Broker Wars! | The iBuyer Experiment - Stop & Chat #44

Broker wars … kinda like Cola wars, but with houses

A lot is happening in the real estate world right now!

Keller Williams and EXP are fighting -“Broker Wars!” Apparently the ex-CEO of Keller Williams was recruited and hired by EXP and they are fighting in court about it. We’ll see how it goes. It looks like this is more about clout and who is stronger than about money. We’ll see who is stronger, but Gary Keller can box!

Inman had an article today posing the question “if the real estate market is so hot why aren’t prop tech companies and their stocks hot?” Stocks have been in the toilet across the board, but OfferPad is exceptionally low, I think they even went below $3 a share. They’re not even a billion dollar company any more, even with their huge line of credit.

We have been hearing rumors that OfferPad is now more interested in taking listings and recruiting agents than in taking down iBuyer deals. Open door is also recruiting agents and even has a program to offer agents $40 to show their listings.

DEAL OF THE WEEK!

Can’t really nail down just one! We’ve got a couple of deals going where a contract fell out and we were able to go in and save the deal with a Cash Plus offer, and the seller can still realize the upside of listing on the open market later. In short they get what they need!

77% of people polled by Redfin believe we are in a real estate bubble AND 44% of real estate agents also believe it. It doesn’t really look like a bubble, the supply is way below demand. It's not clear how supply could explode somehow if it popped, there just aren’t enough homes for it to happen. Back in the ’06-’07 timeframe inventory exploded because people were walking away from their second or third, or even fourth homes. Back then you had a Kroger Bakker with three or four homes with mortgages and it was easy to just walk away from them.

The real estate market is still BANANAS … that pretty much sums up this week’s episode.

Thanks for joining us.