The Real Estate Deal
Editor Cindy Zetts dishes on real-estate and development around Puget Sound: She lived in apartments, townhomes and houses -- a dozen of them in four states -- before settling in the Seattle area in 1997. After taking a bath on the sale of her first home, in South Florida, she vowed to wise up about real estate. She bought a house in Covington 10 years ago because, well, she could afford one there.
October 7, 2008 3:58 PM
CB Bain won't do 10-day real-estate sale around Puget Sound
Posted by Cindy Zetts
On Friday, Coldwell Banker will begin a national real-estate sale Oct. 10-19, but local Coldwell Banker Bain brokers and agents in the Puget Sound area have chosen not to participate.
Brokers in some other cities also have elected not to participate in the sale, which encourages sellers to lower their prices up to 10 percent for the 10-day promotion.
Ron Sparks, managing vice president of CB Bain in Bellevue, said that the idea for a real-estate sale, (as in discount) is "well-intentioned but misplaced in our marketplace."
Meant to stimulate market activity, the sale is a short-term tactic that works in retail, but seems inappropriate and unprofessional in the world of real estate, he said.
"It's a gimmick," Sparks said. The real-estate market doesn't need another gimmick right now. It needs transparency."
Another local Coldwell Banker franchise, CB Danforth, made the same decision. Broker Dave Danforth, the only person allowed to talk to the news media, was on vacation, so no reason and no details about the decision were available.
Company-owned CB brokerages tried the sale a few months ago in Florida, one of the most challenged markets in the country, Sparks said. Only 10 percent of sellers participated, and only 10 percent of those -- that's one out of 100 sellers -- got an offer. No information or details were available about the offers, Sparks said.
Because radio commercials will be running here, Sparks said, CB Bain wanted to let sellers know that the company, a Coldwell Banker franchise run by CEO Bill Riss, will not discount its listed properties.
"It's our goal to price the property right from day one, not for 10 days in October," Sparks said.
One positive outcome from the sale in Florida, Sparks pointed out, was that 85 percent of people who reduced their prices for the sale -- that's 8.5 sellers out of every 100 -- kept their homes at the lower prices.
Does CB Bain's and CB Danforth's lack of participation in the sale mean our market is in better shape, or does it suggest something else?
Dec 1, 08 - 02:41 PM
Real-estate outlook: Is the glass half-full, half-empty or broken?
Dec 1, 08 - 01:39 PM
Lower mortgage rates means "it's a great time to buy," loan officer says
Nov 26, 08 - 07:00 PM
Real-estate facts and figures: What a week
Nov 20, 08 - 02:18 PM
Happy holidays: Fannie, Freddie postpone foreclosures until next year
Nov 20, 08 - 02:00 PM
Comptroller: Community Reinvestment Act didn't cause credit crunch

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