Author Topic: Avoiding buyers agent fee when acquring real estate  (Read 913 times)

yorkville

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Avoiding buyers agent fee when acquring real estate
« on: November 25, 2017, 09:31:57 PM »
I bought real estate before through Redfin, and it rebated half of the buyer agent commission. But it seems to have retreated from this recently and is more focused on representing seller now. To get around that, I did some research on how to approach the listing agent directly and to negotiate a lower rate.

It seems the buyer can submit an offer with an addemdum that states the offer is valid with the proviso the seller and the listing agent modify their sales and listing agreement to reduce the total commission (usually 6%) and cooperating member commission (usually 3%). If the addemdum asks the total commission to reduce to 4% and cooperating member commision to zero, I think both the seller and the listing agent would be generally receptive.

Any thoughts on this?

Mr. Green

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #1 on: November 26, 2017, 09:55:27 AM »
The sellers agent should be perfectly happy with a reduction to 3% because that's the max they'd take anyway in a traditional sale. For all you know the seller's agent could only be getting 5% total split between the two agents so 3% would be an upgrade.
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iowajes

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #2 on: November 26, 2017, 10:28:43 AM »
The commissions sellers pay to agents is none of the buyers business. Make your offer based on what you want to pay. It doesn't change the contracts they have.

boarder42

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #3 on: November 26, 2017, 10:34:26 AM »
The commissions sellers pay to agents is none of the buyers business. Make your offer based on what you want to pay. It doesn't change the contracts they have.

Yes it is because the net cash received by the seller would go up or allow for a lower purchase price for the buyer 3% is upwards of 6k on a 200k plus property and totally worth using in a negotiation.
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iowajes

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #4 on: November 26, 2017, 11:51:01 AM »
The commissions sellers pay to agents is none of the buyers business. Make your offer based on what you want to pay. It doesn't change the contracts they have.

Yes it is because the net cash received by the seller would go up or allow for a lower purchase price for the buyer 3% is upwards of 6k on a 200k plus property and totally worth using in a negotiation.
But sellers agree to pay a commission, how various agents split it isn't up to them. An agentless buyer doesn't change the contract signed, the selling agent just doesn't split.

boarder42

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #5 on: November 26, 2017, 02:28:15 PM »
The commissions sellers pay to agents is none of the buyers business. Make your offer based on what you want to pay. It doesn't change the contracts they have.

Yes it is because the net cash received by the seller would go up or allow for a lower purchase price for the buyer 3% is upwards of 6k on a 200k plus property and totally worth using in a negotiation.
But sellers agree to pay a commission, how various agents split it isn't up to them. An agentless buyer doesn't change the contract signed, the selling agent just doesn't split.

It can in the specific case the op is defining it makes alot of sense. An agent has to present a proposed sale to a client. Regardless of how that proposal affects the contract between them.
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yorkville

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #6 on: November 26, 2017, 06:37:41 PM »
Thank everyone for the helpful comments.

The listing agreement between the seller and and the listing agent absolutely matters to the buyer. The flow of money is from (1) buyer pay total price to seller, (2) seller pay 6% commission to listing agent, (3) listing agent pay 3% cooperating commision to buyer agent. Clearly if the buyer agent is not present, the buyer should ensure the seller is aware of that, and reduce the commission paid to listing agent in step 2 to 3%, thus increasing the seller's net.

Acutally how agents split up the fee is usually specified in the listing agreement. See paragraph below from Northwest MLS form 1A-SWF, typically used in Washington State:

4. COMMISSION. If during the Listing Term (a) Seller sells the Property; and the buyer does not terminate the agreement prior to closing; or (b) after reasonable exposure of the Property to the market, Firm procures a buyer who is ready, willing, and able to purchase the Property on the terms in this Agreement, Seller will pay Firm a commission of (fill in one and strike the other) _________% of the sales price, or $ ____________________ (“Total Commission”). From the Total Commission, Firm will offer a cooperating member of MLS representing a buyer (“Selling Firm”) a commission of (fill in one and strike the other) ________% of the sales price, or $ ________________.


