Virtual Real Estate

(November 2004) Can you really have a full service real estate company with no offices made out of brick, stone, wood, or stucco? In a word, yes. Not only is it possible, it is already being done. In our November 2004 meeting, the Technology Users Committee invited Larry Whited, broker of WebMLS in Cincinnati, Ohio to speak to us about his web based company. Larry has no offices, conducting all of his business using the internet, email, phone, fax, and makes personal visits when needed to list or show properties.

Larry offers a variety of plans for services combining a flat fee and a commission when listing a property.

His company has a strict policy that none of his buyer's agents can work with the Seller directly, believing it may place his agents in an undisclosed dual agent position. He demands "No Service MLS Only Brokers" to present the offer as the fiduciary of the Seller. All of Larry's agents are independent contractors.

Forms used in WEBMLS are available online including exclusive right to sell, agency disclosures, purchase offer contracts, MLS info, signed property disclosures and other documents. Contract negotiations are handled by converting faxes or emails to PDF files. These files meet the legal requirement for recordkeeping which take up far less space than large metal storage filing cabinets found in traditional offices.

Exchange of commission monies from broker to agent is done through regional banks by transferring deposits into what is called a "Commission Only" account. Overnight express mail is used for processing deposits on properties from the agents to the broker.

To schedule property showings, Larry uses a service found on the internet called www.showingsolutions.com, and to manage showings and feedback he uses www.showingtime.com.

Companies across America are beginning to handle entire transactions on the internet, and using company intranets to communicate with the customer from listing to closing. Yes, the way of doing business in real estate is changing, but there will always be a need for experienced real estate professionals to provide wisdom, guidance, negotiation, and helpful interpretation for the vast amounts of information available to the consumer today.