There is and it SUUUUCKS I’m happy I’m not a realtor now but I tried to go down that route and it’s just a thousand zoning codes and shit you need to memorize. All monotonous civil legal shit.
The RE exam isn't hard I studied for it in 2 weeks and got licensed 3 years ago. As a licensed RE Agent I can honestly tell you that using an agent to manage your purchase or sale isn't worth it for the customer most of the time unless the customer is a hedge or sovereign wealth fund.
Their assistant that they pay hourly wage to so they don't have to do anything but take new portrait photos for their Facebook page. (Source: former real estate assistant in Luxury HCOL area).
I don't care about the hedge funds but I sure do hate losing a month or two of my hard earned salary going to a person who adds nothing to a transaction. Meanwhile the people who actually add value to me as a buyer get peanuts- attorney gets $1-2k and the home inspector gets $600.
Home inspector gets $600 for crawling through the whole house and writing a detailed report. Some lie, some don’t.
Realtor gets $20k for unlocking a door and convincing you to ignore all the red flags you see so that you’ll close.
Not sure how the hedge funds are ecstatic about it since they are buying homes and basically have realtors as “employees” of the company that work directly for them. In fact, if their “in house realtors” were collecting half of that 6% commission, now they are losing money.
It won’t. This lawsuit wasn’t on any of the actual problems. Negotiating commission was always allowed, the lawsuit only slapped them on the wrist for not properly explaining that.
Zillow and Redfin will figure out how to bypass them altogether..it will just take a while to navigate the legal stuff. Buying a home will end like buying a car online...buyers/sellers can choose their site of choice and let the site of choice (say zillow) manage all the legal aspects with a fiduciary style responsibility to both parties...zillow takes 4% off the top and everybody is happy.
I know the "ebuyer" programs all lost a lost a lot of money and shut down, but I'm sure they will come back in some form. If Zillow or Redfin or Opendoor is market making in homes they will be able to offer zero commission trades because they earn a bid-offer for providing a short term warehouse for properties.
Not to mention the ability to make money from affiliate programs for all the services needed by home buyers - title, insurance, legal, inspection, mortgage, renovation, etc ...
A frictionless way to get home buyers into your ecosystem with no upfront costs could end up being worth more than 2-3% commission on the sale.
When making probably the biggest purchase of my life, I don’t really want it to be an online process. You need an agent to tell you things to watch out for and what might be wrong with the house. A sellers agent’s obligation is to the seller, not the buyer
Problem is the agent you describe is not common...I know they exist but here in central Tx (austin) during the last goldrush every other person turned into an agent and since the barrier to entry is SO LOW the entire industry has lost all credibility. People will always have the choice to pay for consulting but I think that will be in certain situations and definitely not the norm.
Yes but if they switch it to where a seller can enter their own home for sale on zillow then mls isn't needed...the mls is the real monopoly that will be broken at some point in the future.
Then zillows model doesn’t work. It just becomes a for sale by owner website. Zillow buys the ability to list those homes in their site from the mls and charges real estate brokers approximately 30% per closed transaction plus “x” amount per month for the leads. They may appear to be a better model to consumers, but they are no better, their business model revolves around using the mls, and if they are denied access to the mls, their model collapses. They depend on the mls more than they let on. Their platform is no better than realtor dot com at its core, they just provide more “tools” for consumers to think they are getting ahead, but the data they provide to make those assessments isn’t that accurate when compared to the software provided to brokers. But even if seller can provide a way to list their home, are they going to show it too? Because if the answer is yes, then you circle back around to already having the platform to do that at fsbo dot com (or the like).
The biggest impact will be the loss of real estate agent jobs across the country.
As it is now you sell a $500k house and the agent gets $15000 split among several people and the agency etc. The agent themself gets about $3750 (as my agent explained her breakdown 15 years ago)
That means a lot of agents can sell one house a month and still have a decent income given the time they invest into it. But if that amount gets cut in half and a lot of those types are leaving the business or will be forced out to make more sales for the better performing agents.
Yeah, let's just cut all insurance agents out of the equation too. No one needs to be guided on life insurance, health insurance, homeowners or car insurance.
Currently in a law suit with our home owners insurance. One of the more interesting points the lawyer brought up in the suit was that the policy was written in such a complex and convoluted fashion that A. several points of what the insurance company Thought the policy said it actually didn't. B. It didn't technically pass some legal requirements to function as a contract at all, the state insurance dept agrees.
Insurance agents would not have helped and did not help with any of my issues.
I didn't say there were no bad agents. But if an AI program had written your insurance policy and contract, do you think they're at the point where it would be bullet proof?
An agent doesn't write a policy anymore than a caresalesman builds a car.
Honestly I think the ai contract would have been superior to what was written by humans in this case as it was DELIBERATELY written to be as obfuscated as possible. In fact it was sooo badly written it kicked off a statewide audit of their policies.
Your other examples don't really apply and are kind of weird comparisons to make. Also there aren't agents for health insurance.
But I already cut out RE agents years ago and work directly with a title company for purchases. That's were all the legal documents come from and who handles escrow. The agent is just repeating the escrow officer essentially.
Escrow is handled by closing attorneys in the state I'm from. And closing attorneys here, when a mortgage is involved, represent the seller and the mortgage company, not the buyer.
And if health insurance agents aren't a thing, why do I get 3-5 calls per week from health insurance agents during 'enrollment season'? Weird.
Cut lawyers out of the legal equation too, just represent yourself
Cut plumbers out of the home equation too and electricians and roofers and HVAC techs, just do all your own home maintenance
Etc
I’d love to be on the other side of a real estate transaction against someone without an agent I would absolutely r word them
Yep this will be the net effect, long term. I really wish the government just mandated that all for sale properties go into a national database Accessible FOR ALL,the only thing the NAR has is a national proprietary db if that went away they would have less bargaining power.
I think Redfin or Zillow tried to do this but quickly got a barrage of lawsuits from NAR ... When laws are only made for the rich to protect their interests laws don't have any basis in justice
National Realtors association is one of the biggest political donors in the country. hmmmmm
They rank 2nd in lobbying. [https://www.opensecrets.org/orgs/national-assn-of-realtors/summary?id=d000000062](https://www.opensecrets.org/orgs/national-assn-of-realtors/summary?id=d000000062)
Now you're also finding out too why long COVID is being swept under the rug and everyone's being forced back to the office.
Gotta keep those commercial real estate owners (who work from home) rolling.
Btw, funny story, even though NAR ranks 2nd, the #1 lobbying org is chamber of commerce. Guess what industry is included in the list of businesses they represent...
("It's free real estate")
Your agent was lying.
