Why Real Estate Agents Have Good Reason To Fear The Web

from the marginally-useful dept

There have been a number of stories lately about real estate professionals lashing out against online real estate services like Zillow and RedFin, which are seen as threats to their traditional business. A new study done by two economics professors sheds some light on why they might be feeling embattled. In an examination of the housing market in Madison, Wisc., the pair found that homes sold using brokers did not fetch sellers any additional profits after commissions were taken out. What makes Madison interesting is that it has a thriving website of for-sale-by-owner homes, so sellers there don't have to do much legwork if they want to sell on their own. This means that real estate agents may still add value in communities where such services aren't popular, but it's value that could disappear as services like RedFin startt to take hold. Thus the agents' fear seems to have a legitimate basis, and their behavior conforms nicely to the rent-seeking tactics exemplified by similarly organized professional groups.

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  1. identicon
    Lisa, 18 Jun 2007 @ 10:05pm

    real estate agents

    Being that I work with agents on a regular bases... let me just tell you...its ALL ABOUT THEM!! Don't be fooled! They are not hard at work for you. The majority of the transactions that I handle...they don't know what they are doing most the time..and are quick to blame other..to save face to their client. They do not look out for the best WHATEVER for their clients. They are in it for the kick back! Do you serious think that when you go to an open house...where there is cookie and coffee being served..that the nice little agent took care of it...NOPE!! they go to their list of venders like lenders and title companies and ask them to BREAK THE LAW and provide it for them...and if that vender does not.... they will simply take their business elsewhere. Its not about service...its about what they can get out of you. They change venders like the common person changes their clothes. When the market went crazy...you don't even want to know the amount of people that joined the Realtor band wagon. Think about it..where else can you make that kind of money...for such little education. The sad part is the consumer is the one that suffers in all of this. How can you trust anyone that has that little of education..help you make a very important decision. You don't know how many questions I get asked everyday by an agent! The scary part is how basic the question is...and to know they are repesenting someone. Agents are the ones that cause alot the problems in a tranaction. You always have some "high producer" out there that gets their feathers ruffled and then have to try to prove a point. So if you are in the market to buy or sell a home...look long and hard if you are going to use a Real Estate agent. There are some good ones out there...but they are HARD to find! Make sure the person have been in the busniess for a long time. And No- 10 years isn't that long! I would keep looking! You want an agent that can sell your house in a cold market. Any idoit can sell a home in a hot market!!

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