Special offer

Free MLS listing in most states?!

By
Real Estate Agent with Key Realty Group Inc. 200512291

Free MLS Listing Site for Home Sellers

Iggys House, the company that owns BuySide Realty, just launched a site that allows sellers to list their property free on the MLS (Multiple Listing Service), which sells over 70 percent of U.S. properties. Currently, an MLS listing costs c. $500 and can only be executed by a Realtor.

Seller ads, which can contain multiple photos and even video, will appear on Realtor.com, the largest database of homes for sale, as well as on services such as AOL, the WSJ, and MSN. A toll-free number and voice mail are provided with each listing for inquiries.

Iggys House CEO Joseph J. Fox has big expectations. “There is a lot of money at stake – about $65 billion annually in real estate commissions. This new model will have an immediate impact on the status quo. By breaking open the MLS we are providing over $500 million worth of services for free to millions of home buyers each year. For the 1.1 million people who try to ‘sell by owner’, we provide incredible exposure...For the over 400,000 sellers who pay a fee to be MLS-listed, we now offer it for free.”

So where's the money? The reasoning is that home sellers are on the verge of becoming home buyers. The service hopes to direct sellers to buy their next property on BuySide Realty, which launched in April of last year. That service shares 75 percent of its commission with the buyer, and helps guide purchasers through the process and the closing.

The service is initially launching in 20 states, and plans a rollout to an additional 17 states in coming months, which Iggys House claims represents 84 percent of available homes. By year's end, the service will be national.

 

So does this invoke fear? Or are you looking for a way to work this to your advantage? I am already on board, though I don't like the idea of another faceless entity accepting MLS listings without a REALTOR involved, but I think they have a strong enough launch that they can not be ignored. Not to mention they will just be another place to deliver false hope to would be FSBOs who think that buying and selling real estate is an effortless job. Share your thoughts.

Comments (24)

Christopher Webster
EXP Realty, LLC - Columbia, SC
Columbia South Carolina Real Estate For Sale
Lawsuits will happen and they will get their free bad publicity! We will then be back again, stronger than ever. Ask a seller, now would you go on trial without an attorney? They say no. Then say ,why would you go without an agent to represent you?
May 01, 2007 03:24 PM
Angie Vandenbergh
Crye-Leike, Realtors - Memphis, TN
A Crye-Leike Blogger
Thanks for sharing this. I am going to check out their site.
May 02, 2007 02:17 AM
Anonymous
Anonymous
7 % comission is a rip off! I,ve bought and sold houses without a realtor. The title company has handled everything flawlessly. they do all the closing work anyway!
May 15, 2007 09:14 AM
#7
Team Thayer Key Realty Group Inc
Key Realty Group Inc. - Eugene, OR
We will sell your house faster for more money
The average for sale by owner home in the US sells for $187,200 while the average agent assisted sells for $247,000. Do you still think that you were smart to save the commission a total of $17,290. Not to mention that of that $17K half would go to the Realtor who brought the buyer. Good luck getting a buyer to come through without offering a BAC. If you are offering a BAC (Buyer Agent Commission)of typically 3%, then you would only save 4% ($9880) in commission while losing $60,000 in sales price. Yes these figures are averages, but there can be a lot of aspects to a Real Estate Sale, and much like representing yourself in court, without a strong knowledge of the law only a fool has himself for an attorney. So without a strong knowledge of Real Estate Law, you could potentially cost yourself a lot more than a saved commission in the long run. Wouldn't you like to have the experts on your side in the most important financial decision of your life. I bet the other guys will have representation.
May 15, 2007 11:10 AM
Anonymous
ann m m
THE PROBLEM is that realtors do not want to face a changing role they will be playing in todays tech world.  Get over it.  IF you sought out buyers as hard as you track down sellers( believe me I know) The real estate world would be back booming
May 23, 2007 04:48 AM
#9
Kevin Raymund Lao Jacinto
Coldwell Banker Pioneer Real Estate - Moreno Valley, CA
Hey that is a great post Thanks for the tips.
May 23, 2007 05:19 AM
Doug Jackson
WPI-Gatefield Realty - Leland, NC

Adapt or Die

Jun 03, 2007 09:04 AM
Ethan Dozeman
Realty Executives Platinum Group - Grand Rapids, MI
Real Estate in Grand Rapids

I think the realtors that are hurting are the ones unwilling to adapt to change. I want to be in the pack that is changing!!

