Loan Modification Firms - Top 11 Questions to Ask Before You Hire One

Loan Modification Firms - Top 11 Questions to Ask Before You Hire One
By Todd Wetzelberger

Consumer Awareness Guide: Eleven Critical Questions You Need to Ask Before You Hire a Loan Modification Company

Most people that are experiencing financial difficulty have no doubt heard of loan modifications. They are talked about on the nightly news and although once shrouded in secrecy, they are now common knowledge. Those also in the know, realize that the government solutions to the financial crisis we're experiencing will hardly solve the problem. The first round of government intervention after TARP 1 created "Hope For Homeowners" which was the federal government's attempt at loan modifications.

Well, here are the facts on that one. Of the supposed 400,000 families that were to be shielded from foreclosure, as of this report, approximately 400 loans (that's right 400 total) have been refinanced. Industry executives correctly called the program "useless" because of its onerous details.

Here are the stats on the "Hope Now Alliance" formed in the fall of 2007. Ironically, a former sub-prime mortgage executive was put in charge- can you say "fox in the henhouse?".
Of the 2.2 million foreclosures supposedly "prevented" by Hope Now Alliance, 53% of homeowners were in default again within 6 months. Why, you ask? Because the supposed modifications led to higher, not lower payments, since lenders are tacking on missed payments, taxes, and big fees to borrower's monthly bills.

The newest round of "foreclosure prevention" solutions from the Obama administration unfortunately will not fare much better. Lenders are currently overwhelmed with calls from borrowers since the plan was announced, and don't have the resources or the training to deal with the inquiries.

Homeowners who have tried to get their own loans modified have met with frustration, deceit, incompetence, bureaucracy, and failure due to a system which is rigged to favor the banks, not the homeowners.

I speak form personal experience. Hurricane Katrina wiped out my real estate business and I had to do my own loan modifications. I spent over 2 years trying to get insurance claims paid on damaged properties after hiring several attorneys, public adjusters, and engineers.

The irony was that lenders only allowed a 3-6 month grace period and they wanted their money. I scrambled not only to rebuild my business, but also to save my own home after this catastrophe. I learned a very hard lesson. The banks are definitely not looking out for you. Having a professional on my side would have leveled the playing field.

This report is therefore dedicated to help those that realize that hiring a professional loan modification firm with a track record of success, is their best solution in keeping their home.
Despite what the T.V. pundits tell you when they say "...contact your lender, they want to work things out..." trying to get your loan modified yourself is akin to representing yourself in court. Nine times out of ten it's a bad idea.

With that said, it's easy to be overwhelmed with all the conflicting information out there. After reading this report, you will be armed with the knowledge to evaluate whether or not a loan modification company is legitimate or a scam!

Before you make a decision to hire anyone to handle a loan modification it's vitally important that you answer the following 11 questions. The answers to some of these questions are more subjective and to be taken in as part of a whole, others are absolutely critical.

1.) How long has the company in question been representing clients for loan modifications?
While the fact that a company is new by itself doesn't necessarily mean that you are going to get a bad modification, you're less likely to be scammed if the business you are dealing with has some sort of track record.

If it is a brand new company, or they just started doing loan modifications, you want to use more caution. Even attorneys and law firms are no exception to this rule. Law firms are no exception to the economic turmoil we live in, and as they have seen their billable hours reduced, some scramble to find work in other areas such as loan modifications.

Whether they are actually competent enough to get a successful modification done is a different matter, and they must be evaluated as stringently as any other company.

2.) What is the company's success rate in achieving successful loan modifications?
Most loan modification firms will claim to have above a "90% success rate".
If the company can't tell you their success rate, this is an immediate red flag and you should RUN, not walk the other way! Ask yourself: if you were in a service business like this, would you take the time to know how many loan modifications you had taken on, and how many had been approved?

Second, you need to dig further when a company gives you their so-called "success rate". What does that mean? That the company got a modification with a payment higher than before and the homeowner defaulted 3 months into it - is that considered a "successful modification"?

The definition you should hold of a "successful loan modification" is where the borrower is able to keep their home. Any loan modification company that takes fees after they have a client's budget and knows they can't afford the payment, is inherently unethical.

