So you don't think Walmart Real Estate will happen? Think again.

let's not kid ourselves, our fees have caught peoples eyes. there is a lot of money on the table and if you think the sellers and buyers are trying to stick their hands in our pockets. Wait for corporations  attempt to devalue our services.

Dave - It wouldn't surprise me in the least, but I would be interested to see the type of clientele that they would attract.

I agree that Walmart and others are looking at the market and seeing big potential

Why not? Costco is doing it.

But you have to wonder about the quality of the agents working with them.

In most cases, agents who do "relocation work" and who pay a giant chunk of a referral fee to do it (sometimes 35% plus a cap on their regular split that's lower than normal) are lower to mid level agents. The best, most successful agents do NOT do this kind of work because they realize it's too expensive and they can generate business for more profitability elsewhere.

It's just that the public hasn't caught on yet.

I don't quite understand why a large corporation would get into a market that everyone is saying is "tough" right now.  Unless they are selective about the market areas they decide to target...or unless they are going to have franchises that involve the broker/owners taking the financial risks.

I guess I'm sticking my nose in again....and trying to answer Laura's question... because if everything is place including your systems and marketing  when the market hit bottom - you will be well positioned to benefit from the pent up need that is going to be unleashed when the market turns.  I have more people in a holding pattern than JFK has planes waiting to land.   When people realize that (in my area) that there isn't going to be a falling in knife and that 6-10% adjustment are all they are going to get, the market is going to go nuts!  I've had three rough years because I started just as the market turned. But there is NO WAY I'm leaving because I know that if I stay I will be well positioned when the next train leaves the station.  The other players are doing the same thing.  But (unfortunately) they are bigger guns than me. 

Ruthmarie -I thought about that.  You could be right.  I'm not too, too concerned about it.  After all the scary stuff with creative mortgages, I think most people feel safest with the traditional way of handling their real estate transactions.  I think the familiar brands and names will be what they turn to when they are ready.  I could be wrong.  I just tend not to get in a panick about too much.  If it happens, we will find a way to adapt, improvise and overcome!

There have been several times over the years where some new company decides to sell real estate or puts together a  business model that discounts our commissions. many people were up in arms over these ideas. But, the armageddon didn't happen as predicted.

Press and real estate?  As a former member of the SPJ, I say that stinks...but not that I'm surprised.

It might come to this -- but there will continue to be people who won't go to the 'big box" stores for things -- already there they have tax preparers at tax season and docs in the box -- and yes there are some people who do go there and use the services -- but there are a lot who do not. Just or 2 cents.

I think Kent Simpson hit it - looks good, saves money - but the lawsuits that will follow will be incredible.  Can you imagine the additional paperwork they will dream up to CYA?

I am going to sit back and wait. No use in stressing out over something that is not happening yet.

In my opinion, there will still be business. Some people shop at Walmart for things like toiletries and groceries, but would not be caught dead with a piece of Walmart clothing on. There will still be those people in premier houses that I don't think will want a Wal-Mart sign in their yard.

The rest of them will probably jump right on the band wagon!

It is inevitable that there will be major changes. The hand writ ting is on the wall. We had a start up a few years back that this bear market put out of business. They only used news ads and Internet and the home owners did their own showings. No commissions offered to selling agents.It cause the New Jersey Real Estate to write new laws on commission split disclosure. People didn't;t know that the real estate community did not have access. This work somewhat in a hot market because every thing was selling no matter how hard someone could make it.

Hold on for the ride, as I said in many blogs on Market Psychology, bear markets bring in change.

Richard

This information is very disturbing.  Why don't we hear about and discuss it in our sales meetings?  We shouldn't wait until these event occur to start planning our responses and tactics. 

This information is very disturbing.  Why don't we hear about and discuss it in our sales meetings?  We shouldn't wait until these event occur to start planning our responses and tactics. 

This no surprize to me, and I am one guy who thinks we need to wake up, the market is changing, change or be left behind.

Pete Stanley

Team Stanley

Waxahachie, Texas

www.elliscountymoves.com

Yup, from the grapevine to reality.  Can't say i'm surprised. It may work out for the better though...

My Mother always said "the only constant in life is change".We all better get prepared or get left behind.

Wal-Mart already a real estate company with licensed brokers in different states. They acquire land for the time being but they could easily sell. I was talking to a manager awhile back and he said that they were testing a medical out patient center now. So they could easily get inot real estate and probably would buy out one of the franchises. They certainly have the money.