While guiding owned brokerages and franchisees through this process can seem very complex national association of realtors (NAR) National Council Litigation Settlement Agreement, real estate anywhere I think it’s a blessing to have both models under our umbrella.
“The beauty of the franchise network is that we’re not just looking at our business, we feel the need to run it and make all the decisions – we go back and forth and the franchisees inform us, and I think it’s a real The strength of the franchise organization,” said Liz Gehringer, President and CEO. Franchise brands found everywhere.
“But we’re also able to share the practices we use in our proprietary brokerage business, and because we’re a large business, we can provide a broader perspective on expanding our footprint or streamlining our practice or talent initiatives.”
During Anywhere’s second-quarter 2024 earnings call, CEO Ryan Schneider shared some details on how the company’s leadership is helping the company’s owned brokerage business prepare for the business practice changes mandated by the settlement, which are set to take effect Saturday .
“While we anticipate challenges and uncertainties as we implement these complex changes, Anywhere and our agents and franchisees have the opportunity to embrace the future with confidence and achieve a different level of success -” said Schneider. Something we’ve been focusing on since we announced the settlement in the third quarter of 2023 has been servicing our agents and franchisees.
He noted that Anywhere is a big fan of the upcoming mandatory buyer agent agreement and the transparency it will provide consumers.
“Anywhere is committed to thoughtfully launching buyer agreements, and two core concepts guide our approach. The first is simplicity. Buyer agreements must be clear, concise and free of legalese,” he said. “So, for example, it would be too complex to understand and execute the agreement electronically in the minutes before showing the home. Another principle is flexibility. Depending on the circumstances, consumers and agents may want There are different options for buyer agreements.
Some of the scenarios envisioned by Schneider and Anywhere involve consumers and agents looking to reach an agreement that only covers a home tour, the purchase of a specific home, or “a months-long journey to find the right home.”
Because of this, Anywhere has created multiple buyer agreement templates, allowing agents to choose the version that best suits their client’s needs, Schneider said. He also noted that Anywhere will display buyer’s broker compensation quotes on brokerage websites it owns.
“If there is a change in the way inventory is managed in our industry, we will be the number one beneficiary because across our six brands and network, we have by far the most inventory,” Schneider said during the discussion. Anywhere Shares Payroll Information The rationale behind the method.
“So, I don’t have a crystal ball, but I think we’re more thoughtful than most on this, whether it’s in terms of how we approach litigation and different successes there, or what we’re doing now to enable our agents and franchisees to do better, no matter how the market develops and what happens to our inventory, our scale will be in an advantageous position.
While Anywhere’s senior executives can set top-down policies for its own brokerage operations, this approach does not apply to its independently owned franchise operations. But that doesn’t mean the company doesn’t have any guidance for these people.
“Franchising is all about support — and being a franchisee often means being part of something bigger than yourself and being connected to a big organization. I think this whole moment is a great example of that,” Gehringer said .
Despite the stark and massive changes facing the real estate industry, Gehringer said the way Anywhere supports its franchisees isn’t that different from what it already does; the efforts are ramping up.
Some of these include weekly town hall-style meetings with Anywhere executives and internal experts, such as the company’s legal team. Franchisees can use these to ask questions, and the company has a materials resource center to help agents and brokers understand specific questions.
Gehringer said that under normal circumstances, Anywhere franchisees often turn to the company for support and guidance, but given the impending changes to business practices, their needs are sure to increase.
“We’re definitely seeing and feeling more outreach and back and forth,” she said. “They want more meetings, they want to spend more time asking or thinking about the future.
“Some companies are looking at some M&A and have questions about that. Others are wondering how to recruit or just show others in the market that they are a safe place for agents who can provide training and skills. It’s just a lot of conversations. .
When it comes to the two major business practice changes outlined in the NAR settlement, Gehringer noted that just like owner-operated brokerages, franchisees will have access to optional template forms that can be used by customers. But how the buyer’s agent’s compensation is communicated is up to the independent franchisee, their agent, and ultimately the seller. Anywhere’s only guidance to franchisees is that, under the terms of the settlement, these offers cannot appear on the MLS.
Ultimately, Anywhere executives believe that the guidance and support they provide to agents—whether they are franchisees or part of an owned brokerage—is simply part of the company’s responsibilities as a broker and franchisor.
“Our responsibility to oversee our agents is a critical matter and we take it very seriously and apply it to everything. We are here to support and help our agents, whether it’s data security, fair housing or Otherwise, Schneider said. “So, it’s just another place where, of course, we’re going to be good stewards of the responsibilities there. We’re excited about our rollout and we think we’re in a good position, especially when We hear other people’s stories relatively speaking.
While it may be difficult to have so many agencies under Anywhere’s umbrella, Gehringer believes the plethora of thought leaders will only help the company weather the bumpy months the industry is expected to experience.
“I’ve always been attracted to the idea that best practices can be shared, not hidden,” Gehringer said. “We are always willing to share our practices and demonstrate the steps we take to earn consumers’ trust.
“My background is in sharing these practices with other companies. It’s not a competition – it’s about us all working together to find best practices because we want the business to be healthy. We want our customers to have a positive perception of this. We want our agents and the small business owners who are affiliated with us to have fulfilling careers and be proud of the work they do.
