Paying Today’s Buyer Broker For Services
In a CRECo.ai podcast, Saul Klein was asked by a commercial agent to discuss the impact of the latest changes to buyer-broker compensation stemming from recent big dollar lawsuits/settlements, governmental investigations, and MLS rules. As to the impact of digitization on the residential real estate transaction, Saul has said: “Digitization means that tomorrow won’t look like yesterday.” The same holds true for the “new normal” real estate transactions.
Are Buyer-brokers and agents ready for this TRANSFORMATION?
Here’s a 6-minute video of Saul’s response:
Buyer Broker Proposition Of Value
Saul was asked how todays real estate agent competes against other brokers for the buyer to hire the agent under an exclusive authorization written agreement, especially now that the MLS has eliminated the Offer of Compensation – the so-called “guaranteed commission.”
In other words, what’s the agent’s value proposition? Here’s Saul talking about the value of a skillful negotiator aligned with the buyer’s best interest and savings, whether compensation is by way of hourly, flat, traditional split, or a performance-based model that promotes transparency and trust as buyers can see the direct correlation between the agent’s negotiation efforts and their compensation.
Here’s Saul’s classic response based on negotiations other than just price:
RELATED LINKS:
Listing Buyers by Saul: https://thedataadvocate.com/listing-buyers-in-the-new-world-of-real-estate-by-saul-klein/
For full CRECo.ai podcast: https://www.youtube.com/watch?v=eL72xFMFiVQ