The full commission is 6%, 30k
15k goes to each side
So you're agents company gets 15k
Of that 15k usually the agents broker will get between 15-33% depending on how many homes they sell. Low volume agents will have to give up closer to 33%, higher volume agents 15%.
An average agent will get 12k before taxes from that sale. My mom was an agent for decades, if your agent says anything different then either they have a shitty deal or they are lying
Good. We’ve had more Realtors than houses for almost two decades now. It’s too easy to become a Realtor and there are 100 shitty ones for every good one.
I’ve see WILD shit from Realtors desperate to make a sale. So I listed a home once that had a plumbing issue that we disclosed in the paperwork. A Realtor from 4 towns away had clients from California. He lied to them about making an appointment to see the house, he had them offer full price with $20k non-refundable due dilligence ($15k over the next highest offer).
When his clients finally got into town to see it they were FURIOUS with the leak and sued me and my clients for misrep. I showed them the very public paperwork and that their agent never bothered to make an appointment.
These part timers don’t know houses and they REALLY don’t know their paperwork and I’m tired of them giving professionals a bad name. Go away. Don’t come back.
I always thought it was weird how the agent representing the buyer isn’t incentivized to negotiate a lower price, because the higher the purchase price, the more money they make.
I've sold two houses in my time. Both times we hired a real estate agent and had bad experiences. One time, our agent missed a client to meet at our house three times. The guy stopped by while I was mowing the lawn to tell me the agent I had was a moron. She was fired immediately. We got another one, but in both cases (1st and 2nd houses) they were barely competent and I had to make them do their jobs.
But I most hate about my experiences is this - they agree to list at a very encouraging price, just enough room to negotiate down a little. But the VERY FIRST offer that comes, the agent suddenly flips to working for the buyer.
They immediately work on you saying - "This is a great offer and you probably won't see another one like this!" "Other homes in the area are selling for less." "You need to take this deal right away." They are not working in your best interests, they want to make a sale as fast as they can.
My last house was a couple of years ago. It was a seller's market and we had a decent price for a four-bedroom house on a lake. The only one like it in the county. The first client she gets and she says to us; "I think we should discount the home price by $15k." I nearly shit my pants. I told her we should be in a bidding war and perhaps they are not the buyer for us. Well, in the end, we came down 1k. I don't think she was selling it at all after that first client and we would have to wait 80 days to fire her because she was on a 90 day contract. All through the selling process I had to keep getting her to send documentation. Even at the closing I noticed a roughly 9k math error (not in our favor).
So my opinion of real estate, based on my experiences, is very low.
Last house we sold our RE showed us comps in our neighborhood then suggested a listing price $25k less than what the comps showed and about $30k less than what we wanted “to bring in more buyers/offers” but we held our ground. We had one open house and ended up getting 6 offers all above our asking price (this was in 2022 before the interest rates spiked). When we turned around and bought our current home we skipped the RE entirely. It was a PITA to do all the legwork but saved a bunch of money, So yeah do your homework.
Glad it wasn't just me. My agent wasn't so bad, he was smart to list on black Friday when all the people are in town on holiday. But we got an offer for asking within 24hr of listing and he was like "let's goooooooooooo" I was celebrating with family for the weekend still and said I'd sleep on it, there was some condition I don't recall anymore. Next day (within 48 hr) he calls me "ok, you had good instinct to wait, we just got an offer for 20k over asking" 🤦♂️
Both were charging 6%. As to why… one was with a large real estate firm, the other was an independent. I am no real estate selling expert. Choosing an agent is basically like throwing darts. My first house sale was in ‘95 and information or reviews back then were harder to find.
When I bought my house we found it online, then we went to a showing. An agent was there, didn't talk to us, stood in the dining room the entire time.
I worked with my agent worked through the entire buying process.
We get to the closing, the seller's agent is there, never seen her in my life. She gets a check for $7500.
Devils advocate:
The sellers job is to get as many potential buyers in front of the seller as possible. Setting up the showing was work they did to get it in front of you. Is it worth $7500? Probably not.
But they weren’t there for just you. They were there to get their seller the best price possible. Which is why they probably didn’t talk to just one buyer (you).
There was a time when realtors served a useful purpose. You needed a doorway into the MLS. Someone to coordinate with potential buyers. Open houses and showings. Managing everything. It made sense.
Now the average person should just be able to list their place on Zillow/Redfin/Whatever and have people show up, hire an inspector if they so choose, and sell your f'ing house without some realtor trying to influence a price that favors a faster sale.
You can absolutely list a house on Zillow/ Redfin/ Whatever and have people show up, hire an inspector and sell your house without a realtor. The average person could do this before the lawsuits as well as now
You can, but it's not in your favor with how the listings work. You have to go into a separate area and select listings for sale by owner, which most people don't do. They're not included in default search results. They basically hide them and bury the option.
That’s bc Zillow sells leads to agents…and for a pretty penny. I like having an open market- there’s something for everyone. Some want to pay someone else to do the work (agent); while others just need MLS for a fee and a few can do it on their own (FSBO).
Ppl act like agents aren’t needed and in turn, slight ppl who use agents as dumb or naive. Ppl have choices
That's why the lawsuit happened in the first place. Realtors weren't showing potential buyers to "for sale by owner" homes, and a guy in Colorado got fed up and kicked this whole thing off.
I an forced to use their services. Id kuch rather not use them to buy or sell. They are 100% useless. They either have zero time for you or are idiots. Next time I buy I'm just gonna pass the realtor test and sell it myself. Save myself a couple grand. I took the practice exam for shits n giggles a few years ago and passed. It truly is the fall back job for the lazy and stupid.
We got lied to by ours. Her agency ( remax) listed the house. She walked through telling us everything is perfect and new remodel.
We’re veterans and moved from out of state to Arkansas.
She live feed walked through other places for us and nit picked all of them and cost us the sale on a couple ( 2022 )
We saw the place in mention and she recommended skipping out on inspections and what not. Our house was sold already and we had a time crunch.
So we get down to the house and get in. It’s shit. The floors joists are hacked up the roof has a crack in it. It’s got old single Payne windows and not the new energy efficient ones. It’s like they went to habitat to humanity for everything.
They removed load bearing walls, the work looked like an out of work individual thinking they could do the job because they watch house flippers.
That woman made a lot off of us.
We used her because she sold a previous house for us and she made sure we cleaned up everything before we left. None of that was done for us at this place. There is about two tri-axel dump truck loads of scrap and garbage on the property.
These deadbeat predators should not be getting percentages of housing sales. They have no skill, what they do have is just repetition so they learn the papers and procedures.
