snowaggie said:

---

It's the same 6%. Now it's just going to be paid 3% by sellers and 3% by buyers. In the past it evened out if you were selling and buying the same number of times.

---

You can offer your listing agent any amount to list the home, but you damn well better be offering the buyer's agent a commish.

If not, guess who is going to have a tough time selling?

Hill08 said:

---

Even before this, why would any seller agree to 6%????

---

You can offer the agent listing the home $1 or whatever percentage you think they will take. However, the agent bringing the buyer, better pony up the 3%. Otherwise, your house probably will not be shown unless the buyers insist on paying the agent themselves (not likely)

Shooter McGavin said:

---

BSD said:

---

swc93 said:

---

Get a solid Title Company and Mortgage guy and you don't even need agents.

Current home we live in we bought straight from the owner; all paper work was done at the Title company. Knowing that 30K was on the table; we used that savings to negotiate paying less on the house. We paid less; seller made more; no annoying agents pretending to care about offers or counters or other crap paperwork I swear they create just to make you feel like they are actually doing something besides chauffeuring you around.

---

This is my plan for when we sell.

---

So you plan to sell without an agent? Nothing on MLS? No Realtor handling showings, lockbox, etc?

What incentive does an agent have to bring you a buyer? If you aren't willing to pay a commission to the agent bring the buyer, do you think his buyer is going to pony up?

LOL

---

Easily doable in a sellers market.

If it's a meh market, then you can offer a buyers agent commission.

In a buyers market, having an agent makes sense for many people, between the cartel MLS and the agent / broker having a network.

I thought the outcome of this new law was that the buyers were likely going to need to pay for their agent.

RE and marketing isn't rocket science.

Listing agents will still make their 2.5% to 3% because they're still doing work to market a property for the seller. That's where they create value for their client.

Buyer's agents, however, are in for a rude awakening if they think they're going to reap 2.5% to 3% of a home's value simply for showing homes to buyers. Technology has long since erased the need for that role. We bought six homes from 1997 to 2005 before building our home, and by 2000 the internet made it possible to do your own homework. We only needed an agent to open the doors to homes that we selected. My company paid for all agent fees at the time, so it was no skin off our back. But if we were buying today, we would bypass a buyer's agent and go directly to the seller's agent to arrange showings of the homes we wanted to see. And if for some reason we needed a buyer's agent for a one-off showing, we wouldn't pay a fee anywhere approaching 2.5% to 3% of home value.

Edit to add: you've already seen this transition in other industries. You no longer have to use a travel agent to book travel. You go directly to the site of the seller (airline, cruise, hotel, car rental) and deal directly with them. For the travel agents that remain in business, they do so because they add unique value for their clients that they can't produce themselves. There will still be buyer's agents, but in total they won't rake in near the compensation they did in the past when the industry colluded to protect the scheme.

Shooter McGavin said:

---

snowaggie said:

---

It's the same 6%. Now it's just going to be paid 3% by sellers and 3% by buyers. In the past it evened out if you were selling and buying the same number of times.

---

You can offer your listing agent any amount to list the home, but you damn well better be offering the buyer's agent a commish.

If not, guess who is going to have a tough time selling?

---

Buyers should be willing to pay 2-3% to their "agent", then the quotation marks can come off and the agent will have a fiduciary duty to represent them, not the seller (as in 99% of transactions up to now).

We just bought a home earlier this week and our agent busted their ass to not only show us a handful of homes, but to relay info to their rolodex of folks when we couldn't be present. They checked on the house we decided on when the sellers were making fixes they agreed to do, and even after closing still are checking in on things happening at the house before we move in. Not bad since the seller paid for all of that.

Trying to figure out how the game works on seller side now with our old home and the new rules.

snowaggie said:

---

Shooter McGavin said:

---

snowaggie said:

---

It's the same 6%. Now it's just going to be paid 3% by sellers and 3% by buyers. In the past it evened out if you were selling and buying the same number of times.

---

You can offer your listing agent any amount to list the home, but you damn well better be offering the buyer's agent a commish.

If not, guess who is going to have a tough time selling?

---

Buyers should be willing to pay 2-3% to their "agent", then the quotation marks can come off and the agent will have a fiduciary duty to represent them, not the seller (as in 99% of transactions up to now).

