Chapter 2rebac.net/Teach/RPR/RPR_Chapter_2_2013.ppt · PPT file · Web view2014-02-20 · * AVMs...

Chapter 2

Consumers Don’t Believe Everything They See on the Internet. Right?

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2

Researching the MarketConsumers are more

plugged in and informedMore distractedMore sites competing for

attention

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3

Gathering (Mis)Information?Hours online form

misperceptions Media coverage distorts

market pictureAgents first step with

prospects—educate about market realities

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Same Data—Different Answers?

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How Do They Get Away With It?

No risk if off target Disclaimers Variable accuracy ratings Caution—not an appraisal

Consumer AVMs try to estimate today’s value by looking at yesterday’s data

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Non-Disclosure States

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Sales not

publicly

reported

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Right Pricing#1 problem for sellersTendency to

overestimateThe market sets the

price

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Days on Market? % of List

8

West•8 weeks•96% of list

Midwest•12 weeks•95% of list

Northeast•10 weeks•94% of list

South•12 weeks•96% of list

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What Do Buyers Do?

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10

AVMs Meet the Real-World BuyerPrice isn’t the final

determinant

AVMS can’t replace agents’ knowledge and experience

AVMs can’t communicate the experience of living in the home & neighborhood

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AVMs meet the Real-World SellerAgents must clear away the

noise of online estimatesEducate, or re-educate, the

client about market realitiesCheck online AVM estimates

before a listing appointment

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RPR®—The Data-Supported Reality Check

Developed specifically for REALTORS® Combines home information with MLS data

and public records Positions REALTORS® ahead of the

technology curve Reinforces REALTOR® value as local market

expert

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