by Pacaso | Jul 7, 2025 | Industry, News Feed
The demand for second homes is growing, but so are the barriers. With limited inventory and rising prices, many buyers are hesitant to take on the full cost and responsibility of a second property. Others worry about leaving a home unused for much of the year or managing short-term renters.
That’s where co-ownership comes in. This modern approach to second-home ownership gives agents a powerful way to meet evolving client needs, earn more through commissions and grow your business in a changing market.
What is co-ownership?
With co-ownership, buyers purchase a share of a private, high-value home alongside a small group of other vetted owners. It’s an ideal solution for clients seeking more flexibility and accessibility than traditional second-home ownership, with greater equity and control.
With Pacaso, clients benefit from a professionally managed LLC co-ownership model that offers true real estate ownership. While DIY LLC ownership has existed for years, it’s often difficult to manage. Pacaso simplifies the process by handling the management, maintenance and scheduling so your clients can enjoy their home for several weeks a year, minus the typical headaches of ownership.
Why it’s a win for agents
Co-ownership isn’t just a smart option for buyers; it’s a business builder for agents. Whether your clients are priced out of full ownership or simply want more flexibility, co-ownership allows you to expand your reach and offer more tailored solutions.
“This is just another way for agents to step up and grow their business,” says Marnie Blanco, Pacaso’s SVP of Industry Relations. “We partner them with our sales team, who handles the transaction — quick close, quick payments. It’s easy to introduce to your clientele and give them options.”
No matter where you’re based or licensed, you can refer clients to thousands of homes nationwide and in select global markets and earn a 3 percent referral commission on each share your clients purchase — no extra work, just faster deals and greater earning potential.
How to get started
Want to take your business to the next level? Our free two-week action plan will help you grow your business and start earning more commissions. Plus, become a Pacaso Second Home Specialist and unlock the secrets to higher earnings through second home ownership.
Co-ownership isn’t just a trend, but a smart, strategic way to meet modern buyer needs. Connect with us today to stay ahead of the curve and grow your business in the second-home market.
by Pacaso | Sep 4, 2024 | Industry, News Feed
Whether it’s refining your business model, mastering new technologies, or discovering strategies to capitalize on the next market surge, Inman Connect New York will prepare you to take bold steps forward. The Next Chapter is about to begin. Be part of it. Join us and thousands of real estate leaders Jan. 22-24, 2025.
The new commission rules went into effect on Aug. 17, and the multiple listing services (MLSs) are watching closely for mistakes — and issuing fines. Here is what you need to know about how the MLSs are keeping tabs on the new rules, how some MLSs are structuring fines, and what AI tools they are using to discover violations.
Fines are already being assessed
If you had any expectation that you were going to be able to work around the new MLS rules on buyer-broker compensation, let go of that right now. Michael Ketchmark, in an Aug. 19, 2024, Inman interview, shared the following warning:
“If anyone thinks they’re going to be able to avoid the application of this settlement agreement and the law by creating some new forms or hiding this cooperation on new websites, they’re wrong. If we get any sense that people or corporations are doing that out there as a way around this, we plan on taking swift legal action.”
The MLSs are dead serious about enforcing these new rules, and many have already started fining agents who violate them.
Some examples of the types of fines that are being assessed include:
ARMLS
ARMLS, which serves the Phoenix region of Arizona, has fines ranging from $500 to long-term suspension from the MLS.
CRMLS (California Regional Multiple Listing Service)
CRMLS has instituted a $2,500 fine for violating any of the following rules:
- Rule 7.15: Offering or Conveying Buyer’s Agent Compensation in the MLS
- Rule 7.16: Insufficient Disclosure of Compensation to Seller/Landlord
- Rule 7.19: Disclosure of Listing Broker’s Compensation
- Rule 9.1: Showing Listed Property w/o Written Compensation Agreement w/ Buyer; Insufficient Compensation Agreement w/ Buyer
- Rule 19.2.21: Display of Offer of Compensation – IDX
- Rule 19.3.26: Display of Offer of Compensation – VOW
Dallas (MetroTex MLS)
MetroTex MLS fully implemented the changes in compliance with the NAR settlement on July 29, 2024. Fines for violations start at $1,000.
San Diego MLS (SDMLS)
San Diego MLS has established a $1,500 fine “for including compensation, commission, bonuses, or broker/brokerage fees in an SDMLS listing.” This is how they explain it on their website:
The $1,500 fine for violations related to compensation information is not meant to be punitive, but rather to emphasize the importance of complying with the new NAR Settlement rules. These rules are in place to promote transparency and fair practices in the real estate industry. While we don’t intend to fine our members without warning, the severity of the fine reflects the seriousness of non-compliance and serves as a deterrent to ensure all members adhere to the new regulations. We are always open to listening to concerns from our members and providing guidance on compliance. There are antitrust issues, and Realtors have always errored on the side of caution when potential antitrust claims are a possibility.
