Cutting Costs or… Your Own Throat?

I’ve been out of the country but have heard the fury south of the border over an article that appeared in last Friday’s (March 21) edition of Park Cities People. It’s a story, my red-chili pepper hot sources tell me, about a “new” discount brokerage firm, a couple of carpetbaggers who moved to the Park Cities and decided to start their own “full service brokerage” at reduced rates. This firm is charging one percent of the sales price while encouraging sellers to pay the buyer’s agent the standard three percent — for a total sales commission of 4% rather than the standard 6%. Just catching up here from way too many margaritas on the beach, but I have a few comments. More importantly, I welcome your comments. Here’s your chance to rant and rave about this article. (Out of respect for my good agent friends I seem to have developed temporary amnesia and do not know how to link to previously published articles.)

1. This is nothing new, discount brokers are a dime a dozen. People are always trying to snatch Realtor’s hard-earned commissions — few succeed.

2. Sixty Minutes (Leslie Stahl) ran a story about discount brokers last year that ticked off almost every card-carrying member of the NRA. It had about a five minute effect on the industry.

3. What is the name of the “Boutique Agency” that the owner worked for? I want some dirt…

4. The “home that sold within ten days”: how was it priced and who determined that pricing? If I put my house on the market for $100,000 under fair market value, I’m guessing it would sell faster than I run when I hear “free booze.”

5. What legal protections are offered to the sellers in a world where every third person you trip over is an attorney?

6. Help with (among other things) finance sources: the biggest problem with the market today is finding financing — thanks to those sub-prime carpetbaggers who lent money to anyone who could breathe or walk the planet.

7. Does that 1% fee include private security at all open houses, any open houses, freshly baked cookies at every showing, air freshener?

8. Hate to shock you, but many agents out there are already negotiating their fees.

Agents, relax. I interviewed one of the top female bankers in Dallas a few days ago who told me that once upon a time, the internet was going to replace all bankers. Hasn’t happened — if anything, there are more banks now than ever before. There are a lot of companies trying to rain on your parade, but if “much of a person’s personal equity is in their home”, why would that person want to diddle around with their single greatest investment?

Mount Vernon (4009 West Lawther) On The Market

Hot hot scoop, and I’d rather “have a headache” for a year than reveal my sources but one of the best homes in Dallas is on the market for REPORTEDLY (I repeat, reportedly) $50 million. Eleanor Mowery Sheets, not in the MLS. If Dallas had a White House, Mount Vernon would be it. Built in 1930, Mount Vernon — so named because it is a replica of Washington’s home — was purchased by H.L. Hunt in 1937 for $69,000. (Talk about appreciation!) It included ten acres of land and an assortment of animals. Now owned by John and Theresa Amend, who updated the home to more than perfection adding, among other things, a bowling alley and beaucoup updates, it sits right there on White Rock Lake in all it’s glory. Super exclusive listing, super exclusive agent and yes, I did hear the big 5-0.