Real Estate has changed, it has changed a lot. Some Brokers don't want to let go of the old way of doing business and want to keep what they consider out of area agents out of their areas still to this day. A lot of this still has to do with the lack of disclosure to buyers. Some agents want to keep the status quo, keep it the way it has always been. But Buyer Brokerage and the Internet have changed the way we do business, a lot. I believe that a lot of agents do NOT exlain buyer brokerage properly, some because they don't understand it themselves and some because they still want both side of that commission and if buyer agency were truly explained it would effect their bottom line.
I have a blogging buddy by the name of Laurie who works on the North Shore of Long Island. Laurie has moved from another state and is amazed at the way we do real estate in New York, perhaps amazed is the wrong word. She wrote a wonderful post about disclosure of real estate agent roles that explains some of the issues and I recommend this post highly to anyone who hasn't seen it, here.
In the past Real Estate agents would stay in their areas, everyone represented the seller and the goal was to make the "double dip" meaning both sides of the commisson. The disclosure to buyers that they could have their own agent looking out for their interests didn't have to be disclosed because it didn't exist. Everyone represented the seller.
Now, however lots and lots of agents work as buyer's agents and travel throughout the County of Westchester selling properties. The agents are going with their buyers and helping the buyers find the best communities and properties. The way the internet has changed this is that there is so much community and school information on the internet now buyers come knowing a lot before we begin. It is not the place of a real estate agent to discuss schools, demographics and in fact this is against the law. The buyers need to research these areas on their own. The fact that a brokers child went to a particular school is not a factor, schools are very subjective and buyers need to figure this out.
In the past an agent would "refer" a buyer to any other community that the buyer might want to see and collect a 25% referral fee without doing the work. There is a large network of agents who have nurtured these referral networks and want to protect them.
The very good news is that this is now changing and changing a lot. A friend of mine sold a house in Rye and she is an agent in Bedford, a friend of mine working as a buyer's agent sold a house in Yorktown and her office is in White Plains. Does she know the community? Yes, she does. I personally have lived in lots of communities throughout Westchester County and sell in those areas. Sometimes a buyer's agent who doesn't live in a particular community comes with a fresh point of view. A buyer's agent who goes to different communities with a buyer won't try to convince a buyer to buy in any particular community, the buyer can take their time and decide which community is best for them. The old way an agent would want the buyer to buy in "their" community in order to earn the commission. This "new" way an agent will be paid for their work no matter where the buyer buys - no pressure.
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