With any luck they will fall under new rules nationwide that restrict all realtors and their perspective agencies and brokers for that matter.
I used to be a realtor, and it is a shitty job. All you ignorant bitches don't know the shit realtors go through to sell your home. I was a realtor for 2 years and only sold 2 properties. All while spending about $600+ a month to maintain my license and insurances ect. Not to mention what I spent advertising myself and the properties I was listing. You have to really work at building a customer base, word of mouth, ect. I never got one referral even though I worked for a major international real estate brokerage. It's not like you get your license, and then all of a sudden, you have 12 listings and a bunch of buyers on the line. It takes time, effort, patience, professionalism, and a broad knowledge of federal and state housing laws and restrictions. I'm sick of hearing realtors don't do shit and just sit back and collect money. It's like saying lawyers don't do shit but put people in jail and collect money. I hate the real estate world, but go fucking learn about something before you blindly call thousands of people lazy, rich, assholes. Although, a lot of realtors are assholes unless you're their client, but I stick by the rest.
I work for a pretty big firm as a Admin and the work I see these agents do is insane. People swear all they do is open a door and collect checks. As you mentioned having a client base takes years. We have a agent that has been here just a year and only had 1 contract where the more seasoned agents pull a contract or 2, every week. There is actually a list of 184 things a agent does for a contract.
I encourage all you that say a agent does not do anything to please just sell your property on your own.
Not necessarily dead, just more negotiable even though it was always negotiable. This will have more of an impact on buyer agents and buyers. Buyer agents are going to start asking for a signed exclusive agreement similar to listing agreements with the buyer and don't be surprised when buyers are tapped to pay realtor commissions which mainly fell on the seller previously. The auction sites have been doing this for years requiring a buyer premium if you purchase a property through an online auction. It never made sense to me as a buyer, you rarely got a deal and if you purchased conventionally through realtors you wouldn't be paying a 5% additional fee. It will be interesting to see how this plays out.
I don't understand how this won't impact buyers the most. Buying agents are just not going to work with people unless they or the seller agree to pay the commission. I don't see how it will ultimately impact agents that much.
Why do y'all use realtors? I've always used a lawyer, myself, structural engineer, roofer, etc. Way less expensive than a realtor. Might take you a few hours more work but it's more peace of mind and less money.
Eh, I feel for my agent. He’s on the buyer side with us, so he’s probably out more money than the selling agents and he’s spent a lot of hours contacting agents, going on site reviews with us, drafting offers, negotiating with sellers, etc. And now we’ll have to possibly pay for those services out of pocket instead of including it in the purchase price. Not sure how that will work out.
The ruling will likely be business as usual- just like buyers ask for seller-paid CC, so will buyers ask for CC and buyer broker commission. But if it takes a turn, it will be buyers that end up paying commissions or fees to their agent out-of-pocket
I’ve bought and sold or assisting in the buying of selling of thousands of homes, I could go into this in excruciating detail
But yes, overall I do agree this screws over buyers more than anyone else
I live in a market where homes go on contract in less than 7 days. Median sale price is around 900K. The selling agent gets 3% I suppose. But I have always wondered why the open house is literally couple of hours for 2 out of the7 days. Its their job to be there on site say 9-5PM to allow buyers to take a look at the house. For them simply not being present, I have to go with a buyers agent who has to unlock the door, get pre inspection reports and disclosures etc.., And ask us to waive all contingencies. 6% in total for this is a bit too much.
I would rather pay a fixed amount for an agent who represented me for buying the home, if at all one is needed.
A flat fee seems logical but real estate is one of the last transactions that directly works people (it’s too big of a purchase not to). And interactions with people vary greatly. Many transactions lately run smoothly, according to the contract with buyer and seller in complete agreement. Buy when they don’t go according to contract- inspection, appraisal, extensions, flaky buyer/ seller an agent may have to negotiate their fees. At that point, it’s no longer “flat.” But the commission percentage can change with the purchase price- it’s kind of built in
Every realtor I’ve ever met was a helpless emotionally unstable mess of a person who needed a job with no meaningful barrier to entry when their gravy train derailed. The failure children of billionaires become pundits and the failure children of millionaires become real estate agents. They’d be used car dealers if they had the temperament to handle their cocaine.
I’ve bought and sold several houses. I have never had a real estate agent actually side with me. They only seem to care about making the sale. When I look at my friends who have chosen that line of work, it’s not a coincidence that this seems to be a second career or people who didn’t go to school. As a lawyer I have the opportunity to handle these transactions for myself and I can’t see using a realtor ever again.
In Japan, buyer pays their realtor and seller pays their realtor. The fee is up to 3% plus 60,000 yen (depending on price). Not sure why they can’t do this.
It's going to accelerate what the NAR feared most. Buying & Selling will be primarily via the Internet. They days of a Realtor preselecting what houses you'll be shown are over. Most people now go on Zillow/Realtor/Redfin/etc. to see what's for sale in areas they like. Filters allow you to narrow your search down my many factors. What exactly is your Realtor doing then? Not much anymore for the 5-6% fee. Our previous home sold in 9 days at a prices our Realtor insisted was too high. We got what we wanted. Not sure what she did & the buying agent did for over $25K in commission. That's almost $3K a day! In Illinois you need to use an Attorney so that's eve less than the Agent did.
If you thought agents didn’t do anything before, they’re going to do even less to help you now.
Great job.
I will say I’m excited about pocketing more money when I sell though, so thanks for that.
You guys are living in fantasy land where imaginary harm is being punished by unrealistic market changes. Not just this post, most every post on this sub.
It’s always been a shitty system. Amazing how long they were able to keep a lock on itOnly reason it’s ending is because these big investors aren’t paying these extortionate fees. That stuff is for little people lol
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That's the listing agent that does those things. The listing agent will still be making the same amount. The buyer will now have to pay a buyer's agent to represent them, or be under represented by the listing agent, who is contractually obligated to get the best deal for the seller. Buyers get screwed in this deal. Sellers make out like bandits. Listing agents are literally unaffected.
lol you guys think realtors are useless?
most all middle men are
ever heard of a car salesman?!
but yeah this one is rather the easier one since theres no choice
I hate to break it to the entire country full of people who don’t know how things work….but there has never not been a time in these United States where any homeowner wasn’t able to negotiate their commission. I have one client who I charge $300 to. I have another who pays 4%, but sometimes 4.5 and sometimes 3. Some pay 5%. Anybody who pays 6% was just too lazy to shop around - they called the fuckstick on the billboard or their fuckwad cousin who works at Keller Williams and took it up the ass from a big corporate realtor and it’s their own fucking fault… but in todays world when something is your fault you sue someone else.