---

Wrong. Read the contract. It clearly identifies to whom the agent is representing.

I love watching the realtors bloviate on this thread. Their whole livelihood was built on a cartel that just got outted.

fc2112 said:

---

I love watching the realtors bloviate on this thread. Their whole livelihood was built on a cartel that just got outted.

---

You didn't mind Realtors so much when I was dragging you around to buy a house. Sold your house on the cheap too didn't I?

malenurse said:

---

JamesPShelley said:

---

ToddyHill said:

---

Quote:

---

All the realtors here pedantically lectured us that commission fees were ALWAYS negotiable, even through they really weren't since the system was set up to bias against anyone not paying the standard 6%.

---

You couldn't be farther from the truth.

First, commissions have always been negotiable, at least they are where we live.
Commissions haven't been at 6% for a very long time, at least where we live.
While I don't disagree that changes needed to be made, any prospective 'looker' will have to sign a contract up front with a licensed realtor just to walk in a place.

The law went to the other extreme.

---

Nonsense. Absolute nonsense. It's been 6% long before you were born. Huge scam that 6%.

There'll be no contract signing. The change is huge and, ahem, used car salesmen real estate agents are significantly going to have to up their game. The free ride is over, and it's a long time coming.

And, it's "further".

---

Thanks for your unbiased opinion on realtors and real estate transactions.

---

Oh, no. Most assuredly it is my biased opinion. Paying that ridiculous 6% over the decades biased me.

Maybe realtors can learn to code... for their gig is up.

Shooter McGavin said:

---

fc2112 said:

---

I love watching the realtors bloviate on this thread. Their whole livelihood was built on a cartel that just got outted.

---

You didn't mind Realtors so much when I was dragging you around to buy a house. Sold your house on the cheap too didn't I?

Years ago we sold our first house by owner. It sold quickly and we kept all the money on the sale and the title company did the hard work. We used a realtor when we sold the second home and it took longer and cost us more money. Realtors do not always mean a faster or more profitable transaction.

---

TexasAggie_97 said:

---

Shooter McGavin said:

---

fc2112 said:

---

I love watching the realtors bloviate on this thread. Their whole livelihood was built on a cartel that just got outted.

---

You didn't mind Realtors so much when I was dragging you around to buy a house. Sold your house on the cheap too didn't I?

---

Years ago we sold our first house by owner. It so.d quickly and we kept all the money on the sale and the title company did the hard work. We used a realtor when we sold the second ho e and it took linger and cost us more money. Realtors do not always mean a faster or more profitable transaction.

---

Markets change. The second time you could have had an entirely different market situation and/or a less marketable home.

But congrats I guess on keeping your money on the first sale.

JamesPShelley said:

---

malenurse said:

---

JamesPShelley said:

---

ToddyHill said:

---

Quote:

---

All the realtors here pedantically lectured us that commission fees were ALWAYS negotiable, even through they really weren't since the system was set up to bias against anyone not paying the standard 6%.

---

You couldn't be farther from the truth.

First, commissions have always been negotiable, at least they are where we live.
Commissions haven't been at 6% for a very long time, at least where we live.
While I don't disagree that changes needed to be made, any prospective 'looker' will have to sign a contract up front with a licensed realtor just to walk in a place.

The law went to the other extreme.

---

Nonsense. Absolute nonsense. It's been 6% long before you were born. Huge scam that 6%.

There'll be no contract signing. The change is huge and, ahem, used car salesmen real estate agents are significantly going to have to up their game. The free ride is over, and it's a long time coming.

And, it's "further".

---

Thanks for your unbiased opinion on realtors and real estate transactions.

---

Oh, no. Most assuredly it is my biased opinion. Paying that ridiculous 6% over the decades biased me.

Maybe realtors can learn to code... for their gig is up.

---

Good realtors will still be good, and the bad ones will soon be removed from the market.

Shooter McGavin said:

---

fc2112 said:

---

I love watching the realtors bloviate on this thread. Their whole livelihood was built on a cartel that just got outted.

---

You didn't mind Realtors so much when I was dragging you around to buy a house. Sold your house on the cheap too didn't I?

---

They're motivated!

