Interesting article from the Montreal Gazette/Financial Post. A competitive site to the MLS has filed a complaint with the Competition Bureau, stating that if the Tribunal does go through with the proposed changes and allow access to the MLS then this For Sale By Owner website would be forced out of business. In essence the Competition Bureau would be eliminating all competiton to the MLS. Seems a bit counter-productive doesn't it? Then again, it's the government so it shouldn't be a major surprise.
This emphasizes my points, as stated in my previous two blogs on this subject (A Matter Of Competition or Blatant Discrimination; The Value of a Realtor is About To Change). The Competition Bureau is using their high-handed actions, not for the sake of competiton, but rather to stimulate their own egos.
The Competition Bureau has repeatedly stated that the Canadian Real Estate Association (CREA) withholds pertinent information about sellers and sold prices that should be readily available to the consumers. Now, correct me if I'm wrong, however this information is private. It should not be public information. It is not CREA that sets Privacy Laws, it is another arm of the government - The Privacy Commission. The Privacy Laws state that this information cannot be made public. They have gone as far as creating Do Not Call Lists to "protect" consumers. While one arm is assisting consumers maintain privacy, another arm of the government is busy trying to make private information public. Privacy Laws have been created to allow consumers quiet enjoyment of their lives. They assist in the prevention of fraud and identity theft. With the changes set forth by the Commissioner of the Competiton Bureau, the privacy of individuals will be at stake. Is this not another case of one arm of the government not knowing what the other is doing - and even why it's doing it? Does this mean that the Do Not Call List now falls into the Competition Bureau's lap as being anti-competitive?
Who will win? By forcing through changes based on a lack of competiton, that does not exist, the privacy of Canadians will be at stake. Will this be better for us, or will it open up a can of worms that we don't want opened? Is this really about increasing competition? As has been stated in my blogs, and various other blogs/reports, there is not a lack of competiton in the Real Estate Industry. This is not about increasing access to the MLS system. Access is available to everyone, as are a-la-carte services. There is no price fixing, there is no set service package. What CREA provides through its 98,000 members is a high level of integrity in the MLS system, and a tremendous marketing tool for Canadians to use to sell their largest investment. To mask their hidden agenda, the Bureau is creating a misconception that this is all about the fees involved in buying or selling real estate. In reality, this has nothing to do with fees. Just like in any industry, you will always get what you pay for. If you want low-budget services they will be available as they are now. If you want value and professionalism, it too will be available. There will always be the Kia's that will get you from point A to B for a cost, and there will be the Mercedes that will provide value, benefits, and greater return for your investment.
There are competing sites to the MLS. What happens to these sites now? Do they declare bankruptcy and fade away? Is the Competition Bureau going to take responsibility for eliminating competitors in their quest to "increase competition"? Let's just call it like it is. This has nothing to do with competiton, or the perceived lack of it.
Isn't it about time that the Commissioner stepped up and clarified her agenda? Shouldn't the media be investigating the facts and reporting the true features and benefits of the MLS rather than rehashing what the commissioner says? How about an article on who will now be responsible to maintain the integrity of the MLS? Should the media not approach banks, insurance companies, or appraisers about how they intend to evaluate properties if the integrity of the MLS is jeapordized? How about the media investigating the problems that our neighbours to the south have encountered with respect to fraud, identity theft, and foreclosures in their real estate industry and comparing the same to the Canadian Real Estate Industry?
As mentioned above, there was a very interesting article in the Gazette, which I've attached a link to below. Competitors of the MLS are concerned and may be forced to shut down. With commissioners that cannot grasp the big picture vision of where these discriminative proceedings could lead, all Canadians should be concerned.
http://www.montrealgazette.com/business/fp/Listings+make+strange+bedfellows/2776201/story.html