Top headlines from around the real estate industry. Breaking news as it happens.
15 stories covering tech, special reports, video and opinion.
Unique features from hacker profiles to portal watch and video interviews.
Unique features from hacker profiles to portal watch and video interviews.
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.
Nominations are closing soon for Inman’s inaugural AI Awards, a new, prestigious recognition honoring exceptional AI-driven solutions across the real estate industry. These awards highlight both entrepreneurs and legacy companies at the forefront of leveraging AI advancements that bring transformative changes to the industry.
NOMINATE INMAN AI PIONEERS HERE
We are seeking nominations for groundbreaking AI-powered products, services, platforms and those who are maximizing their businesses with these solutions. Whether you’ve developed groundbreaking property valuation models, intelligent chatbots or innovative tools for agent productivity, we want to celebrate your achievements.
But hurry — submissions for nominations close on Sept. 6.
If you, or someone you know is an:
You should submit a nomination for consideration. Your groundbreaking innovation deserves recognition on the industry’s biggest stage.
Nominations are now open. Recognize your own contributions or celebrate the achievements of a colleague by submitting an entry in the following categories:
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.
Douglas Miller says offering compensation to buyer brokers off the multiple listing service is “commercial bribery” and “a group boycott.”
That kind of dramatic language may tempt some in the real estate industry to dismiss Miller, an attorney and executive director of the tiny, volunteer-run nonprofit Consumer Advocates in American Real Estate (CAARE), as an inconsequential flamethrower.
But one of the high-profile law firms behind the first major antitrust lawsuit challenging the U.S. commission structure, filed in March 2019 and known as Moehrl, has openly admitted that Miller was the reason the firm got interested in the case in the first place.
“We were approached by a Realtor and consumer advocate named Doug Miller,” Benjamin Brown, managing partner of Cohen Milstein, said in March after the National Association of Realtors reached a proposed settlement in multiple antitrust commission lawsuits, including Moehrl and a similar case known as Sitzer | Burnett.
“Doug had a wealth of knowledge about the industry but no formal antitrust or economics background,” Brown added. “A small team at my firm worked for months with Doug and a couple of expert economists to build the case.”
Now Miller and CAARE have set their sights on a new, related target: workarounds to the rule changes from the NAR deal.
Doug Miller
“We are extremely concerned that Realtors are using misinformation and scare tactics to try and persuade their clients into signing anticompetitive buyer brokerage and listing contracts that artificially inflate buyer brokerage fees,” Miller told Inman.
“In fact, we are seeing Realtor competitors gather as groups to design fee agreements to accomplish this. We believe this is straight-out collusion that violates the spirit of the settlement agreement.
“Forms committees composed of competitors who design fee agreements that result in higher buyer brokerage fees are likely to be the target of future litigation. Anyone who uses the work product of those committees is likely to face similar threats not unlike the Moehrl and Sitzer cases.”
Miller stressed that he’s warning the industry about this because the last thing he wants to see is more litigation.
“We would prefer to see Realtors engage in honest business practices than to see them get sued,” he said. “This would be better for everyone involved.”
According to Miller and CAARE deputy director Wendy Gilch, some Realtors are perpetuating three “misleading” talking points, even after the NAR settlement’s rule changes went into effect on Aug. 17:
“None of these points should be true anymore, and those who continue these practices will likely find their way back into court,” Miller said.
“All Realtors know (or should know) that there is an easier solution and that the above comments are misleading and designed to perpetuate high buyer broker fees through fear.
“By now, all Realtors know that it is very easy for a buyer agent to work with a buyer when the seller isn’t offering compensation. They write the offer with a request for a seller credit. It’s simple, it’s straightforward and it exposes the buyer brokerage fee to free market forces.”
The “checkbox” referred to is giving buyers the option, through a buyer agency contract, to tell their agents not to show them properties based on whether the seller or listing broker is offering compensation to the buyer broker.
[T]he checkbox is not going to protect agents from being accused of steering,” Miller said.
“What it does do is open up a lot of issues with agents who try to call and see what they get paid, but can’t get an answer from the listing agent. Do they just ‘skip that home’ even though they might be offering something. Or, the listing agent says they are open to comp and to submit an offer.
