The cult of professional specialists

[CA renter]

[quote=njtosd]

Although I’m not in favor of anecdotes, here goes: We are currently selling our home on the east coast and received an offer after our listing agreement had expired and before we relisted (we had gotten kind of discouraged and had decided to put off relisting until the kids were back in school). We were much more willing to come down in price (and did come down more than we had originally planned to) since we didn’t have an agent’s fee to pay. The final steps of the negotiation here take place in the “attorney review” process, so our attorney is taking care of some of the jobs that would be done by an agent/broker in CA. So in this case, the buyer is getting a better deal than he would have otherwise because there is no listing agent involved.[/quote]

I’ll add my anecdote to that. When selling our house in 2004, we listed on the MLS for a flat fee (around $300-$500 dollars, IIRC), and offered a 2.5% commission to the selling (buyer’s) agent. We certainly were willing to take a slightly lower price because of the commission saved.

Another anecdote:

As sdr knows, we’ve been in contact with our current LL about the possibility of purchasing our rental. They have already agreed to split the savings from commissions with us.

IMHO, the saved commissions are usually split between the buyer and seller, so while the buyer might not get the full benefit, they can often get half of the savings. I will say this though, most FSBOs are grossly overpriced and delusional, so there’s no guarantee of any savings.

[NotCranky]

The important feature in RE is the “cabal” not the “cult” of professional specialists. The first enables the second and real estate is hardly the only “profession” under such a system.

Most endeavors in our society have been put under difficult to circumvent, “pay to play” constricts. In some cases the financial burdens to the consumer are ridiculous as in real estate commissions.

When you witness the typical schmoozing, puffing , bullying, word twisting, mystique inducing realtor, that is only happening because that is what works best.If it didn’t work, we would have a different “typical” realtor. Obviously, some RE sales and mortgage people have skills and work ethics that are beneficial to their businesses and prevalance of the negative components,however typical, is highly variable.

[NotCranky]

The important feature in RE is the “cabal” not the “cult” of professional specialists. The first enables the second and real estate is hardly the only “profession” under such a system.

Most endeavors in our society have been put under difficult to circumvent, “pay to play” constricts. In some cases the financial burdens to the consumer are ridiculous as in real estate commissions.

When you witness the typical schmoozing, puffing , bullying, word twisting, mystique inducing realtor, that is only happening because that is what works best.If it didn’t work, we would have a different “typical” realtor. Obviously, some RE sales and mortgage people have skills and work ethics that are beneficial to their businesses and prevalance of the negative components,however typical, is highly variable.

[NotCranky]

The important feature in RE is the “cabal” not the “cult” of professional specialists. The first enables the second and real estate is hardly the only “profession” under such a system.

Most endeavors in our society have been put under difficult to circumvent, “pay to play” constricts. In some cases the financial burdens to the consumer are ridiculous as in real estate commissions.

When you witness the typical schmoozing, puffing , bullying, word twisting, mystique inducing realtor, that is only happening because that is what works best.If it didn’t work, we would have a different “typical” realtor. Obviously, some RE sales and mortgage people have skills and work ethics that are beneficial to their businesses and prevalance of the negative components,however typical, is highly variable.

[NotCranky]

The important feature in RE is the “cabal” not the “cult” of professional specialists. The first enables the second and real estate is hardly the only “profession” under such a system.

Most endeavors in our society have been put under difficult to circumvent, “pay to play” constricts. In some cases the financial burdens to the consumer are ridiculous as in real estate commissions.

When you witness the typical schmoozing, puffing , bullying, word twisting, mystique inducing realtor, that is only happening because that is what works best.If it didn’t work, we would have a different “typical” realtor. Obviously, some RE sales and mortgage people have skills and work ethics that are beneficial to their businesses and prevalance of the negative components,however typical, is highly variable.

[NotCranky]

The important feature in RE is the “cabal” not the “cult” of professional specialists. The first enables the second and real estate is hardly the only “profession” under such a system.

Most endeavors in our society have been put under difficult to circumvent, “pay to play” constricts. In some cases the financial burdens to the consumer are ridiculous as in real estate commissions.

When you witness the typical schmoozing, puffing , bullying, word twisting, mystique inducing realtor, that is only happening because that is what works best.If it didn’t work, we would have a different “typical” realtor. Obviously, some RE sales and mortgage people have skills and work ethics that are beneficial to their businesses and prevalance of the negative components,however typical, is highly variable.

[njtosd]

[quote=drboom][quote=njtosd]drboom

Overall I prefer the CA system. (snip) I’ll be happy to get out of here . . .[/quote]

Interesting stuff, thanks for posting.

Our corruption is more laid-back than what you’re used to, but you’ll feel right at home in no time.[/quote]

Actually, I’ve lived in Michigan, Chicago, San Diego and now NJ (about an hour from NYC). I’ve never seen this kind of corruption (even in Chicago). I’ve seen three examples of women being indicted for embezzling large sums from their PTO funds. I’ve been offered discounts from exterminators and other service people if I’m willing to make my check out to “Cash.” Our school district has only around 1000 kids, but we have a Superintendent, three principles, one vice principle and three sets of office staff. The per student cost is about 50% more at the elementary school level (compares to DMUSD) and the school my kids attend is older than the one I attended many years ago. At the high school level, it is 100% more than Torrey Pines – and the test scores are significantly lower here. How are they spending so much more to get less? Hard to say, but we’ve had enough . . .