So clearly, if the buyer comes without a buyer agent, this paragraph should be modified to reflect 0% cooperating commission. Of couse, the seller and the listing agent are still free to negotiate a new total commission percentage, it is unlikely the seller would still agree to 6%. I feel it is this circuitous route which the buyer agent commission is paid allows the real estate industry to perpetuate the fallacy such as "buyer agent is free to the buyer", "if you go without a buyer agent, the listing agent would just keep the entire commission, and you won't save money".

In some states, if the buyer comes without an agent, the listing agent becomes a dual agent. In some listing agreement, the total commission is reduced to 4.5% for a dual agent. However, in such case, I have seen the listing agent suggesting the buyer to use a colleague of the listing agent as the buyer agent. Then the listing agent does not become a dual agent, and collectively, with his colleage, they capture the entire 6%.
« Last Edit: November 26, 2017, 06:52:52 PM by yorkville »

Goldielocks

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #7 on: November 26, 2017, 06:52:06 PM »
I had a scenario with no buyers agent, and the listing agent refused to change the commission from the full amount.   The seller's contract with the listing agent is for the full amount, and is deliberately worded as such. 

IDK, maybe we should have tried harder, but we got the price we wanted, and the seller was the one who lost out, because I agree with this thread, it just did not work out that way when we tried.

yorkville

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #8 on: November 26, 2017, 06:57:43 PM »
I had a scenario with no buyers agent, and the listing agent refused to change the commission from the full amount.   The seller's contract with the listing agent is for the full amount, and is deliberately worded as such. 

IDK, maybe we should have tried harder, but we got the price we wanted, and the seller was the one who lost out, because I agree with this thread, it just did not work out that way when we tried.

yes, I ran into this problem also when attempting to negotiate the commission with the listing agent. In my subsequent research, I stumbled across the suggestion I mentioned above: stating that the offer is only valid with the proviso that the listing agreement is modified to reflect 0% commission for buyer agent. Then this way, the buyer is bypassing the listing agent, and putting the decision in the hands of the seller.

And Mr Green's suggestion is even better. The offer should simply include the proviso that the listing agreement to be modified to 3% total commmision with zero for cooperating commission. Second thought, maybe the offer should start with a 2.5% total commission......
« Last Edit: November 26, 2017, 07:06:50 PM by yorkville »

yorkville

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #9 on: November 26, 2017, 07:45:43 PM »
WRT Goldielocks' comment above "The seller's contract with the listing agent is for the full amount, and is deliberately worded as such. ", I found the following in the NWMLS listing agreement:

2. AGENCY/DUAL AGENCY. Seller authorizes Firm to appoint ____________________________________________
as Seller’s Listing Broker. This Agreement creates an agency relationship with Listing Broker and any of Firm’s brokers who supervise Listing Broker’s performance as Seller’s agent (“Supervising Broker”). No other brokers affiliated with Firm are agents of Seller, except to the extent that Firm, in its discretion, appoints other brokers to act on Seller's behalf as and when needed. If the Property is sold to a buyer represented by one of Firm’s brokers other than Listing Broker (“Buyer’s Broker”), Seller consents to any Supervising Broker, who also supervises Buyer’s Broker, acting as a dual agent. If the Property is sold to a buyer who Listing Broker also represents, Seller consents to Listing Broker and Supervising Broker acting as dual agents. If any of Firm’s brokers act as a dual agent, Firm shall be entitled to the entire commission payable under this Agreement plus any additional compensation Firm may have negotiated with the buyer. Seller acknowledges receipt of the pamphlet entitled “The Law of Real Estate Agency."

It seems dual agency applies if the buyer agrees to be represented by the listing agent or someone working in the same firm as the listing agent. In that case, according to paragraph 2, the listing agent is entitled to the full commission. Then the buyer needs to simply refuse dual agency, rendering this paragraph not applicable.

I just noticed that paragraph 2 also includes this gem:  "plus any additional compensation Firm may have negotiated with the buyer.". it seems the listing agent is free to negotiate additional commission from the buyer directly in addition to the amount the seller has agreed to pay. Yet the real estate industry pretends the commission % agreed upon in the listing agreement is set in stone, and none of the buyer's business.

