What an interesting thread! I would like to share a few ideas that seem to be overlooked involving using real estate brokers and agents. Just my ten cents, YMMV.
1) Clients can and should negotiate the commission percentage. Try it. You do not have to pay the suggested or requested commission percentage. Negotiate up front before you partner with a real estate agent/office. Also interview multiple agents/offices to gain a better feel, how they will "work for you". I keep reading throughout this thread how some agents only did a few non-value add activities or gave basic advice. Not all real estate transactions are the same, some require more or less marketing, preparation, or negotiating with parties, etc. Furthermore, not all agents are created equally. Only by interviewing more agents can you begin to understand what is the agents specialty, background, work ethic, workload, marketing if selling, support team and most importantly, communication style. Many of these intangibles make or breaks your real estate relationship and over all experience. So, I highly recommend everyone please do your due diligence and research qualified real estate agents. Doing so, helps reduce your stress and enables you to gain an very important ally. Then, you will be armed with more knowledge how to negotiate with your agents on what is a reasonable commission. :)
2) Quality real estate agents bring tremendous value to clients on both sides of the table. Many of us know how confusing and stressful a first-time home purchase becomes. Even for a second time buyer do you really have the time, experience and resources to dedicate while working a full-time job and raising your family? Your time is limited. A seasoned, reputable and ethical real estate adds value by navigating you through the entire real estate purchase or sale process. Also great real estate agents also act as fiduciaries too. Yes there are countless stories how some agents are not ethical or serving as fiduciaries. I am not including those kinds of agents; many of those agents can be excluded when conducting your research.
Something often overlooked is how lenders and sellers alike do not like dealing with buyers who are inexperienced and/or do not have a real estate agent acting on their behalf. There is just so much to be knowledgeable about that it is extremely easy to overlook things experienced agents are aware of, but you the DIY buyer/seller will not. Be honest and ask yourself some of these basic questions? As a DIY buyer, do you know the protocols involved dealing with tenant occupied properties and showings when there are no open houses scheduled? Not all properties have open houses to the public. Do you know how to gain access to pocket listings? Do you know how to coordinate with other real estate firms to obtain disclosure packages? More importantly, do you actually understand what you are looking at during a visual property inspection, let alone the huge disclosure package? Do you understand the neighborhood, the lot, local planning department and other important intangibles not captured by resources like Zillow and Redfin? Do you know how to negotiate and get infront of the seller's agent/office so your offer is given serious consideration? Remember you are competing with other buyers who probably have someone working for them, while you are at work or otherwise busy living life. Real estate agents deal with each other, lenders, title companies, planning departments, a lot more than the public realizes. Some of the most important parts of a real estate transaction are all about managing the most efficient ways of interfacing with all these people, while being meticulously detailed-oriented and staying ahead of very tight deadlines. I have seen it time and again especially in the Bay Area where buyers get only one shot at making an offer. When you overlook something in the paperwork process because you do not know the requirements and/or you do not have a broker proofing your offer before it is submitted, you the DIY buyer are increasing your chances of getting a rejected offer or worse, something going wrong without your knowledge.
YMMV in other cities but I feel when time is not on your side, that probably is not the most prudent time to be experimenting and learning real estate pitfalls at the expense of potentially losing a purchase or sale. Good luck!
Lastly, I completely agree with Fishingmn who accurately observed, "Realtors take on all of the risk in the current "% of final sale" model. Many people list but don't sell and many buyers want to go look at houses that never buy. In some ways, agents may be better off with a fee for service model. Personally, I've started a 2 tier listing commission option where I charge 5.5% under a normal model or 4.7% if the seller pays a $500 non refundable deposit (credited toward final commission). That way the seller is paying all of my up front marketing expenses whether or not the home sells. I think both parties benefit in this if they really want to sell and not just test the market."