Anyone catch the news regarding commissions and an antitrust lawsuit the NAR was involved in? Thoughts on how it impacts the market going forward? Im guessing home selling/buying could wind up a bidding process for represetation.
Anyone catch the news regarding commissions and an antitrust lawsuit the NAR was involved in? Thoughts on how it impacts the market going forward? Im guessing home selling/buying could wind up a bidding process for represetation.
@kennethandmacy
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The news is still sifting down on the ruling, though it appears the European system was viewed by those judicially. At home, the commission rates are 7% on homes and different for commercial property. This will be interesting to follow. Those realtors making significant incomes, by focusing significant turns and on larger properties, could be coming to a close.
I'm no longer a realtor but I don't think it'll change much of anything. Even if they tighten-up the rules, agents/agencies will find a way around it. We just listed our house at 5% but that's on the low side for around here. I don't think sellers are aware of how much of an advantage they have in a seller's market. Inventory is low and realtors will give their left nut to sign a listing because it's pretty much a guaranteed commission. Never hurts to ask about a lower rateOriginally Posted by Rick Pierce
Some people are so judgemental. You can tell just by looking at 'em.--Some random meme
Some forward thinking realtors have been offering 3% commissions for years as a way to get more business. I personally don't think it will affect the market much.
Wonder if James Watson will weigh in soon with an angry video or make a guest appearance on a Podcast complaining about a possible decline in his Real Estate Commissions?
Have sold a few homes over the last 40 years and can tell a hack from a pro after a conversation. A couple percent is quite a bit of $$$$ in today's market. I would rather find a realtor who is eager than one who does it as a part time job. There are professionals and hacks in any profession. Went with a 'I know a person' to actually selecting/interviewing and it paid off for us more than once.
Everything is negotiable, sold our house last June, everybody wanted 6%, we kept saying we wanted to interview more agents, They started calling the next day saying they would take 4%. House sold first weekend for a bunch over asking. They realized 4% was better than 0%
Mike Wright '07 Ranger 520vx
Henrico Va./Henrico NC.
Even with the changes the seller can still agree to pay the buyer's agent. However, if the buyer's do need to pay their own agent then I think most buyer's will forgo getting an agent as it is already tough for many to afford a home. It may result in a race to the bottom in commissions to some degree and the larger brokerages may end up running out the smaller ones as they can make it up on volume. If the listing agent doesn't need to split a commission then we may see 3% as the new level.
This cracked me up
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No matter what it is it’s too much. Realty fees has gotta be one of the biggest rip offs I can think of.
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I don’t disagree but remember forty some years ago accepted a job that required a move and needed to sell my house in order to buy one in different locale.
I went with a good realtor because I was out of town working during the week. They found a qualified buyer that had a big enough down payment to assume my loan rather than pay the high interest rate of the early 80’s. We closed thirty days later and had a contract on another house that we moved right into. The commission was a lot less than letting it set empty for a few months while paying rent in the new locale as I needed the equity in order to purchase another home.
Since then have sold two houses ourselves and will probably sell a third one in the future.
As long as there are other options on selling your home besides a realtor then I don't know if I like the overall idea of it all.
If a house is listed with a 3% commission, the only person who will show it is the listing agent. When I worked realestate, I did not show houses listed at less than 6% unless they were really expensive.
P01135809
They can skew it any way they want, but the buyer pays the commission, always has.
How much does it cost to get a real estate license?
Very true. If the Seller does not agree to pay the buyer's agent then the buyers looking at that house will likely not have a realtor. I would expect the listing agent will find out if the seller is willing to pay a buyer's agent and if not then the commission will be determined at that point. Given technology most buyers will likely be able to find a listing and may forgo hiring a buyer's agent.
And that is where the lawsuit comes from. Commissions have always been negotiable. I sold an estate where the seller wanted to pay me 5% and told me I was not to pay the buyers agent. This wasn't 300k worth of real estate but 4.5 million. Why? I could never get a straight answer but she was adamant that she wasn't going to pay the buyers agent even when I mentioned I would split it with them. All but 2 of the smaller properties sold.
Luckily you don't have to use one. Just sell it yourself
Some people are so judgemental. You can tell just by looking at 'em.--Some random meme
Man I know so many people who were nobodies before and got lucky jumping into realty in 2020. Made more money than they ever had and now think their hot shots until this year. I’m interested in how this will affect them. I’m guessing the more seasoned ones will get through it easier.
A-Pass Weikel institute of real estate. Seems like it was around $700 in 2005, joining the club was pretty pricey though at the time. Maybe $2500
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