If the loan modification company can't give you a solid idea of what their REAL success rate is in getting quality loan modifications done that allow the borrowers to stay in their homes at their current income level, then you need to look elsewhere.

3.) Do you have recent examples of successful modifications you have done?
The loan modification company should be able to produce SOME documentation of the work they have done. Since the loan modification documents contain personal financial information, you may see the specific new terms such as interest rate and fixed term, but not the homeowner's personal information such as name, address etc.

If the company cannot produce examples, or they reply "...well I haven't done any yet but I've been a loan officer and a real estate agent for 3 years, how hard can it be?", let someone else be their guinea pig. Saving your home is too important of a task to put in the hands of an amateur.
Also, make sure that the examples are modifications performed by THAT particular company. A typical scam operation will use "generic" testimonials and loan modifications, or will say "As Seen on TV" because a show on CNBC spoke about loan modifications and made no mention of their company.

If you find that the testimonials they provide are not done by them, BEWARE!

4.) What criteria do you look at when deciding whether or not you can do loan modifications?
Examine the answer to this one VERY carefully. Also, make sure you get it answered to some degree, before they know anything about your particular situation.

This is a true test of whether they fall into the boiler room category, or a professional advisor. If the loan modification rep gives a song and dance about how they can do any modification and can save your home no matter what, you know you are dealing with a scam.

A reputable loan modification firm will need to obtain a full analysis and assessment of your hardship, income, assets, liabilities, with supporting docs before they can make any promises, and will be upfront with you that they cannot help every person that contacts them.

Unfortunately, not every homeowner qualifies for a loan modification. If you currently have no income, or any prospects of becoming re-employed in the near future, you may not qualify for a loan modification.

If your lender is not doing loan modifications at this time, you may not qualify. Every situation is different. A competent, professional loan modification company, that does hundreds or thousands of loan modifications each month, knows what lenders are willing to do in terms of modification and these criteria are changing literally weekly, due to the current financial crisis.
It is up to the professionalism of the loan modification company to NOT take your fee if they know they cannot help you, or better yet, have a results-based money back guarantee to hold themselves accountable.

5.) How long does it usually take to successfully negotiate a modification for your client?
Today's lending environment is always fluctuating on a near daily basis, with new legislation being proposed, failed banks, and many other factors. Still, a good loan modification company should be able to give you some idea of how long the process is going to take.

If they duck and run at this question without a clear explanation, you need to give them the finger. (That's taking your finger and pressing the receiver!)

6.) Does the company offer a money bank guarantee for their services? Do they guarantee that you will have a lower payment than before?
This is a big one. Stories abound of people that were promised the world by a loan modification company, paid a fee of several thousand dollars, and ended up never hearing back from the company.

If a company does not offer a guarantee, or gives an excuse such as "..no one can guarantee results", buyer beware. If they do offer a guarantee, examine closely as to what they mean exactly. Some inexperienced loan modification companies do not have the skill to get quality loan modifications done, resulting in payments that are even higher than before!

Bear in mind that loan modification companies take significant risk in offering a guarantee. They are performing a service with up front costs, so it isn't like returning clothes that they can re-sell.
On the other hand, you as the homeowner are taking a GIGANTIC risk in putting out your hard earned money to do a modification.

You see, by having a strong guarantee, the loan modification company essentially provides a check and balance on whether to take your fee or not - since they know if they don't do their job, or get a poor modification done for you, they bear a financial risk.

7.) Do they offer a free approval process or is there a charge up front to take an application?

If your state requires that a loan modification company be registered, are they?
A good loan modification company will generally not charge an application fee, as their goal is to actually help people get their loan modified and stay in their home, not to collect as many application fees as they can. If a company wants an application fee upfront, you may want to investigate their success record a little more.

Certain states such as California are regulated in how loan modification companies can take upfront payments. However, California ironically also has had more modification start ups in the past 6 months (this report was written in March 2008). Many of them are not registered, are complete scams, and playing a cat and mouse game with the Attorney General's office.
Others, like Maryland, require that an attorney review the documents. Know the laws in your state BEFORE you contact the modification company, and listen to what they say either on the phone or on written materials to test their level of competence.

8.) Will I be kept informed throughout the modification process?

Do I have multiple ways to stay in touch on the process - for instance, a way to track my case, phone number, fax number, etc?