Jun 03, 2007 10:14 AM
Jim Crawford
Long & Foster - Fredericksburg, VA
Jim Crawford Broker Associate Fredericksburg VA
Good luck to him in Atlanta the most expensive MLS in the country!  at .00125 it is another cost he can pass on to the seller.  On a 600K home it is another $750 the cheap sellers will have to pick up.
Jun 03, 2007 10:31 AM
Siha Top
Top Mortgage Company - Portland, OR

Thanks for the post.  I was't aware this existed till now.  I had always thought it was on it's way here.

Jun 06, 2007 07:46 PM
Anonymous
Give It Away Now!

We should give it all away for free.  There should be free MLS dues, free office rent, free employees to run the free company.  There should also be free title insurance.  Sellers should provide their homes for free too, so Buyers can have free homes.  Let's not forget free taxes.  Let everything be free so no one will ever have to pay for anything else in their lives again.  Let's abolish money, banking, and commerce!

We all live in a "Wal-Mart" society where we expect everything for nothing.  Now there's a lot of rip-off artists out there, and no one should pay too much.  Unfortunately, the service providers that provide real estate brokers and agents are some of the worst rip-off artists.  Real estate agents end up paying 10x what everyone else pays for the same services, and then pass that cost along to everyone else.  Real estate brokers and agents have also become prisoners to their own Association, which by the way provide access to the MLS. 

Bottom line is, people still have to have & make money to make our society go around.  Short of changing the way the world works, we're stuck in this dilemma.  If we continue upon the mentality of "everything for free", we will all regardless of occupation, will end up unemployed.

Aug 30, 2007 05:20 AM
#15
Anonymous
Liz & Justin Thayer
Great Response Give It Away Now! Thanks!
Aug 30, 2007 05:24 AM
#16
Anonymous
Joe Anti trust

The truth about board of Realtors® owned MLS throughout the country


 Antitrust complaint unfair trade practices update to previous complaints.

Shutting off service to your MLS as stated in the letter below and shutting out to prevent non Realtors ( real estate agents) on Realtor owned MLS boards in my opinion is unfair trade practices on a large scale.

When a Realtor list a home is it disclosed to homeowners at the time of listing that all Non Realtors (real estate agents) will not be able to sell or show any homeowners listings unless they join the local board? Of course not, therefore limiting competition in the marketplace by the thousands of potential home sales from real estate agents nationwide with Realtor own MLS boards... I do believe that there are around 1.7 million real estate agents VS 1.3 million Realtors that leaves a Hugh gap for home buyers and home sellers if this information is not disclosed up front.

Now that shutting down Supra display keys attached to Realtor owned MLS boards because of unpaid Realtor Board dues, Not unpaid MLS dues only compounds this problem even further for the consumers who have active listings on the Realtor own MLS boards with the agents that are now shut out from a service that is provided by GE/Supra and in which the dues are not not in default..

Lets look at what I call the poster child state, Georgia

Georgia has two major Non MLS Realtor Boards GMLS and FMLS that do not discriminate between Realtor or Real Estate Agents therefore providing 100% competition for the consumers and has created a fair marketplace with a level playing field for all to enjoy.

Why have I choose not to renew my Realtor dues is a very simple explanation for me, I am shammed to be associated with NAR and to be dragged into the DOJ lawsuits against NAR for all the public to see and judge me as a not trustful Realtor (Anti trust) guilty by association, and to further damage the already scarred reputation of being a Realtor.

Were is NAR ethics here ? Http://www.google.com/search?sourceid=navclient&I.e.=UTF-8&rlz=1T4GGIH_en__214__214&q=the+doj+vs+nar


So with an estimated Realtor loss of 10% at the Orlando Regional Board of Realtors not renewing next years dues and are paid up MLS dues have had there Supra keys shut off also, what do they tell there listing homeowners clients and Home buyers? When they can not gain access to there listing, or show potential home buyers homes..

This is fair practice!! Sorry I call it unfair trade practices on a large scale and I support The Department Of Justice actions 100% to protect the general public from this unfair trade practice.

