03/25/2024
Real Estate agents really don't deserve 3%. Here is why.
Ok... I have held out long enough on the knee jerk reaction to the new real estate commission earnings changes. I just can't bite my tongue anymore. PSA: To every agent that is so in denial that doesn't think this is a game changer, please seek professional help, if not for you, than for your loved ones. This is a game changer.
For all of the agents all of a sudden posting things about how fundamentally our representation of our clients are to keep the world turning.... SHUT THE F**K UP. We are NOT! I bought over 100 hundred properties with out an agent and before I was one. In fact, I represented myself better than the agents I had been using and that is why I chose not to use an agent. The truth is, most agents will save or make you the 2-3% they get paid on a deal. That is not a net gain. That is a break even. So why the hell pay for that? I say DON'T. Even if that agent negotiates a 10% discount on the listing price, the truth is, that is what the place should have sold for. Anyone can throw out an offer!
Real estate Agents are paid for the most part on 100% commission. No base pay, no salary, if they don't sell, they don't pay their own mortgage or rent. This is good, and bad. The good is, if you really want that home, they will do anything to get you into that home because they need the money. The bad is, they will get you into a property even if its not the right one, because they need the money.
You will never pay me, or my company just because we negotiated a better price on a property for you. Over a 30 year mortgage, the best I can do is only a trophy, but a drop in the bucket over 30 years, you pay me because of the sound financial investment we made together. I am not here to save you a little off the sale price, or do paperwork, or babysit inspections. Those are important, but you pay me to make one of the largest investments you will make in your life, an investment, and not just a piece of property you own. And if I can't negotiate and establish my worth to a seller or a buyer, I highly doubt I should disserve a dime. Owning real estate is about net worth. End of story. It takes work, and diligence and knowledge to make real money on real estate. I will be honest, for most people, renting is a better option then buying. And most of the people they tell you "stop renting" lease their car(s). I know, I have been playing the game for 30 years. The only way real estate nets you a plus, is if it is managed and you have proactive people that WORK FOR YOU, . We don't save you money on your home purchase, we build your wealth on your real estate investment! I will figure out how we get paid.... You just worry about how to pay your damn taxes after we make you so damn much money!
