Condo Blog - A Non-Corporate Blog From CondoDomain HQ

The past 2 weeks we have been flying around a lot of topics surrounding the “so called” discount brokerage model (and the 60/16 Minutes Piece that aired recently) and since then there have been some heated blog posts on it here @ the Condo Blog, Barbara Corcoran’s Blog, Inman’s Blog among others.

Well, in my own writings I thought to myself who has a unique place in this market, thats been through the thin & thick of it, an expert and yet can honestly open up and give a great opinion — The Queen of Real Estate herself — Barbara Corcoran of course! Below is her response posted on the Barbara Corcoran blog today.

The way I see it, the only thing wrong with discount brokerages is the word “discount”. Most people associate discount with poor quality, and that’s just not true of the many discount firms that have sprung up in the last 5 years.

There’s room for lots of different ways for sellers to sell real estate. And thanks to the Internet much control has been put into the hands of the consumer. Sellers today can employ any of the exceptional full-service firms to appraise, stage, negotiate, advertise and show their home. Many sellers are very happy to pay a full 5 or 6 percent commission for the full service; not everyone is a born salesperson. Some sellers are eager to do a portion of the work and they like to choose from the a la carte menu of services offered by the discount brokerage firms. I expect that more full service firms will begin to offer a la carte menus.

And that’s what always makes the Real Estate business so exciting. There’s lots of houses to sell and many commissions to earn. There’s one thing you can count on. The business as we know it today, will continue to change tomorrow. And that, for me, is what always keeps me interested.”

With all the great weather recently our guys are back at it again filming up one of Boston’s newest neighborhoods. Still no one has guessed what our next Condo Movie is going to be. We showed you a quick video out of the helicopter last week….any takers?

Well here are a few more photos. First one who gets it right, ummm….we will give a $25 Starbucks Gift Card. (hey we are a bootstrapped start-up, thats all we can afford)

Dave & Peter filming in HD w/ HD viewbox.

Cool Real Estate Video Links:

CondoCasts (Our movies of course)

WellcomeMat

TurnHere

YouTube

A 27-year-old man described as one of the world’s most prolific spammers was arrested Wednesday, and federal authorities said computer users across the Web could notice a decrease in the amount of junk e-mail.

Robert Alan Soloway is accused of using networks of compromised “zombie” computers to send out millions upon millions of spam e-mails.

“He’s one of the top 10 spammers in the world,” said Tim Cranton, a Microsoft Corp. lawyer who is senior director of the company’s Worldwide Internet Safety Programs. “He’s a huge problem for our customers. This is a very good day.” Continued…

Source: Fox News

(Above - Google Street @ 110 Greene Street, New York (Our pals at Goldman Properties HQ)

Well, just closer to the ground!
Today at the Where 2.0 conference, Google announced it has rolled out city level street view in several metropolitan areas, including San Francisco (e.g., a search for “94111“).

Unlike Microsoft Virtual Earth’s Birds Eye photos, which are shot from low flying aircraft, Google’s imagery gives you an immediate on-the-ground perspective and using a nifty Flash interface actually allows you to navigate the streets in a nearly 3D environment.

This is the most awesome Google tool ever in my opinion! Can’t wait to see the API on this (if they ever let us get our hands on it!)

Check it out at www.maps.google.com (remember they are only live in San Francisco & New York) and click on STREET VIEW in the map header.
Source: Inman News

My response to “16 Minutes” on Inman Blog today (I don’t know what got into me) as it took me 20 minutes to post a comment.
This is great. To answer your questions it is all of the above: Sour Grapes, Low Blow, Etc. I love the video, love the message and love the exposure that this flick will get, just because of the insult to the American people who watch it.

Do you think an educated couple in real estate (who owns a home) combined with a highly educated trained professional, VC backed, tech savvy startup could possibly make a comp mistake like that? If anyone was do make a mistake like that, it would probably be a ‘traditional broker’ with the extreme lack of tech/data skills.