Finallyunderstand

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #10 on: November 27, 2017, 10:29:13 AM »
I'm a realtor so I'm sure I'm biased but I would ask this question...

How did you (or any buyer) discover the property they eventually put an offer on? 

Most likely you found it based on the agents advertising, marketing, online ads, zillow, trulia, etc which all pull from the MLS system that agents pay thousands of dollars to belong to so to say you found the home on your own without an agent is false unless is was 100% OFF MARKET and you were made aware of it by word of mouth.  You found the home BECAUSE of the agent.  So the agent did his/her job and attracted a buyer.  Just because the buyer says they aren't using an agent to write up a contract doesn't mean an agent wasn't the reason the buyer got involved in the first place. 

I'm not saying you need to use the listing agent to write up a contract, but the listing agent did their job and attracted you to the listing so to then tell them to cut commission is not right.  I would much rather work with another agent representing a buyer than a buyer working on their own because more often than not contracts and many other aspects of the transaction are done incorrectly and I've ended up working harder and putting out more fires than I would if a professional was on the other side.

Now I know I will probably get responses along the lines of "I sold/bought a home by myself and it was a seamless transaction".  Of course there are outliers to every situation.  Just like a person getting a winning lottery ticket on their first try.  Sometimes things just fall into place for someone but you don't often hear people voluntarily discussing their failures on forums like this. 

my 2 cents.

Psychstache

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #11 on: November 27, 2017, 12:59:00 PM »
I'm a realtor so I'm sure I'm biased but I would ask this question...

How did you (or any buyer) discover the property they eventually put an offer on? 

Most likely you found it based on the agents advertising, marketing, online ads, zillow, trulia, etc which all pull from the MLS system that agents pay thousands of dollars to belong to so to say you found the home on your own without an agent is false unless is was 100% OFF MARKET and you were made aware of it by word of mouth.  You found the home BECAUSE of the agent.  So the agent did his/her job and attracted a buyer.  Just because the buyer says they aren't using an agent to write up a contract doesn't mean an agent wasn't the reason the buyer got involved in the first place. 

I'm not saying you need to use the listing agent to write up a contract, but the listing agent did their job and attracted you to the listing so to then tell them to cut commission is not right.  I would much rather work with another agent representing a buyer than a buyer working on their own because more often than not contracts and many other aspects of the transaction are done incorrectly and I've ended up working harder and putting out more fires than I would if a professional was on the other side.

Now I know I will probably get responses along the lines of "I sold/bought a home by myself and it was a seamless transaction".  Of course there are outliers to every situation.  Just like a person getting a winning lottery ticket on their first try.  Sometimes things just fall into place for someone but you don't often hear people voluntarily discussing their failures on forums like this. 

my 2 cents.

Ok, but if he contract is a 6% commission with 3% paid out to the buyer's agent, and you (the agentless buyer) offer a bid with the stipulation that it changes to 3% commission with 0% paid out, how is the seller's agent losing out? They would get the exact same amount of money in scenario 2 as they would have in the original scenario 1, no?

marty998

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #12 on: November 27, 2017, 01:09:29 PM »
6% sounds like an inordinately high fee. Going rate in Australia is 1.5-2% payable by vendor to selling agent. Buyers agents are quite rare, most people will just turn up at an advertised open house and inspect it themselves.

Sound like you agents make a killing over there.


iowajes

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #13 on: November 27, 2017, 01:15:16 PM »
6% sounds like an inordinately high fee. Going rate in Australia is 1.5-2% payable by vendor to selling agent. Buyers agents are quite rare, most people will just turn up at an advertised open house and inspect it themselves.

Sound like you agents make a killing over there.

Here it is rare to buy a house from an open house. Most agents use them to find clients to show other houses.

However the 6% rate is split by 2 agents- a buying and a selling. So the rate is only 3%.

If you choose not to use a buyers agent, that's on you.  The seller pays them, not the buyer. 
If the buyer's contract says a 6% commission and then the offer comes in that says only a 3% commission will be paid; the buyer doesn't get to decide that- they would have to convince the agent to change their contract, or take a 3% hit themselves since they already agreed to a 6% fee.

