Asking a real estate agent whether you should buy a home right now is like to asking an alcoholic whether they think you should have a drink lol. Homes in my neighborhood that cost around $450k in sales in 2019 are now going for $800 to $950k. Every seller in my neighborhood is currently making a $350k profit. Simply unreal. In all honesty, deflation is what we require. The only other option is for many people to go bankrupt, which would also be bad for the economy. That is the only way to return to normal.
Home prices will come down eventually, but for now; its best to offset some of your real estate investments and get into the financial markets or gold. The new mortgage rates are crazy, add to that the recession and the fact that mortgage guidelines are getting more difficult. Home prices will need to fall by a minimum of 40% (more like 50%) before the market normalizes. If you are in cross roads or need sincere advise on the best moves to take now its best you seek an independent advisor who knows about the financial markets.
It's often true that people underestimate the importance of financial advisors until they feel the negative effects of emotional decision-making. I remember a few summers ago, after a tough divorce, when I needed a boost for my struggling business. I researched and found a licensed advisor who diligently helped grow my reserves despite inflation. Consequently, my reserves increased from $275k to around $750k.
this is definitely considerable! think you could suggest any professional/advisors i can get on the phone with? i'm in dire need of proper portfolio allocation
My CFA ’’Aileen Gertrude Tippy’’ , a renowned figure in her line of work. I recommend researching her credentials further. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market.
Appreciate this recommendation, hopefully I can get some insight to where the market is headed and strategies to beat the downtrend with when I hear back from Aileen.
I've used a buyer's agent both times I have purchased, and I would not do it without one. Two different agents, answering the questions I did not know enough to even ask. LP siding? Lead paint? Rentback agreement because of an undisclosed lien needing to be cleared? (Which would have left us homeless for 10 days and nowhere to move our stuff.) Absolutely saved us.
The thing is that there's no guarantee he/she would care enough to ask those questions to the seller. Sadly not even inspectors! The problem is that they are never accountable to any misleading or any damaged outcome down the years. If the inspector missed the termites inspection and years later your floor started to sink... are you going to sue the inspector? They already got your money...both the buyer agent and inspector! There's no incentive for either one to look for any potential problems with the house you are interested!
I buy and sell property for a living. I would never tie myself down with an exclusive buyers agency agreement, I want the right to buy someone’s pocket listing or directly from the owner if I want. I always do all the research anyway, a realtor has never found a property for me, they just write up the contracts like car salesmen.
Stop selling the need for a buyers agent. Its not rocket sience. You need a good home inspector, an attorney to review the usual standard contract, and a good closing agent. The negotiations is the key to a good deal. The key is to be informed of the neighborhood prices and not to be afraid to make a low offer and work from there. Ive closed on homes that I have done most of the work and the realtor just collected his commission. I set up the inspector, kept in communication with the closing agent, picked up on errors on the closing statement that the realtor didn't, and frankly, I will never use a realtor again.
Audra, you’re a sophisticated, tier 1 RE agent. The problem is, majority are not on your level and that’s where that thought process comes in to place with some people. However I agree it’s always good to have proper representation from skilled, professionals, such as yourself. Great vid!
Wow, Rob...really appreciate the compliment. You have no idea how good that makes me feel. I really strive to help others in the best way I can. I do agree that the majority of the agents out there are not trained properly or held accountable. Its kinda like the wild wild west out there..especially in rural areas (from what I have been told).
It’s true we need skilled agents like you. Even with your constant education, there is always that very unusual situation. I am glad you commented with your viewers. It makes you appear that you truly want to help people like us( not completely all knowing), rather than making money. Your gift is needed especially now. Thank you!
True. I have one agent in California, who has helped me a number of times with troublesome transactions. The rest just caused more trouble than if I had not been represented.
You are an agent who truly works for her clients. When I bought my home years ago, my buyer broker did not warn me about things I did not know about my neighbor hood, and I’m sure she did. (If I had grown up here, I would have known, its common knowledge to locals). Specifically, sewer pipe issues and tree roots in the neighborhood. At the time of my first problem, the sewer company said “oh yeah, that neighborhood is our bread & butter”😡. I wish I had known. I would have paid for additional inspections of the line for credits back.
Hello again Audra. Question: If I want to purchase a house the property is still under construction do we need a buyers agent representation? It’s a brand new house the price is fix so I was thinking buyers agent not needed. Please advise.
@vinceordonez5878 I highly recommend getting a buyers agent no matter if it is a new construction or not. New constructions run into problems just like previously owned homes. You want an agent that will walk you through the process especially with the walk throughs to help out on overlooked issues by the builder. I didn't mean to hijack your post but it is a smart thing to have one.