“Are these agents explaining to buyers they can offer whatever they want and ask for concessions to cover the buyer agent fees. They don’t necessarily have to offer over the list price. Some agents are using this checkbox in the buyer agreement as a tool to get sellers to offer agent comp. In what world does an agent refuse to submit a competitive offer because ‘they might not get it?’”
Gilch provided several examples of agents allegedly promoting these talking points.
Wendy Gilch
“These Realtors specifically are all at different brokerages in the U.S., which shows just how widespread these ideas are growing,” Gilch told Inman.
Under the settlement changes that went into effect on Aug. 17, offers of compensation from sellers or listing brokers to buyer brokers may no longer be communicated in multiple listing services. Communicating them off-MLS is not prohibited under the deal, but that does not necessarily mean listing brokers can offer them without worrying about legal trouble.
Offering commissions to buyer brokers off the MLS is “a huge mistake,” according to Miller.
“There are many reasons why brokers should not do this: It is almost identical conduct to the complained-about conduct in the Moehrl | Sitzer cases,” Miller said.
“Just like with Moehrl, it results in artificially inflated buyer brokerage fees. It will create liability for the brokers and their seller clients. It serves as a group boycott because the compensation is not offered to would-be competitors.
“It is a restraint on trade because DIY buyers are automatically excluded from this money. It interferes with the buyer’s fiduciary relationship and demands that the buyer agent perform a service for the seller or listing broker: to procure a ready, willing and able buyer.”
Moreover, even if offering compensation off the MLS doesn’t violate a state’s licensing laws, that does not mean it doesn’t violate other laws, according to Miller.
“It just means that maybe the local regulator won’t take away your license if you do this,” Miller said.
“Look up the definitions of ‘commercial bribery,’ or ‘interference with a fiduciary relationship,’ or ‘group boycott.’ If antiquated licensing law says it’s OK to share your commission with a buyer broker, that does not mean you can do it and be exonerated from violations of common law or federal antitrust law. That’s really poor advice.
“In fact, I’m currently researching how exclusive commission split offers to buyer brokers function as a group boycott against lawyers who want to enter the field. Again, the solution is so simple. Stop offering money to buyer brokers. It will encourage competition.”
CAARE recently published advice for sellers and buyers, urging sellers not to work with real estate agents that say other agents won’t show their homes unless they offer compensation up front and urging buyers not to work with agents who encourage them to skip homes that don’t make such offers.
“[W]hy in the world should sellers put all their cards on the table about compensation or seller credits?” Gilch said.
“If sellers offer nothing, it forces buyers to make the first move to ask for a credit instead. And that leads to competition on buyer broker fees. That credit is going to be smaller if buyers negotiate a good deal with their agents.
“If the listing broker offers fixed amounts to all buyer brokers, the benefit of negotiating the buyer rep fee deteriorates. Plus, it creates the false impression to many buyers that the credit is meant for the buyer agent, not the buyer. We’re back to the same problem that existed prior to the lawsuits.”
Source: CAARE
CAARE referred to the previous system as “socialized real estate commissions.”
“It’s not about whether or not a buyer can afford a buyer agent or not,” Miller said.
“Instead, it is about whether or not a buyer gets to negotiate the fee of their own buyer agent. The current system allows buyer agents all to get paid the same regardless of their experience or skill.
“We call that socialized real estate commissions and we believe that’s wrong and harmful to consumers and causes fees to be set without the benefit of competition. That’s why buyer broker fees are nearly all the same in many parts of the country.”
CAARE is advising buyers to ask for a seller credit in the form of a flat fee, rather than a percentage of the purchase price, if they can’t afford their own agent.
“If you negotiate a fee of around 1 percent, you’ll likely save the seller about 2 percent in commissions,” CAARE said. “Plus, if your offer only includes a 1 perent seller credit and a competing buyer asks for 3 percent, your offer becomes more attractive, increasing your chances of acceptance.”
“It’s a far simpler solution that injects market forces into the fee negotiations,” Miller added. “This is the way it should have been for decades.”
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.
Pulse is a recurring column where we ask for readers’ takes on varying topics in a weekly survey and report back with our findings.
So, what’s new with you?
