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Old 11-05-2023, 07:42 AM
 
Location: Cary, NC
43,265 posts, read 77,043,330 times
Reputation: 45612

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Quote:
Originally Posted by moguldreamer View Post
Are any terms of that settlement public? I wonder if the remedies in that settlement are merely money, or if there is some change in business practices.
Here you go:

https://news.remax.com/remax-llc-settlement-agreement
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Old 11-05-2023, 09:27 AM
 
5,959 posts, read 3,706,857 times
Reputation: 16985
Quote:
Originally Posted by MikeJaquish View Post
You speak from inexperience and lack of understanding of brokerage management.
Brokerages will protect agents who perform for them. That will not change, regardless of rules.

And, this competition that concerns you is exactly what the plaintiffs and the court want.
Regardless, the brokerage will get their revenue, their commission shares, whether the agents make money or not. That is how it is today and will not change.
So you admit that you can't, or WON'T, address my comments specifically. I'm not at all surprised. That's typically what you do. When you can't defeat the argument/logic that's presented, you change the subject.
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Old 11-05-2023, 10:20 AM
 
7,736 posts, read 3,778,838 times
Reputation: 14610
Quote:
Originally Posted by Chas863 View Post
If all commissions are negotiable and agencies can't set any minimum, then how are real estate agencies going to stay in business? Any agent with the company could cut the throat of another agent in his same company by offering to list a property for a slightly lower commission.
You say that as if it were a bad thing. It sounds like you are in favor of collusive price fixing.

Quote:
Originally Posted by Chas863 View Post
This means that a shrewd seller could play one agent against another agent in the same company, not to mention the fact that he could play one company against another company.

Example:

Agent Tom: Mr Jones, I'll list your house for only 1.5% commission.

Mr Jones: But Agent Mary (at your company) said that she would list my house for only 1% commission.

Agent Tom: In that case, I'll list your house for only 0.75% commission.

Mr Jones: Let me get back to you. I need to check with Agent Mary to see if she'll list it for 0.5% commission.
Again, you say the above as it were a bad thing. It sounds like you would prefer collusive price fixing of the form of :

Mr. Jones: "Agent Tom, will you list my house for 1.5% commission?"

Agent Tom: "Mr. Jones, if it were up to me, I would, but we in the real estate industry have colluded with one another to implement price fixing. If you want me or ANY agent to list your house, the minimum commission is 6%. Take it or leave it. Your are free, however, to offer me more than 6%."


Quote:
Originally Posted by Chas863 View Post
Where does this end? It appears that it will end with real estate agents working for minimum wage (or less).
Incorrect. It ends at the fair market price. Mr. Supply, meet Mr. Demand.
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Old 11-05-2023, 10:45 AM
 
Location: Cary, NC
43,265 posts, read 77,043,330 times
Reputation: 45612
Quote:
Originally Posted by Chas863 View Post
So you admit that you can't, or WON'T, address my comments specifically. I'm not at all surprised. That's typically what you do. When you can't defeat the argument/logic that's presented, you change the subject.
Actually, I admit that you may be aggressively willfully clueless.

I explained one likely method for brokerages to assure revenue that you asked about.
And, I mentioned one possible means of firms stifling competition between associates, since open competition was another concern of yours, despite it being a topic of the lawsuit.

I like competition and believe it serves the consumer. I'm surprised you are openly opposed to competition. .

Last edited by MikeJaquish; 11-05-2023 at 11:59 AM..
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Old 11-05-2023, 10:53 AM
 
3,140 posts, read 1,595,514 times
Reputation: 8346
Quote:
Originally Posted by Chas863 View Post
If all commissions are negotiable and agencies can't set any minimum, then how are real estate agencies going to stay in business? Any agent with the company could cut the throat of another agent in his same company by offering to list a property for a slightly lower commission.

This means that a shrewd seller could play one agent against another agent in the same company, not to mention the fact that he could play one company against another company.

Example:

Agent Tom: Mr Jones, I'll list your house for only 1.5% commission.

Mr Jones: But Agent Mary (at your company) said that she would list my house for only 1% commission.

Agent Tom: In that case, I'll list your house for only 0.75% commission.

Mr Jones: Let me get back to you. I need to check with Agent Mary to see if she'll list it for 0.5% commission.

Where does this end? It appears that it will end with real estate agents working for minimum wage (or less).
Some will compete by offsetting lower margin by higher volume transactions; some will compete by specialization; unique service offerings; some will wash out. Not all real estate agents/brokers provide equal value.

Competition is good; it forces agencies to differentiate themselves with something of value for a higher commission and customers willing to pay for it.
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Old 11-05-2023, 11:16 AM
 
Location: Occupant of USA.
936 posts, read 423,293 times
Reputation: 1303
Quote:
Originally Posted by MikeJaquish View Post
If the brokerages would truly focus on integrity, training, and supervision these clowns would comply or be run out of the business.
Many SAY they train and support their agents but, unless the agent is a direct employee of the brokerage, there is little they can mandate past legal adherence. Fact is,most brokerages are body shops and know 80% of the agents will be out of business within four years. The top producers they protect even past ethnics to some extent.
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Old 11-05-2023, 11:31 AM
 
Location: Cary, NC
43,265 posts, read 77,043,330 times
Reputation: 45612
Quote:
Originally Posted by StillinICT View Post
Many SAY they train and support their agents but, unless the agent is a direct employee of the brokerage, there is little they can mandate past legal adherence. Fact is,most brokerages are body shops and know 80% of the agents will be out of business within four years. The top producers they protect even past ethnics to some extent.
The brokerages certainly can enforce ethical and legal standards.
The old "We cannot tell independent contractors what to do" is just a lazy or purposeful dodge of responsibility.
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Old 11-05-2023, 01:02 PM
 
Location: Beacon Falls
1,361 posts, read 990,279 times
Reputation: 1767
Quote:
Originally Posted by MikeJaquish View Post
No.
What he said is what he meant.
I am speaking from years in brokerage and contact with hundreds of agents who refer to "standard commission" as a set number.
Silverfall knows exactly what he meant, without semantic acrobatics to rationalize it.
Your eagerness to tell all the rest of us what someone else who you did not even have a convo with meant, and your inability to recognize that people sometimes use the wrong verbiage and may mean something slightly different than the words that actually came out of their mouth, is a tad discomforting.
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Old 11-05-2023, 01:22 PM
 
Location: Cary, NC
43,265 posts, read 77,043,330 times
Reputation: 45612
Quote:
Originally Posted by riffwraith View Post
Your eagerness to tell all the rest of us what someone else who you did not even have a convo with meant, and your inability to recognize that people sometimes use the wrong verbiage and may mean something slightly different than the words that actually came out of their mouth, is a tad discomforting.
Get licensed and spend some time with many agents and you might grasp the training and ethical boundaries so commonly crossed by agents.
There's no place for "standard commission" requests or questions between agents.
A good broker would not stand for it.
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Old 11-05-2023, 01:43 PM
 
558 posts, read 433,850 times
Reputation: 1759
Most of you are too young to remember, but I remember the anti-trust suit against At&T, sometimes known as Ma Bell back then. Supposedly, the breakup would lead to competition and lower prices for the consumer.

No such thing happened.
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