The 60 Minutes segment which aired on Sunday evening (speaking about the real estate industry), was sad. Many of the statements were false and inaccurate. Now we will have many more misinformed sellers and buyers to educate. NAR's Rebuttal
A few important truths, many were left out:
1. Commissions are negotiable.
2. The discount brokers want there money up front. So they are paid whether the home is sold or not.
3. Realtors most often work with multiple sellers and buyers and out of say ten clients; three may purchase or list a home. The others that do not sell or buy, we chalk up as a price of doing business; we are not paid for our time, gas, advertisement on the behalf of client, or the provided expert consultation.
On the other hand, a discount broker has collected $3,000 a piece from ten clients even though only three clients actually went to escrow. Is that fair? Who wants to pay for a service upfront, when you have no guarantee? Hey give me $3,000, I may or may not sell your house, and if I do sell the home, it may be for thousands less...Deal. This is what has been happening and I have facts and truth to back it up.
4. There is no such thing as one huge MLS database, there are over 900 local exchange services among brokers and realtor, who opt to share there listings to obtain maximize exposure for their clients. Now everyone wants to exploit our system.
I am not opposed to discount brokers , but at least tell the complete truth (This is directed to the discount broker in the 60 minutes segment).
Do not be surprised, not if, but when sellers start suing certain discount brokers, because they were improperly represented.
The piece was slanderous.
Maybe Realtors should look into suing 60 minutes.
I may be overreacting, I just thought the piece was very unfair and bias.
The "chior" is listening..
NB,
when they sign a contract they also agree to the terms and conditions of a contract. remax agents do that all the time.
They don't care about the true. They care about a "juicy" story. No one knows what we spend or really do even after we tell them. Pick on the mysterious people. I think we should have a reality show "a day in the life of a real estate professional".....
Yes Christy, that would be an interesting show. Profile real agents, throughout the country and follow them for a year, transaction to transaction. The good and the bad.
I live in the Seattle area. Here's the truth about Redfin...In all of King County since January 2005 there have been a total of 119,147 homes either sold, pending or active. Of them, Redfin has listed a grand total of 216 in the same time. Hardly someone with a knock-out business model. Redfin does not charge the $3000 until after the sale; the same as a full-service Realtor.
You can view the 60-Minutes pice at CBS.com. Follow links to the 60-Minutes home page.