Stellar MLS
Stellar MLS, which serves Central and Southwest Florida, has a $500 fine for first time offenders.
Effective Aug. 6, 2024, any violation of the rule requiring a Buyer Broker Agreement prior to touring a property will result in an automatic $500 fine for first-time offenders.
SWMLS
SWMLS (Greater Albuquerque Association of Realtors) has a tiered fine structure that went into effect on Aug. 17, 2024.
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- First fine within a 12-month period will be assessed at $250.
- Second fine within a 12-month period will be assessed at $500
- Third fine and all subsequent fines within a 12-month period will be assessed at $750
- When the Participant or Subscriber receives a 3rd or subsequent administrative sanctions, the tribunal will hold a hearing in which the Subscriber and Participant will be required to attend.
Big Brother’s ‘little brothers’
Anyone who uses social media knows that certain types of posts can be removed or even get you kicked off a site if you violate the provider’s terms of use. The question is exactly how do these platforms identify this type of content?
This platform is widely used across multiple industries outside real estate to “detect explicit adult or suggestive content, violence, drugs, tobacco, alcohol, hate symbols, gambling, and disturbing content in images and videos.”
CoStar explains why they chose Amazon Rekognition to conduct their content moderation:
CoStar uploads around 150,000 images and videos to its platform daily and must also confirm that they are appropriate. Because manual analysis is not feasible, CoStar now uses Amazon Rekognition Content Moderation API to build a solution that automatically analyzes uploaded images and videos and ensures the highest quality and compliance of its data. It provides mass scanning, imagery classification, and detects unwanted or toxic content in images with text—saving time, increasing productivity, and reducing infrastructure costs.
(If you would like to know more about how these content moderation tools work, there’s an excellent article from Spectrum Labs called, “AI-Based Moderation: Enhancing Trust and Safety Online Platforms.” These tools are now being employed across the social media to spot various types of violations including bullying, hate speech, profanity, drug and sexual solicitation, etc.)
Listing Data Checker (a CoreLogic product)
Many MLSs are already using Listing Data Checker including Dallas MetroTex, Connecticut’s SmartMLS, Massachusetts MLS Pin, and New Hampshire’s Paragon MLS.
According the Listing Data Checker website,
Listing Data Checker automatically checks the accuracy of your data and enforces the correction of violations. It’s the most powerful and widely adopted system of its kind—and the best way to assure the quality of your listing data, your most valuable asset.
This tool can be used as a stand-alone or in conjunction with human checkers.
Bane or blessing?
Michael Lissack, who is a licensed broker based in Massachusetts and is also licensed in multiple other states, bumped into Listing Data Checker on Connecticut’s SmartMLS, Massachusetts’ MLS Pin, and New Hampshire’s Paragon MLS.
Lissack shared two different listing screenshots that illustrate how Listing Data Checker is being employed by SmartMLS. In the first example below, you can see the words “buyer,” “fee” and “pay,” flagged in this listing description as a possible violation of the new compensation rules.
Below, the site tells Lissack: “You can publish this listing on the MLS. However, it will be flagged for review by our Compliance Department.”
Quite frankly, I think how SmartMLS is using this tool to spot problems before they are published on the MLS is an extremely smart move. If there is an issue, they ask the agent to contact a specific person at the MLS and provide the phone number.
Lissack also shared that when there is an issue on MLS Pin, you are notified and asked, “Please call to discuss.” He also said that Paragon says, “We will call you.”
Clearly, it’s much better to stop a listing with problematic language in it from being published as opposed to finding out after the fact, having to assess an agent fine, and/or being sued for violating the new rules.
Are ‘transaction fees’ covered in the settlement agreements?
Lissack listed a different property and had more problems with the listing. (By the way, note how effectively he described the lifestyle for this luxury listing as opposed to only rattling off the features the way most agents do.)
The offending words were again, “buyer,” “fee,” and “pay,” plus a new word, “offer.” According to Lissack, the person he spoke with at SmartMLS had a problem with him collecting a “transaction fee.”
Transaction fees have been used since at least the 1980s and are separate from commissions. They are especially important for brokerages who provide “limited services” or use a “menu of services.” Transaction fees are typically the vehicle that allows a buyer or seller to pick out the additional services they want (such as posting the listing to the MLS) and are willing to pay for.
