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After a $1.8B verdict, the clock is ticking on the 6% realtor commission

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Re: After a $1.8B verdict, the clock is ticking on the 6% realtor commission

#51

Post by hibikir »

pixl97 wrote: post #28
SoftTalker wrote: post #17

Earlier quoted context omitted.

And there are a lot of fear tactics used as well. Or FUD, at least. "Don't skip the inspection, what if something is wrong" sounds sensible but pre-purchase home inspections are quite surface level, will only find visible, obvious problems, and in the fine print they disclaim responsibility if they miss anything.

I mean yea, but also not yea. It's definitely you get what you pay for. If you have a good home inspector they may be able to tell you something like "Yea, the roof is fucked", or "That crack you didn't notice in the foundation is really bad news". I don't build homes nor do I troubleshoot them on a daily basis. Someone that does, and has a at least a modicum of experience will still notice more than I.

It definitely isn't: There is little repeat business, and realtors do a lot of the recommendations. So you absolutely can end up paying top dollar for an inspection that appears thorough, but is nowhere near good enough.

It's just a very inefficient market, fraught with dark corners. That's why people hate it. A world where an expensive inspector actually meant higher quality would be far better than what we have

Re: After a $1.8B verdict, the clock is ticking on the 6% realtor commission

#52

Post by [deleted] »

akavi wrote: post #26
x86x87 wrote: post #22

Earlier quoted context omitted.

It's mostly due to the fact that in order to list a house or find a house you need to use a system called MLS. In order to use the system you need to be a realtor. It's quite simple actually

But what's preventing realtors from defecting and offering their services for a lower rate?

[deleted]

Re: After a $1.8B verdict, the clock is ticking on the 6% realtor commission

#53

Post by davidrupp »

jsnejekdnd wrote: post #48
k2xl wrote: post #16

Ever since I bought my first house I have always hated the concept of realtors. Maybe before the internet it made sense because it wasn't easy finding houses. But what value does a realtor actually bring in the age of Zillow, Redfin, etc... Also - the percent structure has never made sense to me. Why should a realtor make more money just because the house is more expensive? Does a realtor really deserve to make 60k o…

[flagged]

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Re: After a $1.8B verdict, the clock is ticking on the 6% realtor commission

#54

Post by quickthrower2 »

SV_BubbleTime wrote: post #36
k2xl wrote: post #16

Ever since I bought my first house I have always hated the concept of realtors. Maybe before the internet it made sense because it wasn't easy finding houses. But what value does a realtor actually bring in the age of Zillow, Redfin, etc... Also - the percent structure has never made sense to me. Why should a realtor make more money just because the house is more expensive? Does a realtor really deserve to make 60k o…

I bought on short sale and my realtor made it happen. Made $180,000 when I sold that place. Used the same realtor buying the next place, it was down to 8 people that put offers in on the only day showing. We got it because she knew a couple of tricks, one not exactly ethical. She is a family friend and normal people would have got 1/2 the work from her. A hardworking realtor can absolutely make a difference. Good luc…

Of course it is very zero sum and sharky. If you get a place below market value or sell it above that is great for you but someone else has to lose. So all these commissions are taken from all and the mean average person has no advantage. Bad value for money on average.

Re: After a $1.8B verdict, the clock is ticking on the 6% realtor commission

#55

Post by UncleMeat »

roflyear wrote: post #47

Lots of people hating on realtors here, but my buying realtor: - Put up with me through several offers that fell through due to issues with the house - Met me quickly several times to see houses in a very hot market (covid) - Constantly found me homes that met my criteria - Was able to "get the dirt" on the homes and give me good advice for the homes that fell through, not pressuring me to buy And my selling realtor,…

Okay so that's a good service. Is that worth $20,000? $40,000?

I'd love to pay by the hour for service. There aren't many such realtors.

Re: After a $1.8B verdict, the clock is ticking on the 6% realtor commission

#56

Post by Nursie »

6%! That's a huge amount on a house sale.

In the UK your estate agent (seller's agent) usually takes 1-2%, and there are cheaper ways to do it like self-listing. You then get a conveyancer (a lawyer) on each side to actually do the work, and they usually work for a fixed fee.

6% is huge.

Re: After a $1.8B verdict, the clock is ticking on the 6% realtor commission

#57

Post by haiwbndnd »

SV_BubbleTime wrote: post #36
k2xl wrote: post #16

Ever since I bought my first house I have always hated the concept of realtors. Maybe before the internet it made sense because it wasn't easy finding houses. But what value does a realtor actually bring in the age of Zillow, Redfin, etc... Also - the percent structure has never made sense to me. Why should a realtor make more money just because the house is more expensive? Does a realtor really deserve to make 60k o…

I bought on short sale and my realtor made it happen. Made $180,000 when I sold that place. Used the same realtor buying the next place, it was down to 8 people that put offers in on the only day showing. We got it because she knew a couple of tricks, one not exactly ethical. She is a family friend and normal people would have got 1/2 the work from her. A hardworking realtor can absolutely make a difference. Good luc…

[flagged]

Re: After a $1.8B verdict, the clock is ticking on the 6% realtor commission

#58

Post by crazygringo »

roflyear wrote: post #47

Lots of people hating on realtors here, but my buying realtor: - Put up with me through several offers that fell through due to issues with the house - Met me quickly several times to see houses in a very hot market (covid) - Constantly found me homes that met my criteria - Was able to "get the dirt" on the homes and give me good advice for the homes that fell through, not pressuring me to buy And my selling realtor,…

That's all great.

And nobody's saying don't pay realtors for their work.

They're saying, certainly don't pay them 6%, and preferably not a percentage at all. Just pay them like a contractor or anyone else you hire -- either a flat fee or by the hour, depending on the exact services.

Re: After a $1.8B verdict, the clock is ticking on the 6% realtor commission

#60

Post by UncleMeat »

koolba wrote: post #23
choppaface wrote: post #6

Earlier quoted context omitted.

And title insurance

Of all the scams associated with real estate transactions, title insurance is kind of legitimate. The title chain itself may be recorded, but there may be some lien against the property that was not properly recorded. That’s the situation you protecting against. Now whether that’s worth .5-1% is debatable.

Title insurance is a real thing, but it is wildly overpriced for the actual risk.
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