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I live in Ohio and know nothing of this land of mythical 7% commissions. 5-6% for your standard big name brokerages and half that for discount brokers. Market is blazing hot around here...no need to be overpaying RE commission.
Where did this Buyers Agent thing come from anyway. It only gained speed in the last 15 years or so on Long Island prior to then I never heard of it.
Why should the Sellers agent split with the Buyers agent? Now the sellers agent wants a larger commission because of the split, no way
In this day if the internet, if the sellers agent does a proper job preparing the listing (good photos and description on a well prepared web page) why would anyone with internet access need a buyers agent??
Just wait long enough, these people are being replaced by apps daily.
I had a friend go to real estate school in less than a 6 months and for less than 5,000$.
The gall that someone here compared themselves to a Medical Doctor.
Most people don’t want to trust the biggest transaction of their life to an app . It’s different than booking a flight or hotel room .
There are already a lot of options for people to list their home themselves on the MLS for a nominal fee, but the majority of people just don’t want to do it . Then even if you do list yourself the buyer will most likely have their own agent so you’ll still have to pay them .
I just don’t see agents/brokers going away anytime soon .
Just wait long enough, these people are being replaced by apps daily.
I had a friend go to real estate school in less than a 6 months and for less than 5,000$.
The gall that someone here compared themselves to a Medical Doctor.
I have no horse in the race whatsoever.
But if you think people will let unaccompanied strangers in their home when they're trying to sell it you've been partaking in something bad for you.
People have, and have had, the option to sell it by themselves on websites with apps for a long time now. And they usually chose not to.
In interviewing realtors for my deceased aunt's house one had a range of commission rates, based on how much work she had to do. It did include 7%, but at that rate she coordinated EVERYTHING. One could move out of the house and she coordinated getting moving estimates, over saw the movers you choose and paid for, met with gardeners, house keepers, etc. to maintain things after you left (you still paid for the services), had utilities turned off, etc. at that rate, the owner could just leave, as with jab transfer and she coordinated everything and sold the house. Probably worth it for a transferred executive person.
In interviewing realtors for my deceased aunt's house one had a range of commission rates, based on how much work she had to do. It did include 7%, but at that rate she coordinated EVERYTHING. One could move out of the house and she coordinated getting moving estimates, over saw the movers you choose and paid for, met with gardeners, house keepers, etc. to maintain things after you left (you still paid for the services), had utilities turned off, etc. at that rate, the owner could just leave, as with jab transfer and she coordinated everything and sold the house. Probably worth it for a transferred executive person.
and a remote seller trying to settle a deceased/infirmed relative's home.
In interviewing realtors for my deceased aunt's house one had a range of commission rates, based on how much work she had to do. It did include 7%, but at that rate she coordinated EVERYTHING. One could move out of the house and she coordinated getting moving estimates, over saw the movers you choose and paid for, met with gardeners, house keepers, etc. to maintain things after you left (you still paid for the services), had utilities turned off, etc. at that rate, the owner could just leave, as with jab transfer and she coordinated everything and sold the house. Probably worth it for a transferred executive person.
Interesting . what was the lowest commission and what services did she offer for that one?
Where did this Buyers Agent thing come from anyway. It only gained speed in the last 15 years or so on Long Island prior to then I never heard of it.
Why should the Sellers agent split with the Buyers agent? Now the sellers agent wants a larger commission because of the split, no way
In this day if the internet, if the sellers agent does a proper job preparing the listing (good photos and description on a well prepared web page) why would anyone with internet access need a buyers agent??
Get a good RE Attorney and call it done
Yes, the buyer's agent system drives up overall commission transaction costs for buying and selling homes. That's not a good thing. With two mouths to feed in the transaction, the ability to drive down commission costs is more difficult.
There is also very little choice in the matter. Buyers can decide not to use a buyer's agent but that does not necessarily translate into a reduction in your cost as it's built into the 'system'. You might be in a better negotiating position but the impact of deciding to forgo a buyer's agent does not directly impact your cost.
So most people just use a buyer's agent thinking that it's "free". Why not use one? If they get at least a little value out of it, they feel they are better off. But if the buyer's agent cost is 10k, who makes sure that you get 10k of value from it. It's well known that people value things that are perceived as free much less than things they pay for. So buyers have low expectations and sellers don't care what kind of service the buyer's agent gives the buyer, they just want their house sold. Very little accountability for the value created by buyer's agents. Buyer's agents say that they are not there to sell the listing agent's house but are there 100% to service the buyer. The NAR says differently as they describe the purpose of the buyer's agent is to help sell the listing agents house in a cooperative selling model. And, buyer's agents are paid by the sellers agent so it's not conceivable to say that they don't (at least in some way) work for the seller's agent. Anywhere in life, if you want to know who people are truly working for, look at who funds their pay check and you have your answer. Too complicated, too confused.
Finally, as I've said many times, I know of no other major market in the world where there is a buyer's agent system like in the USA. For example, in England, you can pay about 1% (trending downward) for a traditional, full service agent to sell your home. Alternate discount models are challenging the traditional guys hard. It's a mature RE market with high home ownership. No buyer's agents (except for a very small niche where the buyer pays for that service) exist. It's not part of the system and no seller pays for this, nor would they. Agent works for the seller, not the buyer. Buyers know this and it's all very clear. No system is perfect but I'd much prefer a simpler and cheaper one. In the US, the system creates the worst of both worlds - buyers and sellers are not well served (look at the poor reputation that agents generally have) and it's extremely expensive.
What makes the US so different that buyers need an agent paid for by the seller but supposedly working in the interests of the buyer? NAR says they are there to sell the seller's agent's house but agents say they are there to work for the buyer. Is this clear to anyone? No. It's a confused, perverse and overly expensive. Buyer's agents "own" the pool of buyers out there so sellers have very little choice but to pay for a buyer's agent or they know that it will be very difficult to sell their home. Buyers work with agents (and fall under their "ownership") because they think that it's free. Perfect system from the industry's perspective. Very bad from a consumer's perspective. Positive change in the industry will not come until the existing buyer's agent system is dismantled.
my question is , what does a real estate agent do to ask 7% commission on the sale of your home?
yes they list it on a web site, but I feel that you either like a house or you don't ,the house is in a good school system or it isn't , you like the neighborhood or you don't .
how does this add up to 7%?
You must live in NY state? That's what we paid. Pitiful, isn't it?
Where did this Buyers Agent thing come from anyway. It only gained speed in the last 15 years or so on Long Island prior to then I never heard of it.
Why should the Sellers agent split with the Buyers agent? Now the sellers agent wants a larger commission because of the split, no way
In this day if the internet, if the sellers agent does a proper job preparing the listing (good photos and description on a well prepared web page) why would anyone with internet access need a buyers agent??
Get a good RE Attorney and call it done
LawnGuyLand is only a sliver of the civilized world. (And their hockey team sucks.)
Buyers' Agency has been around for 40 years or more.
It is a service to buyers, when compared to unrepresented buyers and/or seller sub-agency.
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