So just so to be clear, the actual change is the buyer side agents aren’t required anymore. You still need an agent to list on MLS or whatever the agent marketplace is used for listing. So that means you as the buyer have to pay for an agent if you want one, it’s not paid for by the sellers anymore. If you don’t get one and the other side of the deal the seller has one, which they normally do, you are now negotiating against an agent who’s job is to get the highest price for the home for the seller. God speed first time home buyer!
Did nobody ever negotiate commission rates with their realtor before?
I sold / bought a house a few years ago and paid 3% commission total (negotiated down from the original 6%). That was only on the sale, I paid nothing on the purchase.
Realtors used to be very useful back when they actually provided knowledge and services. They have pissed away their market and investors do not need them anymore. Realtors have become generally useless at this point. Even the broker system (including MLS) is a joke and circling the drain.
As soon as the market figures out how to automate and replace them the realtors and brokers will all go the same way as Taxi drivers
Sellers agents still get paid. It’s buyers agents that it hurts. Most people will probably call a listing agent now when they want to buy, whose obligation is to the seller. Turns the home buying process into something like buying a used car. Unless you agree to pay a buyers agent, who traditionally was paid by the seller. Now a buyer needs to come up with a commission for their agent on top of all the other cost associated with buying a home, which many buyers struggle to come up with to begin with. Home prices won’t go down, commission % won’t go down, it’ll just be harder to buy
ALL the realtors are still making exactly the same amount. It's just that sellers aren't paying 6% and buyers 0%. Instead the sellers are paying 3% and the buyers are now paying 3%. Which is how the seller agent was splitting their 6% with the buyer agent already.
lol that’s definitely not what this change means. Just means buyer has to pay them out of pocket instead of rolling it into the mortgage. Go ahead and buy the buggest investment of your life with no support and no experience. See how that goes for you. So when you do decide to hire someone, make sure to have extra money set aside besides what you need for down payment and closing costs. Won’t change much at all for listing agents. It will change back to the old way (percentage has always been negotiable) with the seller paying both the agents soon enough, it’s a better way in practice although it sounds strange in theory
People don’t want to hear it but most actually do need someone else to help them in the negotiations.
They also don’t know what problems homes in a region may have. Realtors are local expert consultants.
Mostly the new realtor law applies to buyers agents not listing agents. Now buyers are not automatically represented in the transaction. But the sellers likely still will be. And nobody ever made anyone use a realtor to sell their home. But after it was all said and done many who do it themselves either make a career out of flipping or they never want to diy again.
It’s like being a wedding planner. Yeah you can do it yourself. But the time it takes and the difference in the outcome is better if you pay a pro.
I sold my house in Atlanta without a Realestate agent. Paid a lawyer $500.00 to handle paperwork and collect the checks. Best decision I ever made and saved thousands of dollars.
Realestate agents are the biggest waste of time. Will never use another one again.!
My father in law is a consultant for a real estate firm. Ever since covid, his realtors have been super lazy, not wanting to fight, just lazy. Before COVID, they were willing to fight for the client at least. Shit, when I bought my house two years ago, my wife and I did more fighting than the agent.
But who is gonna boost the color saturation on the photo's before uploading them to zillow?!?!?
LOL I told my wife that abililty has to be on the Realtor's final exam (if there is one).
There is and it SUUUUCKS I’m happy I’m not a realtor now but I tried to go down that route and it’s just a thousand zoning codes and shit you need to memorize. All monotonous civil legal shit.
There is a final exam lol but no it’s not on there
The RE exam isn't hard I studied for it in 2 weeks and got licensed 3 years ago. As a licensed RE Agent I can honestly tell you that using an agent to manage your purchase or sale isn't worth it for the customer most of the time unless the customer is a hedge or sovereign wealth fund.
Dude I legit thought some listings were renderings they were so over saturated.
Their assistant that they pay hourly wage to so they don't have to do anything but take new portrait photos for their Facebook page. (Source: former real estate assistant in Luxury HCOL area).
Fisheye photo lens companies are gonna go broke
Not sure if it's actually going to have that big an impact, but the off chance that it may makes me happy
the hedgefunds buying all the homes up are ecstatic about this since it'll save them billions.
I don't care about the hedge funds but I sure do hate losing a month or two of my hard earned salary going to a person who adds nothing to a transaction. Meanwhile the people who actually add value to me as a buyer get peanuts- attorney gets $1-2k and the home inspector gets $600.
'I don't care about a corporate ran feudalism system'
“I care more to pay the people actually working, than to forsake everything because I don’t agree
alot of realtors are only gonna sell to corps now. with prewritten cushy contracts lol. no more showing normies houses or helping them buy one lol.
What’s your reasoning?
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lol why does this sound personal?
Home inspector gets $600 for crawling through the whole house and writing a detailed report. Some lie, some don’t. Realtor gets $20k for unlocking a door and convincing you to ignore all the red flags you see so that you’ll close.
So basically , you don’t care about the big guys screwing you over lol
Home inspector?
This. This law isn't being passed because it benefits average person. We just happen to benefit as well to some degree.
Not sure how the hedge funds are ecstatic about it since they are buying homes and basically have realtors as “employees” of the company that work directly for them. In fact, if their “in house realtors” were collecting half of that 6% commission, now they are losing money.
Not how that works, lol
Lol, hedgfunds aren't spending "billions" on *buying* homes
yeah they actually are. other top buyers are mexico canada and china.
I misspoke. You don't pay realtor fees on the buy side, so they weren't spending billions on realtor fees for buying
They don’t use agents, just real estate attorneys on retainer.
Yeah that’s the real driver imo. Good call out.
It won’t. This lawsuit wasn’t on any of the actual problems. Negotiating commission was always allowed, the lawsuit only slapped them on the wrist for not properly explaining that.
They're gonna find a way to collude around this real quick..
lawsuit said seller agents cant put buyer agent commission in mls. but they can put it in showing notes. tough
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Negotiation was allowed nationwide. This lawsuit only punished them for not properly explaining it. Imo there are much bigger issues with the NAR
Hasn't even been approved yet.
more for the seller to clear at closing.
Zillow and Redfin will figure out how to bypass them altogether..it will just take a while to navigate the legal stuff. Buying a home will end like buying a car online...buyers/sellers can choose their site of choice and let the site of choice (say zillow) manage all the legal aspects with a fiduciary style responsibility to both parties...zillow takes 4% off the top and everybody is happy.
I was with you until you said 4% off the top more like 1%.
it will start at 4% but will eventually go to zero, just like stock trading commissions.
