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A Plea to the National Association of REALTORS(R).......SHUT UP!!

By
Real Estate Broker/Owner with Tutas Towne Realty, Inc and Garden Views Realty, LLC BK607690

Florida real estate broker 407-873-2747Hi folks. This post is inspired by Linda Davis' great article "The NAR Predicts Sunshine and Lollipops". Her post is referring to the NAR's Chief economist Lawrence Yun once again making statements about the Real Estate market that are really nothing more than "spinning" reality to help REALTORS(R) put money in their pockets. As a REALTOR(R) myself I personally find his comments on the state of the market embarrassing. Why can't he just be truthful?

In 2007 we were asked to pitch "Now is a GREAT time to buy Real Estate". Fortunately I didn't jump on that band wagon either. In November of 2007 the average price for a house in Poinciana Florida was $177,600. Today it's $75,000!! That's a decline of 58%. Sure looked like NAR nailed that one! 

Here's a post I wrote in 2007 showing what the consumer thought at the time about the NAR's foolishness. Will they ever learn?

This a follow up to "Now is a GREAT time to buy Real Estate! Or is it?" In that post I was pointing out how our local board(and now FAR) are asking us to advertise "Now is a great time to buy Real Estate." My thoughts were and are that this is actually being less than honest and I do not agree with this type of advertising. Pop over and read the post if you haven't already.

Anyway, I've had quite a few consumers who have read and left their opinions on that post. Here are their responses: (the comments have been edited for length only).
******************

FROM STAN:

Anything the NAR says now doesn't make any difference in the consumer's mind as they have looked like fools for the past couple of years. With an approval rating on par with Congress, there's little room for any downside movement. Let's see....they said the market was going to bottom out and begin another upward movement....when was that? LOL Then, it's the end of '08 and now it's '09 and in six months, it will be '10.

You just keep telling the truth and you'll continue to do just fine. For ANYONE to say it's a great, or even good time to buy in FL is blowing smoke. Patient, careful buyers will know when it's the right time to buy and not based on any slogan by some trade organization. The same people who said it was a great time to buy this time last year, overpaid by how much??...10%, 20%, or more in some markets?

The only thing more laughable than "Buy Now" is "It's different here". After reading the market numbers for some of the markets represented in the comments, who are they trying to convince...clients or themselves?

FROM WAR EAGLE:

Thanks for displaying a beacon of conscience in a turbulent market. Please know that your honesty is what people are paying you for. Buyers/Sellers user Realtors (R) because they need advice from someone they can trust. For most people, buying a home is the most significant expenditure that they will make in their lifetime. The idea that their Realtor(R) would have "money in their pocket" at that time, versus the well-being of their client is appalling. In all honesty, your profession is due a massive shake-up, and when it is all said and done, those that have had integrity will leave with their reputation intact and will not have to compete with all the greedy johnny-come-latelys for listings. Again, thanks for the honesty.

FROM DAVID:

As someone who is not part of the industry, I can tell you that I would NEVER use an agent who parroted that kind of garbage either in an ad or in person. Really, it would be equivalent to you saying "I am either an idiot or a con artist, and I'm hoping you are dumb enough to believe this transparent propaganda. Please hire me."

If you have built your business on honesty and trust, now is not the time to abandon that policy. The era of the Huckster Realtor is coming to a crashing halt. In a few years, with any luck, the only real estate agents left will be those who have distanced themselves from the NAR and its self-serving hype, and who have earned the trust of their customers.

FROM WEARY CONSUMER:

Mr. Tutas - I applaud and appreciate your integrity. Stand by for something less pleasant for others: Regrettably, far too many agents are blind to the circumstances around them. A famous quote says "It's hard to get a man to understand something when his job depends on him not understanding it".

This is the current case with RE. QUIT CALLING BOTTOMS in the market. You are destroying your credibility as professionals. What if you are wrong? So you get the sale, you will be thought of as a swindler forever.

I am a high 700's FICO no-debt, non-contingent buyer with cash in the bank. And every time at an open house when some agent tries to tell me it's a great time to buy, I feel insulted. As if most agents would ever tell you that it is a bad time. I've met a few, but not many.

I DO PLAN TO BUY. I am not waiting for the bottom. But I am sick of these agents insulting my intelligence with their fast-talking sales hype. I know there are good realtors out there. I am working with one. But the rest of you better get straight with the facts and quit blaming the media. Most of the gullible buyers are locked into an underwater house.

Now, you have the people like me. We didn't get in this position of power by believing sound-bite advice. I sincerely apologize to the conscientious and competent agents who truly have their client's interests as a priority. But the rest? Your world is changing, and you need to realize it fast.

**************

I'm glad I didn't tell folks back in 2007 that "It's a great time to buy Real Estate". These people are now way under water in my area. I also won't be telling buyers now that they can count on 4% appreciation next year. Will you?

Do NOT be foreclosed on! Avoid foreclosure. Short Sales DO close.