Shooter McGavin said:

---

snowaggie said:

---

Shooter McGavin said:

---

snowaggie said:

---

It's the same 6%. Now it's just going to be paid 3% by sellers and 3% by buyers. In the past it evened out if you were selling and buying the same number of times.

---

You can offer your listing agent any amount to list the home, but you damn well better be offering the buyer's agent a commish.

If not, guess who is going to have a tough time selling?

---

Buyers should be willing to pay 2-3% to their "agent", then the quotation marks can come off and the agent will have a fiduciary duty to represent them, not the seller (as in 99% of transactions up to now).

---

Wrong. Read the contract. It clearly identifies to whom the agent is representing.

---

Yes...you're right. When I was in the business that language was on page 5 of the buy/sell agreement in the smallest print allowed by the State. I doubt 1 in 100 buyers knew they weren't being represented by their "agent".

Shooter McGavin said:

---

TexasAggie_97 said:

---

Shooter McGavin said:

---

fc2112 said:

---

I love watching the realtors bloviate on this thread. Their whole livelihood was built on a cartel that just got outted.

---

You didn't mind Realtors so much when I was dragging you around to buy a house. Sold your house on the cheap too didn't I?

---

Years ago we sold our first house by owner. It so.d quickly and we kept all the money on the sale and the title company did the hard work. We used a realtor when we sold the second ho e and it took linger and cost us more money. Realtors do not always mean a faster or more profitable transaction.

---

Markets change. The second time you could have had an entirely different market situation and/or a less marketable home.

But congrats I guess on keeping your money on the first sale.

---

Thanks it was awesome to not pay money to have someone take a few pictures and upload them to realtor.com. That's something any idiot can do hell kids do it all day everyday with social media.

Yeah, that's the only thing the Realtor did

We need legislation allowing sellers to drag appraisers out of their homes to beat the living **** out of them.

Until that happens nothing will change.

Shooter McGavin said:

---

Yeah, that's the only thing the Realtor did

---

So laughable, right? The only agent I will use is Jamie with red pear and that dude has saved me SO MUCH money. He knows what he is doing and is worth every penny and more.

The vast majority of realtors have no skills whatsoever and bring nearly nothing to the table. Again vast majority.

Furlock Bones said:

---

The vast majority of realtors have no skills whatsoever and bring nearly nothing to the table. Again vast majority.

---

Agree. Social media caused it.

People choose representation based on how cute the agent is and how much fun it would be to go house shopping with them.

Gone are the days when the low information buyers actually choose based on experience and knowledge of the market.

Teslag said:

---

We need legislation allowing sellers to drag appraisers out of their homes to beat the living **** out of them.

Until that happens nothing will change.

---

What's your beef with appraisers?

MemphisAg1 said:

---

Listing agents will still make their 2.5% to 3% because they're still doing work to market a property for the seller. That's where they create value for their client.

Buyer's agents, however, are in for a rude awakening if they think they're going to reap 2.5% to 3% of a home's value simply for showing homes to buyers. Technology has long since erased the need for that role. We bought six homes from 1997 to 2005 before building our home, and by 2000 the internet made it possible to do your own homework. We only needed an agent to open the doors to homes that we selected. My company paid for all agent fees at the time, so it was no skin off our back. But if we were buying today, we would bypass a buyer's agent and go directly to the seller's agent to arrange showings of the homes we wanted to see. And if for some reason we needed a buyer's agent for a one-off showing, we wouldn't pay a fee anywhere approaching 2.5% to 3% of home value.

Edit to add: you've already seen this transition in other industries. You no longer have to use a travel agent to book travel. You go directly to the site of the seller (airline, cruise, hotel, car rental) and deal directly with them. For the travel agents that remain in business, they do so because they add unique value for their clients that they can't produce themselves. There will still be buyer's agents, but in total they won't rake in near the compensation they did in the past when the industry colluded to protect the scheme.

---

I suspect in the future seasoned listing agents representing the sellers will have no mercy on know-it-all unrepresented buyers.

The squealing will be loud. Consumer advocates will have a field day. Then the pendulum will swing wildly in the other direction.

Shooter McGavin said:

---

BSD said:

---

swc93 said:

---

Get a solid Title Company and Mortgage guy and you don't even need agents.