It would be great if every realtor was as passionate as you are in your profession. Sadly that's not the case. My first realtor was just like you but she moved out of state.
You’d be the only buyer agent I’ve seen in the last 4 years that were advising your clients not to offer over a certain amount. Every buyers agent I’ve tried has seemed like they were more the sellers second agent! 😂
Thank you for all your informative videos. I look forward to watching more of them. Could you give some advice on selling a house with a reverse mortgage?
Yes, of course! So glad you are getting value of of watching my videos. Selling a house with a reverse mortgage is really the same as selling any house with a regular mortgage. You just have to make sure you sell your house for more than what is owed to the bank. Any mortgage is just a lien on a property that must be cleared to convey title to another. If you owe more than what your house is worth..well now you have a problem. That's true with any mortgage. Hope that helps.
Honestly, I think it way more than that. Interview at least agents before hiring one...and do the research. It really matters who you work with in this industry.
Lots of good information that I greatly appreciate! I bought my first house 20 years ago at the age of 50 and I now want to sell and downsize. You have addressed many of my thoughts and concerns in this and other videos I have been watching. Because my experience when I bought this house was not a good one, I was considering selling this house myself and have been looking online for a different property. I still haven’t decided what I will do, but the more information I have, hopefully, the better choice I will make. And the problems were because of my agent and seller’s agent. I live in a rural area and the well was involved, something every agent in this area should be knowledgeable about but neither seemed to be. Ya’ live and learn, sometimes the expensive way.
Hello there. I love that you shared your experience. I do think hiring the right agent is the right thing to do. However, after reading a lot of my viewers experiences in rural areas, it appears these home sellers are actually doing all the work. I would just weight the pros and cons regarding selling the house FSBO or hiring an agent. Keep watching my videos, they may assist with your decisions. I really like how open you are to finding the right decision. I know you will find it. Best of luck to you!
@@AudraLambert Thank you, your videos have been a great help in learning about how agents should work and how to find a good one so I am definitely more knowledgeable now. I will continue to watch and learn. 👍
They are selling houses in my neighborhood and listing them as No HOA or CCRs, which is not true. The builder never followed through with the HOA that we signed off on. The buyers agents are not doing their homework. I see big problems coming for these buyers who are buying and are signing off on CCRs that apparently they are unaware of. They have not been enforced yet. What did they pay the agent for? These buyers are breaking rules left and right and don’t even believe me when I say there are CCRs in the neighborhood. At closing, buyers just sign whatever with their eyes glazed over. Should get interesting.
Just discovered your channel. I learned so much this weekend by binge watching your videos. I connect to your no non-sense approach. Can you recommend any agents in Etiwanda (Rancho Cucamonga) Ca.? Also I have a home office should I turn it back into a bedroom? Thanks
Welcome aboard! So glad you are getting value out of watching my videos. I think you are fine with keeping a bedroom an office...just make sure you declutter and keep "things" tidy. If you'd like us to screen some agents for you, please fill out this link: lambert.homes/referral. Best of luck to you!! You'll do great.
Just subscribed. We're using a buyers agent, but it's hard to tell how good they are. We're doing a lot of the work you described, but our agent is frowning on making offers that we've researched extremely well...she only wants to make full price offers. Is there anything we should ask our agent to see how well she represents us?
Wow!! She's frowning on making offers for you? Right there is a red flag. She's working for you! If your housing market is really hot where you live, then making offers below asking price may not be the right strategy....but you got to figure that out. The only way you are going to figure it out is by making offers. The way you can tell if a buyer's agent is doing a good job is if they get you under contract on a property your like and you are comfortable with the price and terms. If your agent is not doing that...or is not communicating to you why you are not getting the properties you have made offers on....I'd say find a new agent. I have had some buyers have me make 20+ offers before they actually purchased one. It was an educational process for this buyer. You're never going to buy a property if you aren't making offers...someone will eventually say yes.
OC has about 2,000 houses for sale out of 700,000 houses. If I list my house by owner, of course I would immediately get several offers. Why pay a listing agent more than a total of 1-2% total? Inventory won’t get better: Agent r helpful but desperate for listings. I like agents but question their value in OC until inventory changes. I use agents in Las Vegas since there is competition. Owners in control in OC. Why pay an agent $70,000 for one week’s work? Thanks
Okay...to be fair, you aren't hiring agents for the hours they are putting into your property. You are hiring for their expertise, guidance and protection. If you are hiring an agent that you don't respect or feel you are not getting value for their services, then yes, you have a problem. I used to be a FSBO gal back in the day. There is a lot you don't know you don't know. Lots of risk and liability. I would just make sure you know what you are getting into. I do understand your perspective.
