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Jayne Combs, Mortgage Analyst and Strategist (Arbor Financial)

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Rainmaker
967,958
Pete Xavier
Investments to Luxury - Pacific Palisades, CA
Outstanding Agent Referrals-Nationwide

A Big Nothing...will not pass. Commission is negotiable and clients choose to pay. 

Mar 21, 2019 11:10 AM
Rainmaker
909,123
Olga Simoncelli
Veritas Prime, LLC dba Veritas Prime Real Estate - New Fairfield, CT
CONSULTANT, Real Estate Services & Risk Management

We shall see what happens. I disagree with one of the comments in the article; I think if the law passes, the new system might actually strengthen the concept of buyer agency because agents would be more vested in working with a particular buyer and maybe work harder.

Mar 21, 2019 11:22 AM
Ambassador
2,093,810
Alan May
Jameson Sotheby's International Realty - Evanston, IL
Hot enough for ya?

My understanding is that the lawsuit is about sellers not being told that they are also paying the buyer's agency.  Not about changing commissions.

Mar 21, 2019 10:59 AM
Ambassador
5,349,630
Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC
The RIGHT CHARLOTTE REALTOR!

Don't you love these frivilous law suits - there's no antitrust actions going on here - everything sellers sign is negotiable. Period!

The winners here, once again, are only the attorneys.

Mar 21, 2019 01:32 PM
Rainmaker
1,519,573
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

I don't see this having any impact as nothing is being done that's anti-competitive or harmful to the seller.  So what if buyers have to pay their agent directly?  They'll just take it off the price they can afford to offer.  The net to the sell will still be the same.

 

Let's say you hypothetically have a 6% rate on a 1,000,000 listing.  6% of that is 60,000.  What does it matter if the seller pays $60k on 1m or $29,100 on $970,000  The end result is essentially still the same ($900 difference).

 

I don't know your market, but in mine buyers are barely able to afford the prices.  There is no way they could afford the prices plus a hypothetical 3% agent commission.  I'd imagine some flat rate "help u sell" type buyers agents companies will be formed and buyers agents will have to learn to handle commission objections and join the "race to the bottom" that some listing agents are engaged in.

Mar 21, 2019 01:04 PM
Rainmaker
680,965
Diana Dahlberg
1 Month Realty - Pleasant Prairie, WI
Real Estate in Kenosha, WI since 1994 262-308-3563

All things are Negotiable in Real Estate. I am not losing any sleep.

Mar 21, 2019 12:46 PM
Rainmaker
5,773,797
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Jayne,

 $$$$$$$$$for attorneys on both sides...A

Mar 21, 2019 12:02 PM
Rainmaker
2,439,727
Bob "RealMan" Timm
Ward County Notary Services - Minot, ND
Owner of Ward Co Notary Services retired RE Broker

This was discussed here recently Jayne Combs NMLS#222444 and I'm confident that there will be no major change in our industry because of this suit.

Mar 21, 2019 11:28 AM
Rainmaker
922,548
Jeff Pearl
Samson Properties / LIC in VA - Lovettsville, VA
Full Service Full Time Realtor

Another distraction to ignore.

Mar 21, 2019 03:12 PM
Rainmaker
5,180,957
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

This will take so long to adjudicate, I have given this very little thought.

Mar 21, 2019 02:50 PM
Rainmaker
469,510
Dan & Laurie Pittsenbarger Team
Keller Williams Western Realty - Bellingham, WA
Lakeside & Coastal Single Family Homes

My thoughts....pay your Association dues and do what you can do to protect our industry from those who wish to end it.

Mar 21, 2019 12:10 PM
Ambassador
3,376,810
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate Services

I've heard.  I waste no time thinking about that.  

Mar 21, 2019 05:33 PM
Rainmaker
2,223,559
Anthony Acosta - ALLATLANTAcondos.com
Harry Norman, REALTORS® - Atlanta, GA
Associate Broker

Let's see how thing progress before commenting about it. 

Mar 21, 2019 04:53 PM
Rainmaker
766,784
Peter Testa
Kiwi Homes - Danbury, CT
PETER TESTA

I don't know how it will work out. All I know is that it will be on the Plaintiff to prove their case. 