Just kidding. We know that for many of you, the past week has brought with it a lot of questions and uncertainty as you figured out how to implement the terms of the National Association of Realtors commission lawsuit settlement. Maybe you had to call your broker or another trusted mentor for advice. Maybe you had to refer back to Inman’s library of reporting and contributed advice.
All of which is to say, you’ve been on our minds and we’re wondering: How was your first week post-NAR settlement changes? How are you deciding what commission to put on buyers’ agreements? Were you already in a state that used buyer agreements? If not, how has the adjustment been? What jitters, hiccups and horror stories did you encounter (if any)? Let us know below:
We’ll compile a list of the top responses and post them on Inman next Tuesday.
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.
Have the commission lawsuits, lack of inventory and high mortgage rates left you feeling out of control of your business? If you’re ready to escape the quicksand, take charge of your business, and wrap up 2024 with a bang, here’s what to do.
Have you ever noticed that no matter how bad the market is, there are always agents who do well? What’s their secret — They avoid being distracted by what they can’t control and focus on what they can control.
As Coach Philip Humbert once explained in his newsletter:
“My well-being and optimism, my values and work ethic, and daily success are not determined by politicians in Washington, fighting in the Middle East, or disasters I can’t control (as important as those things may be). My daily success is determined by my alarm clock, my to-do list, my use of time, and hugs from my friends. My success is determined by whether I do the things that I know are useful or whether I am distracted by the news, by gossip, or by worry.”
One of the greatest gifts that you can give yourself is starting with a clean slate. The act of clearing out anything that is holding you back, no matter how big or small, opens up the space for you to attract more business.
Here’s the step-by-step of what to do:
To get the best possible start, begin by eliminating “tolerations.” A toleration can be something as simple as a missing button from a shirt, your car’s floormats that need cleaning, or any of the hundreds of other little things that pull you off focus over the course of your day. Tolerations are like paper cuts. They are often minor, but the cumulative effect of not dealing with them results in serious pain and loss of productivity.
The first step in ridding yourself of tolerations is to make a list. Most people can list about 20 tolerations and then hit a wall. If they persist, they soon discover there’s easily another 80 or more.
Remember tolerations can be something small such a magazine subscription you’ve been meaning to cancel or replacing a light bulb. The point is that every time you encounter the toleration, it interrupts your thoughts with, “that’s bugging me,” or “I need to take care of that.” Each time you notice it, you’re experiencing the equivalent of another paper cut.
Once you have made your list, the next step is to eliminate one toleration per day. It makes no difference where you start or which toleration you choose. The idea is to reduce the cumulative effect of these energy drainers.
How many times have you agreed to do a showing when you had previously scheduled family or personal time, and you ended up resenting the decision?
Your inability to say “No,” not only creates more tolerations, it can also leave you feeling frustrated and angry, and it can even damage your health.
Even more importantly, when you do tell a client “No,” always remember that “No” is a complete sentence. There’s no need to explain or justify your reasoning.
If the client presses you about the appointment, simply say, “I have a conflicting appointment,” and give the client two other times you could do the showings.
When I first learned about the Law of Attraction during my Coach Certification Training, I was fascinated by the concept that to attract more business or the right personal relationship, first you have to make space for that business or special person in your life. As my first coach put it, “There’s no room for a shiny new red convertible when your garage is filled with junk.”
Since that time, when I do a major closet cleaning, clear out all my emails, or donate or dump old items I’m not using, new business almost always pops up not long after.
To illustrate this point, you’re probably familiar with the “vacation phenomenon.” This occurs when you schedule time off, and as you’re getting ready to leave, plenty of new business always seems to pop up. Why? You created all this space in your schedule.
If you’d like to test this approach, clean your closet, clean your garage, clean your office, or schedule time off. It makes no difference where you start. It’s the act of creating space that opens the door for new opportunities.
Another way to create more space for more business is to dump any project or task that you have been procrastinating about doing for six or more months. If it’s something that you really must do, delegate it, and take it off your to-do list.
Credit card debt is a major toleration that cuts you over and over each month as you pay not only for your purchase but also interest on top of interest. If you are able to eliminate any of your credit card debt, do it as soon as possible.
As Alisa Glutz of Color My Credit advises, “Don’t rent your debt.”
