40 replies to this topic

[Russ]

The point is, if you're a realtor, show houses that have what the people are looking for. And find out what they're looking for. To do anything else is wasting everybody's time.

Yea, that's what I do for diamonds. Similar concept, different product.

That's sales. It's the same thing everywhere.

[Mackus]

If you looked at thirty houses, a couple things probably happened. The realtor didn't ask you the right questions about what you were looking for or you didn't communicate well what you wanted. Or you didn't know what you wanted. Either way, I would've kicked you to the curb long before that.

 

Depends what you're looking for, and also on how accurately the houses are portrayed in their listings.  Some houses look exactly as they appear in the listing and photographs.  Others mask or hide glaring problems. 

 

Last time I bought a house, I was looking for a Canton rowhouse to renovate.  So the goal was to go look at houses that looked crappy, and see if they had the bones to be converted into something really nice.  That sort of thing doesn't show up in a listing, you've gotta go see it in person.  So while I only ever went and looked at places that could have worked, I probably saw two to three dozen houses easily before finding the one that really fit my goals.

 

It takes what, half an hour to see a house?  The realtor gets 3% commission on the house.  So for a typical rowhome in Canton, that's maybe $6-12k.  Get one commission a month and you're probably making enough to survive, even after your agency and taxes and whatever other bites get taken from that.

 

Also, I think once a realtor takes you on as a client, they legally cannot 'kick you to the curb'.  They have to remain your realtor and work in good faith.

[SportsGuy]

The realtor gets 3% but I think some of that goes to the firm/broker. I believe that is what my agent told me.

[Russ]

If you looked at thirty houses, a couple things probably happened. The realtor didn't ask you the right questions about what you were looking for or you didn't communicate well what you wanted. Or you didn't know what you wanted. Either way, I would've kicked you to the curb long before that.

 
Depends what you're looking for, and also on how accurately the houses are portrayed in their listings.  Some houses look exactly as they appear in the listing and photographs.  Others mask or hide glaring problems. 
 
Last time I bought a house, I was looking for a Canton rowhouse to renovate.  So the goal was to go look at houses that looked crappy, and see if they had the bones to be converted into something really nice.  That sort of thing doesn't show up in a listing, you've gotta go see it in person.  So while I only ever went and looked at places that could have worked, I probably saw two to three dozen houses easily before finding the one that really fit my goals.
 
It takes what, half an hour to see a house?  The realtor gets 3% commission on the house.  So for a typical rowhome in Canton, that's maybe $6-12k.  Get one commission a month and you're probably making enough to survive, even after your agency and taxes and whatever other bites get taken from that.
 
Also, I think once a realtor takes you on as a client, they legally cannot 'kick you to the curb'.  They have to remain your realtor and work in good faith.

We would have had a long talk. With you, I could see why you would need to see many houses. But as a general rule, if youre seeing that many houses, there is a communication failure. Your realtor is failing you if you're looking at thirty houses without some kind of special circumstances.

[Russ]

And no one becomes a real estate agent or any kind of salesman just to survive. How would you feel if I limited your income for my own self-interests and I rationalized it by saying you're making enough to survive?

[Mike in STL]

The point is, if you're a realtor, show houses that have what the people are looking for. And find out what they're looking for. To do anything else is wasting everybody's time.

Im just picky. Its a big purchase you know. Plus we arent on a budget that every home we saw was move in ready. Everything had some flaws and we had to weigh those out.

30 might have been an exaggeration. I'd say I can remember at least 15 houses we walked into with the realtor. So the number might be closer to 20. We would look at 4 or 5 every weekend. She didnt show us anything over budget, or in a neighborhood we didnt care for. Nothing like that that wasted our time. I even asked if we were asking too much of her, or being too picky. And she reassured us we were not.

I get how the sales business works. I guess when you know someone is going to buy a house, like us, it makes it easier to bear with. Its not like when some on walks into a car dealership and plays hardball and you have to sell them.

[Russ]

The point is, if you're a realtor, show houses that have what the people are looking for. And find out what they're looking for. To do anything else is wasting everybody's time.

Im just picky. Its a big purchase you know. Plus we arent on a budget that every home we saw was move in ready. Everything had some flaws and we had to weigh those out.

30 might have been an exaggeration. I'd say I can remember at least 15 houses we walked into with the realtor. So the number might be closer to 20. We would look at 4 or 5 every weekend. She didnt show us anything over budget, or in a neighborhood we didnt care for. Nothing like that that wasted our time. I even asked if we were asking too much of her, or being too picky. And she reassured us we were not.

I get how the sales business works. I guess when you know someone is going to buy a house, like us, it makes it easier to bear with. Its not like when some on walks into a car dealership and plays hardball and you have to sell them.

Yeah. Fair enough.

[Cisc-O's]

Yeah I sold my house to my wife..... Found it on a zillow search and asked the agent if we could see it. We were a one call sale

[Mackus]

And no one becomes a real estate agent or any kind of salesman just to survive. How would you feel if I limited your income for my own self-interests and I rationalized it by saying you're making enough to survive?

 

Not the point I was trying to make.  My point is 3% of most house purchases is a lot of money.  How many hours of work is a reasonable amount for $6-10k in commission?  It's not right to be wasting anyone's time so that you feel you are getting your money's worth, but I wouldn't feel like it's unfair to ask a realtor to put in a hundred or so hours of work throughout the process of a home purchase.

[Matt_P]

Not the point I was trying to make.  My point is 3% of most house purchases is a lot of money.  How many hours of work is a reasonable amount for $6-10k in commission?  It's not right to be wasting anyone's time so that you feel you are getting your money's worth, but I wouldn't feel like it's unfair to ask a realtor to put in a hundred or so hours of work throughout the process of a home purchase.

 

It's not so much money. Suppose you sell a house for $300k; That means the buyers commission (presuming the buying agent does in fact receive the entire 3% and not a lesser sum) is 9k. Between 50 to 60 percent of that 9k (depending on how established you are) goes to the firm so you're now down to some $4 to 4.5k.

 

If you sell one house a month than you're making some $48 to $54k which isn't bad until you realize that you have to pay for your own health insurance and stuff. I think you want to be making a deal for some 20 houses (or really $6 million in sales) per year to be doing well.

 

That probably means that if a broker is putting in 80 hours to make a deal then he'll go broke. The problem is that not all people will buy from a broker (even if you go to see 30 houses). He needs to price that into his rates because if he spends 80 hours with the successes and 10 hours with the failures then he either needs to hit nearly every time or he'll be working 200 hours a month. I'd think something like 25 hours for successes and 5 hours for failures is what you're shooting for. But I don't really know.

 

http://www.realtor.o...nd-sales-volume

[SportsGuy]

I have bought 2 houses and I was picky both times, so I can understand that side.

There's a balance between you wasting my time and me giving you the right service.

There will be some who waste my time...lord knows that has happened a lot in my working life....but it's up to the agent to hit a lot more than miss.

[Pedro Cerrano]

I have bought 2 houses and I was picky both times, so I can understand that side.
There's a balance between you wasting my time and me giving you the right service.
There will be some who waste my time...lord knows that has happened a lot in my working life....but it's up to the agent to hit a lot more than miss.

Arguing with Shack while on the clock doesn't count.

[SportsGuy]

I passed my test and will be joining a firm in the next few days. My goal is to be full time by the spring.

I will always sell diamonds but I want this to be my FT job.

If you or anyone else you know is in the market, let me know...would love to get a chance to win yours(or there's) business. Anyone who sends me business will be rewarded somehow. I'm still a little unsure about what I can legally do in that regards and I will learn that soon enough but I definitely plan on showing appreciation to those who send me business.

[Russ]

I passed my test and will be joining a firm in the next few days. My goal is to be full time by the spring.


I will always sell diamonds but I want this to be my FT job.


If you or anyone else you know is in the market, let me know...would love to get a chance to win yours(or there's) business. Anyone who sends me business will be rewarded somehow. I'm still a little unsure about what I can legally do in that regards and I will learn that soon enough but I definitely plan on showing appreciation to those who send me business.

Good luck, Rob.

[Cisc-O's]

I passed my test and will be joining a firm in the next few days. My goal is to be full time by the spring.

I will always sell diamonds but I want this to be my FT job.

If you or anyone else you know is in the market, let me know...would love to get a chance to win yours(or there's) business. Anyone who sends me business will be rewarded somehow. I'm still a little unsure about what I can legally do in that regards and I will learn that soon enough but I definitely plan on showing appreciation to those who send me business.

Gift cards up to 100$ or dinner etc....  congrats on the test man.

[SportsGuy]

Gift cards up to 100$ or dinner etc....  congrats on the test man.

Thanks.


Yea, I know I can do that. I just need to know how far I can extend it. They are very strict about things, so I don't want to mess any of that up.

[Cisc-O's]

Yeah I am pretty sure $100 is all you can do gift card or cash wise.  Taking them out to a ball game or dinner is acceptable too.

[RShack]

Yeah I am pretty sure $100 is all you can do gift card or cash wise.  Taking them out to a ball game or dinner is acceptable too.

 

But you're forgetting Rob's nature... 

 

Can he give you a $100... and then later on agree to sell you a $300-something for just a $100?  

[SportsGuy]

Hey all...So, I am doing a drawing for 2 free tickets to the Ravens game against KC at the end of the season.

If you are interested in the drawing, just send me your contact info(name, address, phone number and email) and you will be entered.  I am doing the drawing on 10/15.

[Cisc-O's]

Hey Rob you ever thought about becoming a broker and running your own?