WSJ: Beware real estate cartel

[Anonymous]

Anonymous wrote:Recently listed my condo for sale. First time ive sold a place in a long time. I was kind of shocked that the selling agent doesn't actually show the house to prospective buyers. They list on the MLS and sit back. Okay, so they don't actually do a showing, I figured they would at least get feedback and talk to the buyer/buyer's agent....nope, there's some ShowingTime app which exists for feedback, but out of dozens of showings I think we got 1 to provide comments.

The place wasn't selling, every time I tried to check in with the agent it was, "well the Facebook views are really high so we are doing a great job marketing it!" I understand that agents aren't magic and can't make a sale happen, but it sure felt like the seller's agent wasn't doing jack shit. biggest scam industry that exists.

What the realtor did not tell you that the only things that can sell the property are

1. Attractive pictures
2. A good price

There’s nothing else the realtor can do for you. They can negotiate on your behalf when an offer comes in. That’s it. It is a pretty good gig for them.

[Anonymous]

Anonymous wrote:My realtor was absolutely useless. I got all the listings. She got us in with her access, of course, but I found the places online. She submitted our prefer. And then when things got awkward with the sellers (they didn’t do the agreed upon work, still had stuff in the yard and house on closing day, etc) she did NOTHING. The lady at the title company helped us work out a solution by holding money in escrow until they completed the clean out and agreed upon repairs. It made me so mad. And we corked over $15,000 for this “work”. At most, it was worth maybe $300. At MOST.

I agree with OP. Realtors are a scam.

More and more people are understanding the useless involvement of realtors. Why do you think they look for first time homebuyers? Because they are naive and don't question back any of these things that may be an experienced buyer won't let them slide.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Recently listed my condo for sale. First time ive sold a place in a long time. I was kind of shocked that the selling agent doesn't actually show the house to prospective buyers. They list on the MLS and sit back. Okay, so they don't actually do a showing, I figured they would at least get feedback and talk to the buyer/buyer's agent....nope, there's some ShowingTime app which exists for feedback, but out of dozens of showings I think we got 1 to provide comments.

The place wasn't selling, every time I tried to check in with the agent it was, "well the Facebook views are really high so we are doing a great job marketing it!" I understand that agents aren't magic and can't make a sale happen, but it sure felt like the seller's agent wasn't doing jack shit. biggest scam industry that exists.

What the realtor did not tell you that the only things that can sell the property are

1. Attractive pictures
2. A good price

There’s nothing else the realtor can do for you. They can negotiate on your behalf when an offer comes in. That’s it. It is a pretty good gig for them.

Again why don’t you do it if it is so easy?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Recently listed my condo for sale. First time ive sold a place in a long time. I was kind of shocked that the selling agent doesn't actually show the house to prospective buyers. They list on the MLS and sit back. Okay, so they don't actually do a showing, I figured they would at least get feedback and talk to the buyer/buyer's agent....nope, there's some ShowingTime app which exists for feedback, but out of dozens of showings I think we got 1 to provide comments.

The place wasn't selling, every time I tried to check in with the agent it was, "well the Facebook views are really high so we are doing a great job marketing it!" I understand that agents aren't magic and can't make a sale happen, but it sure felt like the seller's agent wasn't doing jack shit. biggest scam industry that exists.

What the realtor did not tell you that the only things that can sell the property are

1. Attractive pictures
2. A good price

There’s nothing else the realtor can do for you. They can negotiate on your behalf when an offer comes in. That’s it. It is a pretty good gig for them.

Again why don’t you do it if it is so easy?

Because FSBOs are often ghosted by agents, and independent offers are often not taken "seriously" by agents. There is nothing inherently difficult (or that requires special expertise) about purchasing or selling property. I've done it and so have my non-native speaking family, but agents will actively work against people who try to circumvent the system. Settlement attorneys do the heavy lifting in closing and their fees are a fraction of what agents charge.