Mar 21, 2019 02:50 PM
Rainmaker
7,983,759
Roy Kelley
Retired - Gaithersburg, MD

You will have to cope with changes as they come.

 

Mar 21, 2019 11:36 AM
Rainmaker
1,513,143
Raymond E. Camp
Ontario, NY

My opinion is that all sellers and buyers have the right to negotiate, noting this and with the internet today if someone says they do not know the splits they are under a rock.

Do away with commissions and go to a fee-based module and both will pay more. 

Mar 21, 2019 11:22 AM
Ambassador
2,235,126
Carol Williams
Although I'm retired, I love sharing my knowledge and learning from other real estate industry professionals. - Wenatchee, WA
Retired Agent / Broker / Prop. Mgr, Wenatchee, WA

Sellers are not "forced" to do anything.  Commissions are always negotiable. If they don't like the terms, they shouldn't sign the listing agreement. 

Mar 22, 2019 03:11 AM
Ambassador
6,528,670
Bob Crane
Woodland Management Service / Woodland Real Estate, KW Diversified - Stevens Point, WI
Forestland Experts! 715-204-9671

So many laws already to protect the public from confusion, or stupidity, maybe they should be spending more efforts on education.

Mar 21, 2019 06:36 PM
Rainmaker
1,737,927
Sandy Padula & Norm Padula, JD, GRI
HomeSmart Realty West & Florida Realty Investments - , CA
Presence, Persistence & Perseverance

This is merely the tip of the iceberg and we all had better hope this gets thrown out of the Court. It is up to the parties of any contract to either agree, disagree or amend the terms. The Courts need to stay out of it

Mar 21, 2019 06:03 PM
Ambassador
5,105,242
Jeff Dowler, CRS
eXp Realty of California, Inc. - Carlsbad, CA
The Southern California Relocation Dude

Commssions ARE negotiable. I think the attorneys are the ones who will win with lots of billing

Mar 21, 2019 05:15 PM
Rainmaker
1,858,267
Lyn Sims
Schaumburg, IL
Real Estate Broker Retired

You better read into this a little different. The portion of the suit is price fixing. What you just stated is, there in fact is a change needed.

There is no price fixing in the industry. There are many different models to the industry that sellers can use.

 

Mar 21, 2019 05:00 PM
Rainmaker
5,342,415
Wayne Martin
Wayne M Martin - Oswego, IL
Real Estate Broker - Retired

Commissions are negotiable. Some charge more than others. Exclusive buyer agency would be more prevalent!

Mar 21, 2019 04:04 PM
Rainmaker
5,583,563
Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

commissions are negotiable.... 

Mar 21, 2019 01:47 PM
Rainer
52,597
Krista Jenkins, REALTOR®
klm Real Estate - Lubbock, TX
Residential sales and retail & office leasing

When I was new in real estate, I joined a team. The team owner once told me I took to long to go over contracts. Sigh. There in lies part of the problem. It is OUR JOB to be well versed in every point of our promulgated contracts whether it be a listing agreement, buyers agreement, residential contract. It is OUR JOB to review the contract with the client. The industry is partly to blame. We have allowed mediocrity for a LONG time. (Some brokerages operate like puppy mills.) Commissions are very clearly addressed in our promulgated forms in Texas. Anyway, if it changes, it changes. We will have to adapt and overcome. There is no sense crying in our tea towels.

Mar 21, 2019 01:45 PM
Rainmaker
536,943
Rose Mary Justice
Synergy Realty Pros - Dandridge, TN
Synergy Realty Pros

I will wait and see how this pans out before worrying.  I don't see how it can fly, but will see.

Mar 21, 2019 01:13 PM
Rainmaker
921,504
Annette Lawrence , Palm Harbor, FL 727-420-4041
ReMax Realtec Group - Palm Harbor, FL
Making FLORIDA Real Estate EZ

Commissions have always been negotiable.

Some business models in the USA do have agents being paid by the one who hired them.

The issue that is really being addressed is how BROKERS have man-handled how REALTORS are able to conduct business.

If BROKERS/FRANCHISES don't get their act together, someone just may cancel their show completely.