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #14 on: November 27, 2017, 01:29:00 PM »
I've been in this situation before.  Approached to reduce commission to just the 3%, but many agents are very defensive on this in my experience.

Instead, I found a local realtor who will split the buyers commission with you.  So at close she gets her 3%, and then I get a check for half of that.  I've used her a few times before, I know there are others in the area with a similar setup, but she worked for me on two houses, others I've closed off the MLS but those are investment houses.

boarder42

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #15 on: November 27, 2017, 01:38:17 PM »
my 2 cents MLS and real estate agents are a dinosaur.

with zillow etc there is not really much need for either to exist anymore and you should be able to arrange a flat fee for someone to provide the service of taking pictures and putting a key on your porch. 

Its a racket that will likley be defunct in the next 10 years.  Agents all over my area already offer low costs to get into the dinosaur that is MLS.  Its a gross waste of dollars at 6% fees even 3% of a house price just to list it in an archaic system take some photos and put a key on the front porch.  you own a 500k house we need 30k for that service you own a 100k house we need 6k

effort is the same but you make 24k more - nonsense poppycock!
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Psychstache

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #16 on: November 27, 2017, 02:05:21 PM »
my 2 cents MLS and real estate agents are a dinosaur.

with zillow etc there is not really much need for either to exist anymore and you should be able to arrange a flat fee for someone to provide the service of taking pictures and putting a key on your porch. 

Its a racket that will likley be defunct in the next 10 years.  Agents all over my area already offer low costs to get into the dinosaur that is MLS.  Its a gross waste of dollars at 6% fees even 3% of a house price just to list it in an archaic system take some photos and put a key on the front porch.  you own a 500k house we need 30k for that service you own a 100k house we need 6k

effort is the same but you make 24k more - nonsense poppycock!

Agreed. Can't wait for this to die. It'll probably be a slow burn though, with the NAR lobbying efforts.

Back to the OP, if realtors are going to get defensive about it, I wonder if offering a reduction to 4.5% commission would be a better alterantive. seems win, win, win. Buyer gets to be more competitive than other offers, agent makes more money than they would if there is a buying agent, seller saves him/her self 1.5% in fees compared to other offers.

boarder42

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #17 on: November 27, 2017, 02:30:32 PM »
its just wildly hilarious that a real estate agent would get defensive about it.

I'm sure its the dream scenario - some one sees the home on zillow and contacts you - boom double commission.  but most should go into it thinking i'm gonna get 3% or whatever that number is for half the commission.  And they are morally obligated to present any offer to a client regardless of how it affects them in their pocket books. Plus its in their best interest to sell the place and knowingly listing and expecting 3% and then being taken a back when some one asks you to accept just that is boarderline an immoral reaction IMO but whatever floats their boat and yes the lobbies are what are slowly killing this country.
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Bourbon

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #18 on: November 27, 2017, 02:44:09 PM »
its just wildly hilarious that a real estate agent would get defensive about it.

I'm sure its the dream scenario - some one sees the home on zillow and contacts you - boom double commission.  but most should go into it thinking i'm gonna get 3% or whatever that number is for half the commission.  And they are morally obligated to present any offer to a client regardless of how it affects them in their pocket books. Plus its in their best interest to sell the place and knowingly listing and expecting 3% and then being taken a back when some one asks you to accept just that is boarderline an immoral reaction IMO but whatever floats their boat and yes the lobbies are what are slowly killing this country.

There is some additional work required when representing both sides I'm sure.  Especially if the buyer has not purchased before or recently.  Handling the inspection etc. 

I can imagine a scenario where it is beneficial to the listing agent to agree up front with the buyer that if there is no other agent, they will work both sides for just a 4.5% fee.   Even if equivalent offers come in, seller gets to keep more, agent gets more, etc.  Probably some realtor bylaws against it though.

Fishingmn

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #19 on: November 28, 2017, 10:00:53 AM »
my 2 cents MLS and real estate agents are a dinosaur.

with zillow etc there is not really much need for either to exist anymore and you should be able to arrange a flat fee for someone to provide the service of taking pictures and putting a key on your porch. 

