Since last Sunday’s 60 Minutes piece, the blogs have lit up with chatter about Redfin. There have been lovers, haters, and everything in between. However, I think its time we recognize that there are many more players than just Redfin in this fight against anti-consumer practices.  I want to take a moment to highlight other known acts of discrimination against alternative brokers.

Example #1 from FTC Report: Texas Discount Realty

I’ve personally had brokers, agents tell potential sellers that no one would show my listing. If they listed their house with me, no one would show the house. I have had brokers tell people that, hey, he’s gone out of business. I heard he’s going out of business soon. You know, I have had signs stolen. I’ve received hateful emails. I even had one agent who was ridiculed in public for being a discount broker at a public realtor event, and other agents around the country have had frivolous complaints filed against them, have had their listings removed from [the] MLS for no reason, have been asked for every copy of every listing.

Example #2 from Consumer Federation Report: Unnamed Tempe, AZ discounter quoting a traditional agent:

“Sorry, I don’t give discount services, so I don’t discount my commission. But if the seller is willing to do 3 percent I’ll show the property. That is pretty standard for real estate professionals.”

Example #3 from Consumer Federation Report and FTC Letter: Homes-Link Real Estate:

Our clients have been told that no realtor would work with us because we reduce our fees. Our clients have also been told that no agent would even show their property if they listed it with us and we didn’t offer a 3 percent commission to them for showing it.

Example #4 from Consumer Federation Report: Terry Short, Kentucky Flat Fee Broker:

A Kentucky flat-fee broker was fined $250 and ordered to attend nine hours of continuing education for advertising his $2,495 commission “near” an MLS logo.

These are just a few of the hundreds of discounters striving to make their business model work in the midst of a hostile marketplace. It ain’t just about Redfin…its about discounters, online brokers, FSBO assistance brokers, and yes, even traditional brokers having a fair go at doing business in this industry.

Bonus: Redfin has been fined $50,000 by the NWMLS for their blog “Sweet Digs.” Sweet Digs was produced by a group of roaming consumer bloggers who reviewed homes by attending open houses. The NWMLS claims that this violated their rule against advertising another agent’s listing without permission.

I had a similar experience with the NWMLS while I was at my previous brokerage. There, they attempted to fine me $5000 for using the term “MLS” on a free directory posting on Real Estate Webmasters. The owner of REW, Morgan Carey, fought back with a blog post regarding the issue. This blog post is now #6 for a Google search of NWMLS.