Want to find out more? www.CentralFloridaShortSales.com

 

Florida Property search

Bryant Tutas
Broker/Owner
Tutas Towne Realty, Inc
Licensed Florida Real Estate Broker
http://CentralFloridaShortSales.com

http://ShortSaleSuperStars.com

Are you a Florida REALTOR(R) looking for a change? Check it out.

CENTRAL FLORIDA REALTOR(r) OPPORTUNITIES

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 Tutas Towne Realty, Inc handles Florida real estate sales, Florida short sales, Florida strategic short sales, Florida pre-foreclosure sales, Florida foreclosures in Kissimmee Florida Short Sales, Davenport Florida Short Sales, Haines City Florida Short Sales, Poinciana Florida Short Sales, Solivita Florida Short Sales,  Orlando Florida Short Sales, Celebration Florida Short Sales, Windermere Florida Short Sales. Serving all of Polk, Osceola and Orange Counties Florida. Florida Short Sale Broker. Short Sale Florida.

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Comments(122)

Jim Kouns
Coldwell Banker Lunsford - Muncie, IN

I totally agree, the NAR should shut up. Their pronouncements have merely fueled the media's attempts to depict real estate as a national market. Whe things were going up, local sellers listened to the media and had unrealistic expectations of their home values. When things went down, it became the buyers who were unrealistic. We all know real estate markets are local, why doesn't our Assoc?

Nov 22, 2009 07:15 AM
Peter Burr
The Buyers Agency, "Empowering Atlanta Home Buyers" - Atlanta, GA
Regional Manager. Atlanta, GA

NAR puts so much spin on real estate that it is making me dizzy!

Nov 22, 2009 09:00 AM
Lori Churchill Cofer
Beasley Realty - Pullman, WA
Realtor - 509-330-0086 - Pullman, WA

Love the TLW response...."hey...hey...that is what I say"....TOO! 

Nov 22, 2009 09:03 AM
Daniel J. Hunter
REALTOR® - New Port Richey, FL

Sadly I do not think we will run out of serious topics that could fall under this blog title, anytime soon

well done....again

Nov 22, 2009 10:18 AM
Mick Michaud
Distinctly Texas Lifestyle Properties, LLC Office:682/498-3107 - Granbury, TX
Your Texas Lifestyle is Here!

Yep, shut up!  However, if they're not talking, they're not "earning" your dues payments. 

 

Nov 22, 2009 11:04 AM
Allison Stewart
St.Cloud Homes - Saint Cloud, FL
St. Cloud Fl Realtor, Osceola County Real Estate 407-616-9904

Bryant- I really liked this post. Yun apparently know None of what is going on particularly in Poinciana.  The best thing about a bandwagon is...after the parade is over people move on about their business- jumping on this one would npot have been a wise move.

Here in My Market of St. Cloud, Florida I am seeing a gradual increase in price, which is encouraging, and the trend is likely to continue with very small modest gains being made as inventory is rotated off.    But homes are selling at attractive prices at the present time.

 

Nov 23, 2009 12:14 AM
Anonymous
Roxanne Skeie Hillard

Thank you all. If there are going to be more job losses, how is it that the housing market will be Up? Back to basics..... turn out the lights and use candles..(random thought)

Nov 23, 2009 01:27 AM
#112
Anonymous
Linda Carrig

Spin is everywhere we look...what we tell our kids, friends and,Yes, even the Public. Even brutally honest folks really are spinning...just in a negative, somewhat untactful way. Spin needs a spin! What is truth?  We are discovering that numbers can be interrupted in many different ways. Hypothetically, homes sales are up 6%,but really down 27% from last year and even more from the year before. We are in the business of selling homes, procuring the best deal today for whoever we are working for. Suzy Q needs to sell, Johnnie Jet needs to buy, I just want to be there to help with the transaction. I can not sell a home for what the price will be a year from now or even what it was 5 years ago...today is all that I have got. I don't want NAR to spin that the sky is falling, I want them to see that the glass is half full.  It does me no good what so ever to discourage people from real estate transactions, and actually it does them no good either. It is a great time to buy, people are finding great opportunities that they would never had a chance to grab before all this mess. Sellers are getting creamed, but by advocating less transactions, more negativity, they would be even worse off. My hat is off to NAR for trying to bolster this sinking ship, and doing it for us.

 

Nov 23, 2009 01:32 AM
#113
Hercel Spears
Advanced Realty Education HomeSmart Realty - Tempe, AZ

...and one more voice in the wilderness:

http://activerain.com/blogs/educator

 

Nov 23, 2009 02:05 AM
Stephanie Lim
Lim Team with Keller Williams Realty Jacksonville - Jacksonville, FL

I find almost everything they say and do out-of-line with reality.  I regularly have to remind myself why am I a member and pay dues to support and endorse what they do and say.  Oh yeah...I forgot...I have to to be able to work in my area.  They do not speak for me, yet I have to pay for them to speak anyway. 

Thanks for the post Bryant!