[njtosd]

[quote=drboom][quote=njtosd]drboom

Overall I prefer the CA system. (snip) I’ll be happy to get out of here . . .[/quote]

Interesting stuff, thanks for posting.

Our corruption is more laid-back than what you’re used to, but you’ll feel right at home in no time.[/quote]

Actually, I’ve lived in Michigan, Chicago, San Diego and now NJ (about an hour from NYC). I’ve never seen this kind of corruption (even in Chicago). I’ve seen three examples of women being indicted for embezzling large sums from their PTO funds. I’ve been offered discounts from exterminators and other service people if I’m willing to make my check out to “Cash.” Our school district has only around 1000 kids, but we have a Superintendent, three principles, one vice principle and three sets of office staff. The per student cost is about 50% more at the elementary school level (compares to DMUSD) and the school my kids attend is older than the one I attended many years ago. At the high school level, it is 100% more than Torrey Pines – and the test scores are significantly lower here. How are they spending so much more to get less? Hard to say, but we’ve had enough . . .

[njtosd]

[quote=drboom][quote=njtosd]drboom

Overall I prefer the CA system. (snip) I’ll be happy to get out of here . . .[/quote]

Interesting stuff, thanks for posting.

Our corruption is more laid-back than what you’re used to, but you’ll feel right at home in no time.[/quote]

Actually, I’ve lived in Michigan, Chicago, San Diego and now NJ (about an hour from NYC). I’ve never seen this kind of corruption (even in Chicago). I’ve seen three examples of women being indicted for embezzling large sums from their PTO funds. I’ve been offered discounts from exterminators and other service people if I’m willing to make my check out to “Cash.” Our school district has only around 1000 kids, but we have a Superintendent, three principles, one vice principle and three sets of office staff. The per student cost is about 50% more at the elementary school level (compares to DMUSD) and the school my kids attend is older than the one I attended many years ago. At the high school level, it is 100% more than Torrey Pines – and the test scores are significantly lower here. How are they spending so much more to get less? Hard to say, but we’ve had enough . . .

[njtosd]

[quote=drboom][quote=njtosd]drboom

Overall I prefer the CA system. (snip) I’ll be happy to get out of here . . .[/quote]

Interesting stuff, thanks for posting.

Our corruption is more laid-back than what you’re used to, but you’ll feel right at home in no time.[/quote]

Actually, I’ve lived in Michigan, Chicago, San Diego and now NJ (about an hour from NYC). I’ve never seen this kind of corruption (even in Chicago). I’ve seen three examples of women being indicted for embezzling large sums from their PTO funds. I’ve been offered discounts from exterminators and other service people if I’m willing to make my check out to “Cash.” Our school district has only around 1000 kids, but we have a Superintendent, three principles, one vice principle and three sets of office staff. The per student cost is about 50% more at the elementary school level (compares to DMUSD) and the school my kids attend is older than the one I attended many years ago. At the high school level, it is 100% more than Torrey Pines – and the test scores are significantly lower here. How are they spending so much more to get less? Hard to say, but we’ve had enough . . .

[njtosd]

[quote=drboom][quote=njtosd]drboom

Overall I prefer the CA system. (snip) I’ll be happy to get out of here . . .[/quote]

Interesting stuff, thanks for posting.

Our corruption is more laid-back than what you’re used to, but you’ll feel right at home in no time.[/quote]

Actually, I’ve lived in Michigan, Chicago, San Diego and now NJ (about an hour from NYC). I’ve never seen this kind of corruption (even in Chicago). I’ve seen three examples of women being indicted for embezzling large sums from their PTO funds. I’ve been offered discounts from exterminators and other service people if I’m willing to make my check out to “Cash.” Our school district has only around 1000 kids, but we have a Superintendent, three principles, one vice principle and three sets of office staff. The per student cost is about 50% more at the elementary school level (compares to DMUSD) and the school my kids attend is older than the one I attended many years ago. At the high school level, it is 100% more than Torrey Pines – and the test scores are significantly lower here. How are they spending so much more to get less? Hard to say, but we’ve had enough . . .

[sdrealtor]

CAR
Yes there are lots of buyers who back of SS. One of the most important things I can do on a SS is be able to recognize which buyers are most likely to stick. Experience has shown me that buyers represented exclusively by good experienced agents do a much better job at this. They stay in touch with me and I provide them update regularly. The agent recognizes my experience and track record and they know I will get done for them what I claim. Done properly the process works. On the otherhand, experience has shown that the buyer who calls me directly on a short sale is running all over the place dropping offers with several different agents/properties and will buy the 1st one they like that comes through. They have no confidence in the process and no way to differentiate between someone who knows how to get a SS done and someone who has less than a 50/50 chance so they play that game. Those people are far more dangerous to my seller clients outcome so I try to find a committed buyer who has a real reason to buy a specific house. When I hear someone tell me the buyer grew up in the neighborhood and their family lives there I smile. When I hear someone tell me my client is an investor I frown because I know that person has no affinity for the property and will buy anything else that makes $ and cents.

