Based. Why the fuck do you deserve $10,000 for unlocking the door to an apartment I found myself?
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Of course there was zero chance. Real estate agents regularly refuse to show homes to or entertain offers from buyers that are not represented by a real estate agent (unless they’re hoping to represent the buyer too - then they get both commissions!).
“I never would have been able to do business in a monopolized market without doing business with a monopolist.”
Our realtor's expertise was useful when we were making an offer, and when dealing with financing and paperwork, but I don't think she provided $50k of value. If I were paying a fairly generous hourly rate for her time, she would have made less than $5k.
Sure, sometimes a buyer's agent spends 100 hours helping their clients, finding and showing property after property after property, and has to deal with tricky negotiations, and is maybe worth the 2.5% commission.
But I don't want to pay $50k for 10-15 hours of work; that's ridiculous. (And of course I was paying for the seller's agent's commission as well.)
Another house I was involved in buying was similar: second house we looked at, only one counter-offer needed.
If/when I buy again I will likely not use an agent. The new rules around not foisting the commissions onto the buyer will help too.
Now, I believe since the National Association of Realtors is not allowed to require their selling agents to share their commission with buyers’ agents, that everything is up for negotiation, and home buyers can save money by not using agents.
Second, to the extent there is monopolistic behavior that gets in the way (and there definitely is), that's not what I'm talking about. The market that year was completely insane because of the interest rates, and there is no way we could have navigated it ourselves, real estate agent monopoly or no monopoly.
I'm very glad that they've been forced to allow competition, and most real estate agents are horrible and should be avoided. All I'm saying is that in some markets a good real estate agent is absolutely worth their commission.
These situations are created and maintained by real estate agents because they want to keep themselves useful.
There's no reason we can't get a push notification to our phone when a house matching our criteria gets listed locally. Open app, check it out, decide to move on it or pass.
The only reason real estate agents are helpful is because they've created their own system that they control.
That situation wasn't created by real estate agents, it was created by sub-inflation mortgage interest rates, and she solved it by deeply understanding what a home seller wants out of an offer. That's what a real estate agent is good for, and it's what I hope a larger percentage of agents are going to be good at now that the bad ones can't hide behind their monopoly.
That's as may be, but the law in question is specifically about rentals not sales. WRT rentals, the price is generally not negotiable, the terms (at least in NYC) are prescribed by at least three city and state agencies, and until now, despite the fact that the broker acted as the landlord's agent exclusively, anyone who signed a lease (as the tenant) had to pay the broker.
That's a very different situation, and not analogous to buying a home, except that (usually) you will live there.
Edit: Fixed typo. Clarified prose.
Since then I've bought a house without an agent and am about to sell another. All you really need is a lawyer and the internet. Then there are services you can pay to get on MLS.
IMO, RE agents hosed themselves by not self scaling down their commission percentages as prices went up. Even people who do want their help will balk at paying someone 20k-30k+.
When I sell things, even large value things like houses/boats/cars, it's the most money with the least amount of hassle in that order that wins out. I'd love to know more deeply what I really want when selling something.
Charitably rereading your comment - this agent sounds like they were a buying agent. Which should 100% be a real thing; but nothing like a real estate agent and more like a family lawyer / family financial adviser / family hostage negotiator all rolled into one.