Facebook, Twitter, YouTube and other social media have become significant new communications channels that would-be homebuyers need to tap and potential home sellers need to evaluate. “Using Facebook and Twitter and other niche sites focused on modern architecture has had a very positive impact on drawing people to my open houses and selling my listings,” said Michael Shapiro of Long and Foster. “My whole real estate practice has grown from my blog, which I started writing several years before I had my real estate license. I decided to get my license because of the requests for help that I was getting through the site, Facebook and Twitter.”
As social media use has blossomed real estate firms and associations have developed policy statements covering its use, including guidelines for posting pictures, text and commentary. Agents also must identify themselves and their brokerage on these sites and adhere to fair housing and other laws.
A Re/Max Allegiance social media policy document said “the agent shall be responsible for compliance with all laws and regulations governing real estate business including fair housing, antitrust and real estate license laws and regulations.”
There are also permissions required for sharing photos, links, and promoting listings online.
“We actually have a clause in our listing agreements now for clients to ‘opt in’ for Internet advertising, online home valuations and online unedited comments,” Elias said. “The risk with liability online comes from agents having loose lips in status updates.”
Agents have a fiduciary duty to keep client information confidential. Social media channels are so conversational, it is easy, she said, for an agent to accidentally disclose too many identifying details that could compromise either a transaction or a client relationship.
The National Association of Realtors also has focused its attention on ensuring its Realtor Code of Ethics stays relevant in the social media era.
Before updating its guidelines, Realtors were told to disclose the name of their brokerage firm in all advertising. That does not work with limited-character posts, such as those on Twitter, so the group amended its policy to exempt the requirement if users are one click away from the disclosures.
Robyn Burdette of ReMax/Allegiance said staying positive online reaps benefits. “Negative comments can cost you business,” she said.
“Most real estate agents are using social media as a tool to interact with current, past and potential clients, not as a way to sell their listings,” said Heather Elias of Century 21 in Ashburn, Va.
Robyn Burdette of ReMax/Allegiance posts videos on YouTube and views Twitter as a way for agents to update buyers and sellers on her activities. It is also a way to directly expand the market for a home.
Burdette recently sold a home through a closed group on Facebook with an international readership. This particular group has put her in touch with potential clients from as far away as Sweden.
“The business potential is enormous,” she said. “I had a client who couldn’t decide whether to rent or sell their home furnished, and an agent contacted me through our closed group with a buyer. I showed the home in three days, and my clients never had to lift a finger getting it ready.”
Issues of confidentiality remain a concern for buyers and sellers, some of whom have learned the hard way in a competitive market with low inventory.
“Savvy agents know not to talk online anywhere about transactions they are working on, which certainly could affect agency [the contract between a buyer and a seller],” Elias said.
“One agent friend of mine told a story of how her buyer lost out on a house because she shared on Facebook that she had found the ‘perfect home’ and was going to put in an offer,” Elias said. “Someone else heard about it and scooped it up before she could close the deal.”