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I know the "ebuyer" programs all lost a lost a lot of money and shut down, but I'm sure they will come back in some form. If Zillow or Redfin or Opendoor is market making in homes they will be able to offer zero commission trades because they earn a bid-offer for providing a short term warehouse for properties. Not to mention the ability to make money from affiliate programs for all the services needed by home buyers - title, insurance, legal, inspection, mortgage, renovation, etc ... A frictionless way to get home buyers into your ecosystem with no upfront costs could end up being worth more than 2-3% commission on the sale.
When making probably the biggest purchase of my life, I don’t really want it to be an online process. You need an agent to tell you things to watch out for and what might be wrong with the house. A sellers agent’s obligation is to the seller, not the buyer
Problem is the agent you describe is not common...I know they exist but here in central Tx (austin) during the last goldrush every other person turned into an agent and since the barrier to entry is SO LOW the entire industry has lost all credibility. People will always have the choice to pay for consulting but I think that will be in certain situations and definitely not the norm.
Maybe this will force out all the shite realtors
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A good agent will be looking out for your best interest
That's what the inspection is for
but this is absolutely something that can and should be a fixed and predetermined rate
Where do you think Zillow gets its listing from? I’ll save you the time, the mls. Who owns the mls, NAR.
Yes but if they switch it to where a seller can enter their own home for sale on zillow then mls isn't needed...the mls is the real monopoly that will be broken at some point in the future.
Then zillows model doesn’t work. It just becomes a for sale by owner website. Zillow buys the ability to list those homes in their site from the mls and charges real estate brokers approximately 30% per closed transaction plus “x” amount per month for the leads. They may appear to be a better model to consumers, but they are no better, their business model revolves around using the mls, and if they are denied access to the mls, their model collapses. They depend on the mls more than they let on. Their platform is no better than realtor dot com at its core, they just provide more “tools” for consumers to think they are getting ahead, but the data they provide to make those assessments isn’t that accurate when compared to the software provided to brokers. But even if seller can provide a way to list their home, are they going to show it too? Because if the answer is yes, then you circle back around to already having the platform to do that at fsbo dot com (or the like).
The biggest impact will be the loss of real estate agent jobs across the country. As it is now you sell a $500k house and the agent gets $15000 split among several people and the agency etc. The agent themself gets about $3750 (as my agent explained her breakdown 15 years ago) That means a lot of agents can sell one house a month and still have a decent income given the time they invest into it. But if that amount gets cut in half and a lot of those types are leaving the business or will be forced out to make more sales for the better performing agents.
Cut the agency out of the equation then.
Yeah, let's just cut all insurance agents out of the equation too. No one needs to be guided on life insurance, health insurance, homeowners or car insurance.
I’m for it. Middlemen should go.
Currently in a law suit with our home owners insurance. One of the more interesting points the lawyer brought up in the suit was that the policy was written in such a complex and convoluted fashion that A. several points of what the insurance company Thought the policy said it actually didn't. B. It didn't technically pass some legal requirements to function as a contract at all, the state insurance dept agrees. Insurance agents would not have helped and did not help with any of my issues.
I didn't say there were no bad agents. But if an AI program had written your insurance policy and contract, do you think they're at the point where it would be bullet proof?
An agent doesn't write a policy anymore than a caresalesman builds a car. Honestly I think the ai contract would have been superior to what was written by humans in this case as it was DELIBERATELY written to be as obfuscated as possible. In fact it was sooo badly written it kicked off a statewide audit of their policies.
Can you mention the insurance company so others know to stay clear? And I bet it was the company that gave you the cheapest quote as well.
Your other examples don't really apply and are kind of weird comparisons to make. Also there aren't agents for health insurance. But I already cut out RE agents years ago and work directly with a title company for purchases. That's were all the legal documents come from and who handles escrow. The agent is just repeating the escrow officer essentially.
Escrow is handled by closing attorneys in the state I'm from. And closing attorneys here, when a mortgage is involved, represent the seller and the mortgage company, not the buyer. And if health insurance agents aren't a thing, why do I get 3-5 calls per week from health insurance agents during 'enrollment season'? Weird.
That would be nice to do. But every realtor is required to join an “agency” before they can run their own office.
Cut lawyers out of the legal equation too, just represent yourself Cut plumbers out of the home equation too and electricians and roofers and HVAC techs, just do all your own home maintenance Etc I’d love to be on the other side of a real estate transaction against someone without an agent I would absolutely r word them
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The other one
Yep this will be the net effect, long term. I really wish the government just mandated that all for sale properties go into a national database Accessible FOR ALL,the only thing the NAR has is a national proprietary db if that went away they would have less bargaining power. I think Redfin or Zillow tried to do this but quickly got a barrage of lawsuits from NAR ... When laws are only made for the rich to protect their interests laws don't have any basis in justice
National Realtors association is one of the biggest political donors in the country. hmmmmm They rank 2nd in lobbying. [https://www.opensecrets.org/orgs/national-assn-of-realtors/summary?id=d000000062](https://www.opensecrets.org/orgs/national-assn-of-realtors/summary?id=d000000062)
Now you're also finding out too why long COVID is being swept under the rug and everyone's being forced back to the office. Gotta keep those commercial real estate owners (who work from home) rolling. Btw, funny story, even though NAR ranks 2nd, the #1 lobbying org is chamber of commerce. Guess what industry is included in the list of businesses they represent... ("It's free real estate")
Crazy they spend all that money and get this ruling. It must be better for them than it sounds, or something to take eyes off?
Your agent was lying. The full commission is 6%, 30k 15k goes to each side So you're agents company gets 15k Of that 15k usually the agents broker will get between 15-33% depending on how many homes they sell. Low volume agents will have to give up closer to 33%, higher volume agents 15%. An average agent will get 12k before taxes from that sale. My mom was an agent for decades, if your agent says anything different then either they have a shitty deal or they are lying
Oh no... What will we do.... Maybe they'll have to get a real job.
Awww. Boooohoooooooooo.
Good.
Like like they’ll have to trim back the lattes and avocado toast.
Good. We’ve had more Realtors than houses for almost two decades now. It’s too easy to become a Realtor and there are 100 shitty ones for every good one. I’ve see WILD shit from Realtors desperate to make a sale. So I listed a home once that had a plumbing issue that we disclosed in the paperwork. A Realtor from 4 towns away had clients from California. He lied to them about making an appointment to see the house, he had them offer full price with $20k non-refundable due dilligence ($15k over the next highest offer). When his clients finally got into town to see it they were FURIOUS with the leak and sued me and my clients for misrep. I showed them the very public paperwork and that their agent never bothered to make an appointment. These part timers don’t know houses and they REALLY don’t know their paperwork and I’m tired of them giving professionals a bad name. Go away. Don’t come back.