I have done 20 transactions. My point was not to be disrespectful. Ur videos are good but I called ur office & could not leave a message. My pt was inventory is ridiculously low thus commissions r a concern. I know good agents r worth it. Staging is essential. OTHER; I think agents r missing opportunities with older owners who want to sell. There r people like me who want to sell but cannot unless they live there 2 yrs to avoid Cap Gains. 1031 is ok but you have to buy more property & cannot cash out without huge taxes. Thank You. Keep up the good work.
Audra, you're talking as if all buyers agents provide the level of representation that you do. Let's be honest. They don't. Many if not most are about useless. They typically DON'T negotiate by through persuasion . They simply fill out an offer form and deliver it to the other party with no discussion at all and they CALL that negotiating. And you're right. Buyers somehow have the idea that cash offers always win. That's only true if ALL of the other terms are identical. Sellers usually won't accept an all-cash offer if it means selling for a few thousand dollars less than another offer involving a loan.
You're not wrong. In my video I even call out knucklehead buyer's agents. This is why I did this video is to show buyer's agents how to do their job (most do not)...and also it is up to the buyer to find a good agent. Most just hire some part-time relative or friend. DRIVES ME CRAZY. There are good buyer's agents out there. I do agree with cash isn't always king. However, dealing with lenders can be a nightmare! So many deals have been lost because of knucklehead lenders. As a buyer if you have a loan, get DU approval, have two fully approved underwritten files from two different lenders, then you have a very strong chance of beating all cash offer. Most buyers have the basic pre-approval letter. WHY? Get that lender working for you. This also DRIVES ME NUTS! Okay..I need to calm down. We are agreeing with each other...I just want buyers out there to be prepared and have proper representation. Its important.
Let's be real people. Back in the day we never had buyer's agent's or seller's agents. Agents for the buyers or sellers have not been regulated like banking or insurance industries. All of you have been running unregulated and self-policed for years. Now you have all of these compliance issues and now you're the victims in the transaction. In short were going back to the way it used to be just being a real estate agent.
A buyer agent can do a lot Depends on how much they know Even more of the client is out of the area. They can determine the value of a property so scouting. Take photos they can help client get specific anout a search And they can negotiate o clients behalf. In VA an agent is by default a seller agent. And therefore has fiduciary obligation to the seller. Not the buyer.
The question is if we need a seller real estate agent? Paying them 3% just to post my property on MLS? And take some pictures? while the buyer agent take the buyer from house to another, tell them about the area, the materials used in building the property, signing papers…. Also, the BUYERS are who bring the capital to the table, they who should be represented. In my opinion, the seller agent can be replaced by online websites, not the buyer agent.
Hello there! I am pretty sure my clients would say they need me as a listing agent....however, I add a great deal of value. I helped a client who found me on youtube prep her house for sale yesterday..staged it a bit, brought in my contractor to assist with repairs. We filled out the disclosures together, scheduled a home inspection and termite inspection (on my dime) and paid for the highest end photos and videos. I also show all my properties in person. Not to mention I have 15+ years of experience in the industry. Now, I know most listing agents don't offer all this...but you should find one that does. They will get you top dollar. Interview at least 3 agents. Also, there are several buyers agents out there that never even show up with their buyer. They tell the buyer to contact the listing agent directly. It awful. There are some great buyer's agents out there..but there are some bad ones too. You really have to choose your representation wisely.
Great videos, really appreciate them, we need videos about how much are the commissions, and also what about the people who lives in Europe as there they do not have a buyer agent. & is commissions negotiable worldwide? Kind regards,
Hello there, I did do two videos on commission. I will link them here: ru-vid.com/video/%D0%B2%D0%B8%D0%B4%D0%B5%D0%BE-1Mbd1FsVTZs.htmlsi=cbtzfMTB3Liw9RtW ru-vid.com/video/%D0%B2%D0%B8%D0%B4%D0%B5%D0%BE-CvCTHPGaObM.htmlsi=bpmox-lb25XwNwpB. I am not familiar with Europes real estate commission structures...but am pretty dang certain they are negotiable. Best of luck to you.
Regardless of the "law", You have to do what is customary in your area or you won't get anywhere. As experienced buyers, we mainly help sellers who don't want to list with realtors for whatever reason. And there are plenty of them in all price ranges. If there is a broker involved we make sure they get paid but won't ever get pushed around by brokers who don't know how to do a creative deal.
