Posted on 03/19/2024 1:24:52 PM PDT by where's_the_Outrage?
Since its founding nearly two decades ago, Zillow has revolutionized the way Americans buy, rent, sell — and fantasize — about housing in the US.
But a settlement that breaks the grip of powerful real estate agents could trigger a range of problems for the platform already suffering from declining traffic in an increasingly competitive housing market.
The company’s stock has dropped nearly 13% since Friday’s $418 million settlement between the National Association of Realtors and groups of home sellers which ended the standard 6% commission for Realtors. It’s a sign that investors fear the settlement could have seismic effects through the housing industry, changing everything from how much Americans pay to buy and sell homes to the income of those in the industry and even the technology underpinning it.
Zillow made this point itself in its annual report last month, when the company warned that, “if agent commissions are meaningfully impacted, it could reduce the marketing budgets of real estate partners or reduce the number of real estate partners participating in the industry, which could adversely affect our financial condition and results of operations.”
(Excerpt) Read more at msn.com ...
> state or county treasurer
They have no business accessing actual sale prices unless/until they hold assessments to last sold price. Why do they need sales when they are supposed to make an objective appraisal on the property as it sits? Seems like they can screw you two different ways and they should only be able to do it one way if at all.
As the homeowner, you can sign up with either website and correct the information. Since many people rely on the various real estate aggregators (Zillow, Realtor.com, Redfin, etc), it would behoove you to have the correct info in there. While your info may self-correct if you list your home, it may not. Do you really want a buyer thinking you have a 1-BR home when you’re trying to sell a 2-BR home?
Read later.
You make a good point.
Every day has problems. No perfect house.
No perfect FReeper.
Etc.
I would seek a property on short sale for six months and get a cold reception at the banks. Then one morning the phone rings months later,and that chilly bank tells me "if I can close by noon tomorrow, they will accept my offer!!" That happened three times. All less than a three day notice. I was good with that.
I'm hoping for a Cat 5 hurricane in Florida and grab up a few of those 1950's Era masonry walls, flat roof, Florida homes after they default.
Well, some states have transaction fees like Documentary Stamps, Intangible Tax.
Yeah, it sucks.
But therein is a reason.
Plus they like to use the selling price as an indicator of value so they can charge Real Estate taxes.
What a country!! Huh?
Two more months and the $25K would have been tax free for Fed Tax purposes.
That is really simple.
It doesn't.
Even if the selling agent is contracted as a "buyer's broker", the incentives are all the same. "Make the sale as quickly as possible with the least amount of complications". That is not necessarily wrong, but it is not what is typically presented to buyer or seller.
MOST counties have a TRANSFER FEE based upon the sale price.
“Someone please explain how the _buyer_ agent commission incentivizes that agent in the right direction.”
Simple: The buyer’s agent wants the buyer to buy as much as possible to get the biggest commission. That’s not hard to understand; simple greed.
Oh, wait, you mean how does it incentivize the agent to help the buyer pay the least and get the most. Sorry, it doesn’t.
What it does do is it ensures the buyer’s agent presents the properties that are offering the commission. When homes do not give the commission, or a lesser one, the agents tend not to present that property in protest.
I do get your point but IF I ever sell this perfect home My RE agent will update the information...until that time I prefer it to be just as it is - including not having a photo of our house (the photo is a Google street view snapshot of our field and the valley below).
Happy Spring!
You mean does the buyer rep have a vested interest in driving the price higher for a higher commission?
Yes.
You also have the same incentives in most financial transactions; insurance, stocks, investment etc. Do you think your insurance agent, financial advisor doesn’t want to make more money while also providing the best deal possible?
You would think so in certain areas of the country however with the influx of 10,000,000 illegals, rents skyrocket, anyone that can is getting out of that trap and new construction and existing inventory aren’t enough to meet that demand.
Hence in a normal situation a correction was supposed to happen in 2021-22. Interest rates are not dropping and demand is still there.
Agreed.
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