Are Buyer's Agents (Still) Worth the Money They Charge?

Services for Real Estate Pros with SMARTePLANS; Houston, Texas

Interesting article on Inman News today. A Listing Agent, Jeff Sibbach,  wonders out loud if in a situation like the one he describes .... is the buyer's agent  "worth" the commission split they are collecting?


I can say I have seen quite a few listing agents that I didn't think "earned" the commission they collected .. yes.. those are the ones taking property photos with their cell phones ... among other less-than-optimum marketing practices.


But,  he makes the point that since "the internet" (et al) is becoming significantly efficient in helping buyers locate properties -- which was once the nearly exclusive purview of the buyer's agent --- and buyers ARE increasingly doing this themselves..... that perhaps a full commission split is  no longer equitable?


"So has the buyer’s agent role changed? Is it fair that buyers are doing the work that the buyer’s agents are getting paid? We believe our industry is about to change."


Here is the complete link in case  you need to paste it into your browser:

Source: Inman News; May 2, 2016


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Gary L. Waters Broker Associate, Bucci Realty
Bucci Realty, Inc. - Melbourne, FL
Fifteen Years Experience in Brevard County

Since sellers pay the buyer's agent then there is nothing a buyer should be concerned about when it comes to paying the buyer's agent.  If the buyer wants to risk it by going it alone with the Internet as their guide its simple...caveat emptor.

May 02, 2016 04:41 AM #1
Chris Ann Cleland
Long and Foster REALTORS®, Gainesville, VA - Bristow, VA
Associate Broker, Bristow, VA

Just because the seller pays doesn't mean buyers shouldn't feel it's a fee they aren't charged.  They are paying for the home, and the fee is coming from the sale of the home.

My buyers have never felt I made too much money.  In fact, most think I don't make enough.  Buyers that only want a rebate need to go find a rebate brokerage and pay for a good outcome. 

May 02, 2016 07:49 AM #2
Myrl Jeffcoat
GreatWest Realty - Sacramento, CA
Greater Sacramento Real Estate Agent

My goodness, so someone is asking when a buyer is purchasing what is likely to be one of the most expensive investments in their lifetime, whether they should have professional representation from their agent at a reduced fee?  

A listing agent asking the question may reason that they pay for marketing on their side.  But, I would argue, that buyer agents pay for gasoline on their's.  

The internet has changed things a great deal for buyer agents and listing agents over the years!  It's made our jobs easier, and harder at the same time.  We can market listings easier; but the amount of misinformation disseminated by on-line algorithm generated home evaluators has us spending a great deal of time re-educating our clients to certain realities.

May 02, 2016 11:36 PM #3
Myrl Jeffcoat
GreatWest Realty - Sacramento, CA
Greater Sacramento Real Estate Agent

I might also add that I can remember times when listing agents offered a larger split to buyer agents.  It was seen as an incentive to getting homes shown and sold!

May 02, 2016 11:41 PM #4
Dave Halpern
Keller Williams Realty Louisville East (502) 664-7827 - Louisville, KY
Louisville Short Sale Expert

Judith Sinnard - Sending you best wishes and hope that you are not being greatly impacted by Hurricane Harvey.

Aug 27, 2017 02:03 PM #5
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