To illustrate this point, Macy’s just raised the interest rate on its revolving balances to a whopping 34.49 percent. Keep in mind that this number compounds daily.
Consequently, get in the habit of paying off purchases each month. If you don’t have the money to pay for an item at the end of the month, don’t buy it unless it is an absolute necessity, like medicine or a business-related expense such as car repair or gasoline.
Moreover, credit card debt limits your opportunity for a better life for years to come. To learn more about how to eliminate your credit card debt, check out my article and interview with Glutz.
If you haven’t made an ideal client list, it’s time to start one now. It should have a minimum of 50 characteristics that your ideal client will have.
The coach who introduced me to this approach had generated $300,000 in profits from his business in only six months. When I asked about how he became successful so quickly, he replied, “I made an ideal client list. It was 15 pages long right down to the type of belt and tie my ideal client wore.”
When I asked if his ideal client had shown up in his business, his answer was, “No, but a lot of his brothers and sisters sure have.”
The concept here is having clarity about who you want to attract, or as my husband Byron Van Arsdale likes to say, “Be definite with the infinite.”
A ship without a rudder is at the mercy of the sea and winds. Your priorities and values are the GPS that will help you steer the course that best supports you.
The difference between those who thrive and those who merely survive isn’t luck — it’s the choices they make. Embrace the strategies above, take back control, and watch your business flourish now and well into the future.
Editor’s note: A previous version of this story had Macy’s interest rate at 35.99 percent, but it has been changed to 34.49 percent.
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.
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.
I used to dismiss soft skills as just fluff, much like goal-setting. It was fine if I had time, and I knew every coach in the world would go off about it, but I had lead gen to do.
I had to learn the hard way that my mindset was holding me back.
Growing up, I believed that if I couldn’t do something perfectly, I shouldn’t do it. This fear of getting it wrong left me stressed, burnt out and disconnected. I thought that everything would fall into place as long as I worked hard and did what I saw work for others.
But that’s not how it works.
The turning point came when I realized that my real issues were being constantly distracted, worried and trying to live up to some impossible standard.
It wasn’t until I understood that I could permanently change my mindset that things began to shift.
It has become clear to me that soft skills are not just essential — they are transformative. Deeply connected to mindfulness, these skills are fundamental to excelling in any field. Let’s explore six critical soft skills (and the case studies to back them up) that unequivocally elevate your performance and your life.
Extensive research conducted by the Stanford Research Institute and Carnegie Mellon Foundation conclusively shows that 75 percent of long-term job success relies on soft skills, with communication paramount. Agents who can adeptly communicate with colleagues, clients, and superiors consistently outperform their peers and significantly contribute to their organization’s success.
A study by TalentSmart unequivocally demonstrates that 90 percent of top performers possess high emotional intelligence, a crucial soft skill. Individuals with high emotional intelligence display remarkable resilience, adaptability, and excellence in managing workplace relationships, leading to substantial improvements in job performance and career advancement.
This means that developing emotional intelligence can significantly enhance job performance and career advancement. High EQ enables better resilience, adaptability and management of workplace relationships, leading to more effective client interactions and successful transactions.
Google’s research on its own teams leaves no room for doubt — successful teams exhibit high levels of psychological safety, where members feel secure taking risks and being vulnerable with each other. This solidifies the critical role of soft skills related to collaboration and teamwork in creating an environment conducive to outstanding individual and collective achievements.
For real estate professionals, this means creating a team culture where everyone feels comfortable sharing ideas and feedback without fear of judgment. This can lead to better problem-solving, more creative solutions, and ultimately, greater success in your projects.
The COVID-19 pandemic has unequivocally underscored the importance of adaptability as a critical soft skill. Agents who swiftly adapted to remote work and changing market conditions fared far better during the crisis. Real estate professionals who demonstrated adaptability pivoted effectively and significantly contributed to their success during challenging times.
A study published in the Journal of Cognitive Neuroscience affirms that individuals with strong problem-solving skills possess superior cognitive abilities and are significantly more likely to thrive in complex, dynamic environments. This confirms that problem-solving is a pivotal soft skill that elevates performance and drives personal and professional growth.
This underscores the importance of developing and honing problem-solving skills. These skills not only enhance our personal and professional growth but also enable us to navigate the complexities of the real estate market effectively, leading to better client satisfaction and successful transactions.