You make a good point...but who knows what is customary in any area? I think any deal should be structured based on what equitable between buyer and seller. Not in love with the word customary...it can get messy. There are a lot of brokers who will not work with another non-licensed agents. Creates too much liability and risk for them because typically the other non- licensed agent does't have the forms or wherewithal to figure out how the process is supposed to go. When I hear the term "creative" I get a bit nervous...creative usually means crooked. I am sure that's not what you are suggesting...but anytime I hear the word creative in relation to real estate transactions it give me pause for concern.
@@AudraLambert We will only work with a realtor who can think out of the box to help folks. What if seller has no equity or has missed some payments and facing foreclosure? Most people can't spend $ on fixup so the broker has a quick and easy sale. What if seller has family problems or house problems and needs a quick sale? Many sellers also will never list with a broker and go through that meat grinder process. Also we are NOT agents, we are principle buyers and problem solvers.
@@torreypines3074 Sounds like you're one of the good guys. Most creative financing out there tell the sellers they are there to help...but actually purchase their house at a significant discount, then flip it and make a lot of money. OR the do what's called purchasing a house subject to an existing mortgage. Not a big fan of this either...watch my video on this (yes, in that video my lighting is over exposed, but the info is good). I don't like putting anyone in a risky situation: ru-vid.com/video/%D0%B2%D0%B8%D0%B4%D0%B5%D0%BE-id5T21m0m9w.htmlsi=esuNZqlO8w-JI2FJ
Buying subject 2 has been a life saver for our sellers for over 40 years. We make up back payments, save their credit, prevent sheriff evictions, and if they have no equity we still give them relocation cash. And we buy the house as is. Most realtors have never done one as it isn't boiler plate paperwork so they think it's illegal. Quite the contrary. Helping folks out of a jam is rewarding.@@AudraLambert
Buying subject 2 has been a life saver for our sellers for over 40 years. We make up back payments, save their credit, prevent sheriff evictions, and if they have no equity we still give them relocation cash. And we buy the house as is. Most realtors have never done one as it isn't boiler plate paperwork so they think it's illegal. Quite the contrary. Helping folks out of a jam is rewarding.@@AudraLambert
I know, its confusing. Listing agents do a ton of work if they are doing it right. Buyer's agent are doing a lot of work if they are involved. I had to show a buyer 40 home before they bought. My weekends were take up, gas spent, research hours, 15 offers later, I got my buyer under contract. Most sellers don't see this side of it. However, I have had some buyer call me up and just ask me to write an offer. Some are easier than others.
Hello Sandy! Thanks so much for watching this video! If you fill out this link, we can assist with finding you agents in Ventura area: lambert.homes/referral
You don’t need a buyer’s agent ! Use the NAR settlement to leverage lower commissions and a lower purchase price. 2.5% of. $2M home is $50K. For what ? If I’m buying or selling a million dollar + home there is no way to justify those commission levels !
Not sure where you are located. Out here in California we have escrow companies that you and the buyer would provide your purchase offer to in efforts to complete the process. The question: who is going to write up the offer? You could always pay an agent to write the offer up for you for a flat fee...Or you could ask escrow if they could provide a purchase offer for you both (blank purchase offer form). Some go to attorneys to draft up an offer. I still am a fan of having a seasoned, experienced agent guide both parties through the process. Its really difficult having the buyer and seller do it all by themselves. A lot of people sell their homes without any agents involved. I am not a big of this only because I think the buyer and seller should know all the the legalities involved. Hope that helps.
Never understood why seller pays the commission to the buyers’ agent, yet they represent the buyers? The buyer should be paying the fee for their own agent. Conflict of interest. We don’t use listing agents and only offer 1.5% buyer’s agent fees. On house #7 of selling ourselves. It’s not difficult. Everything can be found online or pay your local attorney about $500 for everything. We have less than $750 and 10 hours invested in our current home sale including appraisal, contract, State disclosure forms, signage and online MLS listing. If it was difficult to sell a home then RE agents would need more than 60-135 hours of average State education requirements . Highest paid job for so little education. Average home here sells for $500k x 6% commission =$30,000. That is the price of a new car! No agent worth that. Would any Seller sign over the title of their car to the agent at closing? Doubt it, but that is exactly what they are doing. Agents will tell you how much they spend to list your property. We paid $300 for 6 months which includes the 3 big online MLS sites.