Mar 21, 2019 12:39 PM
Rainer
473,188
Clay R. Seay
Florida Homes Realty & Mortgage - Saint Augustine, FL

In Florida, we are  considered Residential Transactions Brokers unless otherwise stated as single agency or non-representation. In my area, it is not common to have a Buyer's Agency Agreement where the Buyer agrees to a Buyer Agent Commission. The Commission is handled in the Listing Agreement and there is a specific section that covers what portion of the listing fee, if any, is paid as a cooperation fee to the Buyer's Agent, per the MLS.  The split is not always even and can depend on what type of representation the Buyer has, if any.

Not sure how a class action suit will be enforced state to state, with each state having different types of Agency, ie Single, Dual, Transaction, Non-Representation., even if  the same company or franchise, like a RE/Max operates in multiple states.

Seems like the normal frivolous lawsuit that make attorneys money and does very little for our Industry.

 

Mar 21, 2019 12:04 PM
Rainmaker
556,636
Greg Cremia
Shore Realty of the Outer Banks - Nags Head, NC

Sellers have a choice, pay the buyer agent commission and open their house up to the largest pool of buyers or not pay the ba commission and wait for a buyer with a lot of cash to buy their home.

Mar 22, 2019 04:00 AM
Rainmaker
644,477
Buzz Mackintosh
Mackintosh REALTORS - Frederick, MD
“Experience, reliable, leadership”

I don't believe this will go anywhere, but if we could go back in time; Every REALTOR use to work for the Seller and it was Buyer beware. That is what I refer to as back in the "Good ole days" !!

Mar 21, 2019 05:35 PM
Rainmaker
1,153,799
Kevin J. May
Florida Supreme Realty - Hobe Sound, FL
Serving the Treasure & Paradise Coasts of Florida

My thought is that the final decision will not be in the best interest of the plaintiff and will substantially disrupt Buyer Agency.

Mar 21, 2019 03:41 PM
Rainmaker
2,805,409
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

I have met many agents who bring doubt and distrust to the industry and to cause the many to wonder how you can make this type of money for what they do (or don't)? Then there are those worth every penny (plus). If commissions change it doesn't change me or what I do. My intellectual property stands! People who have savvy, skills and charity always go on

Mar 21, 2019 03:33 PM
Rainmaker
637,484
Hella M. Rothwell, Broker/Realtor®
Carmel by the Sea, CA
Rothwell Realty Inc. CA#01968433 Carmel-by-the-Sea

Just read it and found this paragraph interesting:

"Some brokers challenged allegations in the suit, such as buyer agents refusing to show homes with low commission splits. Alexis Eldorrado, managing broker of Eldorrado Chicago Real Estate, told me that “in reality, if the buyers have found the place they want and are interested in seeing it, NAR’s code of ethics requires the agent to show it.”

That reads like we, the buyer's agent, MUST show a home when asked? Does that include FOR SALE BY OWNER where there is no agreement?


Read more here: https://www.miamiherald.com/news/business/real-estate-news/article228135039.html#storylink=cpy
Mar 21, 2019 02:34 PM
Rainmaker
1,373,806
John Juarez
The Medford Real Estate Team - Fremont, CA
ePRO, SRES, GRI, PMN

I am not working up a sweat about the outcome of this lawsuit. I do not believe the plaintiffs will be successful. 

Mar 22, 2019 11:29 AM
Rainmaker
860,611
Peter den Boer
Atlanta Communities - Woodstock, GA
MBA,GRI, Associate Broker, Realtor

I think I will be long retired before anything like this happens...

Mar 22, 2019 05:11 AM
Rainmaker
1,598,502
Valeria Mola
SIB Realty - Miami, Sunny Isles Beach - Sunny Isles Beach, FL
305-607-0709 SIB Realty Condos for Sale and Rent

No idea...

Jun 27, 2019 06:35 PM
Rainmaker
5,916,714
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Don't believe it will go anywhere.

Apr 02, 2019 03:49 PM
Rainmaker
5,057,885
Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

Wow Jayne, I did not know, thanks for the information

Mar 25, 2019 08:53 PM
Rainmaker
1,251,461
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

The fees here can not be lower. 

Mar 22, 2019 06:01 AM