Extensive research conducted by the Center for Creative Leadership leaves no room for doubt — organizations with robust leadership development programs consistently outperform their competitors. Effective leadership hinges on soft skills such as empathy, communication and conflict resolution, undisputedly underlining the critical nature of these skills for fostering success at all organizational levels.
Investing in leadership development programs can significantly enhance team performance and drive business success. By focusing on developing these essential soft skills, real estate leaders can create a more collaborative, resilient and high-performing team.
These case studies provide unequivocal evidence that nurturing soft skills is undeniably transformative, leading to enhanced individual performance and overall success in the workplace.
Clear communication is the cornerstone for effective sales. It’s not just about talking; it’s about creating an environment of trust and openness. To sell authentically, you must first be transparent with yourself.
True listening means being fully present and valuing others’ input. It’s a powerful tool for building strong relationships and making informed decisions. To listen well, you must be genuinely connected with those around you.
Authentic selling is about aligning your actions with your core values. When you lead by example, others are inspired to follow. Remember, you are the model for your team — they look to you for alignment and integrity.
Effective problem-solving requires balancing data analysis with understanding different perspectives. This approach not only resolves issues but also builds confidence and fosters a culture of continuous improvement.
Managing your time well is crucial for maintaining the consistency that defines effective performance. It allows you to focus on strategic goals while still being there for your clients.
Positivity is contagious and essential for resilient real estate professionals. Even in tough times, agents who remain optimistic inspire their teams and clients to do the same. This positive outlook is rooted in self-awareness and self-regulation.
These soft skills are not just professional tools but integral to being an effective real estate professional. By mastering them, you can create a supportive environment that encourages personal and professional growth and success.
Mindfulness is the practice of being fully present and engaged in the moment. Developing mindfulness can significantly enhance these essential skills and overall effectiveness.
Mindfulness helps you become more aware of your thoughts and emotions, enabling more transparent and empathetic communication with clients and colleagues. This awareness fosters stronger relationships and trust.
By practicing mindfulness, you become better at staying present during conversations, allowing you to truly listen and understand your client’s needs. This leads to better client satisfaction and more effective problem-solving.
Mindfulness cultivates self-awareness, which is essential for authentic selling. As you become more in tune with your values and actions, you naturally sell with integrity, inspiring client confidence.
Being mindful allows you to approach problems clearly and rationally. This helps make better decisions, reduce stress and find creative solutions to challenges.
Mindfulness encourages focus and prioritization, helping you manage your time more effectively. By staying present, you can avoid distractions and concentrate on what truly matters, improving productivity.
Mindfulness promotes a positive and resilient attitude. In the fast-paced world of real estate, this positivity can help you navigate challenges with grace and maintain a steady, optimistic approach.
Mindfulness leads to more genuine interactions, which builds deeper trust with clients, making them more likely to work with you and refer others.
By reducing stress and enhancing focus, mindfulness helps you find more joy and fulfillment in your work, leading to better overall job satisfaction.
The practice of mindfulness equips you with the tools to handle the ups and downs of the real estate industry with resilience and composure.
A mindful approach opens up space for creative thinking, allowing you to find innovative solutions for your clients and business challenges.
Mindfulness helps you set boundaries and stay present at work and home, leading to a healthier work-life balance.
Real estate professionals can benefit significantly from developing strong mindfulness-based soft skills.
For instance, effective communication and active listening can help build trust and strong relationships with clients, while leadership skills can inspire and guide teams to align with shared values. Problem-solving abilities and adaptability are essential for addressing challenges in a dynamic market, and time management is crucial for maintaining consistency in performance. Furthermore, maintaining a positive attitude can inspire resilience during tough times.
Using simple, mindfulness-based techniques can help nurture soft skills and is undeniably transformative for real estate professionals.
These are the simplest ways to enhance our individual performance and overall success in the workplace. By focusing on developing these critical soft skills, we can excel in our careers and create a positive impact on our clients and teams.
Aaron Hendon’s extensive experience in real estate and entrepreneurship has given him a unique perspective on how to navigate even the most unstable market conditions. Connect with Aaron on Instagram and LinkedIn.