New rules hit the housing market

[@sasstewart1222]

we just sold our 3bd/2bth SFR house and it sold for asking in 4 weeks (CA) and we didn't have to pay the buyers agent fee. We weren't sure if we'd have to pay it as its a new ruling but we had alot of response to the house. I guess if the house wasn't desirable it may be a different story.

[@waterbug1135]

Buyers have always paid all fees. Net amount seller gets is all they care about. Follow the money. Buyer offers $500k and demands seller pay their agent 3%. OK. Buyer comes to closing and puts $500k cash on the table. Escrow agent cuts out $15,000 and pushes it to buyer's agent and $485k to the seller. Who paid the buyer's agent? Or $485k is offered but buyer agrees to pay their agent $15,000. At closing the buyer puts $500k cash on the table. Escrow agent cuts out $15,000 and pushes it to buyer's agent and $485k to the seller. There's no difference. This is the same scam agents have been running forever. Lying to buyers "the seller will pay my fee". Buyer thinks the agent's services are free to them so they agree. It's the only way agents could get people to hand over a huge amount of money for almost no service.

[@kandismueller830]

We just sold our home. Nothing has changed. If you don't agree to pay the buyer's agent, they will not bring buyers. The stupid NAR settlement punishes buyers, sellers and agents!

[@waterbug1135]

The NAR suit was another attempt to stop the agent scam of telling buyers "seller will pay". Buyers always pay. There have been several attempts in the past to stop this fraud and there will be more. It's a slow process. NAR spends millions on lobbyists to keep their scam going. The suit lost means they have less to spend on lobbyists, That may allow for stricter laws to stop the scam. Yeah, it wasn't an instant win. But people are trying to stop the scam.

[@kylecaudill9261]

10-15% of my market has had price drops and the length of time houses has increased since the changes from the settlement have been implemented. A good rule of thumb is that if its on the news, be suspicious. Either it isnt true or they want something to come of it.

[@waterbug1135]

Buyers are NOT required to sign an agent contract. Buyers can go directly to sellers or the seller's agent to buy a home. This video is trying to scare buyers into paying them a lot of money.

[@Shannon_Stamm]

They still have to sign an agreement with the listing agent.

[@alphaomega1351]

You don't own a home if you have a mortgage, people! The bank 🏦 does. 🤓

[@kimberlymartin459]

Wrong. The bank holds the note until paid in full. Same as purchasing a car with a loan... the bank holds the note until paid in full.

[@destroystreets1023]

@@kimberlymartin459 this is just what people say who live in a 1 bdr aparment. and i live with my parents

[@kimberlymartin459]

@@destroystreets1023 I'm assuming, you're living with your parents in a 1 bedroom apartment? Do your parents own or rent?

[@destroystreets1023]

@@kimberlymartin459 guess i hit the nail on the head lol

[@kimberlymartin459]

@@destroystreets1023 nope... I own my homes. I practically live off my rentals. Sorry to disappoint you.

[@Amber1985-i8y]

This lady doesn't understand what she is talking about. It absolutely impacts supply and demand. Buyers now are weighing properties' list price plus commission. Although the fees are not in the MLS, they are still able to be part of the marketing of the seller. For those that are not choosing to disclose what they are paying out, their price to a buyer is list price plus commission while those that do choose to disclose will be a better deal for the buyer for several reasons. It also prices some buyers out of the market or at least those specific properties, which has an obvious direct impact on demand. The only thing that really changed, is sellers and listing agents, no longer control the amount the buyer agent gets paid, just how much of a value proposition they want to provide to a buyer as they compare their home to others on the market This will become more obvious in a neutral or buyers market. Sellers still pay it, they just don't realize it is in the price.

[@gmeztubenation]

What will change us people won’t have to hire buyers agents

[@Amber1985-i8y]

@@gmeztubenation They never did before, that has always been an option. The reason buyer agency even became a thing is buyers were being taken advantage of by sellers and professional real estate brokers. You can choose that option, just like you could before. The biggest difference now is you have to pay for representation and you will likely pay for it one way or the other. To each their own, but trust me, a buyer not represented, the listing agent holds no obligation to work in your interest, quite in fact the opposite, they will likely take advantage of it, and as a fiduciary to the seller, they will be in the right.

[@destroystreets1023]

@@gmeztubenation you never had to lol just send the offer yourself......

[@waterbug1135]

Sellers have never once in the history of the world ever paid for any agent fee or other closing costs. The only person putting money into escrow is the buyer. Sellers accept offers based on the net they will get at close. Follow the money... At close buyer puts $500k on the table. Escrow agent cuts out $15,000 and pushes it over to buyer's agent. Who paid the buyer's agent? Obviously the buyer did. The exact same thing happen whether the purchase contract states "seller pays" or "buyer pays". If "buyer pays" the contract says the accepted offer is $485k. If "seller pays" the contract says the accepted offer is $500k and $15k goes to agent. The only difference are a couple words in the contract. But the actual cash movement is exactly the same either way. This has always been the scam agents use to trick buyers into handing over a huge pile of money. It's nonsense. Same with "I'll get seller to pay the closing costs." Even the listing agent's fee is paid by the buyer. Don't believe it? Investors have known this forever. You want $500k for your house and you expect 3% will go to your listing agent and 3% to a buyer's agent, so you expect to net $470k. Before signing with a listing agent I knock on your door and offer you $470k cash with no agent fees so you net the $470k you wanted. I saved myself from having to pay a listing agent. The scam is the "offer price". Many sellers love to see a big number at the top of a contract. They tell friends and family they sold for that big number. It's silly. The rest of the contract then reduces that amount. Net matter. Same scam some restaurants run. Price on menu is $15 and then down at the bottom in small print "15% gratuity will be added". Actual cost of the item is $17.25. They could have just stated that on the menu, but want to trick you into thinking it's cheaper.

[@vietdo1865]

Real estate agents are as useful as travel agents.

[@destroystreets1023]

then dont use one lol, youve never had to in the past

[@vietdo1865]

@destroystreets1023 I do own a house and didn't use one

[@Shannon_Stamm]

@@vietdo1865 If you didn't use a real estate agent, how do you know they are "as useful as travel agents,'? You probably got screwed over on your house and don't know it.

[@vietdo1865]

@@Shannon_Stamm maybe I did maybe I didn't. But it's been 10 years and never had a problem. House inspector checked it out before I bought it. Lawyer check the paper work. I found the house online myself.

[@italocolipi8369]

😂😂