While management believes that buyer-agents will adapt and the implementation of the buyer-broker agreement will happen over the next few months, I have my doubts. It’s more likely that buyers will resist paying 2% to 3% to their agent, unless they are convinced that they can Get Good Help.
Without having to commit to paying anything to buyer-agents up front, sellers will choose to pay less or zero once an offer is submitted, and their listing agents will just let it go and just be thankful that they will be getting paid.
Buyer-agents will either have to accept the peanuts the sellers will be paying (0.5% to 1.5%), and/or talk their buyers into paying the rest. Or they will ‘retire’, which sounds groovy to the agents who are 50+.
Left in the rubble will be home buyers who are mastering the matterports, and listing agents who desperately want buyers to come to them direct.
The form above will be the gateway drug to the future.
It will be used as a defense mechanism by listing agents who resist giving any of their commission to the buyers (who are thinking they deserve a bonus for coming direct).
“Yes, come direct to the listing agent so you don’t have to pay a commission”, and once you get here then sign this form and be unrepresented. Everyone saves!
If commissions are less, agents will want to do less. For those agents who already don’t do much, it will be a struggle – but they will find a way!
They aren’t going to step up and justify why every buyer deserves good representation.
Instead, they will do nothing for you. Sign the form above and good luck getting to the finish line!
In a marketplace where the stakes are rising every day, there will be a growing trend of getting less help – and virtually no Good Help available unless buyers want to pay for it themselves.
If the real estate market ever turns south I wonder if buyer agents will regain some leverage on pricing commissions. Time will
tell.
I don’t want to pay a buyer commissions as a seller. Tired of seeing real estate agents driving around in G Wagons and S Classes.
Didn’t you already leave that remark? I think so.
Jenny what Tesla model do you have?
Jenny could be a bot.
Yes, I’m with Jenny. I don’t want to pay either. That’s why if I ever needed eye or brain surgery, I’d always go with the absolute lowest bidder. I mean, why do those people deserve big money?
Or let’s say you’re flying 12 hours to Australia or Copenhagen.
You can fly in the back with the screaming kids and larger people.
Or pay a little extra and get your own pod in first class and sleep lying down the whole way.
Everyone has the same choice, and it’s based on how much you are willing to pay. Both get you to the same destination. Pick one.
Listen Grasshopper. Price (commission) only becomes an issue when there is an absence of value for the advice.