Nov 23, 2009 02:15 AM
Mick Michaud
Distinctly Texas Lifestyle Properties, LLC Office:682/498-3107 - Granbury, TX
Your Texas Lifestyle is Here!

Stephanie:  You DON'T have to be a member of NAR!  I'm not.  The only thing I pay for is access to MLS (still a NAR payment, I know, but not nearly as onerous).

Quick, get out the pitch-forks and torches, heresy was spoken here!

 

: )

 

Nov 23, 2009 02:27 AM
Jack Maxwell
Great Spring Real Estate - Houston, TX

Even weather forecasters don't call for sunshine everyday.  Perhaps the powers that be at NAR and NAR economists should ponder that awhile.

Nov 23, 2009 07:28 AM
Debbie Summers
Charles Rutenberg Realty - New Smyrna Beach, FL

BB - You bring out the best in people... The comments and discussion prove it.  NAR is out of touch with the "rank and file" members and the public.

Nov 23, 2009 11:21 AM
Deborah Ryman
Santa Cruz, CA
M.A. Feng Shui Services, Santa Cruz County

I love the title of this blog. This is the reason why I am not a big fan of associations of any kind - yet I belong to three of them because I "need to" to do business. If I had more energy, I would be working for reform.

Nov 23, 2009 12:48 PM
David O'Doherty
Clayton, NC
Clayton NC Homes, Raleigh, NC

Bryant, this is what I love about ActiveRain, where we can stand up as independent business owners and say no!!! that's bull shit don't associate me with that crap.

Don't be surprised if your wife shows up with Lawrence, duct taped aka Christmas Vacation for your Thanksgiving dinner!!! My favorite movie for the season.

Nov 23, 2009 12:50 PM
Jirius Isaac
Isaac Real Estate &TriStar Mortgage - Kenmore, WA
Real Estate & loans in Kenmore, WA

I will not tell my buyers anything except that they may get a tax credit and what the statistics and trends are for the area that they are looking in.  Nothing else makes any sense.

Nov 23, 2009 02:42 PM
Rob Arnold
Sand Dollar Realty Group, Inc. - Altamonte Springs, FL
Metro Orlando Full Service - Investor Friendly & F

I heard him speak at the NAR convention last week and told my wife he was being just a tad overly optimistic.  Until jobs coming back and all these foreclosures get sold off (the ones that haven't even been filed/finalized yet), the market is not going to turn-around for the better.

Nov 24, 2009 12:08 AM
DEBORAH STONE
Balboa Real Estate San Diego, CA - San Diego, CA

Not siding with the NAR, I don't agree with their policies and I think they should shut up.

But my thoughts are this: There are some Buyers that have to buy due to relocation, death/divorce etc. For them, especially if they make a lateral move, it is a good time to buy. There are also some "micro-markets" in San Diego where buying in 2007 was a good investment...and many parts of the country experienced the same thing. If you can buy a home in Las Vegas for $250K, half of what it sold for at peak, does it matter much if it bottoms out at $200K? And who could predict the bottom, as someone said, only G-d and she ain't talking.

So how do you tell a Buyer who has to buy it is not a good time to buy a house? If you represent this Buyer, what sould your stance be?

 

Nov 24, 2009 03:15 AM
Todd Clark - Retired
eXp Realty LLC - Tigard, OR
Principle Broker Oregon

Are you trying to tell me listening to people who actually work these markets over someone who has no actual knowledge of what is going on in the real world and has nothing political to gain from it makes a difference? I remember when the first president bush went to a grocery store and didn't know what the scanners were and though milk was 1/4 the price it actually was. It told me he had no clue what the real world was like and that is exactly how I feel about NAR for the past 5 years. They haven't actually been in real estate in so long that they actually have no idea how to predict the future or even know what is going on right now.

 Todd Clark - www.LivingBeaverton.com

Nov 24, 2009 03:44 AM
Anonymous
Mark Cohen, Broker, Eyemark Realty, Gainesville Florida USA

Let's talk about economists.  Mr Yun at NAR has as much credibility and intelligence as Mr. Paul Krugman, another economist (and Nobel Prize winner).  They live in Fantasyland and the suckers of the world fall for their garbage.  Alan Greenspan is another crazy economist who manipulated the system until it snapped.

Somehow, practical real-world savvy economists are not hired or appointed to high positions.  Its like political correctness in economics.  Where are the people in the field of economics who actually know what's happening?  They are not heard.

The real economy is in the homes and apartments and on the streets of this country, not in fancy office buildings in Washington DC.

As for the current administration, they have no experience with running or operating any kind of business or enterprise that needs to make a profit to survive.  Their expertise is in theories of Robin Hood type economics by which improvements happen by taking from the rich and giving to the poor. 

If every bit of wealth was taken from everybody and redistributed evenly to everybody, how long do you think it would be before most of the wealth would be back in the hands of most the same people who have it now?
 

Nov 24, 2009 11:31 PM
#127