Current home we live in we bought straight from the owner; all paper work was done at the Title company. Knowing that 30K was on the table; we used that savings to negotiate paying less on the house. We paid less; seller made more; no annoying agents pretending to care about offers or counters or other crap paperwork I swear they create just to make you feel like they are actually doing something besides chauffeuring you around.

---

This is my plan for when we sell.

---

So you plan to sell without an agent? Nothing on MLS? No Realtor handling showings, lockbox, etc?

What incentive does an agent have to bring you a buyer? If you aren't willing to pay a commission to the agent bring the buyer, do you think his buyer is going to pony up?

LOL

---

Yes.


LOL.

BSD said:

---

Shooter McGavin said:

---

BSD said:

---

swc93 said:

---

Get a solid Title Company and Mortgage guy and you don't even need agents.

Current home we live in we bought straight from the owner; all paper work was done at the Title company. Knowing that 30K was on the table; we used that savings to negotiate paying less on the house. We paid less; seller made more; no annoying agents pretending to care about offers or counters or other crap paperwork I swear they create just to make you feel like they are actually doing something besides chauffeuring you around.

---

This is my plan for when we sell.

---

So you plan to sell without an agent? Nothing on MLS? No Realtor handling showings, lockbox, etc?

What incentive does an agent have to bring you a buyer? If you aren't willing to pay a commission to the agent bring the buyer, do you think his buyer is going to pony up?

LOL

---

Yes.


LOL.

---

Buyers barely have enough to qualify for their loans. Momma has any and all extra funds earmarked for new paint, furniture and flooring.

If you think buyers have the funds to pay the agents, you might want to do more research.

Shooter McGavin said:

---

BSD said:

---

Shooter McGavin said:

---

BSD said:

---

swc93 said:

---

Get a solid Title Company and Mortgage guy and you don't even need agents.

Current home we live in we bought straight from the owner; all paper work was done at the Title company. Knowing that 30K was on the table; we used that savings to negotiate paying less on the house. We paid less; seller made more; no annoying agents pretending to care about offers or counters or other crap paperwork I swear they create just to make you feel like they are actually doing something besides chauffeuring you around.

---

This is my plan for when we sell.

---

So you plan to sell without an agent? Nothing on MLS? No Realtor handling showings, lockbox, etc?

What incentive does an agent have to bring you a buyer? If you aren't willing to pay a commission to the agent bring the buyer, do you think his buyer is going to pony up?

LOL

---

Yes.


LOL.

---

Buyers barely have enough to qualify for their loans. Momma has any and all extra funds earmarked for new paint, furniture and flooring.

If you think buyers have the funds to pay the agents, you might want to do more research.

---

LOL. I'll be fine. Thanks, though.

Shooter McGavin said:

---

Teslag said:

---

We need legislation allowing sellers to drag appraisers out of their homes to beat the living **** out of them.

Until that happens nothing will change.

---

What's your beef with appraisers?

---

Pretty sure he means county appraisal districts who just keep raising appraisals every year based on the fact that government never gets tired of spending money.

I see agencies eventually offering flat fees to buy or sale instead of percentages, since they do basically the same thing no matter the cost of the house. There will be less realtors, but those left will make their money per transaction and agencies will pay out bonuses due to volume.

maroon barchetta said:

---

Shooter McGavin said:

---

Teslag said:

---

We need legislation allowing sellers to drag appraisers out of their homes to beat the living **** out of them.

Until that happens nothing will change.

---

What's your beef with appraisers?

---

Pretty sure he means county appraisal districts who just keep raising appraisals every year based on the fact that government never gets tired of spending money.

---

**** those guys, but I've also had issues with the appraiser when we bought our house. We paid right at market on a per sq ft basis, but the appraiser picked some wild and irrelevant comps that came in around $15 per sq ft short of where they should have.

JamesPShelley said:

---

malenurse said:

---

JamesPShelley said:

---

ToddyHill said:

---

Quote:

---

All the realtors here pedantically lectured us that commission fees were ALWAYS negotiable, even through they really weren't since the system was set up to bias against anyone not paying the standard 6%.

---

You couldn't be farther from the truth.