At the end of the day I am one of the biggest Redfin supporters as well as one of the biggest full-service brokerage supporters. I support all real estate professionals at all levels and love working closely with the people who try to be the best (much like Kelman is doing.)

The only downside I have with traditional brokers right now is that I still have yet to hear is a true, well communicated message “against” discount real estate services / Redfin. We listened to Dalton fumble @ NY Connect and even with these video spoofs there still isn’t a well thought out, clear anti-discount message out there.

Video’s like this are just bringing more exposure and ultimately more success to the ‘discount’ world. I forsee the word “discount brokerage” to slowly disappear over time as all agents & brokers will work at their own rate & perceived value, Redfin just gets all the press because the are spearheading this thing to the ‘fast lane’.

I have not personally met any of the Redfin real estate agents, however, any one of them could be better than any other agent out there. In Boston we have a very ‘thin’ talent pool of real estate agents meaning a small number of brokers who truly control the market, however, a small team of star’s could emerge with the right technology creating profitable efficiencies and turn the controlling brokerage community over quite easily.

It will be interesting to see how all of this pans out, and the way things are going, I don’t think it will be a long time at all. Good luck to all agents at any level & commissionable income! I stuck a small post on Barbara Corcoran’s blog last week (hopefully she returns form vacation this week) and we can get her input in this arena.
What are your thoughts?

We met the guys from Imoondo last week at the monthly Web Innovators Group held in Cambridge, MA. Although basic and very simple concept, these guys may have something here. We all know video is slowly becoming the norm to receive information effectively via the Internet and Imoondo is doing it in the classifieds space. From Personals to Real Estate to Pets & Services, Imoondo is pretty cool.

Meet Alatina below - Looking for an 8 foot tall balla

For real estate related videos click here.

Rumor has it that one of the buyers of one of the $50 million-plus condo at The Plaza is Italian real-estate tycoon Luigi Zunino, the CEO of Milan-based Risanamento S.p.A., one of Italy’s largest real-estate development companies.

The Plaza Residences Website

The Math:  9100 sq/ft X $6100 per sq/ft = $56,120,000 (bonus = free 500 sq.ft terrace)

Sources: The Real Estate Bloggers, Observer, NYTimes

Developer and philanthropist Steven Belkin is well known about town for his business acumen, incredible generosity and ownership of the Atlanta Hawks. Belkin was the sole bidder last fall when Boston mayor Tom Menino was looking for someone to develop a skyline-changing building. If all goes as planned the building at 111 Federal Street will be 1,000 feet tall and 80 stories with 1.3 million square feet of office space and 40,000 square feet of retail and restaurant space. It will also include an enclosed one-acre Town Green on the ground floor and a rooftop garden complete with trees.

Source: Greater Boston TV.com

Steve - Don’t forget a residential component.

Zillow founder Rich Barton reports in the company’s blog that there is a pending sale on his Seattle home.

“I’m sure thousands of you have been following the saga of my attempts to sell my house in Seattle (OK, maybe not thousands, but it certainly feels that way),” he writes.

In fact, his home sale was the subject of a Wall Street Journal, and his home’s Zillow page has collected more than 5,800 views.

The newspaper reported that Barton had originally priced his 3,740-square-foot, four-bedroom, 3.5-bath home at $3.48 million when it hit the market last summer, which was about $1 million more than he paid for the home in 2002. But the listing price has been reduced.  Continued… (Source:  Inman News)
See The Listing 

Barton’s Blog Post 

For us who are dying to get our hands on a Black Card, this will certainly help us spend the required $250,000 annual spending to MAYBE get invited to the Black Card club.

American Express will let customers who pay a one-time fee of $395 use their credit cards to make their monthly mortgage payments automatically, earning points that can be redeemed for services or cash.

The $395 fee covers mortgage lenders’ processing and account expenses, with American Home Mortgage Investment Corp., the first participating lender, the company said in a press release.

