That has a lot more to do with how many real estate agents there are

It would quickly weed the mediocre ones out of the market. Part of the problem with the real estate compensation system is that being an agent that sells 5 houses a year is a kickarse part time job, and selling 15 is a pretty lucrative career. Good agents should be able to do much higher volume than that, but their opportunities are being siphoned off by a market glutted with agents.

Median home price right now is 275k. That's a $8250 commission check to both the buyer and seller agent. I doubt the seller agent has more than 30 hours invested in the process. Buyer agent MAYBE up to 80. That just doesn't seem to be a reasonable level of compensation for either the effort or expertise required.

Again, I'm not advocating doing away with agents (as some people do). I'd just like to see A LOT fewer of them and that their compensation be more in line with the expertise they provide and the effort they put in instead of being based on a silly formula that everyone just accepts.

In response to this post by fordham

Posted: 05/31/2019 at 3:44PM

Hidden Realtor commissions could be next housing-market domino to topple -- EDGEMAN 05/31/2019 2:52PM

I do think real estate agents provide a valuable service -- Tafkam Hokie 05/31/2019 3:24PM

So you're willing to pay for s days worth of work. That's all the value -- 133743Hokie 06/01/2019 5:07PM

How many properties do you think an agent sells in a month -- fordham 05/31/2019 3:33PM

The vast majority of agents sell zero homes a month -- bulab 05/31/2019 7:18PM

Are you selling $300k-$500k houses or $5 million houses? -- RTFC 05/31/2019 7:16PM

Which is harder to sell? ** -- 133743Hokie 05/31/2019 8:59PM

Due to shear numbers -- RTFC 06/01/2019 10:37AM

They aren't hourly workers. You pay for value and benefit to you** -- 133743Hokie 06/01/2019 5:04PM

True, but their value isn't proportional to the price of my house. -- RTFC 06/02/2019 12:03PM

Your opinion re value. Others disagree. ** -- 133743Hokie 06/02/2019 7:55PM

Everybody values things differently. -- RTFC 06/02/2019 8:14PM

I know we have a realitor in my local BMW CCA chapter. He drives... -- EDGEMAN 05/31/2019 4:13PM

You realize that the business gets a big piece of that 3%, the realtor -- 133743Hokie 05/31/2019 9:00PM

That has a lot more to do with how many real estate agents there are -- Tafkam Hokie 05/31/2019 3:44PM

Problem is that 8250 isn’t just a check -- Tombo 05/31/2019 8:44PM

So? -- Tafkam Hokie 06/01/2019 10:17AM

I wasn’t contradicting you, simply that -- Tombo 06/01/2019 1:42PM

And I have absolutely no issue with rock-star agents charging a premium. -- Tafkam Hokie 06/01/2019 2:10PM

Less than that to the individual ** -- 133743Hokie 05/31/2019 9:01PM

Are agents needed with the amount of info available online ** -- HokieForever 05/31/2019 3:38PM

Yes, they need to unlock the front door. ** -- vtbones 05/31/2019 4:35PM

In my opinion yes as they do more than just sell the house -- fordham 05/31/2019 3:40PM

I agree. They can save you a lot of time and money, particularly if the -- RJHokie 05/31/2019 4:31PM

That has a lot more to do with how many real estate agents there are

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