[Anonymous]

Anonymous wrote:Real estate agents are lazy idiots who don’t add much value to society. Good riddance.

This.

[Anonymous]

Anonymous wrote:

Anonymous wrote:What are you prattling on about? A “few hours of work?” What are you smoking that gives you such delusions?

You're an ignorant troll if you think otherwise. RE agents are paid WAAAAAY to much in commission comparable to the work they actually do. Pre-internet, maybe they earned it, but now.....not a chance.

Rephrase...the RE AGENCIES get paid waaayy too much commission. The actual realtors who are part of an agency get a very small portion of that 6%.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What are you prattling on about? A “few hours of work?” What are you smoking that gives you such delusions?

You're an ignorant troll if you think otherwise. RE agents are paid WAAAAAY to much in commission comparable to the work they actually do. Pre-internet, maybe they earned it, but now.....not a chance.

Rephrase...the RE AGENCIES get paid waaayy too much commission. The actual realtors who are part of an agency get a very small portion of that 6%.

Doesn't matter who gets paid what but 5-6% is still a lot of money for the useless work without any legal advice or skin in the game. This has to come down.

[Anonymous]

I just wanted to add that I hate Realtors. They are, as a general group, not that bright and the digital revolution has made them largely obsolete.

But, they infiltrated state houses long ago so state laws are on their side apparently.

[Anonymous]

All you jaw flappers are still complaining about real estate agents. Still wondering why you don't become agents if they are useless, have no skin in the game, and are largely obsolete but yet make ridiculous sums of money for doing nothing.

[Anonymous]

Anonymous wrote:All you jaw flappers are still complaining about real estate agents. Still wondering why you don't become agents if they are useless, have no skin in the game, and are largely obsolete but yet make ridiculous sums of money for doing nothing.

They're like the stock brokers of the 80s and 90s. Technology has made them largely obsolete with the except of the elderly and the technologically illiterate. There's enough fat in those margins to have many, many competitors squeeze them like eTrade and Ameritrade did to stock brokers 20+ years ago.

[Anonymous]

Anonymous wrote:

Anonymous wrote:All you jaw flappers are still complaining about real estate agents. Still wondering why you don't become agents if they are useless, have no skin in the game, and are largely obsolete but yet make ridiculous sums of money for doing nothing.

They're like the stock brokers of the 80s and 90s. Technology has made them largely obsolete with the except of the elderly and the technologically illiterate. There's enough fat in those margins to have many, many competitors squeeze them like eTrade and Ameritrade did to stock brokers 20+ years ago.

So, I'll only make $750,000 this year instead of $800,000? Quelle dommage!

[Anonymous]

Anonymous wrote:All you jaw flappers are still complaining about real estate agents. Still wondering why you don't become agents if they are useless, have no skin in the game, and are largely obsolete but yet make ridiculous sums of money for doing nothing.

This is not the time to become a relator as very soon they would have to be ok with much less commission. There is no justification for such a high commission with nothing bringing of the value here. A HS kid could do a better job if license and other requirements are out.

[Anonymous]

Anonymous wrote:I just wanted to add that I hate Realtors. They are, as a general group, not that bright and the digital revolution has made them largely obsolete.

But, they infiltrated state houses long ago so state laws are on their side apparently.

I don't think there is any law that says that agents need to be paid 5-6%. Also, there is no law that says you have to use them either. Tons of FSBO, other private listings get sold all the time.

[Anonymous]

FSBOs are easy to do. It is a lot of commission to save if you are willing to do that.

Had one transaction on FSBO and it was the easiest of my life.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I just wanted to add that I hate Realtors. They are, as a general group, not that bright and the digital revolution has made them largely obsolete.

But, they infiltrated state houses long ago so state laws are on their side apparently.

I don't think there is any law that says that agents need to be paid 5-6%. Also, there is no law that says you have to use them either. Tons of FSBO, other private listings get sold all the time.

There is no law but the point is that may be engaging in anticompetitive behavior to keep these high fees.