Well, you are not alone in your perspective. Back in the day, buyer's agents couldn't hire their own representation because they couldn't afford it...so they had to use the seller's listing agent. That listing agent didn't have to extend fiduciary responsibilities to the buyer. The buyer got taken advantage of, mislead, and didn't have the proper guidance when purchasing a home. Lots of lawsuits later (buyers suing seller for misrepresentation etc), the industry changed. The seller then offered commissions to the buyer's agent to assist with buyer representation (limits risk to seller because the buyer now has representation). If the buyer isn't happy with their representation, they sue their agent/broker for not guiding them properly. That's not really how it works, I know...but that's the premise behind it. Also, brokerage houses take 20-30% of the agent's commission..NOW that's even more ridiculous! Most agents only close 1-3 deals a year on a good year. I will do a video on what I spend on my listings...its a lot..but not every agent does that...but I also don't give my broker 20-30% of my commission. I do agree with you that most the agents out there have no business selling a home. The entry bar to becoming a realtor is very low. Most all Realtors are independent contractors. Their broker is not required to train them...only "oversee" their transactions. The key here is to hire an amazing realtor. There are good ones out there worth their money...but most aren't...just keeping it real. FSBO does make sense for a lot of people out there. Just know there are risks going either way.
Sorry, no RE broker is worth $30,000 for the sale of a $500k home. . They have been fooling themselves and the public too long. RE agents DO NOT SELL HOUSES. Houses sell themselves. If agents “talked” buyers into buying a house and then something came up, they would be sued. Most realtors have no idea any information about the house they are representing. They basically walk around in aww with the prospective buyer, never doing their homework. Most do not know how systems; septic, sewer, heating, etc of a house operate. Most RE agents are independent contractors because it’s easy to get a license and they are expendable to the owner/broker. Agents use the excuse that too many people are sharing in the commission. Not the sellers problem. The owner/broker used to be the listing , showing and selling broker at 5%. Now houses have skyrocketed in price and the commission is 6% (10% for land). Like you stated “the entry bar to becoming a realtor is very low”. Actually, the average State requires 60 to 135 hours of class time = to about 1-2 Community College courses. Does not make them an “expert”. If 60-135 hours of class time makes them an “expert”, then I must be a genius (I’m not) at something, with 2 A.S. degrees and 4.5 years of college. [My State requires a HS student to complete 10 hrs classroom time and 70 hours of driving to get their drivers permit. And they still aren’t experts. More hands on time then RE agent requirements in my State]. Hopefully the current lawsuit against brokerages and the current sellers market will change the commission scale once and for all. P.S. I have passed the course and had my State license many years ago. Best return on the money I spent for the RE course. Been selling my own houses since 1986. Probably pocketed about $70-$80k saved in not paying commissions. It is NOT difficult. Even easier now with the internet. @@AudraLambert
@@AudraLambert Just sold two family homes FSBO for $500,000+ each x 6% commission = $60,000+ commissions. Sorry no real estate agent is worth $60,000, no matter how much of your “own money you use” or how many ways you have to split it. . Heck, my wife’s orthopedic surgeon (8 years college + Residency) did not charge 1/4 that for a full joint replacement. Real estate agents WAY overrate their worth. Maybe 1-2% total commission would be more in-line. Fortunately, real estate agents are going the way of travel agents. People found how easy travel plans can be made on-line. Soon they will realize how easy it is to sell your own home. This lawsuit has opened many eyes.
I'm getting mixed messages from your videos. Here, you tell the seller to offer the buyers agent a commission. But, in several of your prior videos, you're saying that it's now against the law and that the buyer pay's the buyers agent commission through the Buyer Broker Agreement. I've read the US District Court case No 4:19.cv.00332-SRB (Burnett et al v. The National Association of Realtors et al) which is the one I believe you've referenced in several of your prior videos made this year. I understand the NAR's in the MLS Handbook, per section 2-G-1, require the seller to offer the buyer agent a commission (albeit, it can be just $1.00) in order to be listed. So, based on your prior videos, it seems that the amount going to the buyer agent must be specified in the OFFER, and not in the Listing Agent contract. Did I miss something?
Hello there! The seller can offer $0 in MLS. There does need to be an amount populated in MLS...$0 qualifies. The seller is not required to pay the buyer's agent a commission. The buyer and the buyer's agent agree on their own commission structure (its a separate agreement called the buyer broker agreement). If the seller is offering 2% commission, to the buyer's agent but the buyer's agent agreement is 1% for the buyer's agent's commission...typically the buyer gets that 1% difference credited back from the seller (if they mark the right box on the buyer/broker agreement). The lawsuits were about the buyer not being able to negotiate their buyer's agent's commission. The commission was already baked into the sales price. Buyers weren't happy with that because they felt they should have the ability to negotiate their buyer's agent's commission which could directly impact the price of the house. Lawsuits don't change laws..but they do change behavior. Now most all brokers though out USA require their agent to sign buyer/broker agreements with their buyers. Hope that helps.
