I am starting a new business, going to help people sell their own houses, been a realtor for 17 years?

Question

There has been alot of people that have been laid off in my community, and i hear how tired they r of paying commissions and that they need every cent they get from their homes to move out to alberta, I'm also tired of other realtors having no ethics, they do not care about the people they deal with, they only care about the money they r getting from them, I feel like a trader, but I have been watching and listening to people out there, saying they r tired of paying so much commission to realtors, but honestly if u take the time, its easy enought to sell your house on your own, just need some direction, that is where i would come in, to show how its done, just looking for $699 far lot less than what a realtor would be getting, what do you think of the idea, also need a name for the business thanks for your imput

Answer 1

What you are talking about is already being done quite a bit. It is called many things. Here in Atlanta there are lots of Brokers who offer this "fee for service" one time payment of usually around $500 just to list the house. They are also called discount brokerages. But the owner will still probably have to pay a buyers agent anywhere from 2-4 percent.

The biggest problem I see in it is that they are paying upfront instead of for results. Also, buyers agents may shy away from these houses because they don't want to do twice the work. Other than that it has been a fairly popular concept that I see growing in the future. If I were you I would check around and see if anyone in your area is already doing it. You still have to be a licensed agent to do what you're wanting to do, maybe even a broker (if you can't find one who would be willing to support your venture).

Answer 2

I think it's great however this will influence other realtors to show your home you have listed. That's why I feel that most for sale by owners do not work out well because homebuyers use realtors to purchase homes. If the buyer's agent doesn't make a commission there is no reason for them to show people the home and having your property exposed to brokers is nothing but a good thing because they will let buyers know that a new house is on the market. There are a few successful agencies that do it for a flat fee (Help U Sell) and for low commissions (Foxton's) however most of these homes are overpriced and are under exposed in the market in my opinion. You can be one of the ethical brokers and make a good living; think about it if you have a good reputation then you will get alot of referrals and build that way. If you feel you can succeed selling listings for $699 per property (advertising fees, open houses all costs you time and $$$) then you should try. I guess it would be more like Help U sell realty where the sellers will open houses themselves and you would advertise independently for them. I think a good name could be Piggy Bank Realty slogan where every penny saved is a penny earned.

Answer 3

I agree with the above posting. You have been in the buisness long enough you should get your broker's license and set up a new shop. If you are going to discount your deals as fsbo's than do so but problem is you will end up doing much of the work as when you were a realtor. Protect the buisness because it protects our customers and clients from predator's. Good luck and nice idea. Helpusell had this same concept until the market went south now they are offering the same commissions as any other shop.

Answer 4

I am a mortgage broker from Edmonton, AB. I know all about the ethics of some realtors, and believe me it doesn't change in a different province. Reading your above statement you are basically offer a consulting service for a fee. Sales is all about offering a product or service that's not currently available or is better than the competetion. Here's what you can offer, not only consult on selling there homes, but assist in the relocation to Alberta. I have a great idea go to my website http://albertamortgageguy.com and contact me, this will put you ahead of all your competition, I guarantee this

Answer 5

Check with your state's Real Estate Commission or board. In NC it's legal to only sell your own property, not someone else's, unless you are licensed. Also look into what liability you may suffer if you inadvertently (or purposely) give wrong info. Of course this depends on what country you're in.

Answer 6

There are hundreds of businesses out there like this, its not a novel concept.
I agree with you that you are a trader, so I am not going to give you anymore advice. You could name your Co trader real estate. That should get it going quickly
RE agent,
Remax