‘Little brother’ is watching you
As AI-driven content moderation tools continue to improve, one would hope they will catch issues long before they ever are published on the MLS. On the other hand, if your MLS is not using one of these tools that identifies errors before they are posted on the MLS, you must be especially vigilant, especially when using any of the “C” words (commissions, compensation, concessions) as well as “fees” and “offers” that can result in a hefty fine, getting kicked off the MLS, and even being sued.
Bernice Ross, president and CEO of BrokerageUP and RealEstateCoach.com, and the founder of RealEstateWealthForWomen.com is a national speaker, author and trainer with over 1,500 published articles.
by Pacaso | Aug 29, 2024 | Industry, News Feed
The announcement comes about six months after Bailey was replaced as RE/MAX president by Amy Lessinger. At T3 Sixty, he will focus on business development, consulting and representing the firm at industry events.
Whether it’s refining your business model, mastering new technologies, or discovering strategies to capitalize on the next market surge, Inman Connect New York will prepare you to take bold steps forward. The Next Chapter is about to begin. Be part of it. Join us and thousands of real estate leaders Jan. 22-24, 2025.
Nick Bailey, an industry veteran who previously served as CEO at RE/MAX and Century 21, has joined real estate consulting and analytics firm T3 Sixty as chief real estate officer, the company announced on Thursday.
As chief real estate officer, Bailey will focus his efforts on business development, enterprise-level consulting projects and representing T3 Sixty at industry events, a press release explained.
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“Nick has proven capabilities leading brands and brokers to productive changes; this future-forward perspective is needed right now as the residential real estate industry re-engineers itself following the recent practice and business impacts of the compensation lawsuits,” Jack Miller, president and CEO of T3 Sixty, said in a statement.
Added Bailey, “T3 Sixty is an unparalleled leader in real estate solutions and transformation, offering objective best practices and innovative new thinking to brokerages wishing to drive meaningful change. With their focus on data-driven insights and strategies, there’s no better time to team up than now.”
Bailey’s career in the real estate industry has spanned nearly 30 years. Most recently, he served as RE/MAX’s president for about one year and then held duel positions of president and CEO for about two years. Prior to that, he was the company’s chief customer officer for about two years. He also spent a large portion of his early career in regional management positions at RE/MAX.
Bailey left RE/MAX in February and was replaced by Amy Lessinger. At the time, few details were shared about the reason for his departure.
Additionally, Bailey has served in executive positions at Century 21 and Zillow. In all these most recent executive positions, Bailey played a major role in strategic growth, brokerage operations, tech integration and agent productivity.
This marks the first time a T3 Sixty executive has served as both president and CEO at two major, public franchisors, a press statement noted. Bailey has been named one of the top 100 most influential leaders in the industry by the Swanepoel Power 200 rankings for the last five consecutive years, earning 10th place this year. He also received Inman Innovator awards in 2018 and 2021.
“I am deeply humbled by the incredible depth of experience and leadership we have amassed at T3 Sixty,” Stefan Swanepoel, executive chairman and founder of T3 Sixty, said in a statement. “Together, we are not only helping shape the future of our industry, but also ensuring that our clients have access to some of the most informed, forward-thinking guidance available.”
T3 Sixty opted to forgo the release of its Mega 1000 list this year in response to the National Association of Realtors (NAR) antitrust settlement. The list, typically released every year, ranks the U.S.’s top 1000 largest brokerages by sales figures. Because of the litigation, the company had received several requests from brokerages to not be included in this year’s ranking.
Email Lillian Dickerson
by Pacaso | Aug 1, 2024 | Industry, News Feed
Innovation is in our DNA at Inman — that’s why we’re excited about August’s Technology and Innovation Month. We’ll kick it off by celebrating the companies and individuals pushing the industry forward with an expanded slate of Inman Innovator Awards at Inman Connect Las Vegas. Then, we’ll continue to celebrate the brightest minds in real estate all month long.
As we kick off Technology and Innovation Month at Inman Connect Las Vegas, we’ll recognize the brightest minds in real estate with Inman’s Innovator Awards.
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Then we’ll spend the rest of the month looking ahead at the future of technology in real estate and the innovations that are currently in progress.
What to expect
As we dig into the best that the industry has to offer, look for:
- Tips for doing due diligence on new tech
- Roundups of the best tech of the year thus far
- A look at the future of home search
- In-depth discussions with women in proptech
- Follow-ups on past tech acquisitions
- Weekly tech reviews from our tech expert Craig Rowe
How to get involved
Each week, watch for innovative questions in our Pulse survey. Please weigh in with your insights and experiences in our anonymous, one-question survey, and we’ll share the results the following week.
Have more to say? We’d love for you to become a contributor. For more information on that, reach out to our contributors editor.
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