Why are there still realtors?
It is 2014. A realtor will take pictures of your house, upload them to a website, and someone will purchase your house.
For all of that work, the realtors will walk away with 6% of the value of your home.
Is there a startup trying to destroy this industry?
3 comments
Realtors enjoy lots of laws that protect them from competition. They have considerable market power. See this DOJ website: http://www.justice.gov/atr/public/real_estate/commission-tab...
I recently bought a house and was amazed by the fees. My buyer broker basically opened doors (I don't mean figuratively, I mean he literally took keys out of lock boxes and opened the doors). I plan to do a FSBO when it comes time to move.
Zillow and RedFin are perhaps changing the industry some. I think most people go with realtors because they are intimidated by the process and it's such a large purchase. I will be much more comfortable handling it myself the next time around.
I recently bought a house and was amazed by the fees. My buyer broker basically opened doors (I don't mean figuratively, I mean he literally took keys out of lock boxes and opened the doors). I plan to do a FSBO when it comes time to move.
Zillow and RedFin are perhaps changing the industry some. I think most people go with realtors because they are intimidated by the process and it's such a large purchase. I will be much more comfortable handling it myself the next time around.
The realtor can advise you on how to stage a house to be sellable. The best ones are better at photography than the average seller and know how to photograph your home to its best advantage and choose the best photos. They also take the keys and show it to prospective buyers while you're at work or the beach. And can help you understand all the various types of paperwork you have to deal with.
I thought they were going to be one of the first casualities the web - but no. Strong lobbying has made it so that in some areas it's illegal to assist in the sale of a house unless you are a licenced realtor.