Reply to New Commission -3%

Forum Index » Real Estate

Reply to "New Commission -3%"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]
"Now, I bet some shady sellers' agents will try to avoid presenting un-represented buyers' offers"

Why would an agent NOT present an offer from an unrepresented buyer? What would be their motivation to do that?[/quote]

NP it creates ethical considerations (yes, believe it or not, there are ethics, even regulations governing real estate agents). Dual agency, etc.

Moreover, it creates more work for THEM if they have to handle both the buyer and the seller. There will be even less incentive to do that now. [/quote]

What ethical consideration are you talking about? The agent has an ethical obligation to present all offers. The listing agent does not have an obligation to to write an offer for an unrepresented buyer though. Depending upon the state, in some cases the agent cannot represent a buyer and can only do ministerial acts. [/quote]

Do you really not understand how dual agency creates ethical issues? How one agent can't really represent both sides in a transaction?

https://www.rockethomes.com/blog/home-buying/dual-agency[/quote]

No shit. The initial post I made asked why a listing agent would not present an unrepreseted buyer's offer to the sellers. It had nothing to do with dual agency. [/quote]

Realtor to realtor: "Scratch my back and I'll scratch yours."
Would likely prefer to sell to a buyer with an agent in order to (1) lessen the work for the sellers' agent in hand-holding the buyer and (2) keep money flowing to the buy-side agent ecosystem. Every agent who sells is also an agent who is buying for another client. To the extent you can promote the norm of buy-side agent fees, the better it is for all parties.

It's similar to agents who steer clients away from Redfin properties or Redfin buyers. You don't promote someone who wants to disrupt the model through lower fees. [/quote]

LOL. You are totally clueless. The listing agent [b]has to[/b] present all offers to the sellers and your hypotheses are nothing more than uneducated speculation. Agents steer clients away from Redfin properties? False. Listing agents having to hand hold unrepresented buyers, false. Every listing agent is also a buyer's agent, false. Promoting the norm of buy-side agent fees, wrong. Nice try dude but you have no idea what you are talking about as is true of 90% of people on this site. Kind of like the post where no one could figure out what a cash buyer is. SMDH. [/quote]

Oh, just like agents don't have a long and sordid history promote redlining, in spite of the law? [url=https://www.bloomberg.com/news/articles/2023-08-11/holding-the-real-estate-industry-accountable-for-segregation]True[/url].
Oh, just like agents are not supposed to steer clients to homes with higher buyer agent fees? [url=https://www.businessinsider.com/real-estate-agent-commissions-steering-hiding-homes-housing-market-lawsuits-2024-3]True[/url].

Agents are "supposed to" do a lot of things. What we do know with certainty is that agents do what is best for their own p,ockets in spite of whatever laws or NAR ethics code is in place. Dual agency happens all the time, in spite of the well-known ethical issues.

We don't know how things are going to shake out, post-NAR settlement. But I can guarantee that agents will do what is best for their pocket book and their industry. Agents are not giving up half their commissions - buyers' agent fees - without a (likely underhanded) fight. [/quote]

It's shocking how these agents / agent-apologists either don't know or don't care how badly their industry abuses their clients. [/quote]

There is absolutely no data to show that agents do what is best for their "own pockets" despite the allegations. [b]Give me one study.[/b][/quote]

You quoted me. I claimed that the industry agents defend "abuses their clients".  There is evidence and lawsuits to support this.

But since you want to focus on agents themselves working against the interests of consumers to their own benefit, here is "one study":

[b]https://www.antitrustinstitute.org/wp-content/uploads/2021/02/1.pdf[/b]
[i]"Competition in the Real Estate Brokerage Industry: A Report by the Federal Trade Commission and the U.S. Department of Justice"[/i]

For context, price competition brings down prices for consumers, and - it necessarily follows - "money in pockets" for agents. Therefore, agents opposing price competition are doing whats best for there "own pockets". The statements from these agents leave no doubt:

[quote]During the course of the investigation, DOJ found evidence that brokers wanted to restrict rebates because they understood that rebates are a form of price competition. As noted in the Complaint, in response to a survey asking brokers whether the Kentucky Real Estate Commission should retain the rebate ban, one broker predicted “[I]f we give rebates and inducements, it would get out of control and all clients would be wanting something. The present law keeps it under control.”247 Another broker predicted: “This [lifting the rebate ban] would turn into a bidding war, lessen our profits and cheapen our ‘so-called’ profession.” Another broker observed: “If inducements were allowed, they could lead to competitive behavior, which would make us look unprofessional in the eyes of the public.”[/quote]

I repeat: It's shocking how you - an agent apologist - either [b]don't know or don't care[/b] how badly the industry abuses clients.

[/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics