Where Real Estate Gets Its Dirt

calREDD, do the math…

The mythical California State Wide MLS System

Inman News had an article on CARETS today. Turns out the service is too popular. They had to stop taking on new MLS providers, so they can catch up. This is a bummer but most likely the right thing to do to ensure their infrastructure is solid.

The amusing part of the article was calREDD’s response (via Mike Silvas the chairman of calREDD):

“We are disappointed, and frankly, concerned about their inability to perform at this point,” Silvas said. …”

One word Mr. Silvas: FRESNO!

This got me thinking. How many C.A.R. members is calREDD serving vs. how many C.A.R members is CARETS serving. So I took a look at calREDD website. Then I visited CARETS website. Here’s what I came up with:

Several large MLS providers are not on this list from calREDD LOIs; MLS Listings (Silicon Valley), MetroList Services (Central Valley), SoCalMLS, MRMLS, BAREIS to name a few. That’s a hell of a lot of agents: Over 100,000, easy.

Here are the MLS/Assocations CARETS provides service:

California Desert Association of REALTORS®
Citrus Valley Association of REALTORS®
East Valley Association of REALTORS®
Inglewood Board of REALTORS®
Inland Gateway Association of REALTORS®
Inland Valleys Association of REALTORS®
Montebello District Board of REALTORS®
Orange County Association of REALTORS®
Palos Verdes Peninsula Association of REALTORS®
Simi Valley-Moorpark Association of REALTORS®
South Bay Association of REALTORS®
Southland Regional Association of REALTORS®
Southwest Riverside County Association of REALTORS®
Tri-Counties Association of REALTORS®
Ventura County Coastal Association of REALTORS®

That’s well over 100,000 agents, my estimates are around 110,000 agents.

Plus when CARETS starts adding again they have LOIs with these MLS/Boards:

Sandicor, Inc. Regional MLS
North San Diego County Association of REALTORS®
Pacific Southwest Association of REALTORS®
Palm Springs Regional Association of REALTORS®
San Diego Association of REALTORS®

Now here’s calREDD’s list:

Merced County Association of REALTORS® (Live as of August, 2009)
Madera Association of REALTORS® (Live as of August, 2009)
Lake County Association of REALTORS® (January 11, 2010)
Chico Association of REALTORS® (January 25, 2010)
Oroville Association of REALTORS® (January 25, 2010)
Paradise Association of REALTORS® (January 25, 2010)
Amador Association of REALTORS® (March, 2010)
Yosemite Gateway Association of REALTORS® (March, 2010)
Mariposa County Board of REALTORS® (April, 2010)
Tehama County Association of REALTORS® (April, 2010)
Plumas Association of REALTORS® (April, 2010)

I’ve added up total membership for these MLS providers. 2,702

CARETS: 110,000 agents
calREDD 2,702 agents

If my memory serves C.A.R. allocated 3 Million dollars for calREDD.

2,702 agents, 3 Million dollars.

Does calREDD really think they have any chance of implementing a state wide MLS system when so many MLS Providers and Association have already made their choice?

C.A.R. members should do the math.

  1. Rolling out a true statewide MLS has been an incremental process, and as with any new venture, often is slower out of the gate than might seem desirable to some. However, C.A.R. remains convinced that participation in calREDD™ is in the best interests of our members, and their clients, and we will continue to work to that end. It’s always easy to take shots and criticize those doing the work, especially if they are shaking up the status quo.

    calREDD™ has been up and running to users’ acclaim since Aug. 17 to members of the Madera Association of REALTORS® and the Merced Association of REALTORS®. Visit http://videos.car.org/mediavault.html to see what members are saying about the calREDD™ system in Madera and Merced.

    To date, associations and multiple regional MLSs representing more than 120,000 members across the state have recognized the importance of a statewide MLS and have signed letters of intent to participate in this critical endeavor. calREDD™ was granted a line of credit from C.A.R. in January 2009 for its use in partnership activities, ongoing operations, and future development and has sufficient funds for ongoing operations.

    Following today’s official launch in Lake County, calREDD™ now will focus on successful deployments at the Chico, Oroville, and Paradise associations later this month.

  2. Greg-

    You contradict yourself. Your blog lays out a pretty convincing scenario that CARETS is, or close to being, a monopoly. Additionally, the action of their BOD to not allow new MLS members at this time is clearly a blocking move on CalRedd. Realtors are, in fact, inhibited in today’s MLS world from having choice and we ‘own’ the data, the MLS’ do not. Vendors and every MLS operator are simply protecting selfish interests. I understand that and would probably not want to lose a lucrative gig myself. Competition is a good thing…we should all grow from it.

  3. I think it’s interesting to hear the change in the message that the Concentric system is not complete and that “we have to give it a chance”. What has Concentric been doing for the past 3+ years??

    Again and again we continue to hear the repeated statement from C.A.R. (the majority of Mr. Silvas’ response above is cut and paste from the press release)suggesting that all these association have indicated their interest by signing (non-binding) letters of intent. That is disingenuous, and ignores the fact that a major carrot to get them to sign, was the opportunity to nominate a director to the calREDD board. Had they not signed the LOI, they would not have been able to nominate a director.

    This sounds just like a political election campaign(that’s right, it mostly is) — stay on message.

    The REALTOR association family seems to me be straying far from their core missions as trade associations, and creating monopolies that will ultimately stifle innovation and drive costs up in the long run.

  4. Inclusion is one of the fundamental tenets of CARETS. CARETS remains committed to this tenet and is rallying its resources to be certain it can have long term success in meeting this goal.

    Please see the following recent statement by CARETS’ Chairperson Mike DeLeon:

    “CARETS is committed to long term success. As part of this success, it hopes to collaborate with every facet of the real estate brokerage community, including CalREDD.

    Meetings with interested parties are in the process of being scheduled to achieve these desires. The simple fact is that CARETS did not expect the wide demand for inclusion by other MLS to be as rapid as it has been.

    As such, CARETS is doing its best to manage the desire for new membership with the capacity to successfully handle this new membership. CARETS is confident that time will show that it can and will succeed with this effort.

    The real estate brokerage community at large, and the consumers it services will be the benefactor of the diligent approach which CARETS is taking.”

  5. Let’s see:“We are disappointed, and frankly, concerned about their inability to perform at this point,” Silvas said. …” “CARETS rolled out to 100,000 users (mostly REALTORS) and it was flawless. CalRedd rolled out to 1,400 Fresno users and it had to be taken down. Frankly, I think the members of CAR should be concerned about the 3 million dollars they gave to CalRedd,” Englin said.

  6. @David Englin You make a very good point. That’s the difference between an experienced MLS provider (CARETS) and one without any experience running an MLS (calREDD).

    When will CAR consider rebating member dues back to the member? Seems to me that they are sitting on a lot of cash.

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