It’s amazing how much can change in just two short years. Two years ago I wrote an article titled “IS THE END IN SIGHT FOR BRICK & MORTAR?”
I just went back and read the article and it was like reading ancient history. The pace at which technology is changing this industry is awe inspiring. In those two years even the term VIRTUAL CULTURE has gone from being a negative term to being regarded as cutting-edge. Now, among the top professionals in the industry, the term BRICK AND MORTAR is becoming the negative term.
Not only do 80% of the Realtors® not see any benefit to an office environment, but many of today’s Realtors believe that a Realtor who works out of a Brick and Mortar environment is polluting our planet with an outdated and needlessly sprawling carbon footprint, and therefore aren’t good stewards of our planet. This war chant will only increase in intensity in the years ahead, I’m sure.
The 20% of the Realtors® who still need or want an office environment are the old timers for the most part. Realtors like me. We grew up with getting up, putting on a tie and going to the office and putting in an eight-hour day. With the younger culture, that’s old fashion, we might as well be driving a horse and buggy to work.
And it gets even worst for the Broker who is tied to a Brick and Mortar environment. More often than not, he or she has a long term, very expensive lease, plus the costs of telephone systems, copiers, toner, long distance calling, utilities, etc. Realtors® working in this setting are independent contractors and while they appreciate having that status, they don’t care to share their commission with the Broker.
As time goes on, it’s becoming even scarier for the Broker of the Brick and Mortar environment. The “100% Genie” has escaped his bottle permanently. We all see 100% Real Estate Brokerages opening on every street corner in America, every day of the week now. What is a Broker of a Brick and Mortar office going to do, when even brand new Realtors® straight out of school can now get 100% of their commission?
In my wildest dreams I did not imagine the demise of the Brick and Mortar environment as fast as I believe we will see it take place. The Brick and Mortar Brokers who have leases expiring should let them expire, and then start their own 100% company, or associate with a current virtual national company like ours.
What I’m finding very curious however is the fact that many of these 100% models are still tied to Brick and Mortar environments. I know from operating a true VIRTUAL CULTURE REAL ESTATE BROKERAGE for two years now that the majority of Realtors® don’t care about working in an office environment.
It’s not like it was just a few short years ago. What Realtor now doesn’t have a home computer, scanner, and copier and probably better equipment than most Brick and Mortar environments?
The need for a Brick and Mortar environment has by and large disappeared. The productive Realtors® no longer have to go to the office to do their work. They no longer have to put up with the office drama and gossip.
Why these current 100% concept Brokerages are opening Brick and Mortar offices is beyond me, but then again, this is only my opinion.
James A. Crumbaugh III is CEO of Allison James Estates and Homes. You may reach Mr. Crumbaugh at 1-866-463-5780 or by emailing him at jcrumbaugh@allisonjames.net.



















Comments
Comment by: Saul E
- Oct 25, 2009 9:51:39 PMTechnology is really changing the lives of people. Now, people are adapting to the technologies to make our lives easier and faster. Technology is not only changing the way realtors to business but also it some of the cell phone companies. The cell phone companies might be gearing up to give credit cards a run for their money, service wise. There's a company called Paymo, that function similar to PayPal, and it's already in 45 countries. It hasn't taken off in the U.S. yet, but they are trying to enter into the market. A user can scan their phone at the counter, or purchase items via text messaging. A deduction is then made from a prepaid account, or added to the phone bill. They've already partnered with the cell phone companies, including AT&T, T Mobile, and Virgin Mobile. It may not replace the credit cards companies completely, but it will certainly boost cell phone application convenience.
Comment by: Diana Hoyt
- Oct 26, 2009 11:56:28 AMI am very pro technology and applaud those who are able to work in a non brick and mortar environment but for me, and it may because I am an old timer, I don't function as well from home. I need the push of getting me out the door and into the working mode/environment. It is too easy for me to become distracted with house work, laundry, etc., etc. and to not even bother to get out of the PJs, which puts me into a funk. I guess I work better under a bit of pressure. Got to get up, do work-out, shower/dress/eat breakfast and out the door to be at the office for 9 am (unless I have scheduled appointments). For a while, our "brick and mortar" was our home and I was very glad when we moved out of the house into a "real" office. For our agents, if they want to work from home they can choose to do so and if they want 100% commission we will charge them a monthly fee which is less if they work from home than if they have an acutal work space/desk in the office, otherwise they are offered a split but either way will always have the use of the conference room as a meeting place and copy/fax machine if they wish.
Comment by: Kathy Goldman
- Oct 28, 2009 11:06:47 AMThe Brick and Mortar for me is the virtual world! Technology has given us many conveniences and capabilities to handle details of our lives remotely. Heck! I can unlock my front door with my cell phone from hundreds of miles away! That being said, I really have embraced the virtual world. I do work from my home office, and yes, somedays I am still in my jammies at noon. But I am able to from shooing my boys out the door at 6:37 a.m. and going straight into the office before the "real world" finds out I'm awake!
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