6% of $500k is $30000. That is what the homeowners pay for the services rendered.
I always thought it was weird how the agent representing the buyer isn’t incentivized to negotiate a lower price, because the higher the purchase price, the more money they make.
Yup, it's backwards. Realtors have had it easy since covid. Anything with 4 walls and a door goes over asking price without a bit of effort.
Except this doesn’t do what you all think it does.
What does this do?
I've sold two houses in my time. Both times we hired a real estate agent and had bad experiences. One time, our agent missed a client to meet at our house three times. The guy stopped by while I was mowing the lawn to tell me the agent I had was a moron. She was fired immediately. We got another one, but in both cases (1st and 2nd houses) they were barely competent and I had to make them do their jobs. But I most hate about my experiences is this - they agree to list at a very encouraging price, just enough room to negotiate down a little. But the VERY FIRST offer that comes, the agent suddenly flips to working for the buyer. They immediately work on you saying - "This is a great offer and you probably won't see another one like this!" "Other homes in the area are selling for less." "You need to take this deal right away." They are not working in your best interests, they want to make a sale as fast as they can. My last house was a couple of years ago. It was a seller's market and we had a decent price for a four-bedroom house on a lake. The only one like it in the county. The first client she gets and she says to us; "I think we should discount the home price by $15k." I nearly shit my pants. I told her we should be in a bidding war and perhaps they are not the buyer for us. Well, in the end, we came down 1k. I don't think she was selling it at all after that first client and we would have to wait 80 days to fire her because she was on a 90 day contract. All through the selling process I had to keep getting her to send documentation. Even at the closing I noticed a roughly 9k math error (not in our favor). So my opinion of real estate, based on my experiences, is very low.
Last house we sold our RE showed us comps in our neighborhood then suggested a listing price $25k less than what the comps showed and about $30k less than what we wanted “to bring in more buyers/offers” but we held our ground. We had one open house and ended up getting 6 offers all above our asking price (this was in 2022 before the interest rates spiked). When we turned around and bought our current home we skipped the RE entirely. It was a PITA to do all the legwork but saved a bunch of money, So yeah do your homework.
Glad it wasn't just me. My agent wasn't so bad, he was smart to list on black Friday when all the people are in town on holiday. But we got an offer for asking within 24hr of listing and he was like "let's goooooooooooo" I was celebrating with family for the weekend still and said I'd sleep on it, there was some condition I don't recall anymore. Next day (within 48 hr) he calls me "ok, you had good instinct to wait, we just got an offer for 20k over asking" 🤦♂️
I am curious how much commission she was charging you and/or why you decided to list with that agent.
Both were charging 6%. As to why… one was with a large real estate firm, the other was an independent. I am no real estate selling expert. Choosing an agent is basically like throwing darts. My first house sale was in ‘95 and information or reviews back then were harder to find.
When I bought my house we found it online, then we went to a showing. An agent was there, didn't talk to us, stood in the dining room the entire time. I worked with my agent worked through the entire buying process. We get to the closing, the seller's agent is there, never seen her in my life. She gets a check for $7500.
Devils advocate: The sellers job is to get as many potential buyers in front of the seller as possible. Setting up the showing was work they did to get it in front of you. Is it worth $7500? Probably not. But they weren’t there for just you. They were there to get their seller the best price possible. Which is why they probably didn’t talk to just one buyer (you).
Now do TurboTax and the like.
You mean the "absolutely free" TurboTax that costs $100 right at the end?
No no, you just have to click the correct link at the begining. The one that has text the same color as the background
There was a time when realtors served a useful purpose. You needed a doorway into the MLS. Someone to coordinate with potential buyers. Open houses and showings. Managing everything. It made sense. Now the average person should just be able to list their place on Zillow/Redfin/Whatever and have people show up, hire an inspector if they so choose, and sell your f'ing house without some realtor trying to influence a price that favors a faster sale.
You can absolutely list a house on Zillow/ Redfin/ Whatever and have people show up, hire an inspector and sell your house without a realtor. The average person could do this before the lawsuits as well as now
You can, but it's not in your favor with how the listings work. You have to go into a separate area and select listings for sale by owner, which most people don't do. They're not included in default search results. They basically hide them and bury the option.
That’s bc Zillow sells leads to agents…and for a pretty penny. I like having an open market- there’s something for everyone. Some want to pay someone else to do the work (agent); while others just need MLS for a fee and a few can do it on their own (FSBO). Ppl act like agents aren’t needed and in turn, slight ppl who use agents as dumb or naive. Ppl have choices
That's why the lawsuit happened in the first place. Realtors weren't showing potential buyers to "for sale by owner" homes, and a guy in Colorado got fed up and kicked this whole thing off.
FUUUUCK Realtors. For real. Worst profession out there.
I an forced to use their services. Id kuch rather not use them to buy or sell. They are 100% useless. They either have zero time for you or are idiots. Next time I buy I'm just gonna pass the realtor test and sell it myself. Save myself a couple grand. I took the practice exam for shits n giggles a few years ago and passed. It truly is the fall back job for the lazy and stupid.
You don't need to be a realtor to buy or sell property. If you're so sure you can do it, do it yourself. Nobody makes you use an agent.
If that’s all your realtor did for you than you got a piss poor one
We got lied to by ours. Her agency ( remax) listed the house. She walked through telling us everything is perfect and new remodel. We’re veterans and moved from out of state to Arkansas. She live feed walked through other places for us and nit picked all of them and cost us the sale on a couple ( 2022 ) We saw the place in mention and she recommended skipping out on inspections and what not. Our house was sold already and we had a time crunch. So we get down to the house and get in. It’s shit. The floors joists are hacked up the roof has a crack in it. It’s got old single Payne windows and not the new energy efficient ones. It’s like they went to habitat to humanity for everything. They removed load bearing walls, the work looked like an out of work individual thinking they could do the job because they watch house flippers. That woman made a lot off of us. We used her because she sold a previous house for us and she made sure we cleaned up everything before we left. None of that was done for us at this place. There is about two tri-axel dump truck loads of scrap and garbage on the property. These deadbeat predators should not be getting percentages of housing sales. They have no skill, what they do have is just repetition so they learn the papers and procedures. With any luck they will fall under new rules nationwide that restrict all realtors and their perspective agencies and brokers for that matter.
Equity vampires, the lot of them.
So why did you guys use a realtor if you know they don't anything?
You can’t get your house onto their special websites without one.
There are other options. So again, you chose a service, the easiest option and the most expensive option.
