DOT HOMES submits to US Real Estate BROKERS – dont worry – be happy !!
March 10, 2008
Earlier today I received the following from DOT HOMES:
New pingback on your post #117 “MLS Data compliance and NAR vs. DOJ “
Website: BYTEPLAY ? Blog Archive ? For US listing brokers (IP: 195.62.28.205 , www.ec1m.net)
URI : http://www.byteplay.com/blog/archives/57
Excerpt:
[...] [...] some of the ensuing controversy (Lenderama, CBS5.com, InmanNews, GreaterTampaBayRealEstate), I?m going to attempt here a crude recap of my conversation with Kevin. If you?ve any [...] [...]
This is related to an earlier post I made regarding the DOJ’s lawsuit against Realtor.com and the issue over MLS (Multiple Listing Service). It appears that the presence of this new venture on the scene in the Real Estate Search community, had ruffled some feathers of a few of the Top Real Estate Brokers (BLOGGERS). Some suggested that what Dot Homes was doing may not be entirely legitimate or in compliance with MLS regulations.Seems that this answer is right on the money: After you have clicked on the link above you will also see my reply:
“I think this is an excellent review of Dot Homes capabilities as well as highlighting the short sidedness of many Brokers in the Real Estate industry today. I don?t think you can explain it any clearer than this. This is a tool that Brokers should welcome with open arms?especially given the current economic climate.
Also, keep in mind that there are well over 150 MLS associations in the U.S. alone, that all have their own version of what constitutes compliance. This entire MLS issue is so overblown and in many opinions has been the major issue that has suppressed innovation and competition in our industry. Why else is the US DOJ going after Realtor.Com with such vigor? Could it be that they represent monopolistic tendencies when it comes to the MLS ? Going forward, I think this kind of makes Kevin?s entire comment on the MLS issue kind of baseless. ”
Related Post:
MLS Data compliance and NAR vs. DOJ
MLS Data compliance and NAR vs. DOJ
February 20, 2008
Marc Davison of 1000 WATT Consulting wrote an article for Inman Real Estate News recently that was in part an answer to a discussion that had been started over at the 3 Oceans Real Estate Blog site, regarding the entry of a New Search firm in the real estate arena called DOT HOMES.
Both posts elaborated on the issue of compliance of IDX data within the search realm. I think this is a good topic to continue because in my humble opinion I think that Marc and Kevin both missed on discussing an important aspect in their respective discussions. While I commend both for bringing up the topic they do not fully detail the problem or the issue at hand here.
Yeah.. Marc does a good job of describing the facts ?that home sellers are not interested in this issue other than they want to sell their house and want the listing data displayed anywhere an every where that will give them a possibility of attracting a buyers attention.?
The problem I have with the context of the issue is that both guys refer to the data as the Brokers Data and that it is a broker issue. That is only partly correct. The larger issue over control of the data that both failed to mention, is the control of the listing data by the local MLS boards. (Multiple Listing Services)
Let me explain for the layman here; Brokers have to pay fees for the IDX (Internet Data Exchange) or RETS (Real Estate Transaction Standard)feeds and many of the MLS Boards have draconian limitations on how and where the data can be displayed. Part of the issue also runs into fairness, competitiveness and the rules of fair play, when they (MLS Boards) appear to have different rules for different brokers and vendors based on who is in this month with a particular MLS board.
Take for example the Utah MLS board. They won?t provide an IDX feed unless you pay thousands of dollars a month. Yep you go it right, THOUSANDs. Another one I have personally dealt with in the past was Lake Tahoe-Incline Village MLS who are so overly protective of their data streams, and these are only a few off the top of my head that I can readily recall of the many MLS’s across the U.S. Who are they protecting though? In the current housing market they are killing the careers of the very people they claim to protect.
MLS Compliance is a rule who?s time has come and gone and should be done away with to better the industry as a whole. In it?s current incarnation it is behind the times, out in left field. In fact you could even say that the current policy?s of the MLS boards are effectively holding your homes listing data for ransom, adding to the quagmire of all ready declining home sales.
I think the the MLS boards are going to have to adopt some type of open source protocol on a national platform, so the likes of DOT HOMES can readily disseminate the data to those consumers who are looking to buy.
I really am not one to advocate the Federal Governments intervention in business, but as the U.S. Justice Department continues it?s probe into NAR?s (National Association of Realtors) business practices it might behoove all of us if they take an even closer look at how the individual MLS? are run and controlled and whether or not NAR?s influence has anything to do with the issue.
NAR has been working to formulate the new rules into what is called the Internet Listing Display (ILD) which is suppose to replace the current IDX and RET?s policy?s. Most of this is as a direct result of the FED?s probe. To date the standard has not been completed and the FED?s initial probe completed in November 2007. A court date of July 7, 2008 has been set.
This is what NAR has posted on their site: NAR strongly disagrees with the government’s contentions and is vigorously defending both the MLS as a vehicle for broker-to-broker cooperation as well as the ability of a listing broker to control the use of that brokers listings on the Internet by competitors.
The problem as I see it is; that the MLS? boards have way too much control and are stifling competition by not allowing those with valid business reasons access to the data, with out putting often times unjust qualifications or access fees for the usage of the data.
Either way there needs to be change in the way business has been done in the past to accommodate future technology and the changing way in which consumers conduct research to purchase homes. My research on DOT HOMES also shows that they provide a direct link to the listing agent without having to drill through tons of minutiae. And that is a good thing !
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