As for showing properties, I absolutely show them myself and would always try to do so for an organic sale. This thread was about getting a short sale. Just one thing to make clear, if there is a 5% commission I do not feel entitled to the 5% commission. I am entitled to 50% of that or 2.5% for epresenting the seller. The other 50% goes to whomever represents the buyer. In most causes I’m not comfortable representing both parties. Additionally, we dont just FOLLOW a transaction through escrow, we LEAD it through escrow and there is a big difference.

[sdrealtor]

CAR
Yes there are lots of buyers who back of SS. One of the most important things I can do on a SS is be able to recognize which buyers are most likely to stick. Experience has shown me that buyers represented exclusively by good experienced agents do a much better job at this. They stay in touch with me and I provide them update regularly. The agent recognizes my experience and track record and they know I will get done for them what I claim. Done properly the process works. On the otherhand, experience has shown that the buyer who calls me directly on a short sale is running all over the place dropping offers with several different agents/properties and will buy the 1st one they like that comes through. They have no confidence in the process and no way to differentiate between someone who knows how to get a SS done and someone who has less than a 50/50 chance so they play that game. Those people are far more dangerous to my seller clients outcome so I try to find a committed buyer who has a real reason to buy a specific house. When I hear someone tell me the buyer grew up in the neighborhood and their family lives there I smile. When I hear someone tell me my client is an investor I frown because I know that person has no affinity for the property and will buy anything else that makes $ and cents.

As for showing properties, I absolutely show them myself and would always try to do so for an organic sale. This thread was about getting a short sale. Just one thing to make clear, if there is a 5% commission I do not feel entitled to the 5% commission. I am entitled to 50% of that or 2.5% for epresenting the seller. The other 50% goes to whomever represents the buyer. In most causes I’m not comfortable representing both parties. Additionally, we dont just FOLLOW a transaction through escrow, we LEAD it through escrow and there is a big difference.

[sdrealtor]

CAR
Yes there are lots of buyers who back of SS. One of the most important things I can do on a SS is be able to recognize which buyers are most likely to stick. Experience has shown me that buyers represented exclusively by good experienced agents do a much better job at this. They stay in touch with me and I provide them update regularly. The agent recognizes my experience and track record and they know I will get done for them what I claim. Done properly the process works. On the otherhand, experience has shown that the buyer who calls me directly on a short sale is running all over the place dropping offers with several different agents/properties and will buy the 1st one they like that comes through. They have no confidence in the process and no way to differentiate between someone who knows how to get a SS done and someone who has less than a 50/50 chance so they play that game. Those people are far more dangerous to my seller clients outcome so I try to find a committed buyer who has a real reason to buy a specific house. When I hear someone tell me the buyer grew up in the neighborhood and their family lives there I smile. When I hear someone tell me my client is an investor I frown because I know that person has no affinity for the property and will buy anything else that makes $ and cents.

As for showing properties, I absolutely show them myself and would always try to do so for an organic sale. This thread was about getting a short sale. Just one thing to make clear, if there is a 5% commission I do not feel entitled to the 5% commission. I am entitled to 50% of that or 2.5% for epresenting the seller. The other 50% goes to whomever represents the buyer. In most causes I’m not comfortable representing both parties. Additionally, we dont just FOLLOW a transaction through escrow, we LEAD it through escrow and there is a big difference.

[sdrealtor]

CAR
Yes there are lots of buyers who back of SS. One of the most important things I can do on a SS is be able to recognize which buyers are most likely to stick. Experience has shown me that buyers represented exclusively by good experienced agents do a much better job at this. They stay in touch with me and I provide them update regularly. The agent recognizes my experience and track record and they know I will get done for them what I claim. Done properly the process works. On the otherhand, experience has shown that the buyer who calls me directly on a short sale is running all over the place dropping offers with several different agents/properties and will buy the 1st one they like that comes through. They have no confidence in the process and no way to differentiate between someone who knows how to get a SS done and someone who has less than a 50/50 chance so they play that game. Those people are far more dangerous to my seller clients outcome so I try to find a committed buyer who has a real reason to buy a specific house. When I hear someone tell me the buyer grew up in the neighborhood and their family lives there I smile. When I hear someone tell me my client is an investor I frown because I know that person has no affinity for the property and will buy anything else that makes $ and cents.

As for showing properties, I absolutely show them myself and would always try to do so for an organic sale. This thread was about getting a short sale. Just one thing to make clear, if there is a 5% commission I do not feel entitled to the 5% commission. I am entitled to 50% of that or 2.5% for epresenting the seller. The other 50% goes to whomever represents the buyer. In most causes I’m not comfortable representing both parties. Additionally, we dont just FOLLOW a transaction through escrow, we LEAD it through escrow and there is a big difference.

[Author]

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