All this hoopla on commission!!

As I sit here shaking my head in disbelief at where the Real Estate Industry is heading I say to myself Imma, why does this still shock you?

Real Estate business is a very fascinating arena, it entails many many moving parts and the T.V. doesn’t do it any justice. Real Estate is not as sexy as they portray it to be, in fact it is very challenging since the only constant we face daily is change.

This change has many many masks, such as the government interference in private sector, the associations of real estate professionals deciding on things without looking at each micro market. Clearly we know Manhattan and Downtown Brooklyn is a totally different game than let’s say Boston MASS.

We are faced with inflation offsets, rising costs of materials which increases costs of housing. We also need to navigate interest rates and so many agents have a hard time riding the wave.

To some, Real Estate seems to be a steady market – ” it only goes up” I’ve heard a 1000 times – yet that is NOT true in micro moments and markets – Real Estate like every other thing on this planet is cyclical. It does go up and is by far for me, the ONLY investment to make. However if you are caught in what I call the “Real Estate WEB” you will lose money on your investment should the need to sell comes at a moment in time where things are on the way down. Let’s talk about commission! EVERY agent that brings about a transaction should be compensated by the SELLER as in NYS we are all sub agents of the seller as so I do not see an issue on this and this should be a STATE to STATE decision in the long run.

When Listing a property the SELLER needs to understand that the commission paid will be split – In NYC my experience over the last 2 decades has been that every one agrees so do the majority of the larger firms. WE ALL AGREE that we need to do business as usual.

The buyer side is super important – imagine having no buyers to buy? Everyone working just the listing end?? Seriously it does take 2 to tango and if we are all disclosing it there should be no issues. I feel the MLS and REBNY needs to disclose the commission – so that it keeps Brokers and Brokerages on the transparent train! WE need to continue co brokering to represent the SELLERS 100%.