You need to have a consistent mechanism to keep track of your file throughout the modification process, ideally a secure website or some form of automated mechanism.

9.) What other lines of business is the company in besides loan modifications? What lines of business were you in prior to loan modification?
When evaluating a loan modification company, the one thing you need to realize is that the businesses are typically small (less than 100 employees). You want to know what professional credentials and experience they bring to the table.

If the principals in the company just closed the doors of their subprime mortgage broker office that was shut down...it may be a red flag.

Do a Google search and look for the names of individuals involved in the company.

While online forums can be useful, bear in mind that with the anonymous nature of text based sites, anybody (including competitors) can pose as a disgruntled customer...and they often do. Many legitimate companies have been ruined by well-orchestrated smear campaigns on behalf of their competitors. Look at the information, but use caution when evaluating what you see on internet forums.

10.) Will you modify more than one mortgage, and do you offer help with a forbearance agreement, short sale, deed in lieu of foreclosure? Do you charge extra fees for these additional services?
If a loan modification effort fails, you need to know what "Plan B" is. Even if you can't stay in the house, walking away and doing nothing is DEFINITELY not the right option.

A Deed in Lieu of foreclosure, where you give the house back to the lender, should be your last resort. There are consequences of this action, but they are far less than that of a foreclosure. It will generally leave you with less bruised credit and likelihood of a judgment against you compared to having the lender foreclose.

Some loan modification companies offer alternate services, such as a Deed in Lieu of Foreclosure free of charge if the initial effort to modify the loan is not successful and the homeowner is unable to keep the house.

11.) Do you have any complaints against your company with the Attorney General's Office, Better Business Bureau, etc?
This is important to know. If a company has complaints it doesn't necessarily mean they are a bad company, depending on their volume of transactions.

For instance, if a modification company has been in business several years and has processed hundreds or thousands of modifications, a few complaints over several years, is probably not a big deal. However if they started six months ago and already have 30 complaints, then that's probably a red flag.

If the business is reputable, see how they handled any customer complaints, since every business, if they've been around a while, will inevitably have them.

Also bear in mind that the Better Business Bureau rating is VERY subjective - for instance, Best Buy has an "F" rating, and Disney Films has an "E" rating! Ratings also change, so make sure you read between the lines.

Conclusion: We're currently experiencing an unprecedented era of economic turmoil, and it is unfortunate that many vultures have risen to swoop in and take advantage of people's desperation.

Hopefully this report has put you in a more empowered position than you were prior to reading it. By applying it to every modification company you look into, you give yourself a much better chance of finding a competent company that can solve your financial crisis.

Remember, while these questions serve as a measuring stick, you also want to take a step back and look into the "big picture" and as the saying goes, "trust your gut". Is the company run by people who are "visible" and put themselves out there publicly using new media tools like blogs and videos, or do they hide behind "template" websites?

Do you get the feeling that they are competent, and that they also truly have empathy for your situation?

No matter what happens, remember that a house is just that...a building and the finances attached to it. It doesn't define who you are as a person. If you look at the most successful entrepreneurs of our time: many had bankruptcies and serious financial problems in their past.
However they never lost sight of their values or their end goal, learned what they could from the situation, and moved forward to success.

You can spend time asking yourself "why me?", or you can ask yourself "how can I use this challenge to find a way to solve my problem?" - either way you will get an answer. It is up to you to choose which question to ask.

I wish you success in your search for a solution to your housing crisis.
©2009 By Todd Wetzelberger

Real Estate Agents Help Find New Homes

Real Estate Agents Help Find New Homes
By Burke Caball


Unless a buyer has purchased several homes in the past, chances are that the buyer doesn't know enough about real estate to handle it on his or her own. First time homebuyers and inexperienced homebuyers can utilize real estate agents during the home buying process. Although agents cost a bit of money to employ, they are certainly worth it in the end thanks to their expertise.

One of the main reasons why real estate agents are beneficial is that they are fully educated on the process. Unless a buyer went to school for it, the buyer probably doesn't know too much about the process. Agents not only know the buying and selling processes back and forth, but they also have a lot of experience that can benefit the buyer.