Its a racket that will likley be defunct in the next 10 years.  Agents all over my area already offer low costs to get into the dinosaur that is MLS.  Its a gross waste of dollars at 6% fees even 3% of a house price just to list it in an archaic system take some photos and put a key on the front porch.  you own a 500k house we need 30k for that service you own a 100k house we need 6k

effort is the same but you make 24k more - nonsense poppycock!

FYI - I'm an agent.

I just want to play devil's advocate on MLS going away in favor of Zillow.

- MLS provides almost all of the date that Zillow relies upon
- MLS has strict enforcement standards to try and ensure accurate listing information. If consumers enter data about their own house how many will fudge the size or other important information?
- MLS provides all of the accurate data on closed sales to provide the basis for calculating values.
- Zillow makes the vast majority of their money on taking the realtors own listing data, creating a great website to view it and then selling leads back to agents. What's their model without realtors?
- Zillows estimates (zestimates) are still way too far off in many cases to be used as a basis for pricing. Are you going to rely on that? Are you going to make appraisers the basis for setting pricing going forward with no MLS giving you accurate data? Appraisers use MLS for their own pricing.
- Realtors are licensed fiduciary agents. You want them to go away for these large and somewhat complex transactions and you think there won't be huge numbers of abuses? What % of people are able to buy/sell on their own without any guidance?

Will there be continued pressure on agents regarding their commissions/fees? Yes. Personally, I would never charge 6%. But I have a hard time envisioning MLS going away in favor of Zillow anytime real soon.

And regarding your example of the $500k vs $100k house. According to NAR the average agent makes $46k/year while being an independent contractor with no benefits. That's hardly a lot of money for a profession you think is overpaid. Maybe you'd like to see a flat fee that's the same for every house? Won't that mean the fee for lower priced homes will have to go up substantially? Everyone pays $15k would be detrimental to the vast majority of lower priced homes.

Maybe you'd like to go to a per hour fee? Will consumers be willing to pay $100+/hour? My garage door place just billed me $90/hour for some guy with a lot less skills and responsibility than an agent. Won't their be all kinds of disputes about the hours charged? I've had clients who lost out on multiple bids 4 times before finally getting a house on the 5th try. Probably showed them 40+ houses. It would really stink for them if I was getting paid by the hour and they kept getting out bid. What if they never do end up buying - now they owe a fee anyway.

If you can overcome all of these issues you could make a lot of money.

boarder42

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #20 on: November 28, 2017, 11:44:21 AM »
my 2 cents MLS and real estate agents are a dinosaur.

with zillow etc there is not really much need for either to exist anymore and you should be able to arrange a flat fee for someone to provide the service of taking pictures and putting a key on your porch. 

Its a racket that will likley be defunct in the next 10 years.  Agents all over my area already offer low costs to get into the dinosaur that is MLS.  Its a gross waste of dollars at 6% fees even 3% of a house price just to list it in an archaic system take some photos and put a key on the front porch.  you own a 500k house we need 30k for that service you own a 100k house we need 6k

effort is the same but you make 24k more - nonsense poppycock!

FYI - I'm an agent.

I just want to play devil's advocate on MLS going away in favor of Zillow.

- MLS provides almost all of the date that Zillow relies upon
- MLS has strict enforcement standards to try and ensure accurate listing information. If consumers enter data about their own house how many will fudge the size or other important information?
- MLS provides all of the accurate data on closed sales to provide the basis for calculating values.
- Zillow makes the vast majority of their money on taking the realtors own listing data, creating a great website to view it and then selling leads back to agents. What's their model without realtors?
- Zillows estimates (zestimates) are still way too far off in many cases to be used as a basis for pricing. Are you going to rely on that? Are you going to make appraisers the basis for setting pricing going forward with no MLS giving you accurate data? Appraisers use MLS for their own pricing.
- Realtors are licensed fiduciary agents. You want them to go away for these large and somewhat complex transactions and you think there won't be huge numbers of abuses? What % of people are able to buy/sell on their own without any guidance?

Will there be continued pressure on agents regarding their commissions/fees? Yes. Personally, I would never charge 6%. But I have a hard time envisioning MLS going away in favor of Zillow anytime real soon.

