Thread: What stops me from creating a lead-farm site?

The MLS data is not free nor is it available to the public. Other than that your idea is already in use all over the place. I have everything except the live chat as I understand it is not very effective.

Hey Greg,

I guess I wasn't so much inquiring about the economic or technical feasibility of the idea; the crux of my inquiry is this:

Are there any licensing/legal issues if I have a, say, 20-year-old college student on the other end of the live chat (as previously described), asking questions like, "Would you be interested in having a local agent contact you about this property?"

I realize that the National Realtors Assn. is all powerful, so I'd like to avoid ticking them off. Do you happen to know the guidelines for unlicensed interaction?

Thanks.

Originally Posted by jobtriopres

This may be a stupid question, but I figured I get much more info by asking you guys then from doing hours of Internet research:

What prevents me from taking the MLS data (and other available free, extractable info) for say, California, and creating the ultimate searchable database with smart live-chat lead-farming. More or less, the idea is, if a user of the site sits on a listing page for more than 10 seconds, then a live chat window pops-up, and a sales-rep determines the potential of that user for a viable lead. This lead is sold-off to a licensed Realtor in the necessary geographic region.

I have been on very similar developement teams for other industries, and am currently working on a product for California construction contractors (jobtrio.com), so I've got the technical chops, but I am just starting to explore the legality of it.

Any insight would be greatly appreciated.

I wouldn't see any problem with that, I see opt-in email forms on real estate websites, I think the same would apply for the pop-up chat window.

Originally Posted by jobtriopres

I realize that the National Realtors Assn. is all powerful, so I'd like to avoid ticking them off. Do you happen to know the guidelines for unlicensed interaction?

Thanks.

The NAR does not regulate licenses or what the holders can do. You need to talk to the real estate licensing commission in the state you want to do this in. They are all different.

I don't think it would really appeal to a lot of people, plus you've got A LOT of competition...

But if you want to go for it anyway you would just have to make sure whatever you want to do adheres to your state laws and federal real estate laws too. That's about all you really have to take into consideration.

i can agree with upstart.. since it makes a lot of help to consider your competition with this field.. just try to appeal to the client ,.. it does make a lot of difference.

My lord the simple answer is that the listing information gained through the MLS is copyrighted. It can only be gained through a licensing process. The recent DOJ allows non-realtors to gain access to the data feed through what is called a VOW or VOX. It is basically a more robust version of an IDX but is rather expensive.

The next issue you have is that a non-licensed individual cannot ask or speak about real estate in a commercial manner. So, if you wanted to be legal you would have to have your chat guys be licensed agents. Now my understanding is to discuss real estate in the manner you are describing they can be licensed in any state.