What are some common perceptions about Realtors which are truly false or myths?

Answer 1

Hi,

FACT! 10% of the realtors NATIONWIDE make 90% of the commissions.

I built a $6Kb initial investment to just under a million in 10 years with RIP (residential income property)

I had a CA. RE license and let it lapse because I did NOT want to be associated with the residential SLIME BALLS that lie and spin the truth for their 6% or 3% co-op.

RE agents hook up with title companies and escrow companies and generally get "consideration" for their alliance.

The BIG DEAL in residential is "farming your patch"; scratch pads and all the other junk that you hang on doors.

It ONLY takes ONE Realtor to LIE and you are ALL SCREWED, so it is NOT about YOU but your assciatres.

The bottom line is the BROKER! If he/she has it together ETHICALLY then you are OK. It is the BAD ones that set the tempo.

DISCLOURSURE is the KEY and if you "spin" or lie it sends a WAVE of dis-trust that you can NEVER recover.

I figure that 90% ofthe real estae agents get their license out of either desperation or are chasing the BIG BUCKS.

The former spends %$500 to get a job when no one else wilhire them; wonder why and the rest are housewives with too much time on their hands and KIDS to pick-up from school and take to practice.

You have the NEW BMW and huge house that you can't afford unless the wife contibutes some income.

When you are chasing the "AMERICAN DREAM" with certified letters posted on the door, ETHICS take a second seat to a 6% commission on a $300,000 house clousure.

To get a "LISTING" you have to SELL that you are going to turn it QUICKLY at the asking (even though it isn't worth the asking) Why be HONEST with 6% on the line. Get it in the MLS and collect the 3% when somebody else sells it? Ain't rocket science.

If you are considering RE look at RIP because it is a FINANCIAL DECISION and you can walk from the BS if you do YOUR HOMEWORK and the math works.

Good Luck,
Jacques

Answer 2

I really don't have a pre perception about realtors. I think it is hit or miss with them. There are many good ones and also alot of bad ones. I can only speak about the bad ones who are flat out lie to clients. I am a knowledgeable appraiser and I love when they try to get me to overpay for a property. I have had realtors tell me that a house is worth 800k when my friend bought a house in the same area for 600k. This is not a joke; the realtor was such a con. He also told one of my friends that he would get an attorney for closing at $1,100 when they only charge $600-$700. He used him to make an offer on a listing that wasn't his and told my friend that the offer would not be accepted without first making the offer, he also didn't show him comps in the neighborhood. This is a type of realtor that gives agents a bad reputation. So the perception is that they are very dishonest.

Answer 3

Sales Commissions Are Set By Realtors
No. It is illegal for any licensed agent or broker, to set or claim commission rates or fees are set by any trade group or governmental agency. The Federal Trade Commission saw to it that all Realtors listing agreements have printed: that no... FEE, COMMISSION OR OTHER VALUABLE CONSIDERATION ...HAS BEEN FIXED BY ANY GOVERNMENTAL AUTHORITY OR BY ANY TRADE ASSOCIATION OR MULTIPLE LISTING SERVICE. This means the broker can set the fee, but it must be set "independently". In practice, you can negotiate all YOU want, but the broker or agent won't budge. The real estate firm can have their "fixed" commission as long as there exists no conspiracy to fix the price among firms.

The Local Board of Realtors' Oversees Licensed Realtors
No. The local Board of Realtors, and the State Association of Realtors are connected to a private corporation trading as the National Association of Realtors Inc. The NAR acts like a trade group that collect yearly fees from those who enjoy the benefits of membership. Benefits include; a monthly magazine and newsletters, local meetings, state & national conventions, and a political action committee named RPAC. Members are real estate agents and brokers, mortgage companies and their sales agents, newspaper sales reps, termite and home inspection companies, appraisal companies, motivational speakers, etc... You do not have to have a real estate license to be a Realtor, just a dues paying member.

Should you have a problem with a Realtor, filing a complaint with the local Realtor Board must be addressed to the Chairman of the Grievances Committee. Calling on the phone and complaining to a Board office secretary is not effective. We strongly suggest you contact an attorney or write the Department of Investigations of your state Real Estate Commission located in your state capital. Be brief and to the point. If you do not know if a specific law was broken, decide if the action against you demonstrated "unworthiness" or "dishonesty" or "incompetence". Most complaints filed by the public are the result of the buyer or seller not knowing who the Realtor represents or a breach of fiduciary duty. If you believe a House Express Affiliate has not treated you fairly contact us and the State Real Estate Commission.

Real Estate Agents Are Qualified To Appraise My Property
Absolutely not. An appraisers license is required to appraise real estate. A real estate agent or broker must attend classes, serve an apprenticeship and pass a state administered exam to obtain an appraisers license to "appraise" your property. Be certain to ask for a copy of the license. If he/she has no license the best they can offer is a competitive market analysis or market survey comparing homes that have recently sold or that are now on the market. To the best of our knowledge, most states have laws preventing real estate agents from advertising or claiming they will "appraise" property. An appraisal is an in-depth study of the property and it's value.

If you do not have a clue about your property's value, we believe it is cost effective to have an appraiser arrive at the market value of your home before placing it on the market. First of all, it will dispel any misconception you probably have about the value of your property. Secondly, it provides a useful tool to employ during negotiations when Realtors presenting an offer without an appraisers license attempt to tell you what they "know your property is worth". Finally, an appraiser is less likely to tell you what you want to hear and give you the "true" value because you are paying the same fee whether you agree with it or not. Residential appraisals costs run about $150 - $300 for one prepared using a Federal National Mortgage Association form # 1004 and $1000.00 to $3000.0 for a "narrative" appraisal. Narrative appraisals are usually prepared for problem properties or commercial and/or complex properties.

Set The Price Of Your Home By The Tax Assessment
In most areas, the law specifies the taxable value must be the true value. Unfortunately assessment values are related to the when the assessment was calculated, tax rates and municipal budgets. At best, you may be able to use assessments as a rule of thumb when comparing the sale of homes in the same town. For example, if a few similar homes in your town have nearly the same assessment as yours, and those homes all sold for $145,000., it would be a safe bet to assume your home will sell for $145,000 regardless of what the assessed value is.

I Cannot Show My Home Unless It Is Perfectly Clean
Not true. Better to let the buyer see it dirty than not at all. You usually get only one chance with a buyer, take it. Do not waste valuable selling time waiting to repair broken tiles or painting. The point is, not having on the market while you paint etc... is losing those buyers anyway.

Answer 4

I'm a little biased because I'm a mortgage broker, but real estate agents range somewhere between loony and truly emotionally disturbed with me. This is primarily because so very few of them actually understand my side of the business.

Answer 5

http://tiny.abstractdynamics.org/archives/005557.html
Check that UP,mathe ! I'd BET you won't get IT fer Vrij,either !
Zorg !

Answer 6

The only way anyone can screw you....is if you let them!