@@AudraLambert - Thank you for the time and effort put into your response. It's helped me a lot in editing/updating the Listing Agent Contract in a way I'm comfortable with. I imagine the realtor that thinks they'll get the job isn't going to like my changes. Moving back to OC where you are.
Buyer's needs to pay their agent that represent them not seller's shall not pay them nothing they are not working for the seller's I'm so tired of hearing this seller's pay buyer's agent no why a buyer's pay 2 time's the law shall be become in affect not allowing the buyer's pay your agent she is working for you stop mooching on seller's money they are not your parents to give you money or pay your closing costs if this is the case hire a attorney instead is way more cheaper out with mooching agents is time for this abuse to stop on buyer's
@@perlamaru6751 Okay I hear ya. Let hear the other side of the story. Back in the day, The seller would hire their listing agent to sell their home. The buyer would want to purchase a home but couldn't afford a buyers agent. So the seller would tell the buyer to use his listing agent. The listing agent owed no fiduciary responsibilities to the buyer. The buyer got taken advantage of, mistreated, and abused through the process. Lots of law suits later, the way we conduct business is different today. Most sellers now offer a commission to the buyer's agent (not all do) to assist with the buyer's agents representation. The buyer's agent is not supposed to help sell the homeowner's home. The buyer's agent is there to give the proper representation/guidance to the buyer. This limits the the risk for the seller. The commission should be included in the sales price. No seller is required to pay for any buyer's agent's commission.
First off, look them up on line. I don't. like Zillow..but their agents history reviews are good (How many homes they sold, reviews etc.). Google is also a good place search for reviews on an agent. When you do interview your buyer's agent...ask for references...and please call these reference. That's a good place to start.
Here’s what you don’t need: Buyers agent Sellers agent Broker Here’s want you do need 2 men with brains One interested in selling One interested in buying
Sure, buyers need an agent and the buyer should pay their agent, not the seller. Giving 6% to paper pushers is too much on a seller and it needs to end. Realtors are overpaid for their one semester course.
Well...thank you for the compliment...and yes, there are a lot of inexperienced, unprofessional agents out there. I highly recommend that you interview several agents before hiring anyone!! It really is that important.
I m from Europe. We bought 2 houses in 2 different countries WITHOUT buyers agent. Absolutely unnecessary, seller’s agent was assisting us with everything when we were buying a house in France when we did not even speak the language. Bought a house way cheaper, i negotiated myself
Materials used to build properties in Europe are so different than what are used in the US, markets are different, liability is different, can’t compare.
Buyer's agents are morons. Come on, it's true. They just get in the way. A seller offering 0 to the buyer's agent and getting a "split" with buyer comes out ahead bc they do not have to deal with the horrible buyer's agents. I've yet to find an honest one!
NEVER sign a buyer's agent agreement unless you have worked with the agent previously or have vetted them thoroughly with references. FEW buyer's agents are as qualified as you. Good luck finding someone. In my lifetime of property sales, I have found two that represented, advocated, and actually had negotiation skills. I loved them and refer them many years later. That's 2 out of 20. Sad. It seems the new canned mantra I am hearing from agents is, "I don't want you to waste my time." From both listing and buyer's agents. Unfathomable. I am not looking for a new friend or a hobby. I can't think of any business that has made this this low level of bad customer service part of its culture.
Buyers need to have their own representation. If you were to go to court and couldn't afford your own representation, the state would provide one for you. Laughing, maybe the state should provide buyer's representation (something to think about). The reason a seller would pay for a buyer's agent's commission is because they want the buyer well represented...it honestly protects the seller too. If a good offer is presented to the seller with the concession of the seller assisting with a buyer's agent commission, I doubt the seller would say no. This is how the commercial industry works today. The commission would be a consideration of the sales price ....much like today.
@@AudraLambert I'm sure you saw the recent court ruling stating that it is unethical to make sellers pay buying agents. Times have changed. You're talking ancient history. There is a reason you need a big long explanation on why the seller pays buying agents. It's a scam and unethical.
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I had a buyers agent. He recommended an inspector that completely failed. Ignored the broken window seal. Missed major problem with furnace, garage doors, toilets and a lot more. Ignored the problems and pretended house was fine.
Love your videos. They are super informative and helpful. I followed your staging advise and got 2 offers. Buyers saying they love every single thing about the property and it's their "dream house". Thank you again! It really makes a difference. YOU are a real agent. So few of you out there.