First, commissions have always been negotiable, at least they are where we live.
Commissions haven't been at 6% for a very long time, at least where we live.
While I don't disagree that changes needed to be made, any prospective 'looker' will have to sign a contract up front with a licensed realtor just to walk in a place.

The law went to the other extreme.

---

Nonsense. Absolute nonsense. It's been 6% long before you were born. Huge scam that 6%.

There'll be no contract signing. The change is huge and, ahem, used car salesmen real estate agents are significantly going to have to up their game. The free ride is over, and it's a long time coming.

And, it's "further".

---

Thanks for your unbiased opinion on realtors and real estate transactions.

---

Oh, no. Most assuredly it is my biased opinion. Paying that ridiculous 6% over the decades biased me.

Maybe realtors can learn to code... for their gig is up.

---

maroon barchetta said:

---

Shooter McGavin said:

---

Teslag said:

---

We need legislation allowing sellers to drag appraisers out of their homes to beat the living **** out of them.

Until that happens nothing will change.

---

What's your beef with appraisers?

---

Pretty sure he means county appraisal districts who just keep raising appraisals every year based on the fact that government never gets tired of spending money.

---

Nope, the ones who will appraise a home for way less than multiple buyers are willing to pay for it based on comps that in no way compare. Then when you object they tell your to find some better comps and contest it. Then you do. Then they still don't budge. And even if they do it's ridiculous you had to do their job for them.

Beating is mild. Should be shot now that I think about it.

Shooter McGavin said:

---

fc2112 said:

---

I love watching the realtors bloviate on this thread. Their whole livelihood was built on a cartel that just got outted.

---

You didn't mind Realtors so much when I was dragging you around to buy a house. Sold your house on the cheap too didn't I?

---

Well, you're more of an appraiser than an agent, right?

And you're the exception to the rule. And you know it.

Shooter McGavin said:

---

I suspect in the future seasoned listing agents representing the sellers will have no mercy on know-it-all unrepresented buyers.

The squealing will be loud. Consumer advocates will have a field day. Then the pendulum will swing wildly in the other direction.

---

Lol, it's not that hard these days to get educated as a buyer without an agent. Plenty of info out there and ways to get access to even more info. It's not a nebulous, mysterious space like it used to be before the internet. When you were looking for a house before the internet, you had to engage a buyer's agent. They had their networks of contacts that were far superior to what an individual buyer could muster on their own. The internet changed that, like it did to a lot of industries.

There will always be lazy, uniformed buyers who don't do their diligence and pay an unnecessary premium when buying a house, a car, or anything else for that matter. And for those buyers who do use an agent, I maintain that the average comp won't be anywhere near the automatic 2.5% to 3% that we saw in the past.

Listing agents, on the other hand, put the property on the market, make great recommendations on how to maximize value, and help cast a wide net of potential buyers. They are incented to maximize value and earn a commission appropriately. I don't see their comp changing materially.

All of this will take time to play out of course. It won't be an overnight change.

MemphisAg1 said:

---

Shooter McGavin said:

---

I suspect in the future seasoned listing agents representing the sellers will have no mercy on know-it-all unrepresented buyers.

The squealing will be loud. Consumer advocates will have a field day. Then the pendulum will swing wildly in the other direction.

---

Lol, it's not that hard these days to get educated as a buyer without an agent. Plenty of info out there and ways to get access to even more info. It's not a nebulous, mysterious space like it used to be before the internet. There will always be lazy, uniformed buyers who don't do their diligence and pay an unnecessary premium when buying a house, a car, or anything else for that matter. And for those buyers who do use an agent, I maintain that the average comp won't be anywhere near the automatic 2.5% to 3% that we saw in the past.

Listing agents, on the other hand, put the property on the market, make great recommendations on how to maximize value, and help cast a wide net of potential buyers. They are incented to maximize value and earn a commission appropriately. I don't see their comp changing materially.

---

I know the internet exists, but it doesn't provide sales prices. Without those you are flying blind. You going to trust Zillow? LOL. Even an "informed buyer" doesn't know what they don't know.

Also, you are negotiating a legal binding contract that can cost you thousands if you don't know what you are doing. There are also time sensitive elements that the layman is not aware of.

It's not as simple as everyone is making it seem, you know, just unlocking doors and putting pictures on the internet.