Valid Ethics Complaint - Or Just Whining?

C'mon Charleston, SC Realtors! What's the deal with filing ethics complaints for creative marketing? Defending your percentage commission to the death isn't going to get you anywhere ... except dead as a business.

I'm not touting his business model, but Steve deGuzman, at his website and on billboards used the slogan "Break Up With Your Agent." His company, using salaried agents, offers 50% rebating of commissions to buyers, and a flat $3000 listing fee to sellers. It seems though, that a great furor erupted, and an ethics complaint was filed with the local association. Some would claim unethical conduct based on the NAR rule against soliciting the clients of other Realtor members.

This, in spite of this quote from his website (and it's in red print): "*NOTICE: If you are currently in an exclusive agency agreement, please do not go any further. rehava is not soliciting your business if you are currently in an exclusive agency agreement." Perhaps some of the marketing wording could be changed a bit, but the reaction from competitors has been swift and, in my opinion, way out of proportion to the "presumed" offense.

Perhaps those who are raising heck about the ad campaign, that he has now stopped, should be spending their time in analyzing their business model and service delivery methods to see where they can achieve greater efficiency or offer greater value to retain their compensation model. Protectionism isn't going to be the future for our industry, as transparency is the rule now, rather than the exception.

And, don't think that the consumer isn't noticing this backlash behavior directed at a business model they may see as a benefit to them. The media coverage is no doubt helping Mr. deGuzman's business, while portraying other area real estate brokerages as defensive of the status quo in real estate practices at any cost.