Comments on: REALOGY JUGGLING DEBT

By: Al G.

Al G. — Wed, 03 Dec 2008 02:47:16 +0000

After looking at the Prop ID case closely, it basically came down to an economical decision. Settle for a certain amount or fight the case (which would have been won by Realogy, ReMax, and Prudential)and pay millions more in legal fees. I think the companies decided that the battle wasn’t worth the money, especially when most these large Franchisors have none.

As far as being “foreign” I would have to put Canada into that definition, next thing you know GMAC will be called Royal LePage and claiming they are locally owned and operated.

Thanks for the laughs guys.

By: Ross Domke

Ross Domke — Fri, 21 Nov 2008 05:16:29 +0000

Foreign as in Canada …Brookfield is in the top ten developers in Northern California ..they have 20% of market share in Canada..Reology was after them to be purchased…but GMAC Real Estate showed the most promise…we are now 30,000 agents strong and 1500 offices total ..and one of the largest relocation companies in the world …the purchased closed last week ..

By: Skip Murphy

Skip Murphy — Wed, 19 Nov 2008 20:05:27 +0000

Point taken. I see the connection now. I hope everyone is paid, as well. The whole thing was awful to learn about. Interested readers might learn more here:

http://nhdreportsettlement.com/faq.php3

And I confess that I didn’t know that you guys had been had been sold off by GMAC. Now you are a foreign-owned company, eh? Will you be changing your name? Just curious.

By: Brad Garbutt

Brad Garbutt — Wed, 19 Nov 2008 18:20:44 +0000

The connection Skip, is the millions Realogy is suppose to cough up for the Property ID kickback scheme could be impacted if Realogy defaults on their loans. Will the sellers that were duped have to stand in line with the other creditors? Will Property ID make up the difference?
If you have read my blogs I have detailed the struggles of many companies in the real estate industry. Title companies, real estate related Internet companies and yes franchises have all been blogged about.
ResCap does not own GMAC Real estate. GMAC was purchased in September by Brookfield RPS which has $98 billion in assets. They are based in Canada. The sale should close before the end of the year. Appreciate your concern though, Skip.

By: Skip Murphy

Skip Murphy — Wed, 19 Nov 2008 09:23:38 +0000

Google “GMAC woes”.

Apparently ResCap is having a tough time of it too. Wow, $1.9 billion in losses. That’s gotta hurt. Since the local Realogy franchises are independently owned, whatever happens at corporate Realogy is not all that much of a concern here locally. Is that true of GMAC and their debt problems too?

Nobody disliked hearing about Property ID’s back room shenanigans than I did, but I’m wondering how is that connected to to Realogy’s debt problems? Property ID has agreed to pay everybody back that used their reports. Now, NHDs are covered under RESPA, and that’s at least one positive outcome of the lawsuit. I don’t see the connection.