The program applies only to “participating” prime loans, both purchase and refinance, and cardholders must be pre-authorized by the lender to make monthly payments using their American Express card.

First USA and Countrywide Financial Corp. offer a credit card that allow customers to apply rewards points toward their Countrywide mortgages, but the card cannot be used to make mortgage payments.

Source: Inman News

Other AMEX Posts: Atelier Condos, Down Payment

Going down to visit the Providence Condo market today so we thought we would play one of our favorite vid’s.  The 903 in Providence, RI is a place defined by what you’re able to do between sleep  and work. It’s about owning a lifestyle as well as a condo, about owning a piece of the Renaissance City. It’s time you see The 903 for yourself…view the movie now!

Visit all condos in Providence

Captain Rudy & Joe are finalizing their plans for the ultimate Blog Tour USA. Today they announced their route and Boston is stop numero uno. Sponsor including Inman News, Active Rain, and a bunch of little guys including like us will be wrapped around this bus for about a month. Click here to sponsor the tour today.

Previous BlogTour Posts:  Face on a Bus, Blog Tour USA

Pro Footbal Hall of Fame Michael Irvin JV’s with Tetra for new condominiums developments in lower-income neighborhoods.

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The Tetra Cos., a Virginia Beach, Va.-based real estate development and management firm, announced today that it is teaming up with pro football star and television personality Michael Irvin to form TMI Group (Tetra Michael Irvin).

The joint venture will serve as a private equity fund to finance and promote Tetra’s mixed-use real estate developments–many of which will be in poor areas–throughout the southeastern United States.

“I found the Tetra Cos. through my attorney,” Irvin, who was recently inducted into the Pro Football Hall of Fame, tells MHN. “I told him that I wanted to find some good people—people who I could work with; people with the same intentions and goals as me.”

Irvin, who grew up in a poor neighborhood in Fort Lauderdale, Fla., says that he decided to get involved in real estate because he is determined to help low- and middle-income people obtain housing and feel proud of where they live.  Continued…

Source:  Multi-Housing News

Pre-lim interview below:

(Best Interview Scene Ever!)

Source:  Boiler Room by way of YouTube

There he was in Us Weekly, handsome Orlando Bloom. His left hand cradled a folder, the word ATELIER—as in the 46-story condo tower on way-west 42nd Street—printed on the front. Paparazzi moment or genius product placement?

It’s hard to tell, as projects entering the market are now linked with boldface names almost as frequently as Lindsay Lohan is with partying. (Lohan herself, in fact, is said to have poked around Atelier.) It’s a way to generate buzz for a new building, especially in a crowded field. Leonardo DiCaprio has been connected with Hudson Blue, Naomi Campbell with the Cipriani Club Residences, Scarlett Johansson with the Chelsea Club on West 19th Street.

Sometimes, developers give celebrities price breaks in return for cachet, says publicist Stephen Larkin. He says discounts can reach 20 percent. If celebrities are hosting condo launch parties, or lending their creative vision to the project, they’re probably getting paid outright. Continued…

See Atelier Condos 627 West 42nd (Triple Mint)

See more New York Condos

Source: NYTimes

Other Recent Movie Star Discounts:  Lindsay Lohan 1, Lindsay Lohan 2

Cool new condo property to be released by our very own condoDomain CondoCast HD Videos. Can you guess where we are?

Hint: East Coast.

Below are two polls. We hope you can take the time and click your results on both of them. What is most important to you when applying for a mortgage? AND How do you prefer to apply for a mortgage?

1. Not knowing which mortgage fees the borrower can–and cannot–negotiate. Or how the lender actually makes money on you. Without this understanding, a smooth operator could bilk you out of thousands of extra dollars . . . in mere seconds, since you don’t actually write a check for these costs. Remember, the loan officer is different from your friendly bank teller. The bank teller is probably paid a salary to be courteous and helpful. The loan officer’s job is to make money and is probably paid on commission.

