Well if money did grow on trees we would have to be talking about something else. It does not, so we can discuss commissions. Or, more to the point, what commission do we rate? And also, why so much discussions about what "other" companies charge as their commissions.
Here on ActiveRain and other places on and off the internet the discussion of real estate commission rates has been knocked back and forth. Most has been railing against the "discounters" and the "independents" who charge less than the, say "traditional" 3%. Ok, so we all have our opinion on the matter. No surprise so far. What is somewhat surprising to me is how many folks seem to have hard feelings about those who do not dance to the same drummer.
Yes, I know we cannot "set" a figure and all of us follow along. However, someone does not there are harsh comments and/or hard feelings, or so it seems. It is far more proper to follow the line of thought as in "whatever the market will bear" in setting commission rates.
My brother was fortunate enough to find a real estate agent who handled his transaction for a flat fee. Ture, the buyer and seller were already on-board and all that was needed was someone to facilitate the paperwork. So in my mind a flat fee was appropriate. Is this true of all transactions? No, of course not.
The facts are, many have and more are taking the point of view we are overpaid in this profession. Some of this criticism has been earned and some has not. We need to step back and consider what and how we do our business and review our business model to see if we make sense in our approach to real estate practioning. Not all brokers operate the same way. Not all franchises either. Some are in niche markets. Some have very narrow markets and clientel base.
When a broker makes a business decision, (s)he must live with it. If it works for the brokerage, then fine, job well done. If not, oops, let's reconsider out position on this. It is a professional decision and fellow professionals should tend to their own matters.
To lambast someone else's business model in public is a foul to me. If they are happy with their level of service, level of business and their bottomline, then so be it. Others need to not opine, complain, criticise or otherwise throw stones just because they disagree. There is enough business out there for everyone to keep busy. Some folks will always make more than others. Free market and all that.
Keep your eye on your target (market) and keep doing what you do best. Let the others do their thing and everyone cooperate and graduate.
Good luck to all!
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