Innovation

Welcome to my new website! I hope to share relevant, current, and fun information here and welcome your feedback on anything posted. New Model~I have had two recent conversations with friends and clients whom I particularly respect. Each happens to be a CEO. Each has managed to survive and thrive even during the recent recession. In one conversation, my friend was relating part of a speech he recently gave to a graduate real estate class. Among the most salient points: the seven most deadly words in business are “This is how we’ve always done it!” In the second conversation, my friend complained of a home he was trying to sell in a different market. “I am amazed that your industry has been successful working on a percent of the price. Seems to me that the cost to promote a house is the same regardless of price and a fixed fee to sell it would be more fair to the sellers.” I am a good listener and I definitely have a mindset of service. I have spent quite a bit of time thinking through and reviewing with yet another long term great friend and client, a new hybrid compensation model which, although still somewhat percentage based, has caps and delivers distinct value to my buyers and sellers. The construct is a 1% retainer, capped at $35,000 regardless of list or target acquisition price, payable at the signing of an agency contract. An additional 11/2% success fee for all amounts over $1MM would be payable at and contingent upon closing. Essentially this is just discount brokerage, but for an innovation to...