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Strategies & Market Trends : The Residential Real Estate Crash Index

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To: Elroy Jetson who wrote (24764)10/25/2004 3:55:31 PM
From: David JonesRead Replies (1) of 306849
 
>>>>>>>There has not been any big change in inventory recently, at least in Los Angeles County, but the homes that are for sale have not been selling.

A big decline in sales volume means a big decline in brokerage
commissions.

A big decline in sales commissions prompts brokerages to spend more on
advertising to try to generate more volume.

Advertising is paid for primarily for the benefit of the brokerage, not
the home seller or buyer.<<<<<<<<

At first reading I think well they should be increasing advertizing. Reasoning if
one's selling with a fixed commission and sales slow, increasing
advertisement or coverage is a good thing. Are you implying if you have
property advertised through your contracted brokerage say running in one
paper and then discover it later displayed in a second or third. Your
going call up the brokerage angry?
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