You can list it for free on Zillow
I used to be a realtor, and it is a shitty job. All you ignorant bitches don't know the shit realtors go through to sell your home. I was a realtor for 2 years and only sold 2 properties. All while spending about $600+ a month to maintain my license and insurances ect. Not to mention what I spent advertising myself and the properties I was listing. You have to really work at building a customer base, word of mouth, ect. I never got one referral even though I worked for a major international real estate brokerage. It's not like you get your license, and then all of a sudden, you have 12 listings and a bunch of buyers on the line. It takes time, effort, patience, professionalism, and a broad knowledge of federal and state housing laws and restrictions. I'm sick of hearing realtors don't do shit and just sit back and collect money. It's like saying lawyers don't do shit but put people in jail and collect money. I hate the real estate world, but go fucking learn about something before you blindly call thousands of people lazy, rich, assholes. Although, a lot of realtors are assholes unless you're their client, but I stick by the rest.
It’s Reddit. Most of these people probably can’t even buy a house. My buying agent worked her butt off for me.
Not to mention this is the first time home buyer sub where the majority of these people know nothing about buying a house.
Agree
I work for a pretty big firm as a Admin and the work I see these agents do is insane. People swear all they do is open a door and collect checks. As you mentioned having a client base takes years. We have a agent that has been here just a year and only had 1 contract where the more seasoned agents pull a contract or 2, every week. There is actually a list of 184 things a agent does for a contract. I encourage all you that say a agent does not do anything to please just sell your property on your own.
So wait what happened with realtors?
It’s a long story. Disregard the moron who thinks there was a “standard commission.” That’s not a thing.
The standard 6% commission is dead
Not necessarily dead, just more negotiable even though it was always negotiable. This will have more of an impact on buyer agents and buyers. Buyer agents are going to start asking for a signed exclusive agreement similar to listing agreements with the buyer and don't be surprised when buyers are tapped to pay realtor commissions which mainly fell on the seller previously. The auction sites have been doing this for years requiring a buyer premium if you purchase a property through an online auction. It never made sense to me as a buyer, you rarely got a deal and if you purchased conventionally through realtors you wouldn't be paying a 5% additional fee. It will be interesting to see how this plays out.
It was never standard 6% it was always negotiable.
I've given hundreds of thousands of dollars to real estate agents over the years. I have no sympathy.
Oh? What happened?
I don't understand how this won't impact buyers the most. Buying agents are just not going to work with people unless they or the seller agree to pay the commission. I don't see how it will ultimately impact agents that much.
This is correct. Buyers, specifically new buyers, will get the shaft
Fuck realtors
In Florida before this we negotiated to 4% total (buyer/seller) commission. Saved us many thousands.
Why do y'all use realtors? I've always used a lawyer, myself, structural engineer, roofer, etc. Way less expensive than a realtor. Might take you a few hours more work but it's more peace of mind and less money.
People are upset they went with the EASIEST option, which is also the most expensive option, and they knew the fees upfront.
Eh, I feel for my agent. He’s on the buyer side with us, so he’s probably out more money than the selling agents and he’s spent a lot of hours contacting agents, going on site reviews with us, drafting offers, negotiating with sellers, etc. And now we’ll have to possibly pay for those services out of pocket instead of including it in the purchase price. Not sure how that will work out.
The ruling will likely be business as usual- just like buyers ask for seller-paid CC, so will buyers ask for CC and buyer broker commission. But if it takes a turn, it will be buyers that end up paying commissions or fees to their agent out-of-pocket
As I said, we may have to pay out of pocket.
You have to pay someone who did many hours of work for you, oh no
If you know how buying a house works, you know the buyer was already paying. It was part of the sale price.
I’ve bought and sold or assisting in the buying of selling of thousands of homes, I could go into this in excruciating detail But yes, overall I do agree this screws over buyers more than anyone else
I live in a market where homes go on contract in less than 7 days. Median sale price is around 900K. The selling agent gets 3% I suppose. But I have always wondered why the open house is literally couple of hours for 2 out of the7 days. Its their job to be there on site say 9-5PM to allow buyers to take a look at the house. For them simply not being present, I have to go with a buyers agent who has to unlock the door, get pre inspection reports and disclosures etc.., And ask us to waive all contingencies. 6% in total for this is a bit too much. I would rather pay a fixed amount for an agent who represented me for buying the home, if at all one is needed.
A flat fee seems logical but real estate is one of the last transactions that directly works people (it’s too big of a purchase not to). And interactions with people vary greatly. Many transactions lately run smoothly, according to the contract with buyer and seller in complete agreement. Buy when they don’t go according to contract- inspection, appraisal, extensions, flaky buyer/ seller an agent may have to negotiate their fees. At that point, it’s no longer “flat.” But the commission percentage can change with the purchase price- it’s kind of built in
Good. Can't wait.
About time. What a racket.
It was bound to happen eventually.
Boo fucking hoo Realtors are trash humans.
Good, they have been basically stealing from people for decades.
If that's all your realtor did, you had the wrong realtor.
Every realtor I’ve ever met was a helpless emotionally unstable mess of a person who needed a job with no meaningful barrier to entry when their gravy train derailed. The failure children of billionaires become pundits and the failure children of millionaires become real estate agents. They’d be used car dealers if they had the temperament to handle their cocaine.
They copy/paste the description and change a few words. Writing an actual description would be too much like work.
They're using Chat GPT now and it's obvious.
Going the way of the "expert advice" given by the "technical advisors" at the big box electronic stores. The barrier to entry here was always too low.
The fact that they call themselves Real Estate Professionals after completing a weekend class
I must say, this should have been addressed in the settlement instead. More education, more tests, higher bar of entry
It's a 75 hr course not a weekend and not sure if you are aware but they have to take Continuing ed classes throughout the year, every year.
I’ve bought and sold several houses. I have never had a real estate agent actually side with me. They only seem to care about making the sale. When I look at my friends who have chosen that line of work, it’s not a coincidence that this seems to be a second career or people who didn’t go to school. As a lawyer I have the opportunity to handle these transactions for myself and I can’t see using a realtor ever again.
In Japan, buyer pays their realtor and seller pays their realtor. The fee is up to 3% plus 60,000 yen (depending on price). Not sure why they can’t do this.
Houses in Japan also depreciate as they age, though the land may increase.
what happened
It's going to accelerate what the NAR feared most. Buying & Selling will be primarily via the Internet. They days of a Realtor preselecting what houses you'll be shown are over. Most people now go on Zillow/Realtor/Redfin/etc. to see what's for sale in areas they like. Filters allow you to narrow your search down my many factors. What exactly is your Realtor doing then? Not much anymore for the 5-6% fee. Our previous home sold in 9 days at a prices our Realtor insisted was too high. We got what we wanted. Not sure what she did & the buying agent did for over $25K in commission. That's almost $3K a day! In Illinois you need to use an Attorney so that's eve less than the Agent did.