2. Choosing and trusting the first loan officer the borrower interviews. Just like you probably wouldn’t say yes if someone asked you to marry them on your first date. You are looking at a commitment here of the largest single investment you will ever make. In fact, it will probably last longer than most marriages!

3. Using an interest-only or “payment option” adjustable-rate loan primarily to qualify for a more expensive house than you could normally afford. In the current market of slowing appreciation and falling prices, such a loan could leave you with a mortgage balance that could be more than the value of your home. And if the payment adjusts from a below-market teaser rate, you may be paying hundreds or even thousands of dollars more per month or may even no longer be able to afford the mortgage. You may be looking at a foreclosure and the loss of your biggest investment.

4. Thinking the interest rate is always the main thing. Most so-called astute mortgage shoppers think they should call around to shop rates. And rate envy is common, especially among male borrowers. But what closing costs will you need to pay to get that fabulous advertised rate? Do comparison shopping not just on the interest rate but on all of the loan costs.

5. Not comparing the final fees listed on the closing documents to the up-front estimates to avoid the lender packing the loan with added-on fees without the borrower’s knowledge. It is relatively easy for the lender to do this because there will be a ream of forms that you will need to examine and sign at closing. A deceitful closing agent may also use various tactics to distract you from the inflated figures so you won’t even notice.

6. Not knowing if the mortgage has a pre-payment penalty–until it’s too late. Else you could find yourself in a Catch-22: You may need to refinance the mortgage so you can afford the monthly payment, but you may not be able to afford the prepayment penalty to allow you to refinance!

7. Thinking that renting is always just throwing money away. At least in the short run, it can cost thousands less to rent. For instance, don’t buy a starter house. If you will be living in the area for less than five years or are unsure of how long you will be in your current job or marital status, you could potentially save thousands by staying in your apartment. Closing costs alone on a house (if you negotiate properly) may be $1,500 to $2,500. You may also be looking at a Realtor fee to sell your house of 6%. On a $200,000 house that’s an additional $12,000. And the moving van hasn’t even pulled up to your door yet!

8. The borrower does not know if he or she is paying a back-end yield spread or Service Release Premium. These are fees paid to brokers and loan officers (the “kickback“) for upselling the interest rate to borrowers.

9. Paying for mortgage life insurance, credit insurance or other expensive lender add-ons to increase the amount of kickbacks the lender can receive from various vendors.

10. Paying hundreds of dollars to have a company set up a biweekly mortgage payment plan, something the borrower can generally do for herself or himself–for free.

—- Remember - EVERYTHING is negotiable with a mortgage broker, banker or lender!!!

Real-estate mogul Donald Trump continues to move forward on plans for a megadevelopment in Charlotte that could include the tallest building in the city, local officials said.

“It’s a very serious effort,” Charlotte’s economic-development director Tom Flynn said this week. “It’s not just a flash in a pan.”

City and county staff members have had preliminary discussions with Trump’s son, Donald Trump Jr., about the plans to build luxury condominiums, a five-star hotel and an office tower. The complex could include a 60-plus-story building on the southern edge of downtown, on Tryon Street.

To date, the tallest building in Charlotte is the 60-story Bank of America Corporate Center. 

Source:  Journal Now

Local Cambridge, MA based discount real estate firm TerritoryRE is … and in a big way!.

No one has been getting more press than Redfin lately. With the 60 Minutes episode and its public launch in Boston last week…they are hot to trot. Well, discount competitor Territory realized what most people don’t - the power of GOOGLE.

Territory snagged up some Redfin keywords using Google’s adwords marketing campaign.

Google Redin or Redfin.com and see TerritoryRE with some great ad placement…and probably for short $$ to.

What’s the key here? Well, TerritoryRE is getting some pretty cheap traffic and a ton of exposure, especially with their catchy tagline: “Whos Side is Redfin On”

Google Adwords does have some auto-protectors from using corporate names in your Adwords campaign…but nothing a dash cant help. Anyway, fun ads, good friendly completion…smart guys over at TerritoryRE!  I like it all …maybe the Territory Guys took a class from BC.

