I was curious about what the real esate and mortgage indsutries are blogging about, as compared to bubble bloggers that is, and came across this "article" below at:
How to "Tripple Side" a Deal Contributed by Don Murray – Posted: February 5, 2007 5:16:40 PM
Hello Bloggers: Single Client Listings are in Full Bloom Be sure you are aware of how to "Triple Side" a deal. The number of expired listings each day has diminished in our market area (Orange and San Diego Counties in Southern California. Orange County typically generates about 75 expired listings a day now and San Diego County typically delivers about 125 expired listings a day. While these number are half of what they were a few months ago, there are still plenty of expired listings to work with and there are still plenty of anxious sellers. Many of our "low ball" offers are being rejected now and our buyers are having to raise their offers considerably to get the deal. All this while interest rates continue to rise. Monthly rental rates are seriously jumping up in all spectrums of the residential rental marketplace. Buyer's are still a precious commodity. Our best source of buyers today are renters who should become buyers and investors that up to now, have largely been on the side lines. So how does all this play into a triple sided deal and single client listings?
First I want to make sure you know what a triple sided deal is. This is where you write the loan and simultaneously represent the buyer and the seller in the transaction. Basically you get paid 3 times for your work on these 3 elements of the transaction.
These are the steps: The first thing you do is underwrite the loan to be sure you have a real buyer. Next, when you are searching the MLS for potential properties for your buyer set the system to select "Expired Listings." This will show you the properties that meet your buyer's criteria but are not currently listed. Make note of the expiration date for each expired listing of interest. Next go to your broker's MLS archive database where the broker keeps the daily downloads of all the new listings in the MLS. If your broker does not maintain the archive, hire a 3rd party database manager that tracks your MLS database for you. Look up the dates that correspond with your expiration dates you obtained in step 1. Pull the Owner's phone number for that listing from the showing instructions ("call first go direct") Advise the seller that you have a client that would like to view their property and that you would like a 10 day single client listing for what ever the a full commission rate is in your area. In our area that typically runs about 6%. If your client buys the home you will receive the loan commission as well as both the seller side and buyer side of the real estate commission. Obviously your buyer is only going to buy one of the several properties you have secured these single client listings for. When you advise the unsuccessful clients your buyer selected another home you can discuss whether they should keep or expand the listing with you. There is considerable work involved in this but the compensation is well worth it. Good luck!! [email protected] — We Make Our Clients Wealthy Permalink: http://donmurray.realblogging.com/default.asp?item=240681TrackBack URL: http://www.realblogging.com/utility/tb/?id=240681 Comments | Add Comment
Thanks for this thread. I think it would be very interesting to see how RE Agents/Mortgage Bankers/Brokers are talking right now. Keep em coming if you find em.
This is only a guess but I would bet that the majority of realtors participating in blogs like that are pretty minimal. I bet it is chcok full of mortgage brokers. That is just a guess though.
As for some of the statements made about the overall conditions, I could not guess how accurate that is. I will say that in certain submarkets here in town like Scripps, some of the nicer parts of Sabre Springs, inventory has not grown at all, market times are down, expireds/cancelleds are way down, and the market is better then it has been in awhile. I would imagine the same is true for some markets in north county coastal. I think things will slow down eventually. In ALOT of other markets this is not the case.
As for how conversations go between myself and other realtors…. Well our conversations are very realistic with respect to the market and what is going on, at least the ones I talk to.
An attorney friend of mine has an active law RE law practice, and his favorite cases involve dual agency situations (one realty agent or broker representing both ends of the transaction). He says dual agency cases have sent both his kids to college and paid for his vacation home up in Tahoe.
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