The Real Deal New York

Is “Million Dollar Listing NY” helping or hurting the business?

Some say TV series is good for sales; others say little is real in the reality show

September 12, 2014 03:55PM
By Ann Imperatore

The three "MDLNY" brokers at the Andaz Wall Street event (Credit: Bravo Media/Eugene Gologursky)

From left: Fredrik Eklund, Luis Ortiz and Ryan Serhant of “Million Dollar Listing New York” (Credit: Bravo Media/Eugene Gologursky)

For better or worse, reality TV is now a staple of the television industry. The real estate business in New York City has not escaped the trend, with series like “Selling New York” and “Million Dollar Listing New York” running regularly on major cable networks. “Million Dollar Listing” in particular has garnered large ratings, a devoted following and an Emmy nomination. While that’s good news for Bravo, which airs the show, industry insiders are divided over reality TV’s impact on the New York real estate business.

Edan Pinkas, a real estate attorney with Friedberg Pinkas PLLC, who has seen every episode of MDLNY and represented many of the buyers and sellers filmed for the show, said he thinks the series has accurately portrayed the highs and lows of the real estate process – and boosted business. “The large viewership of the show in the U.S. has made purchasing property in New York by out-of-staters more prevalent,” he told The Real Deal.

He added that the social media focus of the show’s stars – Ryan Serhant, Fredrik Eklund and Luis Ortiz – has altered industry thinking about social networking.  “I think the show has changed how real estate is bought and sold in New York by showing how social media is an essential tool for being successful as a broker.”

Others, however, don’t see a lot of good coming from “Million Dollar Listing” or shows like it. “The basis of the client-broker relationship should have a fiduciary obligation that is cemented in trust and discretion,” said the founder of a residential brokerage who declined to be named. “The reality TV show is the complete opposite of reality. It is staged and appeals mostly to an unsophisticated audience.”

Eklund, an associate broker at Elliman, said that appearing on “Million Dollar Listing New York” has been great for his business, doubling it several times over. “Everyone told me not to do it, but I followed my gut,” he said, adding that developers in particular understand the power of a show that airs in 110 countries around the globe.

Leonard Steinberg, president of Urban Compass, acknowledged that “Million Dollar Listing” has been a wonderful “infomercial mechanism for the brokers whose careers it has fueled.” But Steinberg, a star broker in his own right, said he has concerns about how the series depicts the business of selling real estate. Indeed, Steinberg believes that some of the antics on the show have set the image of the brokerage profession “back a few decades.”

Even supporters of the reality series concede the show can, at times, stretch the bounds of believability. But Eddie Shapiro, owner of Nestseekers – Serhant’s firm – said he doesn’t see that as a major problem. “Buyers and sellers are not stupid,” he said. “They can differentiate between the entertainment parts and real business parts — it’s a conversation piece.”

“If I can have 20 agents in 20 different shows, I would jump on it,” he added.

Certainly, the publicity is hard to beat. In fact, the popularity of real estate reality shows is reshaping the business in some unexpected ways.

“Look at how crowded the real estate schools are today with those interested in getting their licenses,” said Jason Haber, an associate broker at Warburg Realty who appeared on “Selling New York.” “The same thing happened in journalism in 1976 when ‘All the President’s Men’ came out. Journalism became glamorized thanks to Robert Redford and Dustin Hoffman, and then everyone then wanted to become a journalist.”

Stephen Gilpin, director of the New York Real Estate Institute, pointed out that most of his students watch the show. At Gilpin’s request, “Million Dollar Listing New York” stars Ortiz and Serhant have visited the school to speak to his students.

He did add, however, that he uses mistakes made in the series as teaching opportunities. In one episode of the show, for instance, Ortiz was investigated and reprimanded for altering property photos. “That was a topic of conversation with students for at least two weeks,” Gilpin said.