Real estate agents also keep tabs on market conditions in their area. This information can help future buyers find out the average prices of new homes in Monmouth County so that they don't end up overpaying for a house. They typically have a good knowledge of the best areas in town, and will let buyers know what neighborhoods to avoid.

One of the hardest parts about buying is making direct contact with the seller. It can be awkward to give the seller a price that is lower than their asking price. Real estate agents become the middle person, so to speak, and take the awkwardness out of buying and selling. They deal with the seller so that the buyer doesn't have to.

Evans Enterprises has stood as the benchmark for modular home design and construction of new homes in Monmouth County. (http://www.evansmodularhomes.com/)

Does Steering Still Happen In Today's Real Estate Market?

Does Steering Still Happen In Today's Real Estate Market?
By Adam Ciboch

In the United States most people believe that the fight for equal rights is over. Discrimination against ethnic minorities in areas such as public transportation and restaurants is no longer a problem. While it is encouraging that our nation has come so far, there still exists a practice among real estate brokers of showing and selling houses based on a person's ethnicity, although it is not as common as it once was. This is called steering.

There are two types of steering which are typically acknowledged. The first pertains to the real estate agent's duties of advisement to his or her clients. Sometimes a real estate agent might advise his or her clients to buy a home in a particular neighborhood solely as a consequence of their actual or perceived race. If this happens, it is referred to as steering.

Steering of second kind involves not doing something, on the other hand. It occurs when a real estate broker fails to show his or her clients any homes that meet their desired requirements. It can also simply be failing to inform the clients that such homes even exist on the market in a given area. The client's actual or perceived ethnic make-up must be the driving factor behind this act of omission. It is considered steering if this occurs.

In an effort to combat steering and other offenses of fair housing rules in the United States, federal regulations are also established. Prohibiting discrimination on the basis of ethnicity whenever a sale, rental, or financing of housing happens, the Civil Rights Act of 1968 is an illustration. Additionally protecting people from similar housing discrimination based on religion, national origin and sex, subsection 3604 is a part of the Civil Rights Act of 1968 that is also referred to as the Fair Housing Act.

Steering, although now out-of-date and highly unusual in today's real estate market, was once a serious problem during the battle for equal minority rights in the United States. It is fortunately becoming less of an occurrence, however, now that ethnicity is protected by federal laws.

A Closer Look on Why You Couldn't Sell Your Home

A Closer Look on Why You Couldn't Sell Your Home
By Scarlette Brooks


If you are wondering why you could not sell your home property despite all the efforts that you have exerted, then there must be something that you have to work on. If time continues to pass by without you having your property getting sold in Southlake real estate, then perhaps you should step back and take a closer look at what you have been doing lately and try to analyze things to find out what are the underlying reasons or factors that hinder you from finally selling your property.

To begin with, you might have to start doing some research on which kinds of homes are selling in your vicinity. It's better if you would check out nearby properties to find what kinds are popular among buyers. Perhaps you could also find out what qualities are common among the other homes that have long been waiting for a buyer but always fail to do so. Some minor details about the current condition of your house might need some of your utmost attention. Who knows, you might just have to change the color of the house's paint to close the deal with a potential buyer.

Not all of your potential buyers have the time or ability to take a complete walkthrough in your house, though some might try to do so; but still, not everybody would be patient enough to tour around the property that you're selling. This is the time when photographs and other digital means of presenting the property come in handy. Photos or images are basically the most common way of showing to the market how your property looks like in its entirety without them having to personally check each part of the house.

However, the photos you show to your buyers might also be the reason why you're buyers lose interest in purchasing your house. Low quality images or shots that look too unprofessional are not very good visual tools to convince your buyers. Try using higher quality images. Perhaps you should try those images with a higher resolution. So that whether you have them printed out or have them on presented to your buyers, let's say using a notebook, buyers no longer have to squint to look for the details that they want to see.

Try to be more creative. These days, pictures are not the only means of showing your buyers how your property looks like. You might as well try other tools like a simple but effective PowerPoint presentation, together with moving texts, animations and all. Or if you know anyone who can help you, make digital 3D models of your house or even create a virtual tour presentation that would definitely catch their attention. Moreover, have in mind that it is also important to allocate a little bit of your money to advertise and create other marketing strategies to help you out. Through the Web, you can make a simple blog site describing your house together with its digital images or you can also try to upload a short video of you promoting your home on YouTube. These kinds of efforts would definitely show how eager and serious you are in selling Southlake homes for sale.