We asked Barbara, the queen of real estaet brokerage, “the question.”  Hopefully we will hear back soon.  Stay tuned for results here or follow the post on Barbara Corcoran’s blog.

Congrats John, Keep pushing the envelope for consumer oriented real estate data.  We support you 100%!

Source:  BostonREB.com 

It is almost like this was planned perfectly after the 60 Minutes Episode last Sunday on Redfin.

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The Northwest Multiple Listing Service has fined Redfin $50,000 and asked the company to stop publishing a popular blog in which the online real estate brokerage posted reviews of Seattle-area homes.

Redfin is appealing the fine but took steps this week to shut down the reviews on its “Sweet Digs” blog.

The blog, which has about 3,000 subscribers, was written by 15 freelance writers who, over the past five months, posted reviews on about 1,000 homes in Seattle and San Francisco. The company says it plans to maintain the blog as a source of information on pricing trends and recently sold homes.

Redfin Chief Executive Glenn Kelman said he had no choice but to comply, noting that the listing service had threatened to stop its feed of for-sale listings.

Kelman said he was disappointed by the action, noting that Redfin was trying to disseminate different perspectives on homes from what one might receive from a real estate agent.

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Glenn - look at the positives! More PR, more “housed” anger from Realtor Associations, MLS services and other ‘traditional’ “things” and MORE inbound links! Whether you planned this on purpose or this caught you off guard, its all good! The people like Robin Hood!

Others following this story: Bloodhound, Luxury Home Digest, Square Feet, TransparentRE, 3Oceans and I am sure many more today - try a Google Blog Search for Redfin.

Still clearing the dust from last Sunday’s “60 Minutes” segment on real estate commissions, Realogy Corp. shared with Inman News the following letter sent to the CBS show’s producers.Dear Mr. Fager:
Your story on the real estate industry that aired on May 13th had more holes than a leaky roof.
Putting aside the inaccuracies regarding “sacrosanct” commission rates, lack of industry oversight and state governments conspiring to stifle competition, the segment grossly oversimplified the complexity of buying and selling a property.

Real estate brokerage is a performance-based industry. Clearly, not all real estate companies are alike. Results will vary dramatically based on a variety of factors, including the experience and track record of the professional you select. Picking an agent to represent you based solely on discount, rebate or other cash back scheme may seem like a good idea at first glance, but not always at the closing table when all is said and done.

The bottom line is that consumers have ample choice when deciding which real estate company and business model they prefer to represent them in a transaction. Competition is good for the consumer and the industry and is the basis of our free market economy. At the end of the day, the companies that offer the best value proposition to home buyers and sellers will prosper.

Respectfully,
Alex Perriello
President & CEO
Realogy Franchise Group

Jease, sounds like Dalton wrote this. What is up with all the heffing and pouting with Realtors lately. Also, I am going to save this one liner…its key… “At the end of the day, the companies that offer the best value proposition to home buyers and sellers will prosper.”

Source: Inman Blog

We sponsored the Blog Tour USA today and nabbed up some prmmmmeeeo real estate on the back of the bus for the ultimate nationwide blog party! Maybe finally this will get me on the A List or maybe Posh’D!!!

Our pals from Sellius Joe & Rudy is dedicating the back of the TourBus to Real Estate agents and Bloggers and have given a great prices to buy 1 sq/ft - $300! That is a bargain where I come from since I just dropped $800/ft on my new pad. Anyway this Tour starts in the big apple and ends at InmanSF. They will travel throughout the US throwing mega bashes all over. Rumors have it some parties have already been set up in Atlanta, Portland, and of course Boston.  I will most likely be joining Sellsius in Las Vegas to make the final few legs into Inman SF.

Hop on Board and Sponsor Today - there are limited spaces left!  (you can even pay pal - i did!)