The end of the Agent?
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Jay HinrichsBusiness Member
Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votesOriginally posted by @Marc Winter:
If all buyers and sellers were fluent in the practice of real estate, perhaps agents and brokers will end up like buggy whip manufacturers. But most buyers and sellers are not experienced with the process and market values as a full-time professional and experienced agent. Most real estate clients and customers need help to close a property. Let's revisit this topic in the middle of the next market downturn to see who is left standing when all the SHTF.
Analytics are great, but real estate has always been and still remains a local business, margins and commission rates notwithstanding.
My wife is a top producing resi agent with many first time home buyers.. I listen to her on the phone sometimes and the amount of handholding that goes on.. not just from technical aspects IE the general public has very little working knowledge how real estate works.. but just the emotional hand holding.. IE dealing with inspections.. you leave it to people with no intermediary and transactions volume will plummet..
57 Replies
- Las Vegas, NV · Member since 2018 · 405 posts · 474 votes7y
@Steve Vaughan, having the commissions come out of seller proceeds means the SELLER is paying for it and the buyer is not. Having it shown as a seller debit on the HUD is not hiding it. Should we also accuse every other entity of "hiding" fees from buyers when they are being charged to the seller?? Of course there would be no proceeds if there were no buyer. By this logic then the seller's transfer tax, HOA resale pkg, HOA demand, seller's title fees, heck even seller's capital gains or FIRPTA tax, and everything else usually charged to seller would also be "hidden" from buyers. This is just a silly argument.
- Real Estate Agent · Springfield VA · Member since 2018 · 480 posts · 400 votes7y
@Greg Kapourellos I don't know the bad stories you've had with real estate agents but I perceive some resentment in your words.
Misinformation is dangerous for the average person that can't see the whole picture. This companies base their marketing campaigns on avoiding the agent comision basically implying, we agents don't add value.
Good agents...
Empathize with their clients and make them feel comfortable in stressful situations.
Good agents...
Make their customers have a clear understanding of the transaction process so they know what's next.
Good agents...
Communicate effectively so the client has full knowledge of the situation at any time.
Etc.
Not all agents are good. I believe the ones that are good if they become underpaid they won't be able to provide the best service possible and the process of buying/selling a house will become tougher for the average person due to the lack of humanity.
The whole digital transformation, it's a bit scary, if we lose the human factor, we will become robots as well.
Just look at the kids with their iPad's...
I think good agents are here to stay without dropping comisions.
- Rental Property Investor · East Wenatchee, WA · Member since 2014 · 10k+ posts · 16k+ votes7y
Originally posted by @Casey Powers:
@Steve Vaughan, having the commissions come out of seller proceeds means the SELLER is paying for it and the buyer is not.
This is just a silly argument.
Only on a forum with agents that want the status quo in perpetuity or sellers that don't bother would a fun debate with gravel in it about whether a buyers agent costs buyers money or not could fall absolutely flat.
Like I was saying. My buyers that retain an agent do it happily. They know what they are paying . They are not told by some incompetent or liar agent that having a buyer's agent is free. My whole point.
The topic is too real apparently. Anything involving thousands of dollars and missed deals gets ignored as usual. Better get back to who picks up the dog poop and should I install a $25 ceiling fan or not. I'm out.
- Real Estate Agent · Staten Island, NY · Member since 2015 · 64 posts · 21 votes7y
@Russell Brazil I completely agree with you , when it slows down that is when a good agent will shine most and earn a better commission.
A good agent will position your property correctly and know the local market.
They is a ton of driving , education the buyers and sellers that is done best in person from my experiences .
Originally posted by @Casey Powers:
This is apparently a sensitive subject and was hoping to let it die; but, never done a deal before? Who's making stuff up now?? I've actually purchased three properties and sold one. Honestly, I haven't had the best experiences with title companies; one company sucked, the other was good. On two out of four transactions they screwed up. I caught what would have amounted to a $500 mistake and they didn't care. It can seem as if they feel entitled to the business. This is just my experience and I'm not saying they are all bad. I stand by my statement that I think tech disruption would benefit consumers in that space (i.e. property deed recordation moving to blockchain ledger etc.). Anyway, I truly appreciate and have benefited from the services of all skilled RE professionals and apologize if I gave the impression that I have disdain for the industry. Now, can't we all be friends?
Originally posted by @Joaquin Camarasa:
@Greg Kapourellos I don't know the bad stories you've had with real estate agents but I perceive some resentment in your words.
Misinformation is dangerous for the average person that can't see the whole picture. This companies base their marketing campaigns on avoiding the agent comision basically implying, we agents don't add value.
Good agents...
Empathize with their clients and make them feel comfortable in stressful situations.
Good agents...
Make their customers have a clear understanding of the transaction process so they know what's next.
Good agents...
Communicate effectively so the client has full knowledge of the situation at any time.
Etc.
Not all agents are good. I believe the ones that are good if they become underpaid they won't be able to provide the best service possible and the process of buying/selling a house will become tougher for the average person due to the lack of humanity.
The whole digital transformation, it's a bit scary, if we lose the human factor, we will become robots as well.
Just look at the kids with their iPad's...
I think good agents are here to stay without dropping comisions.
You make some good points. I have honestly had great results and very much appreciate the agents I have worked with. Don't mean to come off as resentful. Just trying to look to the future and yes, I think there is room for technology and humans to coexist. Check out Elon's company Neuralink. Now who wouldn't want to use super human AI to price comps or calculate a BRRRR??
- Las Vegas, NV · Member since 2018 · 405 posts · 474 votes7y
@Greg K. Of course we can be friends. Especially if you quit comparing realtors to "stealerships"? LOL. It does come off a bit resentful. I am the first to admit there are some crap agents out there, usually part timers who don't really do much and never get much experience. The full timers normally bust their butts to give people a good experience and help protect their clients from problems, and often have to protect clients from themselves. People get so emotional, like someone else pointed out, most deals would probably blow up before closing if left between just buyers and sellers.
I've caught some mistakes at title too. That's partly what I go to signings for. No one and nothing is infallible, not even blockchain ;-)
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