 

Dec 06, 2007 08:25 AM
#17
Chuck Willman
Chuck Willman - Alpine, UT
NewHouseUtah.com
Although I'm not surprised by the inroads of private enterprise into this sector- I'm wondering how long before we hear the horror stories of deals gone awry by FSBO's who found out too late that it's not as easy as it looks.
Dec 06, 2007 09:10 AM
Anonymous
Liz & Justin Thayer
The second to last guy to respond sounds completely unintelligent in his comments and response to the blog.  We work hard to safeguard our clients homes.  We also follow the code of ethics.  If we start letting everyone have access to any listing then where is the professionalism.  Besides if people can't even pay their board dues then I certainly don't want to allow them into my client's homes.  I see lots of lawsuits in the wings if we don't find a way to set limitations on access to properties that are for sale.  I am all about finding a way to make changes without compromising people's properties.  If someone has an intelligent answer, I would love to hear it!
Dec 06, 2007 11:28 AM
#19
Anonymous
Anonymous

 

There is a great MLS that is free at www.MLSdetails.com

 

Apr 29, 2008 11:39 AM
#20
Tina Merritt
Nest Realty - Blacksburg, VA
Virginia Real Estate

LOVE the comments where they don't even put their name! 

Iggy's House is just a tool - I'll be perfectly honest here, in my inlaws area (a very small town), the agents are very behind the times.  They asked me about what they should do with listing their home.  I suggested FSBO since the agents in their area are dinosaurs (like many don't even use a digital camera!).  I'll be helping them with marketing their property.  That being said, if I weren't an agent who know where to go and how to market a property correctly, I would be completely lost.

Tina in Virginia

Apr 30, 2008 12:19 AM
Greg Taylor
Greg Taylor and Associates, PLLC - Murray, KY
Murray Kentucky, Real Estate Attorney and Investor
This is going to be a great service for the savvy investor who doesn't mind paying 3% commission but wants to save the other 3%.  Just my 2 cents.
Apr 30, 2008 06:46 AM
Team Thayer Key Realty Group Inc
Key Realty Group Inc. - Eugene, OR
We will sell your house faster for more money

I spend $3000 per month on advertising listings. This is works because I can split it up between the listings. Just being on the RMLS is not going to sell a home in this market.FISBO have a 4% shot. Add in the risk of a law suite because you don't know the laws and the fact you will be getting about $24000 less on avreage for the 4% of FISBOS that do sell and it just does not make sense. Even the savveyiest investor in the world donald trump would not use iggys house he has a team of Realtors and when he is investing out of his known area hires local Realtors. ( Read his books).  6% is a bargain after you have been sued for $30000 on a $250000 home. I know a savvy investor who made that mistake (ouch!!!!).

Justin Thayer

Apr 30, 2008 07:57 AM
Anonymous
D Kruse

 

Seems like most comments are from realtors on this site & not from any FSBO.  I bought my home FSBO 8 yrs ago & all went well.   I think you are within reason to warn people about what CAN happen, but you realtors are trying to scare people from doing FSBO completely for your OWN selfish interests.

I have a home FSBO.  I interviewed 7 realtors, had 14 view my home & about 30 more calls from realtors SAYING they want to view it as they may have a buyer.....I am open to work with a realtor & offered a co-op. 

 NOT ONE REALTOR has brought ONE  buyer through.  ALL they want is a listing in reality! They have ALL told me my home is in SUPERIOR condition & showcased well & the location is a great location.  We are priced right according to realtors & even the people we have shown the property to have said our home is worth every dime we are asking for it as we priced it right for this economy.

I've spent over 20 Hrs with realtors in the past month. They all want ONE thing...and only a few will move off the 6% commission fee.   I am taking LESS for MY HOME due to the economy...why aren't realtors taking less for their commissions??  Seems one sided to me..... 

REALTORS NEED TO THINK ABOUT WHAT IS IN THEIR BUYERS BEST INTEREST & to NOT show a FSBO home is doing their prospects an injustice as to showing them what is REALLY available & a good buy.  I beleive if a GOOD REALTOR will show a FSBO home, they are truly showing their buyers EVERYTHING.  But if a FSBO buyer wants to purchase a home & a realotr becomes involved due to the buyers lack of knowledge, then the commission should be paid by the buyer or split.

Nov 18, 2010 07:32 AM
#24