And regarding your example of the $500k vs $100k house. According to NAR the average agent makes $46k/year while being an independent contractor with no benefits. That's hardly a lot of money for a profession you think is overpaid. Maybe you'd like to see a flat fee that's the same for every house? Won't that mean the fee for lower priced homes will have to go up substantially? Everyone pays $15k would be detrimental to the vast majority of lower priced homes.

Maybe you'd like to go to a per hour fee? Will consumers be willing to pay $100+/hour? My garage door place just billed me $90/hour for some guy with a lot less skills and responsibility than an agent. Won't their be all kinds of disputes about the hours charged? I've had clients who lost out on multiple bids 4 times before finally getting a house on the 5th try. Probably showed them 40+ houses. It would really stink for them if I was getting paid by the hour and they kept getting out bid. What if they never do end up buying - now they owe a fee anyway.

If you can overcome all of these issues you could make a lot of money.

1. why do i need an agent to show me a house - oh yeah b/c the cooked up this racket that you have to use them to take you into a house thats listed in the current system where 90% of the market lists their homes.  this is a waste of a human's time and money

2. i'd much rather pay a real estate attorney who actually understands the law behind housing than some one who may or may not be a college graduate who took some classes and passed a test to walk me thru a home buying process and documentation.

3. the avg income for real estate agents is not relevant as i find their job to be irrelevant.

4. yes i understand how zillow currently works but a database can be kept and maintained for much much less in today's world than the cost of a real estate agent and MLS.

5. yes i'd pay you per hour if you had a law degree as stated above and provided real value other than what in my opinion is an overpaid PR job when you look at the percentage of money people pay to sell a house to an agent b/c of a dinosaur system.

6. stop with the big scary nonsense - its a transaction - is it a large transaction yes.  but i can hire an inspector and evaluate what i think a house is worth without an agent.  also the bank will do that for you as well with their appraiser - yes i know they use MLS sales as comps but again - we just need a database for that - maybe every time a house is sold 100 dollars goes to maintaining that database.
« Last Edit: November 28, 2017, 11:46:17 AM by boarder42 »
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afox

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #21 on: November 28, 2017, 03:42:45 PM »

Some basics on how much RE agents pocket from commissions:
https://www.investopedia.com/articles/personal-finance/080714/how-do-real-estate-agents-get-paid.asp

The only thing that is left out is that much of a RE agents time and energy is spent attracting new business, advertising, open houses, etc. 

In my opinion its a horribly inefficient system that takes advantage of loose mortgage lending, ridiculous complexity, and the failure of buyers and sellers to negotiate on commissions.  When I listed my house it was easy to negotiate on a listing commission. 

A replacement to the current system would probably rely on auctions to sell homes.




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Re: Avoiding buyers agent fee when acquring real estate
« Reply #22 on: November 28, 2017, 05:38:59 PM »
"And regarding your example of the $500k vs $100k house. According to NAR the average agent makes $46k/year while being an independent contractor with no benefits."

As a mostly retired, now self employed FIRED person... I will point out that the income that self employed people draw is more related to their need for income, rather than the potential of the career.  (once they are established).

I could easily make a lot more and I choose to limit my hours / fees to what I want.   I would guess it is the same for many realtors.  Also that many realtors only stay in the profession a couple of years (the lean years) and then bow out for more money, so statistics may be inaccurate.

Mr. Green

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Re: Avoiding buyers agent fee when acquring real estate
« Reply #23 on: November 30, 2017, 03:24:03 PM »
I totally understand where a real estate agent wouldn't want to do extra paperwork for no money. However, thinking that writing up a contract for a buyer with no agent is worth a 3% commission on a six figure property is one of the reasons I despise many in the profession. You could hire the most expensive real estate lawyer in town and they could write that contract for less.

The attorney (closing company) is the one that does most of the heavy lifting anyway (HUD1 statements, escrow service, etc). The 6% commission model is a relic from the pre-internet era that needs to go away. I guarantee you that no agent today works as hard to sell a house as an agent did 30 years ago and the fee they receive should reflect the transformation the internet has has brought to the industry. The only reason it hasn't is the monopoly Realtors have on the system.

It won't belong before someone figures out how to break up that monopoly effectively and the whole landscape will change.
FIRE, Take Two.