As far back as the 1970’s Sears Where a customer could purchase stock and even property Envisioned a kiosk. It was a look at the future from one. All they needed to do would be to get the consumer to come to their shops. This was thrown down to Wall Street and Main Street USA. The majority of us remember this strategy or never heard, and it never got off the ground. People did not equate Sears with inventory or real estate. In fairness to Sears, the Conveniences and technologies did not exist to allow the strategy. Sears may also have believed themselves too large to fail. That theme does appear to be a constant. It appears that history does Repeat itself, and possibly at shorter and shorter intervals. It might be ironic that speeding up the pace and procedures the lessons of history lost at a rate. Did that make sense? When it did, you could be thinking a bit like me.
The real that is successful Estate agent needed fewer and fewer providers and became independent. Margins to the real estate broker started to shrink, as they claimed a greater and greater part of the brokerage fee. Some significant interest rates that are phenomenally had a similar effect on the mortgage banking industry. They did not take on those mortgages, unless buyers had no choice. The mortgage industry shrunk along with their profit margins. All of us know that property cycles; it goes up and it goes down. Sharp turns in one direction or another is easy, and punctuate the curve. Features of the real estate sector respond to the conditions. Now we’ve got the foundation to make a commodity market.
The door opened for consolidations. Companies were controlled to prevent abuses and to maintain prices to the consumer to foster competition. It was ironic that the very act which was passed to stop abuses opened the door. There was enforcement that is actual, and business practices were left to handle, although penalties were levied. It took decades to sort out it, and Wall Street just a couple of months to make it yesterday’s issue. The purpose for mentioning RESPA was It enabled what was known as controlled business entities, a term later changed to affiliated business entities. The real estate broker and the house builder could have a mortgage and title company. The concept was that this could create savings and efficiencies lowering the price and enhance service. It did not. This vertical integration With all, each among the companies was captured in the financial wringer.