07/17/2020
THE REAL ESTATE BUSINESS HAS BECOME AN OLIGOPOLY, CONTROLLED BY FEW FIRMS TO THE DETRIMENT OF THE CONSUMER!
Today you all surf the Internet when looking to buy or rent a house or a condo. Everybody does, except perhaps… your grandmother!
(Note to our foreign buyers: “condo” is an American expression meaning an “apartment” in a condominium building.)
The bad news is that the Internet has become an oligopoly, controlled by few Real Estate powerhouses, like Zillow.com¹, Trulia.com¹, Realtor.com, Hotpads.com, etc.
Such huge corporations are actually reducing competition and limiting the power of you, the prospective buyer or prospective tenant.
They are giving all the power to the “listing agent,” while cutting the “buyer’s agent” out of most deals.
The “listing agent” is defined as the real estate agent, who has been given by the sellers or the landlords the exclusive right to sell or rent their properties. The listing agent works for the sellers or for the landlords. He does not work for you!
The “buyer’s agent” does not work for the sellers or for the landlords, but works for you!
The “buyer’s agent” looks for the best deal for you, making sure that you pay the fair market price, that the property is in good condition and that there are no outstanding debts and other liens, which may hinder your possession of the title in the future.
In this case, the buyer’s agent is “me, yours truly” and our team!
Most consumers, after having visited a few properties with a buyer’s agent, decide to start shopping by themselves and most of them end up in the “jaws” of Zillow.com, Trulia.com, Realtor.com, Hotpads.com, etc.
Consumers think that cutting out the buyer’s agent is actually saving them money and besides, by surfing the Internet, they hope that they will find a larger selection of properties.
NOTHING CAN BE FURTHER FROM THE TRUTH!
These are the facts:
1. In the state of Florida, it is the Seller or the Landlord, who pays the commission to the Real Estate Agent. The buyer/tenant pays nothing!
2. When the buyer/tenant acts through a buyer’s agent, the listing agent is obliged by law to share 50% of such commission with the buyer’s agent. If the consumer goes straight to the listing agent, bypassing the buyer’s agent, the listing agent, whose loyalty is really to the seller² (see note at the bottom of the page,) takes the whole commission for him/herself and laughs all the way to the bank!
3. Anything shown on such consumer-oriented websites is also listed on the MLS (Multiple Listing Service,) the real professional website accessible only to us Realtors®.
4. The MLS is constantly updated, while the other consumer-oriented websites are not and, therefore, they are often still listing properties that are already under contract or have been already sold.
NOTE¹ Zillow and Trulia, which are actually the same company, because Zillow bought Trulia in 2015, deceive the consumer even more, because, when you look at any of the properties they list, you will see, not only the name, phone and email of the “Listing” agent, but also of a few “Premier” agents.
Who are these “Premier” agents? You may think that they are special agents, highly knowledgeable of the specific house, condo or building described in that webpage. Not Really! Actually, they are normal real estate agents, who try to be your buyer’s agents and who pay a very expensive monthly fee for each specific zip code to Zillow or Trulia.
Whenever an agent lists a property in that specific zip code, those “Premier” agents will be listed on the Zillow or Trulia page, below the name of the listing agent. Many of them have never even visited the listed property. They are “Premier” to Zillow and Trulia, because they pay them a hefty fee, but they are certainly not “Premier” to you!
NOTE² According to Florida Real Estate regulations, the listing agent, selected by you, the buyer, to act for both the seller and the buyer (very bad idea!) becomes a “transaction broker” and should treat both seller and buyer with the same fairness…but if you believe this, I have a bridge in Brooklyn to sell you at a fantastic price!
If the real estate industry appears so corrupt and so slanted in favor of the seller and the listing agent, and against the interest of the buyer/renter, why should you trust me?
1. Because you should never try to rent or buy directly from the listing agent (he/she works for the seller/landlord and not for you), nor should you buy directly from the seller (you will have no protection at all.)
2. At least I am the only one, who explained to you all the pitfalls of this trade and if you select me as your buyer’s agent, you can be sure that I will have only your interest at heart!
Looking for properties to buy or to rent? Call me or email me:
Nino Sindona Tel: 786-801-7920
[email protected]