100 % ACT AS YOUR OWN BUYERS AGENT-AND IF THE SELLERS AGENT WONT WRITE THE DEAL-FOR ZERO FEE-PASS ON THE HOME-AND TELL THE OWNERS -REMEMBER AGENTS ARE JUST OVERPRICED DOOR OPENERS-IF YOUR NOT A HALF WIT YOU CAN NEGOITATE AS GOOD IF NOT BETTER THAN THE SELLERS AGENT-RMEMBER THEIR WORKING FOR THE SELLER NOT YOU-AND NEVER PAY MORE THAN 2% COMMISION TO BE SPLIT BETWEEN SELLER AND BUYERS AGENT-THEIR NOT WORTH 1 PENNY MORE BECAUSE TITLE COMPANY DOES ALL THE WORK
I'm a former Realtor, listing agent...I am meeting with an agent on Saturday! I don't care if people used to be an agent, I sold homes in Washington, I moved to Minnesota and am buying an old rural property. I know I need help. The agent I'm meeting has a degree in engineering and electrical...exactly what I need. Hoping he is a good choice, 👍
MOST, not all, but most of these agents are absolutely CLUELESS! I have conversed with many, and most of the time, they know next to nothing. They can't answer my questions. Their standard reply is, "I'll have to ask someone". Unless we can clone Audra, it seems like a big waste of money with many of these "professionals". I'd rather use a good real estate attorney to help me. JMO.
Most real estate markets world wide do not rely on buyers agents and while most have “buyers’ advocates” / buyers’ agents they are rarely used. The US system is generations outdated. I hear the “benefits” Audra mentions but those are not worth 3%. Even if a buyer sees a benefit in a buyers agent, those are mostly advice and recommendations related, not finding the property or inspecting them, listing agents in non buyer agent markets have listed their game and hold 3x weekly open for inspections so with that and the internet buyers can themselves find properties they like. Buyers advocates / agents should not cost more than 0.5% of price, that’s $3.5k on a $700k purchase or $7k on a $1.4m purchase - they don’t need to spend 10 hrs for that. US agents need to get with the times and stop complaining that the outdated system they have enjoyed so far is no longer! Buyers do not need buyer agents, it’s a pre-historic system!
I'd guess that most house buyers, especially first time, are totally ignorant about nearly every aspect of single family home ownership and mortgage sourcing/financing. It seems to me that the NRA rule changes have opened a market opportunity for large scale buyer representation. Right now, the listing agents have the power because they have the product. Maybe in the future, the Buyer's Agency will be able to trump the listing agents by controlling the buyer marketplace. Some inventive person just needs to figure out how to arrange the financing of the front end Agency service for the new home-owner. Something to think about. Happy Day!
Actually, back in the day, buyers couldn't afford their own representation, so the sellers would say "Just use my agent." The listing agent was not required to give fiduciary responsibilities to the buyer back then...so a lot of buyers were not well represented...lot of law suits later a change was made. In the spirit of cooperation, sellers then would offer a commission to the buyer's agent so that the buyer was well represented (the sellers calculated this buyer's agent's commission into the price of the home). This actually protected the seller because the buyer wasn't being taken advantage; they had their own representation. If you ask any seller who is offering commission to the buyer's agent, the buyer's agent isn't working for them. They aren't supposed to...the buyer's agent is supposed to advocate for the buyer.
The buyer isn't in a contract with their agent. If they don't trust the buyer's agent, they can always look for another. My agent had a great team of inspectors. I had received a recommendation for her from someone I trusted. We took her out to dinner to chat and interview her. I had questions sprinkled in during the conversation. She also moved quickly on anything we asked of her. She did her research, as did we on the history of the house. We were looking online and in person. We loved this house online and texted our agent at 5am. We were the first to see it in person; the first offer. It was accepted, and the whole inspection process started in less than 24 hours of it going on the market. .
@@rebeccalewis4947 Hello Rebecca, that is what I am trying to tell you, its different now. Most and I mean MOST agents are required to get buyer agent agreements in place this year before showing buyers any properties..this is the contract that binds the buyer with their buyer's agent. There has been huge law suits this last year. The real estate industry is changing. I promise I am not making this stuff up. Sounds like you had a fantastic experience buying your home. Well done.
UGH...please don't EVER sign a 6 months agreement with any agent anywhere, anytime. 30 days-3months max on any listing or buyers agent agreement. You can ask your buyer's agent if you can get out of it. If they so no, you can try to prove they are not doing a great job for you. If they won't let you out of the contract, ask their broker for better representation. If they won't, tell them you will sue them for not representing you well. Keep pushing...until you get movement. Also, threaten to write bad reviews...that usually does the trick.