In addition, you should take some time to sit down and figure out how you have priced your house to sell. You might say you're definitely sure that you have put the right price on your house, but then you should ask yourself if you are really pricing your house correctly. Perhaps your emotional involvement is getting on the way. You might be pricing the house a bit too high because the house has a great sentimental value to you. Focus and try to stick to the fact that you are doing some business here. You might be basing your price on different stuffs which are of less importance in the business world, so to speak, more than a few clear cut factors that usually determine the market value of a real estate. You might be selling, very good houses, but remember that its location or its distance away from shopping malls, school, or parks, or even bodies of water nearby, can greatly affect how much you should sell your house.

Knowing and accepting that there is an underlying problem that you haven't been paying attention to is important, but it is just one step to solving the problem. For sure, you are not the only seller who is experiencing this kind of difficulty in selling properties. So, go ahead and try to check out some of these factors that you might have been taking for granted in a short while.

Scarlette Brooks is a freelance writer who specializes in writing content about real estate, business and investment.

Knowing the ABCs of Home Protection Plans

Knowing the ABCs of Home Protection Plans
By Scarlette Brooks


Now that you finally have your own home in Southlake real estate, you should not immediately relax as there are still some other things you need to take care of, like house maintenance. There's always a possibility that one or more of your appliances or home systems break or malfunction. For this reason, it's advisable to have a home protection plan to keep your mind at ease, especially if you're a first-time home buyer who doesn't know much about maintaining a home.

Home protection plans, also referred to as home warranties, are reasonably priced. Generally, they range from $250 up to $400, depending on the type of coverage. These are paid early, about a year advance, wherein they get expired or renewed. There are some companies that run special sales and give added coverage or discounts.

A home protection coverage may be financed either by the buyer or the seller, but most of the time, the latter sponsors such warranty since it may also be beneficial for him/her; if the seller pays for the coverage, the buyer would not bother him/her by calling after the deal has been closed if something needs to be fixed. There are some instances in which the real estate agent pays for the home protection plan to give it as a present to the buyer.

Even though there's a particular home protection plan that gives a particular coverage, most of these have the same process of how they work. For example, if one of your appliances or home systems starts to malfunction, you just contact the company and then they call their service provider, which has an arrangement with them in terms of business. The provider, then, calls you to arrange an appointment to have the broken appliance fixed. In the event that it cannot be repaired, the company will pay to have it replaced and installed, depending on your coverage plan. Afterwards, you pay a small amount of trade service fee of not more than $100.

A home protection plan has a lot of different types so it's best to ask the coverage of each type and find out if it can be upgraded. Focus on whether the home warranty company pays for the repairs to make a certain type of system or appliance compliant with regulations.
In general, the coverage of a home protection plan includes the following:

- Oven and range
- Telephone wiring
- Ceiling fans
- Electrical systems
- Garbage disposal
- Internal plumbing stoppages
- Water heater
- Ductwork
- Doorbells
- Heating system or furnace
- Air conditioning
- Dishwashers

There are items in the house that are not included in a home warranty. Some of these include, but are not limited to, the following:

- Permit fees
- Haul aways
- Certain home protection plans do not pay for dryers, washers, garage door openers, or refrigerators
- Pools or spa (unless they are requested to be included in the coverage) - Outdoor items (for example, sprinklers)
- Some plans do not cover faucet repairs

There are cases wherein a home warranty company refuses to pay for the coverage plan. These may be caused by any one of the following:

- Strange wear and tear
- Incorrect installation
- Inadequate maintenance
- Violation of code

Even after you've purchased your new house from one of the Southlake homes for sale, you may still inquire about these home protection plans to your real estate agent.

Scarlette Brooks is a freelance writer who specializes in writing content about real estate, business and investment.

It's all about eyeballs

Letters From the Home Front

By Kris Berg, Wednesday, December 8, 2010.
Inman News™

Flickr photo courtesy of JackVinson.

Good grief. You would think that something big happened, given the way everyone in the online agent community is freaking out. The cries range from "Mean people will game the system!" to "It's a game-changer!"

