’s co-founder, James J. Saccacio, will continue to help shape the company’s future as a member of the RealtyTrac board, and as an executive advisor and continuing to impart his trusted market knowledge as a spokesperson for the company.

“I am excited to move forward with this venture as it will empower RealtyTrac to better serve its customers, providing them with a wider data reach, more robust foreclosure search and real estate research capabilities, and an enhanced user experience,” said Saccacio. “With this capital infusion, RealtyTrac’s leadership can expand on its core competencies of collecting, analyzing and democratizing the availability of U.S. foreclosure data. We have identified just the right investor to partner with, and the timing of this investment is well synched with our plans for maintaining RealtyTrac’s reputation as a go-to company that exceeds the needs of its customer base and addresses the exciting challenges the dynamic real estate market presents.”
“We are pleased to complete this transaction and continue working with RealtyTrac’s management team to preserve and expand upon this widely respected brand,” said Renovo Managing Partner Mark Barbeau. “This company is a valuable resource to real estate professionals, investors and financial institutions alike, as well as for various organizations within the public sector.”

About RealtyTrac Inc. 

RealtyTrac (www.realtytrac.com) is the leading online marketplace of foreclosure properties, with more than 1.5 million default, auction and bank-owned listings from over 2,200 U.S. counties, along with detailed property, loan and home sales data. Hosting millions of unique monthly visitors, RealtyTrac provides innovative technology solutions and practical education resources to facilitate buying, selling and investing in real estate. RealtyTrac’s foreclosure data has also been used by the Federal Reserve, FBI, U.S. Senate Joint Economic Committee and Banking Committee, U.S. Treasury Department, and numerous state housing and banking departments to help evaluate foreclosure trends and address policy issues related to foreclosures.

About Renovo Capital LLC

Renovo Capital LLC (www.renovocapital.com), through its Renwood Opportunities Fund, invests in companies across a variety of industries in North America. Renwood Opportunities Fund was formed by Renovo Capital and Rosewood Private Investments, the private equity arm of The Rosewood Corporation, a prominent family-owned company with diverse worldwide operations and investments. Renovo Capital has offices in Dallas, Denver, and Irvine.

About James Saccacio

RealtyTrac Co-Founder James Saccacio became the company’s chairman and CEO in October 2000. Since then, he has transitioned the company from a local provider of foreclosure data to the nation’s leading online foreclosure marketplace. He was named one of the 100 most influential real estate leaders in 2010 by Inman News and received the 2011 Distinguished Alumni Award from the SMU Cox School of Business, for which he currently serves on the Executive Advisory Board. Saccacio is a sought-after industry expert on mortgage and foreclosure-related topics. His knowledge and opinions have been solicited by major national media outlets, government agencies, business associations and educational communities alike. He remains intimately tied to RealtyTrac’s mission: to dramatically improve the overall experience of transacting real estate for individuals, investors and real estate professionals by making the process easier, more affordable and less time-consuming.
 
###
Media Contacts:
Christine Stricker
 949.502.8300, ext. 268
 christine.stricker@realtytrac.com
Michelle Schneider 
949.502.8300, ext. 139
 michelle.schneider@realtytrac.com

So freaking cool…

Source: Lightning | Twice – The official blog of W&R Studios

The shit just hit the fan…

Twitter was all a…twitter, I guess when Craig Kamman posted that Edina Realty (owned by HomeServices of America) was going to pull their listings from Trulia and other “3rd party aggregators” and possibly Realtor.com. The post is worth a read:

Edina Realty discontinues 3rd Party Sites like Trulia and Realtor.com

This was followed by a blog post by Jay Thompson who had his own take on the news, where he imagines a conversation between an seller and his agent:

“So Mr. Agent, you’ll put our home listing on the internet, won’t you?

Well, it will be on our brokerage site, but we’ve elected not to put your listing on some of the most highly visited real estate sites in the country.

Uhm, why is that?

Well, we want to be sure our agents get the leads your home listing generates. And those meanies at the third party site want to charge for them!

Uhm, isn’t the point to sell our home, not generate leads for you and other agents?”

Obviously Jay doesn’t think it’s a good idea: