The Internet may not have had the impact we all thought it would on housing

[sdrealtor]

I really want to keep this on topic and while there are some good points I want to stick to what was in my mind. My point isnt that ths is the only factor but rather a contributiong factor supporting higher prices.

I’m not saying that gov’t intervention isnt a factor in keeping prices high. We know it is. I’m not sure we can say the Internet creates new demand (though it might encourage people to move by having greater visibility onto what they can get) either. What hit me was that the Internet brings a greater share of the demand to the forefront immediately after a home is listed. When a good property is listed at a fair price it gets slammed with interest and offers immediately. The price can get driven up a little because of the frenzy. Before the Internet the only frenzy was at new tracts with buyers camping out. It just seems to me that the benefits of the Internet to the seller could be are as strong or stronger than they are for buyers.

FWIW, I have a listing about to close that sold at least $25K above and probably closer to $50K above what I thought it could reasonably sell for. Multiple offers the 1st weekend despite an asking price I was almost embaressed to put on it. The market proved me wrong and overly pessimistic in this case.

[sdrealtor]

[quote=5yearwaiter]Though we are in very advanced internet era – I surprised to see – A unnecessary dominent role of realtor involvement (6% commission) and a lot mortgage closing costs. If anyone take a close look at these these are really waste and unwanted costs that are deviating the current housing trends. Why not streamline much these and naildown those costs to simply near to 1% or 2%? I wish to take the full advantage of internet and stream line several actions in the realestate market not only listing and data but also naildown the lot extra money trasnfer.

A realtor :- Just open the lock and tour the house and throw the 14 pages offer after we signed.

Escrow:- Almost 10K plus closing costs.

My thoughts appear to be bit ruide but still I believe we are not yet taken full advantage of internet. The funny thing is today if you refinance the same house with same lender still you need to ponder a lot money for same title with the same lender – but why ? where is the work that involved that much money to submit after all refinance with in the same lender with same data.[/quote]

Sorry but I got to break my own rule and respond to this one. In one breathe we’ll talk about how this is the biggest transaction of our lives and how can people be so stupid/uninformed. Then in the next breathe comment that “Just open the lock and tour the house and throw the 14 pages offer after we signed”. You are not buying a loaf of bread. These can be very complex transactions. It is impossible to appreciate this unless you have been involved with dozens of them over many years. Are some of them simple? Absolutely though I havent seen a simple one in a couple years. You just dont know what is coming down the pike until you are knee deep in it.

Last year I took some listings up in the Temecula area. I wont take them anymore because the calibur of agent up there has been abysmal from my experience. I know they must exist but I have yet to meet a competent agent in that market. Frankly I dont understand how houses get sold up there when no one knows what they are doing. Extrapolating that to consumers handling their own transactions is even worse. Call me crazy but I dont see that as a viable answer.

[sdrealtor]

[quote=5yearwaiter]Though we are in very advanced internet era – I surprised to see – A unnecessary dominent role of realtor involvement (6% commission) and a lot mortgage closing costs. If anyone take a close look at these these are really waste and unwanted costs that are deviating the current housing trends. Why not streamline much these and naildown those costs to simply near to 1% or 2%? I wish to take the full advantage of internet and stream line several actions in the realestate market not only listing and data but also naildown the lot extra money trasnfer.

A realtor :- Just open the lock and tour the house and throw the 14 pages offer after we signed.

Escrow:- Almost 10K plus closing costs.

My thoughts appear to be bit ruide but still I believe we are not yet taken full advantage of internet. The funny thing is today if you refinance the same house with same lender still you need to ponder a lot money for same title with the same lender – but why ? where is the work that involved that much money to submit after all refinance with in the same lender with same data.[/quote]

Sorry but I got to break my own rule and respond to this one. In one breathe we’ll talk about how this is the biggest transaction of our lives and how can people be so stupid/uninformed. Then in the next breathe comment that “Just open the lock and tour the house and throw the 14 pages offer after we signed”. You are not buying a loaf of bread. These can be very complex transactions. It is impossible to appreciate this unless you have been involved with dozens of them over many years. Are some of them simple? Absolutely though I havent seen a simple one in a couple years. You just dont know what is coming down the pike until you are knee deep in it.

Last year I took some listings up in the Temecula area. I wont take them anymore because the calibur of agent up there has been abysmal from my experience. I know they must exist but I have yet to meet a competent agent in that market. Frankly I dont understand how houses get sold up there when no one knows what they are doing. Extrapolating that to consumers handling their own transactions is even worse. Call me crazy but I dont see that as a viable answer.

[sdrealtor]

[quote=5yearwaiter]Though we are in very advanced internet era – I surprised to see – A unnecessary dominent role of realtor involvement (6% commission) and a lot mortgage closing costs. If anyone take a close look at these these are really waste and unwanted costs that are deviating the current housing trends. Why not streamline much these and naildown those costs to simply near to 1% or 2%? I wish to take the full advantage of internet and stream line several actions in the realestate market not only listing and data but also naildown the lot extra money trasnfer.

A realtor :- Just open the lock and tour the house and throw the 14 pages offer after we signed.

Escrow:- Almost 10K plus closing costs.

My thoughts appear to be bit ruide but still I believe we are not yet taken full advantage of internet. The funny thing is today if you refinance the same house with same lender still you need to ponder a lot money for same title with the same lender – but why ? where is the work that involved that much money to submit after all refinance with in the same lender with same data.[/quote]

Sorry but I got to break my own rule and respond to this one. In one breathe we’ll talk about how this is the biggest transaction of our lives and how can people be so stupid/uninformed. Then in the next breathe comment that “Just open the lock and tour the house and throw the 14 pages offer after we signed”. You are not buying a loaf of bread. These can be very complex transactions. It is impossible to appreciate this unless you have been involved with dozens of them over many years. Are some of them simple? Absolutely though I havent seen a simple one in a couple years. You just dont know what is coming down the pike until you are knee deep in it.

Last year I took some listings up in the Temecula area. I wont take them anymore because the calibur of agent up there has been abysmal from my experience. I know they must exist but I have yet to meet a competent agent in that market. Frankly I dont understand how houses get sold up there when no one knows what they are doing. Extrapolating that to consumers handling their own transactions is even worse. Call me crazy but I dont see that as a viable answer.

[sdrealtor]

[quote=5yearwaiter]Though we are in very advanced internet era – I surprised to see – A unnecessary dominent role of realtor involvement (6% commission) and a lot mortgage closing costs. If anyone take a close look at these these are really waste and unwanted costs that are deviating the current housing trends. Why not streamline much these and naildown those costs to simply near to 1% or 2%? I wish to take the full advantage of internet and stream line several actions in the realestate market not only listing and data but also naildown the lot extra money trasnfer.

A realtor :- Just open the lock and tour the house and throw the 14 pages offer after we signed.

Escrow:- Almost 10K plus closing costs.

My thoughts appear to be bit ruide but still I believe we are not yet taken full advantage of internet. The funny thing is today if you refinance the same house with same lender still you need to ponder a lot money for same title with the same lender – but why ? where is the work that involved that much money to submit after all refinance with in the same lender with same data.[/quote]

Sorry but I got to break my own rule and respond to this one. In one breathe we’ll talk about how this is the biggest transaction of our lives and how can people be so stupid/uninformed. Then in the next breathe comment that “Just open the lock and tour the house and throw the 14 pages offer after we signed”. You are not buying a loaf of bread. These can be very complex transactions. It is impossible to appreciate this unless you have been involved with dozens of them over many years. Are some of them simple? Absolutely though I havent seen a simple one in a couple years. You just dont know what is coming down the pike until you are knee deep in it.

Last year I took some listings up in the Temecula area. I wont take them anymore because the calibur of agent up there has been abysmal from my experience. I know they must exist but I have yet to meet a competent agent in that market. Frankly I dont understand how houses get sold up there when no one knows what they are doing. Extrapolating that to consumers handling their own transactions is even worse. Call me crazy but I dont see that as a viable answer.

[sdrealtor]

[quote=5yearwaiter]Though we are in very advanced internet era – I surprised to see – A unnecessary dominent role of realtor involvement (6% commission) and a lot mortgage closing costs. If anyone take a close look at these these are really waste and unwanted costs that are deviating the current housing trends. Why not streamline much these and naildown those costs to simply near to 1% or 2%? I wish to take the full advantage of internet and stream line several actions in the realestate market not only listing and data but also naildown the lot extra money trasnfer.

A realtor :- Just open the lock and tour the house and throw the 14 pages offer after we signed.

Escrow:- Almost 10K plus closing costs.

My thoughts appear to be bit ruide but still I believe we are not yet taken full advantage of internet. The funny thing is today if you refinance the same house with same lender still you need to ponder a lot money for same title with the same lender – but why ? where is the work that involved that much money to submit after all refinance with in the same lender with same data.[/quote]

Sorry but I got to break my own rule and respond to this one. In one breathe we’ll talk about how this is the biggest transaction of our lives and how can people be so stupid/uninformed. Then in the next breathe comment that “Just open the lock and tour the house and throw the 14 pages offer after we signed”. You are not buying a loaf of bread. These can be very complex transactions. It is impossible to appreciate this unless you have been involved with dozens of them over many years. Are some of them simple? Absolutely though I havent seen a simple one in a couple years. You just dont know what is coming down the pike until you are knee deep in it.

Last year I took some listings up in the Temecula area. I wont take them anymore because the calibur of agent up there has been abysmal from my experience. I know they must exist but I have yet to meet a competent agent in that market. Frankly I dont understand how houses get sold up there when no one knows what they are doing. Extrapolating that to consumers handling their own transactions is even worse. Call me crazy but I dont see that as a viable answer.

[XBoxBoy]

[quote=sdrealtor]What hit me was that the Internet brings a greater share of the demand to the forefront immediately after a home is listed. When a good property is listed at a fair price it gets slammed with interest and offers immediately. The price can get driven up a little because of the frenzy.[/quote]

I’m sure that you can find people who over bid due to the frenzy of an auction, but the basic supply vs demand equation doesn’t change due to this. For every house you find that sold quickly at an escalated price, there’s another one that languished and ended up being “stale” on the mls, and sold for a lower than expected price.

[quote=sdrealtor]Before the Internet the only frenzy was at new tracts with buyers camping out. It just seems to me that the benefits of the Internet to the seller could be are as strong or stronger than they are for buyers.[/quote]

What I’m missing from your argument is any supporting evidence, or even a credible theory as to why supply or demand would change due to the internet. Without a change in supply or demand I don’t see justification for arguing that the internet has caused price changes.

The internet definitely has caused changes in how we shop or sell, but I don’t see that as changing supply vs demand. Can you put forward an argument detailing how and why supply or demand has changed due to the internet in a meaningful way? (Other than the argument that people get caught up in the frenzy of a bidding situation)

XBoxBoy

[XBoxBoy]

[quote=sdrealtor]What hit me was that the Internet brings a greater share of the demand to the forefront immediately after a home is listed. When a good property is listed at a fair price it gets slammed with interest and offers immediately. The price can get driven up a little because of the frenzy.[/quote]

I’m sure that you can find people who over bid due to the frenzy of an auction, but the basic supply vs demand equation doesn’t change due to this. For every house you find that sold quickly at an escalated price, there’s another one that languished and ended up being “stale” on the mls, and sold for a lower than expected price.

[quote=sdrealtor]Before the Internet the only frenzy was at new tracts with buyers camping out. It just seems to me that the benefits of the Internet to the seller could be are as strong or stronger than they are for buyers.[/quote]

What I’m missing from your argument is any supporting evidence, or even a credible theory as to why supply or demand would change due to the internet. Without a change in supply or demand I don’t see justification for arguing that the internet has caused price changes.

The internet definitely has caused changes in how we shop or sell, but I don’t see that as changing supply vs demand. Can you put forward an argument detailing how and why supply or demand has changed due to the internet in a meaningful way? (Other than the argument that people get caught up in the frenzy of a bidding situation)

XBoxBoy

[XBoxBoy]

[quote=sdrealtor]What hit me was that the Internet brings a greater share of the demand to the forefront immediately after a home is listed. When a good property is listed at a fair price it gets slammed with interest and offers immediately. The price can get driven up a little because of the frenzy.[/quote]

I’m sure that you can find people who over bid due to the frenzy of an auction, but the basic supply vs demand equation doesn’t change due to this. For every house you find that sold quickly at an escalated price, there’s another one that languished and ended up being “stale” on the mls, and sold for a lower than expected price.

[quote=sdrealtor]Before the Internet the only frenzy was at new tracts with buyers camping out. It just seems to me that the benefits of the Internet to the seller could be are as strong or stronger than they are for buyers.[/quote]

What I’m missing from your argument is any supporting evidence, or even a credible theory as to why supply or demand would change due to the internet. Without a change in supply or demand I don’t see justification for arguing that the internet has caused price changes.

The internet definitely has caused changes in how we shop or sell, but I don’t see that as changing supply vs demand. Can you put forward an argument detailing how and why supply or demand has changed due to the internet in a meaningful way? (Other than the argument that people get caught up in the frenzy of a bidding situation)

XBoxBoy

[XBoxBoy]

[quote=sdrealtor]What hit me was that the Internet brings a greater share of the demand to the forefront immediately after a home is listed. When a good property is listed at a fair price it gets slammed with interest and offers immediately. The price can get driven up a little because of the frenzy.[/quote]

I’m sure that you can find people who over bid due to the frenzy of an auction, but the basic supply vs demand equation doesn’t change due to this. For every house you find that sold quickly at an escalated price, there’s another one that languished and ended up being “stale” on the mls, and sold for a lower than expected price.

[quote=sdrealtor]Before the Internet the only frenzy was at new tracts with buyers camping out. It just seems to me that the benefits of the Internet to the seller could be are as strong or stronger than they are for buyers.[/quote]

What I’m missing from your argument is any supporting evidence, or even a credible theory as to why supply or demand would change due to the internet. Without a change in supply or demand I don’t see justification for arguing that the internet has caused price changes.

The internet definitely has caused changes in how we shop or sell, but I don’t see that as changing supply vs demand. Can you put forward an argument detailing how and why supply or demand has changed due to the internet in a meaningful way? (Other than the argument that people get caught up in the frenzy of a bidding situation)

XBoxBoy

[XBoxBoy]

[quote=sdrealtor]What hit me was that the Internet brings a greater share of the demand to the forefront immediately after a home is listed. When a good property is listed at a fair price it gets slammed with interest and offers immediately. The price can get driven up a little because of the frenzy.[/quote]

I’m sure that you can find people who over bid due to the frenzy of an auction, but the basic supply vs demand equation doesn’t change due to this. For every house you find that sold quickly at an escalated price, there’s another one that languished and ended up being “stale” on the mls, and sold for a lower than expected price.

[quote=sdrealtor]Before the Internet the only frenzy was at new tracts with buyers camping out. It just seems to me that the benefits of the Internet to the seller could be are as strong or stronger than they are for buyers.[/quote]

What I’m missing from your argument is any supporting evidence, or even a credible theory as to why supply or demand would change due to the internet. Without a change in supply or demand I don’t see justification for arguing that the internet has caused price changes.

The internet definitely has caused changes in how we shop or sell, but I don’t see that as changing supply vs demand. Can you put forward an argument detailing how and why supply or demand has changed due to the internet in a meaningful way? (Other than the argument that people get caught up in the frenzy of a bidding situation)

XBoxBoy

[sdduuuude]

treehugger – I was once told by a smart guy that real-estate attorneys make real-estate transactions a nightmare. I believe him. Lawyers already drafed up all the forms. You just need a good escrow agent, really, to organize everything.

Realtors are not about finding a house, they are about getting you through the process. Though, for busy people, having a realtor preview places is very useful. If you don’t want to waste time shopping, a realtor is a big time-saver. If you like shopping around, it can be a little annoying that you need one to let you in. You could always call the listing agent and tell them you don’t have an agent. They’ll let you in in a heartbeat and try to sign you up. Just view the house, then decline their services as a buyers agent.

Piggs don’t need realtors, but the rest of the world does because it is a pretty complicated process. Sure, it is complicated, in part, due to the realtors, but most of the legal pitfalls are certainly real, and would be there with or without agents.

For sure, you can find a realtor who will work on an hourly basis to show you homes and sign the forms as your agent. You just do the legwork to minimize their time.

Still, your situation is the exception. Most people need help.

[sdduuuude]

treehugger – I was once told by a smart guy that real-estate attorneys make real-estate transactions a nightmare. I believe him. Lawyers already drafed up all the forms. You just need a good escrow agent, really, to organize everything.

Realtors are not about finding a house, they are about getting you through the process. Though, for busy people, having a realtor preview places is very useful. If you don’t want to waste time shopping, a realtor is a big time-saver. If you like shopping around, it can be a little annoying that you need one to let you in. You could always call the listing agent and tell them you don’t have an agent. They’ll let you in in a heartbeat and try to sign you up. Just view the house, then decline their services as a buyers agent.

Piggs don’t need realtors, but the rest of the world does because it is a pretty complicated process. Sure, it is complicated, in part, due to the realtors, but most of the legal pitfalls are certainly real, and would be there with or without agents.

For sure, you can find a realtor who will work on an hourly basis to show you homes and sign the forms as your agent. You just do the legwork to minimize their time.

Still, your situation is the exception. Most people need help.

[sdduuuude]

treehugger – I was once told by a smart guy that real-estate attorneys make real-estate transactions a nightmare. I believe him. Lawyers already drafed up all the forms. You just need a good escrow agent, really, to organize everything.

Realtors are not about finding a house, they are about getting you through the process. Though, for busy people, having a realtor preview places is very useful. If you don’t want to waste time shopping, a realtor is a big time-saver. If you like shopping around, it can be a little annoying that you need one to let you in. You could always call the listing agent and tell them you don’t have an agent. They’ll let you in in a heartbeat and try to sign you up. Just view the house, then decline their services as a buyers agent.

Piggs don’t need realtors, but the rest of the world does because it is a pretty complicated process. Sure, it is complicated, in part, due to the realtors, but most of the legal pitfalls are certainly real, and would be there with or without agents.

For sure, you can find a realtor who will work on an hourly basis to show you homes and sign the forms as your agent. You just do the legwork to minimize their time.

Still, your situation is the exception. Most people need help.

[sdduuuude]

treehugger – I was once told by a smart guy that real-estate attorneys make real-estate transactions a nightmare. I believe him. Lawyers already drafed up all the forms. You just need a good escrow agent, really, to organize everything.

Realtors are not about finding a house, they are about getting you through the process. Though, for busy people, having a realtor preview places is very useful. If you don’t want to waste time shopping, a realtor is a big time-saver. If you like shopping around, it can be a little annoying that you need one to let you in. You could always call the listing agent and tell them you don’t have an agent. They’ll let you in in a heartbeat and try to sign you up. Just view the house, then decline their services as a buyers agent.

Piggs don’t need realtors, but the rest of the world does because it is a pretty complicated process. Sure, it is complicated, in part, due to the realtors, but most of the legal pitfalls are certainly real, and would be there with or without agents.

For sure, you can find a realtor who will work on an hourly basis to show you homes and sign the forms as your agent. You just do the legwork to minimize their time.

Still, your situation is the exception. Most people need help.

[Author]

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