The end of real estate agents

[Ozymandeas]

Real estate agent market heavily saturated. And no offense to any agents on here, but what do you really do to warrant such high commission rates?

Is there a big difference in work effort in selling a $300000 vs $1000000 house?

I'm a proponent of flat fee payment for real estate services

You can say this about any job. We really gonna automate every job away and then cry about our wages being devalued.

 

[jdubnyce]

You can say this about any job. We really gonna automate every job away and then cry about our wages being devalued.

Sure you can say it, but real estate agents don't provide the value for the cost you pay in my opinion.

Guess it depends on the market. Here in Toronto, the demand for single homes is so high, you can list and sell in a day-two in there right area. Don't need an agent in most cases.

Lots of self serve people out there do their own research, comparables, etc.

 

[Bumblebreh]

Nah let them believe APi calls and machine learning can handle all of that.

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They can make the job simpler, but they cannot fully automate sales. Since good high commission sales is very people driven.

 

[aXiom]

This is laughable



Automation doesn't have access to the MLS to get an accurate price on the house

Automation can't sell your house for you, when buyers are hesitant

Automation can't physically show you 5-10 properties a day so you can get a good feel for the property

Automation can't reduce the stress of a the home or rental buying process

Automation can't smooth things over with the Landlord or Owner when they want to deny your application for whatever reason

Automation doesn't have contacts with Mortgage Brokers that will give you a break, even though on paper you may not 100% qualify for that mortgage



Some things will always need a human touch

You do not understand what automation is. People seem to think it's this switch that gets turned on once it can do everything that human can. It doesn't work that way. It starts out by supplementing the menial shyt and slowly starts taking on more work over time as its capabilities improve. This leads to needing less humans in a that job role/sector etc over time. Now that sector is no longer in a hiring boom and the skillset or skillbar needed to enter it becomes a lot higher. Workforce has been reduced, and is now a lot more efficient. Automation has done its job.

 

[Conjiggle]

As a Realtor I can probably provide some insight from this side of the table.

I don’t believe there is much concern/worry regarding Zillow purchasing ShowingTime. That platform is used for scheduling showings. It is a good platform but it doesn’t provide access, just manages scheduling.

In other words, that system won’t do anything to help with getting access to homes, getting detailed info on the property, negotiate, or guidance through the various stages of the selling/purchasing process. The same can be said for programs like Open Door. Apparently that was going to get rid of the industry as well. However, the majority of sellers still opt to work through us as opposed to getting the cash offer from programs like that. We tend to get the more money and charge a cheaper commission.

In regards to the usefulness of Realtors, I would argue that it is no different from most other industries (sales jobs in particular). A good realtor is always an asset and makes the home selling/buying process easier for their client and puts them in the best position short & long term. However, I would agree that a segment of the industry is just chasing a dollar. So I get why some people view us as sleazy car salesmen.

The reality is that the top 10% of us actually do about 90% of the business and tend to be seen as a necessary asset in the selling/purchasing process. It’s the reason why the vast majority of homes are sold with our assistance instead of sold independently (sold by the owner).

I would always advise that you take the time and research realtors in your area before working with the first one that pops up. Could definitely be the difference between a pleasant/educational transaction that benefits you vs you being left with a feeling of being taken advantage of.

 

[Ozymandeas]

Sure you can say it, but real estate agents don't provide the value for the cost you pay in my opinion.

Guess it depends on the market. Here in Toronto, the demand for single homes is so high, you can list and sell in a day-two in there right area. Don't need an agent in most cases.

Lots of self serve people out there do their own research, comparables, etc.

You can say that about any job. People just want to justify not having to pay someone something. It’s an annoying characteristic of my generation. They want to devalue other people’s work to get cheap prices on everything then cry foul about low wages, automation, lack of opportunity but, are too stupid to see how it connects. To answer your question directly, go try to sell your home via FSBO and get back to us on how easy it is

 

[jdubnyce]

You can say that about any job. People just want to justify not having to pay someone something. It’s an annoying characteristic of my generation. They want to devalue other people’s work to get cheap prices on everything then cry foul about low wages, automation, lack of opportunity but, are too stupid to see how it connects. To answer your question directly, go try to sell your home via FSBO and get back to us on how easy it is

I have . Sold a condo fsbo.

