Ever since the NAR got sued over how commissions are paid there has been an abundance of really useless and in some cases stupid advice for real estate practitioners.
Many in the industry do not understand the issue. It isn’t as much about how much Realtors are paid as it is all about how Realtors are paid. Specifically who is paying them.
According to NAR rules, home sellers have to pay buyer’s agents because to list a home for sale on the MLS, the listing agent has to promise compensation to a buyer’s agent. Realtors in most cases are forced to put any home they list for sale on the MLS. There are exceptions for large company pocket listings.
It doesn’t seem like NAR understands it either but the goal for NAR is to keep things the way they are. NAR can not change and there isn’t the smallest chance they will admit there is a better way or a different way to run organized real estate.
As for the useless advice, there is an implication that getting business working with buyers isn’t competitive and now it will be. WRONG. The competition is fierce.
As an industry, we know how to represent home buyers. This isn’t new. Buyer representation contracts are not new either.
I find myself searching for new sources of real estate news on the internet due to being tired of reading the same tired articles about how to represent home buyers and how agents can prove their value to buyers.