What's all the fuss?

Last week, Zillow announced the introduction of agent ratings on its site, and once again the company threw down the welcome mat for the real estate community. And it seems that for every agent assuming the crash position, there are several others who can't beat a path to Zillow's door fast enough -- with their clients in tow.

Now, consumers can publish reviews of agents on Zillow.com. So what? This is nothing new; it's just new to Zillow. Our clients rate us every day and have been doing it for years.

They used to serve up the ratings at the supermarket or the block parties, of course, but that was before the birth of the mouse and social media. Now, they dish online.

There is no stopping this trend of social search, so there is no point in fretting about what someone might or might not say. Eventually, somewhere, say it they will.

Heck, I even added a tab to my own blog a few months ago inviting my company's clients to post their evaluations (gasp) online.

This transparency stuff can be a little daunting, but I vowed at the outset to never moderate a comment about our services unless it was disingenuous (like, not from a client).

The amazing thing is that, to date, no one has even attempted to lie or otherwise tell half-truths. That day will come ("Kris supports terrorism and told Sherman Gregory back in 1978 that her grandmother died -- to get out of going on a date with him").

But for now, it is a little unmanned page powered by the honor system. The reality is that most people aren't inherently ornery, even though some weeks it seems that way.

But, here's the thing. The news this week, despite the healthy online debate and the perception among those debating, is not about agent ratings. And it's not about creating, designing, or building something new or better that satisfies a real need or even a latent demand.

It's about advertising. More specifically, what it's really about is the ability to achieve critical mass, that all-important quorum where the "eyes" have it.

Zillow, I'm betting, didn't introduce agent ratings because the public demanded it, nor did the company do it to make all of its agent clients happy by showcasing their remarkable talents. The company did it to attract eyes, and dispatched the agents to go fetch those eyes.

If that doesn't make sense, let me tell you about a little scheme I have been cooking up. You see, I have been a working real estate agent -- and a damn good one, I might add -- for more than a dozen years, but Google has yet to make a play for me.

And dream as I might, there is no IPO in sight, which leaves me with my day job. All of this got me thinking that I have been screaming into the wrong end of the bullhorn for too long.

When I do the work -- when I represent a seller or buyer in their real estate transaction -- there is just one of me. And, as awesomely awesome as I am, my one-girl show has constraints (time, money and a litter box to clean out, to name a few).

It's oh-so limiting, but there is a veritable unlimited upside potential if I can just corral all of the little me's into one big dining hall of opportunity.

These were the things that I pondered as I squeezed in a run this morning, a bit of healthy "me" time designed to offset yesterdays No. 3 Mexican food combo plate, and wedged in between a morning spent catching up on files and an afternoon booked with showings and a walk-through.

I'm going to call it DinnerzOn.com.

Here's the plan. I will be throwing a potluck dinner, but it will be a potluck with a twist (because, duh, you can't be an innovator if you don't have a twist).

You bring me food. You buy the ingredients, you add them to the pot, you simmer and stir, and you cook it to brilliant perfection. Then, you bring it to my house.

So far, it sounds like the typical potluck. But, here is the differentiation. You don't get to eat -- well, not at first, and certainly not for free. Just drop the macaroni surprise at the door, and I will invite all of the neighbors over.

I'll only draw a small crowd at first, but eventually they will start to tell their friends ("Free food!"), and pretty soon everyone will be clamoring to get a piece of the pie.

What's in it for you? Well, initially, not much, but this could just be the next big thing, and you can't risk it. There are a lot of cooks in the kitchen. Sally's an early adopter; she's already sent over her casseroles, and you, too, need to be dishing it up where the hungry folks are.

As a small token of my gratitude, I will display a little tent card below your offering. "Jambalaya presented by Jim's Realty." It's free advertising. What have you got to lose? Just bring food.

As our, or rather "my," popularity grows, you will be rewarded, because we're partners, after all. I'll be hanging a banner or two at the entry, a couple in the dining hall, and several more near every food group.

You will have the opportunity to buy or bid on these to promote your own culinary skills. Granted, more people are interested in the main dish than the vegetables, so getting your name next to the steak Diane will cost you a bit more.