Obviously not as easy as going with a realtor, but in my case having to pay ~$1500 vs ~$12000...I'm taking $1500

 

[Wink Beaufield]

You do not understand what automation is. People seem to think it's this switch that gets turned on once it can do everything that human can. It doesn't work that way. It starts out by supplementing the menial shyt and slowly starts taking on more work over time as its capabilities improve. This leads to needing less humans in a that job role/sector etc over time. Now that sector is no longer in a hiring boom and the skillset or skillbar needed to enter it becomes a lot higher. Workforce has been reduced, and is now a lot more efficient. Automation has done its job.

Man, I watched a whole ass job series get wiped out in the government due to automation.

Them oldheads thought nothing was gonna happen, but when they got that RIF notice it was a wrap.

 

[Uitomy]

Get rid of all middle men.. All of them.. Fcking leaches.

This means houses tokenized as nfts to confirm your ownership on the blockchain soon

 

[Conjiggle]

I have . Sold a condo fsbo.

Obviously not as easy as going with a realtor, but in my case having to pay ~$1500 vs ~$12000...I'm taking $1500

I get this sentiment, and glad that it worked out for you, but that isn’t the case most times. Statistically, FSBO’s sell for less than properties listed with an agent in the MLS. That is true on a National scale.

For many homeowners, the work/stress of having to oversee and manage the selling process to save 3-6% is hardly ever worth it. Especially since they end up with less money than they would if they would have hired a realtor and paid a 6% commission.

 

[Ozymandeas]

I have . Sold a condo fsbo.

Obviously not as easy as going with a realtor, but in my case having to pay ~$1500 vs ~$12000...I'm taking $1500

You not posting all the particulars of the transaction so we don’t know much from that but either way it would’ve been way easier and more time efficient going with a realtor. The average person doesn’t want to take photos, schedule appointments and visits with people, market their properties, take phone calls, negotiate with buyers, handle contracts and paperwork. That’s like saying you don’t need a contractor because you can rehab the house yourself. You can but, it’s not easy. You’ll never hear a wealthy person saying realtors aren’t necessary. None of them are wasting time with any of the activities I listed above.

 

[Cynic]

"Zestimates" are useless data gathering and assumptions... Zillow is gonna tell people their house is 80K less than what its really worth.

Real Estate Investors gonna see this and be like

They think a non human intermediary will be able to negotiate, mitigate emotions, handle objections and provide advisory services plus relationships with brokers.

People about to sit on properties for years based on Zestimates and that reality check from buyers.

 

[Cynic]

I have . Sold a condo fsbo.

Obviously not as easy as going with a realtor, but in my case having to pay ~$1500 vs ~$12000...I'm taking $1500

Most FSBOs end up listing with an agent. You are an exception to the rule but that doesn't negate the rule. We know nothing about your location, the lending rates or the job market there.

You obviously value money over time and piece of mind as well.


Try doing this again in a down market or during a divorce then you'll see just how valuable having an intermediary is.

 

[Kyle C. Barker]

I get this sentiment, and glad that it worked out for you, but that isn’t the case most times. Statistically, FSBO’s sell for less than properties listed with an agent in the MLS. That is true on a National scale.

For many homeowners, the work/stress of having to oversee and manage the selling process to save 3-6% is hardly ever worth it. Especially since they end up with less money than they would if they would have hired a realtor and paid a 6% commission.

Yeah we definitely ain't ready for non realtor sales quite yet.

Seeing a fsbo dude deal with a VA loan buyer seems like an accident waiting to happen.

I Can't even imagine 2 regular people negotiating what needs to get fixed after an inspection to close the deal.

 

[jdubnyce]

Most FSBOs end up listing with an agent. You are an exception to the rule but that doesn't negate the rule. We know nothing about your location, the lending rates or the job market there.

You obviously value money over time and piece of mind as well.


Try doing this again in a down market or during a divorce then you'll see just how valuable having an intermediary is.

Totally get my situation was an exception.

But for some, the work/time is worth the savings

Not saying realtors aren't needed. My original point was that the agent market is saturated, and a flat fee for services is warranted vs percentage commission on sale price