131–140 of 220 posts
Earlier quoted context omitted.
But what's preventing realtors from defecting and offering their services for a lower rate?
The other agent won't bring clients to you if the cut is too low.
This article reads as if hiring a person to help broker a deal worth several hundred thousand dollars on something as intimate as a house is silly when it's not. I don't use a travel agent to buy a $250 plane ticket because I know exactly what I want and I know exactly what I'm getting and there's not a third party involved (there's no seller of the seat, just the airline.) The realtor isn't there because you don't h…
A good realtor can guide you through the market, inspections, and negotiation - all of which hugely affect the largest investment most people make. But that's no reason for them to demand a PERCENTAGE off the sale of the home! Closing fees plus realtor fees are a big reason why it takes so long for a home to break even for most people - something like 7 years in NYC. And one reason why there's so much pressure for ho…
People who routinely paid 20% to tip a waitress for a meal but don't want to pay a tip for someone who hugely affect the largest investment people make, This is just being cheap and rather foolish.
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,…
Realtors really are awesome when you need to get from one house to another quickly and smoothly.
I read the article, but I still don't understand how the National Association of Retailers enforce the 5-6% total commission. Does anyone know? The incidence question (is the fee "paid" by the buyer or seller) is a semantic one, but if the cartel is able to inflate the total fees, that's something else entirely.
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
If a buyer’s agent gets any percentage of a sale, the buyer’s agent and the buyer have misaligned interests. They might ‘represent’ the buyer, but the buyer’s agent has the same economic incentives as the seller (higher price, faster sale, fewer contingencies).
when i came to the US the idea of a person making a commission on the sale of real estate was foreign to me. in my home country most ppl sell and buy real estate themselves. agents are used for special situations. when i tried to call an owner in the bay area to buy from them directly and offered to pay for any lawyer of their choice to have paperwork drafted and reviewed they pooped their pants. i never understood w…
A good realtor can guide you through the market, inspections, and negotiation - all of which hugely affect the largest investment most people make. But that's no reason for them to demand a PERCENTAGE off the sale of the home! Closing fees plus realtor fees are a big reason why it takes so long for a home to break even for most people - something like 7 years in NYC. And one reason why there's so much pressure for ho…
People who routinely paid 20% to tip a waitress for a meal but don't want to pay a tip for someone who hugely affect the largest investment people make, This is just being cheap and rather foolish.
[1]https://www.bankrate.com/personal-finance/tipping-survey/
Earlier quoted context omitted.
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.
I think they’d love to be paid a flat fee or by hour, regardless of whether the transaction goes through or not, just like restaurant staff being well paid and not rely on tip. But such is the commission world and have no idea how it all came to be this way.
Earlier quoted context omitted.
People who routinely paid 20% to tip a waitress for a meal but don't want to pay a tip for someone who hugely affect the largest investment people make, This is just being cheap and rather foolish.
fine, but let's not compare meal cost to a house. that 6% is very arbitrary. i never got how selling a home in a major metropolitan area would require 10 times as much work for a realtor than a house in the middle of nowhere midwest for 200k. the flat percent doesn't make sense.