Ross Gerber writes a thought-provoking piece in Forbes looking at potential disruptors in the real estate investment and home buying space. And, he questions why an industry sector such as real estate, which is so vital to our economy, wastes so much of people’s time, energy and money.
Changes are coming in the way real estate is bought and sold for a good reason. Blackstone, eBay, Zillow and others could all be potential players in this new area.
“From the very first open house to the often contentious bidding process to the mountain of paperwork that is typically associated with each closing sale, it’s difficult to think of a market that operates more inefficiently. The source of the problem is simple: A lack of an electronic, efficient market,” Gerber writes.
So what does Gerber think is the fix?
” The real estate industry desperately needs what stocks, bonds and commodities investors have had for decades: a transparent, predictable and liquid market that not only captures supply and demand dynamics but allows for expeditious, low-cost and hassle-free transactions. Such a market would increase activity, lower broker fees and make it easier for homeowners to unload properties, ” says Gerber who is head of wealth management firm Gerber Kawasaki.