Thursday, March 25, 2010

Michael Polzner on CREA and the Competition Bureau

Dear RE/MAX Broker-Owners Managers and Sales Representatives:

CREA and the Competition Bureau

Confusion reigned across the country this week as the Canadian Real Estate Association (CREA) announced anticipated amendments to the Multiple Listing Service (MLS) in response to issues raised by the Competition Bureau.

My subsequent comments in the Globe and Mail didn't help. They were, unfortunately, taken out of context and may have added fuel to the fire. Let me assure you that I did not say that we should throw in the towel. However I've also been in the business too long not to recognize the fact that our industry is changing.

CREA was a little less than crystal clear in their communications, but in a nutshell, under the new rules, clients can now choose a realtor for the sole purpose of listing their property on MLS for a flat fee, but few will.

There is no doubt in my mind that the playing field is going to change in the coming years. I do believe, however, that the impact on our industry will be minimal and I speak from experience based on our US operations. These rules have been in place south of the border for several years and little has changed. In fact, the value of a great realtor has never been more important.

Consumers are entitled to options and yes, there will be those that choose to go it alone. But most people don't want to sell their own cars, let alone their own homes. The fundamentals of this business are etched in stone and will remain the same, no matter what happens between CREA and the Competition Bureau. Those buyers and sellers who are making the largest financial investment of a lifetime will still require the knowledge, expertise and negotiation skills that a full-time, experienced real estate professional brings to the table - and most, if not all, are willing to pay for it.

There is more to what we do as realtors than place properties for sale on the MLS. We should not define ourselves by MLS alone. MLS is just one of the many tools that we use during the course of a transaction. The vast majority of homes in this country are currently sold through a full-service realtor and that trend will continue in the future. Let's not lose focus. We're helping thousands of Canadians to buy and sell real estate annually. Our role has not and will not be diminished.

I have no doubt that we will continue to thrive, as we always have. But more important than ever before will be the value proposition you, as a realtor, brings to a transaction. Knowledge, experience and professionalism are the foundation on which our industry has been built. At the end of the day, it's what the public expects of a professional realtor.

Don't underestimate your importance in the home-buying and selling experience. The fact is, consumers need us. I welcome your thoughts at mpolzler@remax-oa.com
Sincerely,

Michael Polzler
Executive Vice President and Regional Director
RE/MAX Ontario-Atlantic Canada Inc.

1 comment:

  1. Well put Michael. We've sent a similar message to our staff. I used the analogy of the local car dealership telling me I could use their shop to change my own oil. I would still give them $50 to do it because I don't want to.
    We just need to relax a bit. My only concern in all this confusion is that our members completely understand their role in a "mere posting", as CREA calls it, and don't inadvertently end up doing something that makes them an agent by default. This could happen to some of our newer members when thy try to be creative in their business models.

    I wish you a successful year

    ReplyDelete

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