Property ManagementNorthern Michigan Brokers Take Control of Listing Data
Seven months ago, RE Webcom, an ISP and Web host company and OpenMLS, an
XML, Web-based listings management system provider, piloted its joint-ventured
Internet transaction management solution for brokers participating in RE
Webcom"s Northern Michigan Real Estate
Network.
Starting the first of April, every broker in the Traverse City, Michigan
area will have access to a virtual listing management system, an alternative
and parallel system to the traditional Traverse City MLS.
When the system is up and running, it will be the first real test of who
owns the listing data - the MLS or the broker. Traverse City brokers are already
proving that possession is 9/10"s of the law.
Traverse City is a high-stakes real estate community. A resort town boasting
the residences and second homes of some of Detroit"s and Chicago"s most
successful CEO"s, including the chairman of U.S. Robotics, Traverse City offers
the finest in services.
Realtors in the community are concerned with remaining competitive and with
being able to communicate with customers in the medium to which they are
accustomed - the Internet. They knew that their current MLS system could not
meet the challenge of e-mailing listings to clients, updating Web pages and the
myriad other functions that Web-savvy agents need to do business.
When RE Webcom offered ISP and hosting to agents and brokers, many brokers
jumped at the chance to receive turn-key Internet services for their agents at
less than the cost of their Web designs and maintenance contracts.
As RE Webcom founder Kevin
Fowler talked to agents about their needs and added more and more solutions
for them on the Web, he realized that he could serve all their data management
needs with a little help. Enter OpenMLS.
OpenMLS is one of the original listings management system providers.
Commonly and inaccurately known as Internet MLS, OpenMLS designs data
management solutions for agents, brokers, and MLS systems using the language of
XML. XML is a standard that enables the deciphering of unrelated and disparate
systems to communicate with each other, opening the door for Internet-based
transaction management. With other service providers such as title companies,
surveyors, appraisers, lenders and more getting on board, it is possible to
have the real estate transaction originated, managed, updated, and brought to
conclusion - on-line.
Craig O"Donnell, the designated broker for Century 21 Pearson- Cook, chose
to go with RE Webcom"s Internet solution and is already getting interested
agents onto the system.
"I feel that XML is where the most latitude in handling data will be," says
O"Donnell. "especially when other industries kick in. It isn"t format
sensitive."
Although he claims he didn"t have a complaint about the current MLS system,
O"Donnell felt that the system" just can"t take us to the next level."
"A lot of boards have a contractual obligation to the MLS software
providers, but in this business we have to flexible and quick. I"d rather find
a private solution to our data needs," explains O"Donnell.
He points out that instead of improving information delivery, many boards
across the country are concentrating on re-writing their by-laws to "own the
listing data."
O"Donnell likes the fact that the listing information is broker-loaded. "We
will be able to seamlessly communicate with any number of boards who use this
language (XML.) No matter what format they are under, XML can decipher it. In
the long haul, with the Internet it will make it much easier to get in line with
all the other companies - title companies, underwriters, surveyors, etc. so
that we can monitor the transaction." Another advantage, he adds, is that
instead of inputting the information to a number of boards, the feed is
one-time only.
He also likes the simplicity. "It won"t take much training, it is very user
friendly. Our struggles have to do with teaching people how to do basic things
on the computer like e-mail."
"We are asserting our ownership of the data," declares O"Donnell. "We can"t
forget that we have a contract with our clients to work in their best
interests."
O"Donnell has drawn the battle lines between the past and the future. The
future will feature user-friendly information systems to help agents better
communicate with clients. Older information systems are more attuned to
retaining proprietary control of listing information that in facilitating
communication between agents and their principals.
By adding the OpenMLS tool suite to his ISP services, Fowler has created a
package low enough in cost and extensive enough in services to sign up over 95%
of the brokers in the local MLS.
"It isn"t about the MLS," says Fowler. "It"s about the agents and brokers.
We are designing a means so that consumers can search for listings and
immediately communicate with agents."
"Everyone is talking about providing an Internet front end system over a
client/server back end. But what are you going to do with the XML? Now we have
developed desktop agent tools that act with the XML data. Agents can search for
listings and e-mail them with one button, they can advertise their listings,
the brokers can pull management reports. It is fully customizable."
"We are working on tying in mortgage companies, title companies for an
on-line transaction management solution," suggests Fowler, who is meeting with
a title company next week. Fowler"s goal is full desktop transaction software.
Agents will be able to order title work on-line, get clients pre-approved
through local lenders on-line, and more. As service providers are added, their
information can be automatically updated on the agent"s system with the click
of a button. Agents will have e-mail notification when a service provider is
added.
The system will in effect become a regional MLS as Fowler integrates
listing information from over four boards.
With set-up fees as low as the low hundreds, and monthly fees as low as $25
per agent and $35 per broker, Fowler expects to capture the market. For the low
cost, members will have a Web page complete with the transaction template,
listings, area information, resume page, contact center, e-mail hosted under a
choice of domain names. Agents who don"t want a desktop solution can use broker
computers, or floor stations, for a $10 a month access fee.
In fact, the new Internet solution has the Traverse City Association of
REALTORS® so spooked, it has written stern cease and desist letters to Fowler.
Despite admitting that an XML Internet front end server is over two years away
for its member agents, EVP Judith Lindenau is fighting to retain control of the
data. Because the brokers are inputting the data into the MLS, the association
feels that the MLS should manage the distribution of the data.
Traverse City brokers disagree, and are choosing to distribute the data as
they see fit.
Click here for more MLS Issues