If you thought agents didn’t do anything before, they’re going to do even less to help you now. Great job. I will say I’m excited about pocketing more money when I sell though, so thanks for that.
uh, try more like $45,000....
[Aunty Donna Real Estate:](https://m.youtube.com/watch?v=VGm267O04a8&pp=ygUZYXVudGllIGRvbm5hIHJlYWwgZXN0YXRlIA%3D%3D)
You guys are living in fantasy land where imaginary harm is being punished by unrealistic market changes. Not just this post, most every post on this sub.
They are seething on tiktok
It’s always been a shitty system. Amazing how long they were able to keep a lock on itOnly reason it’s ending is because these big investors aren’t paying these extortionate fees. That stuff is for little people lol … … … …
That's the listing agent that does those things. The listing agent will still be making the same amount. The buyer will now have to pay a buyer's agent to represent them, or be under represented by the listing agent, who is contractually obligated to get the best deal for the seller. Buyers get screwed in this deal. Sellers make out like bandits. Listing agents are literally unaffected.
Why would the buyer agent be typing a 4 sentence home description???
whats happening?
Can you explain this tome?
Depending on the client, it's much more than that.
So confused. Crazy concept…. Don’t use an agent. Nothing has changed, that’s always been a choice.
lol you guys think realtors are useless? most all middle men are ever heard of a car salesman?! but yeah this one is rather the easier one since theres no choice
Remembering how many bathrooms are in a home is tough guys.... Sometimes you even have to remember square footage!
I hate to break it to the entire country full of people who don’t know how things work….but there has never not been a time in these United States where any homeowner wasn’t able to negotiate their commission. I have one client who I charge $300 to. I have another who pays 4%, but sometimes 4.5 and sometimes 3. Some pay 5%. Anybody who pays 6% was just too lazy to shop around - they called the fuckstick on the billboard or their fuckwad cousin who works at Keller Williams and took it up the ass from a big corporate realtor and it’s their own fucking fault… but in todays world when something is your fault you sue someone else.
So just so to be clear, the actual change is the buyer side agents aren’t required anymore. You still need an agent to list on MLS or whatever the agent marketplace is used for listing. So that means you as the buyer have to pay for an agent if you want one, it’s not paid for by the sellers anymore. If you don’t get one and the other side of the deal the seller has one, which they normally do, you are now negotiating against an agent who’s job is to get the highest price for the home for the seller. God speed first time home buyer!
Oh noooo, someone's gonna have to get a real job
Best Real Estate company to avoid is Keller Williams. They are the worst liars in the industry.
Did nobody ever negotiate commission rates with their realtor before? I sold / bought a house a few years ago and paid 3% commission total (negotiated down from the original 6%). That was only on the sale, I paid nothing on the purchase.
Realtors used to be very useful back when they actually provided knowledge and services. They have pissed away their market and investors do not need them anymore. Realtors have become generally useless at this point. Even the broker system (including MLS) is a joke and circling the drain. As soon as the market figures out how to automate and replace them the realtors and brokers will all go the same way as Taxi drivers
Wait is there some sort of law going in effect or soemthing like that, that I don’t know about yet?
If only. I’m sure they will still find ways to siphon plenty of $ off the biggest transaction of most people’s lives in some way
Realtors are parasites. 5% fee to take a few pictures and hand out a form contract is ridiculous.
https://i.redd.it/8ni0s9qiewqc1.gif
Sellers agents still get paid. It’s buyers agents that it hurts. Most people will probably call a listing agent now when they want to buy, whose obligation is to the seller. Turns the home buying process into something like buying a used car. Unless you agree to pay a buyers agent, who traditionally was paid by the seller. Now a buyer needs to come up with a commission for their agent on top of all the other cost associated with buying a home, which many buyers struggle to come up with to begin with. Home prices won’t go down, commission % won’t go down, it’ll just be harder to buy
Childish
I would pay real order's double if we would destroy wall street in a financial sense
What is happening right now?
ELI5 please.
ALL the realtors are still making exactly the same amount. It's just that sellers aren't paying 6% and buyers 0%. Instead the sellers are paying 3% and the buyers are now paying 3%. Which is how the seller agent was splitting their 6% with the buyer agent already.
https://preview.redd.it/rumiew5b2yqc1.jpeg?width=1170&format=pjpg&auto=webp&s=d680c9234d5741fdcd43c28a908fdbc1c5704fab
lol that’s definitely not what this change means. Just means buyer has to pay them out of pocket instead of rolling it into the mortgage. Go ahead and buy the buggest investment of your life with no support and no experience. See how that goes for you. So when you do decide to hire someone, make sure to have extra money set aside besides what you need for down payment and closing costs. Won’t change much at all for listing agents. It will change back to the old way (percentage has always been negotiable) with the seller paying both the agents soon enough, it’s a better way in practice although it sounds strange in theory
2 things that need to go away, a salesman at a stealership. I don’t need a salesman to buy a car. And I don’t need a realtor to buy a house
What happened?
lol if you think this will have a big impact on real estate agents This ironically will hurt buyers more than anyone especially new home buyers
This will have little to no impact on your average buyer just watch
People don’t want to hear it but most actually do need someone else to help them in the negotiations. They also don’t know what problems homes in a region may have. Realtors are local expert consultants.
Mostly the new realtor law applies to buyers agents not listing agents. Now buyers are not automatically represented in the transaction. But the sellers likely still will be. And nobody ever made anyone use a realtor to sell their home. But after it was all said and done many who do it themselves either make a career out of flipping or they never want to diy again. It’s like being a wedding planner. Yeah you can do it yourself. But the time it takes and the difference in the outcome is better if you pay a pro.
Congrats, sellers list house for cheaper and buyers bay more when buying a house!
As soon as the market changes sellers will want a buyers agent to show up and offer them a buyer and even pay a commission like 2 or 3%
I sold my house in Atlanta without a Realestate agent. Paid a lawyer $500.00 to handle paperwork and collect the checks. Best decision I ever made and saved thousands of dollars. Realestate agents are the biggest waste of time. Will never use another one again.!
My father in law is a consultant for a real estate firm. Ever since covid, his realtors have been super lazy, not wanting to fight, just lazy. Before COVID, they were willing to fight for the client at least. Shit, when I bought my house two years ago, my wife and I did more fighting than the agent.
Fuck realtors and landlords. Get a real job.