For 30 years, June McNamara played by the rules of Raleigh's real estate industry, charging 6 percent commission on every home sale she brokered. Then last year, she decided there was a better business model: She created her own real estate firm and started charging 3.9 percent commissions.
Don't you just love media spin! Rules of the industry...HA! The only rule I know of is: Pledge to cooperate and at the same time, compete as hard as you can. Commission discounters get all the press these days, then as agents we read quotes like:
But for old-line firms, it may be too late.
The Internet has made it easier for buyers and sellers to find each other. That reduces the premium paid for professional match-makers to broker sales in real estate, just as it has in stocks, plane tickets and used cars.
If you've been in Floyd's program you know...and let me remind you...that this kind of sensationalist writing doesn't have to bother you anymore. That's because you know that while the market is good (as it is in may cities) you can get away with charging a low commission and playing "matchmaker". But as Floyd says, "The train's coming!" and when it gets here and the market gets back to normal (or worse) those who'll still be around are those who have built strong personal relationships, who refuse to be order taking functionaries and have a true fudiciary relationship, and of course those who know how to protect their full commission.
Whatever full is to you, draw the line today and make a decision that you are worth it, so that when the tough years arrive, you don't have to go get a "real" job.
Click the link to read the full article inspiring this post.
Link: RISMedia - Independent Real Estate Firms on the Rise
