Tag: real estate agents

Home Sellers File Real Estate Commission Class Action Lawsuit

Home Sellers File Real Estate Commission Class Action Lawsuit
Wow! On some level I’m really enjoying this. I’ve always maintained that real estate commissions are just too damn high. So imagine my amusement when a class action lawsuit is filed, claiming that 4 of the nation’s largest franchised brokerages conspired with the National Association of Realtors to fix real estate commissions in 25 cities.... Read more »

It's Not A Realtor Conspiracy Keeping Real Estate Commissions High

It's Not A Realtor Conspiracy Keeping Real Estate Commissions High
Last week an editorial appeared in the Wall Street Journal: When You Buy or Sell a Home, Realty Bites. The article was written by the guys at REX, an early stage company that helps sellers sell their homes off the MLS without paying a cooperating commission which I wrote about last month: $75 MM Investment... Read more »

The Real Estate DANGER Report: Agent Competency

The Real Estate DANGER Report: Agent Competency
Several years ago (I think it was around 2014) the National Association of Realtors commissioned Stefan Swanepoel, a real estate industry consultant, to conduct a study of the chief threats facing the real estate industry. He and his colleagues surveyed close to 8000 real estate agents, interviewed 74 senior industry executives, and studied over 6000... Read more »
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How Dual Agency Affects Commissions And Rebates

How Dual Agency Affects Commissions And Rebates
Last week I wrote about how some researchers had measured the cost of dual agency transactions. They were able to determine that home sellers lost roughly 1.4% of the purchase price even when dual agency was disclosed. However, there are also some additional impacts on the home buyer and the seller and it all has... Read more »

More Reasons Why Real Estate Commissions Are So High

More Reasons Why Real Estate Commissions Are So High
I’ve written on numerous occasions about why real estate commissions are so high, covering a wide range of reasons like wasted time, the cost of friendships, and lead acquisition cost – none of which have anything at all to do with the value of the service provided. Recently I ran across a special report from... Read more »

Realtor Logo Redesign Fail Makes Entertaining News

Realtor Logo Redesign Fail Makes Entertaining News
I’m sure that all of you spend your days pondering what exactly a realtor is and that you have a highly emotional attachment to the current realtor logo. Well, for some reason the National Association of Realtors (NAR) decided that the 45 year old logo needed updating. Three days ago we received an email from... Read more »
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How To Avoid A Procuring Cause Issue

How To Avoid A Procuring Cause Issue
Several weeks ago I posted on the arcane real estate concept of procuring cause and how it can burn unsuspecting home buyers that fall into its many traps: Procuring Cause: How You Can Get Stuck With A Real Estate Agent. If you are not familiar with the issue and its implications you need to go... Read more »

Procuring Cause: How You Can Get Stuck With A Real Estate Agent

Procuring Cause: How You Can Get Stuck With A Real Estate Agent
The notion of procuring cause may seem like an arcane realtor concept that home buyers and sellers don’t need to worry about. The concept was defined as a way for Realtors to stake their claim on the all-valuable client. However, it turns out that consumers can actually get burned by it if they don’t understand... Read more »

Perception Of Real Estate Agent Integrity Improving But Still Low

Perception Of Real Estate Agent Integrity Improving But Still Low
If you are looking to buy or sell a home, which is easily a $200,000 or higher transaction, you would think that the integrity of who is helping you through the process would be of paramount concern. In fact, according to the National Association Of Realtors’ 2016 Profile Of Home Buyers And Sellers, 21% of... Read more »
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Case Study: Buying A House Without A Realtor

Case Study: Buying A House Without A Realtor
The call came in a few months ago – much like others I have gotten over the years. The home buyer had started out buying a house without a realtor, thinking they could pocket the co-operating commission. However, at the last minute they were running into obstacles. The listing agent intended to keep both sides... Read more »