Prospective sellers waited, many of them, to list knowing the changes in MLS rules. They waited a long time hoping to save $25,000 on commission. No seller should waste this much money on the buyer agent. Agents should lower their commission to 1% or less. It is just ridiculous that the RE agents OWNED 5% or 6% of the home value all this time. WHY only in this country the RE agents claim so much portion of perhaps the greatest asset the common people own in their lifetimes? WHT are the American realtors demanding so much from the home owners? STOP!
If you listen to the reason why buyer's agent and why you need them, it's not something most buyers need to pay 10's of grand for. I've sold and bought my past houses many times and, yes they are useless in most cases. I think they can be of help with some new buyers who aren't informed properly. But the service is still over-priced.
Audra, I love your channel, so much helpful information even if out of state. I'd love to see a video about how you do your listing appointments. What do you do if they are buying and selling? Do you do a listing and buyer appointment at the same time or wait till they are at least in escrow before doing the buyer consultation?
Hi Audra-I’m glad I found your videos. I am a new subscriber. I have a question regarding the topic from time stamp 14:16 of video. For example: It looks like I’m selling my house for less but actually I’ll be getting the same profit as someone else selling their house for more. Because my concession is less than their concession. I sell my house for $550000 but they sell for $560000 so it looks like I’m selling for less? Why is that a concern? Thank you. Denise
No No..no concern at all. Good for you!! Where it becomes a problem is when you'd be asking lets say $560,000 but offering a lower concession amount. If you are asking a lower price in lieu of the higher concession amount..you're good...and that's more than fair.
On advise of an agent, I waited a year in the hopes that I can sell my home for a higher price to allow me to at least break even with what I spent on the home. Now a year later, I am worried because it seems like housing has stabilized to a lower price range. Bigger homes than mine are selling very low. So I guess this government is doing something right to help new home buyers. But for us sellers it's not good.
Hi Johnny, the end of 2023 was not fun selling homes...values dropped due to the 8% higher mortgage rates. Rates have pulled back a bit into 2024. Inventories are still low. In my area, we are still selling home like hot cakes. Prices continue to rise. Not sure about your area...but I would be surprised if you didn't see some of the prices trending up as comps start to close in 2024. Best of luck to you. Real estate really should be a long term hold. Its hard to make money when its a quick turn around. Best of luck to you.
Hello there. Yes, there are some risks with at. When you providing proof of fund, you will want to delete all the account information..black pen. Only give personal information to trusted title companies and/or escrow companies. I always like to put a lock on my credit (credit locks on all credit bureau) so I don't worry as much. I just got my purse stollen out of my car while I was standing by it. It has made me very nervous. I do understand your concern.
Not always....but the buyers who appear to be a bit weak on their financials and/or are working with lender I don't think is very quick or nimble, I will have the buyer cross qualify.
I am having hard time to believe a buyer will ever need an agent and pay. I bought 3 houses, each of them I negotiated with the seller agent and cut the 3% extra from the price of the house. Seller agents will do anything for buyers. Negotiate the contract, draft the contract, prepare the deal, setup inspection. They know they are getting paid at the end. Mark my words- no one ever needs buyer agent.
Okay...so I used to be a FSBO specialist back in the day. I can tell you that I left a lot of money on the table when I was selling my house...but more importantly that buyer I was working with didn't' know as much as I did. Thankfully no lawsuits transpired...but to be fair, that buyer had no idea the risks they were taking by dealing with me directly....nor did I. Finding a home to purchase really isn't that difficult...knowing what to look out for and having the proper documentation in place to protect you as a buyer is not something to over look. Here's something else to consider: If you see a house on line and the seller hired a listing agent to sell the house, how are you going to make an offer? What contract are your going to use? You can go directly to the listing agent to represent you...but they will be charging for their services (some states don't offer dual agency). Your state's real estate purchase agreement is time tested covering all provisions. In that contract, there are several other forms and documents that are required to complete the sale. If you are representing yourself as a buyer, you will not be able to access the proper forms unless you are a local member of the real estate association. Just something to think about. Purchasing a home is a huge decision...buyer's should know what they are buying and should have the proper representation to assist them with the purchase.What they pay for this representation is a totally different story...just my opinion.
@@AudraLambert so you are telling me buyer agents are looking over contracts for buyers and fixing things not on their favor? Are these the same agents reading the 400 pages of HOA rules and regulations and telling buyers oh you would not love that, don’t buy this place? Buyer agents we all know is usually telling buyers to check with their attorneys at their own expense if they want to feel secure. Maybe better open your eyes and see how the real world out there.. These lawsuits did not come up in one day. Years of abusing the system, overcharging and terrorizing the sellers not bringing buyers if they reduce their commissions, living many buyers in the shades in legal issues. There is no escape from this now.