There will be contests to promote you. Send all of your friends over to vote for the best meatloaf in Miami, and I will give you a badge to display on your apron -- "Follow me to Kris's house!" And I will link to you in my blog.

While you can't eat for free, you are most certainly welcome at the party. Seriously, you would be foolish not to come. People will have questions, and they want their questions answered by an expert. You can be that expert!

"Will my water burn if I boil it too long, and where can I find more free food?" they will ask. If you aren't around to answer, some other wannabe sous chef will be, and you might find that no one is coming 'round to your table any more. Just sayin'.

Finally, there will be the rating system. You know in your heart that your tortilla chicken casserole kicks ass, and maybe a couple of your friends kind of liked it. But Margaret, three ZIP codes removed, invited all of her friends to rate her own make-ahead peasant stew, which is generating quite the buzz.

Show up and bring those friends of yours; we'll pin a note to your collar and let the consumer be the judge. "Best plating, biggest portions, most satisfying" -- they will all vote. But remember, you've got to come; no one wins as a write-in.

You like to cook. I have access to lots of people who like to eat. It's a win-win. And while you are home busting your butt to fry the bacon, or even back at my house fielding questions about safe food-handling practices, I will be on the network news, the go-to guy talking about my spreadsheets that suggest the imminent collapse of the soufflé and the consumer's tendency to overindulge.

Crazy as my plan sounds, it could work. In fact, it has been proven to work. It just takes vision, intense effort and coordination, and a whole lot of capitalization.

But make no mistake; it's not about feeding hungry people or even about helping you become a better cook. It is about creating value that will ultimately allow me to levy a very profitable cover charge.

Too often, I find myself going by the alias of Miss Understood, so I want to be clear. I am neither vilifying Zillow nor am I defending the company. On this issue, call me Switzerland. The fact is that, unlike my potluck idea that will always be just that -- an idea -- Zillow did it. The company created value, and did it with our permission. For this, I give Zillow props.

Phoenix broker Jay Thompson summed it up quite nicely on his blog: "Don't want to be reviewed on Zillow? The solution is simple: Don't create an agent profile there (or delete the one you already have). No profile, no review. Don't want your listings on Zillow? Don't send them there.

"Blame your broker for sending them there? Find a new broker. Blame your (multiple listing service)? Opt out of syndication. Don't want to buy ads on Zillow? Don't write (Zillow) a check."

He's right. But, the opponents of the agent reviews are missing the point. I believe it's not about reviews, any more than the company's "Advice" tab is about showcasing my expertise or the Zestimate is about really pinning a value on your home.

It's about eyeballs. That's my conviction. More eyeballs equals more revenue. That's it. And like the "Best Blog" contests the company hosted earlier this year, it's all rather brilliant. "Help us populate our party so we can charge you to come," seems to be the message.

Admire the company for the table it set or not, it needed the agents and we rallied. We couldn't wait to send our listings in -- couldn't do it fast enough -- and then we couldn't wait to send a check to capture some of that gold dust.

We slapped the links and the widgets on our blogs and websites like the rest of the cool kids while we moaned about being taken advantage of. Now, the flock is dashing off to send all of their clients off to the site once more, while Zillow is no doubt recalculating next year's rate for my sidebar ad.

And, yes, I have one of those. I bought the banner for my own bean dip. It's a business decision and, as long as it continues to provide value to me -- a return on that investment -- I will continue to show up.

Call it our just desserts but, like it or not, the company is doing what it set out to do -- find revenue by aggregating the work of our industry. That's the point, and that's not really news at all.

Kris Berg is broker-owner of San Diego Castles Realty. She also writes a consumer-focused real estate blog, The San Diego Home Blog.

Real Estate in 2011

Share your predictions, resolutions, wish list
By Inman News, Monday, December 6, 2010.

2011 is just a calendar page away.
And while there are many unknowns about what the coming year holds in store for real estate professionals, Inman News wants to hear your resolutions, predictions and wish list for the year ahead.

Please share your views below.

1. PREDICTIONS: What's in store for the real estate industry, housing market and economy in 2011?

2. WISH LIST: What is on your real estate wish list for 2011?

3. RESOLUTIONS: What do you and/or your company plan to do in 2011 to persevere and prosper?

4. What is your name, title, company and e-mail address?

To enter a prediction use the comment tab below.