Still, Steinberg said he isn’t convinced that “Million Dollar Listing New York” is the best introduction to the business. By his lights, the series has “harmed new brokers terribly who enter an industry plagued with a bad reputation. For those wanting to enter the industry, [the show] makes it look so easy and quick … which is not the case. The level of inaccuracies is alarming.”

What is your take on the impact of reality television on New York’s real estate scene? Please weigh in with your thoughts in the comment section below.

  • Barbara

    Having sold real estate in New Jersey for over 30 years I can attest to the fact that it is not as easy as portrayed. And I do agree with broker – client confidentiality. In some episodes I have to wonder how a client would feel if he thought that was the way transactions are handled.

  • Char4Dew

    This show destroys industry credibility. I thought that from the first time I saw it. I don’t even watch it, because I hate the way they do business or portray their business.
    but if REBNY would be the old REBNY they would not be allowed to do half the BS they do….but REBNY is definitely not what it was, neither is the validity of us having a respectable industry as we did when REBNY was what they should be.

    • Ann Imperatore

      I had reached out to REBNY for a statement when I began writing this piece, but I did not get a response.

      • Char4Dew

        Good Idea to reach out to them but I do not expect them to reply. The old REBNY would have replied. :) the new current one has to hide, unless they are talking politics and going after Cuomo who is a very far throw from his successful and accomplished Dad.

  • Eric

    Why doesn’t the article mention that Steinberg was bested by Eklund as top GCI at Elliman in 2013? I think that’s really a core contention Steinberg has with the show (and possibly why he left Elliman). Someone once compared Eklund to Trump during a Q&A with Steinberg, and he refused to acknowledge that media is an incredibly powerful tool. IMO the show is 70% ludicrous/30% accurate, take from it what you will.

    • Leonard Steinberg

      FACT CHECK: I was the ONLY broker to publicly congratulate the other brokers who beat my team in 2013. See here: http://www.luxuryloft.com/blog/2014/06/the-jills-are-the-number-one-team-in-the-usa-nationwide/
      THE JILLS, CARRIE CHIANG, etc do not have TV shows and are doing quite well, and have been doing so for decades. In fact THE JILLS have been #1 NATIONWIDE many years in a row and they can actually claim that title honestly. In fact they do DOUBLE the volume of some teams who claim to be #1.

      My problem with these shows is that their levels of inaccuracies are indeed painful. And they are damaging to an industry plagued already with a bad reputation. A good show that was factual and entertaining would get my full endorsement.

  • STEPHANIE

    THE SHOW JUST AFFIRMS WHY PEOPLE EQUATE REAL ESTATE BROKERS TO USED CAR SALESMAN. WE ARE NOT ALL LIKE THAT…..FROM PORNO TO PROPERTIES—-EMABARRASING.

  • Christian Emanuel

    Dolly Lenz, Michael Shvo, Douglas Elliman, Edward Lee Cave – all better real estate agents than Serhant, Eklund, and Ortiz, all made more money, and all avoided the press like the plague.

  • art

    Enough already as we all have tired of these unrealistic reality real estate shows!
    Core and Kleier’s agents at least have class and show professionalism.
    M$ Listing NYC should be cancelled next as those in real estate are embarrassed on how these agents act as if it is the norm when it is not! It does a disservice to the real estate community. Most agents would be fired from their associated firms if they behaved as unprofessional and outlandish as Elliman’s Fredrik and Luis…right!?

  • James

    The show is a complete joke and everybody knows it. Congrats that the three boys on the show have increased their own personal bottom lines. But the show has done nothing for the industry except make us look like desperate blood-sucking vampires. It’s simply awful and has virtually nothing to do with the ‘real’ real estate business.

  • bill

    just saw a gay video with Fredrik sucking and fucking at good gay tube ” tthis chab hole pt 2

  • Veronica

    I live in London and I find the show extremely entertaining, i love evrything about it. I dont expect it to be 100% accurate, I want it to be entertaining and it is all that and more. Well done boys, you got me hooked on it from UK. Beats the hell out desperate housewifes of LA:)

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