Introduction | Propaganda In The Real Estate Industry
It is concerning that in recent news, there have been biases against traditional Realtors. The media seems to promote the notion that traditional Realtors and Property Managers are outdated and no longer necessary in the real estate industry. This is a problematic and biased view, as traditional realtors have an essential role to play in the real estate market.
The Value Added By Realtors & Las Vegas Property Managers
First and foremost, traditional Realtors have valuable knowledge and expertise that cannot be replicated by technology or online platforms. They have in-depth knowledge of local market conditions, can advise on pricing strategies, and provide guidance on the negotiation process. They are also trained to navigate complex legal and regulatory requirements, which is particularly important in the luxury real estate market. By contrast, online platforms and technology can provide general information but lack the expertise and personalized advice that a traditional Realtor can offer.
Realtors | Local Experience | Local Relationships
Secondly, traditional Realtors provide a valuable human connection that is lacking in online platforms. Buying or selling a property is an emotional and often stressful process, and a traditional Realtor can provide much-needed support and guidance. They can offer personalized attention and build relationships with clients, providing reassurance and trust in an often-complicated process. Online platforms may offer convenience, but they cannot provide the same level of personal connection that a traditional Realtor can.
Realtors Are Held To Higher Standards
The Realtor Code of Ethics is a set of ethical guidelines that members of the National Association of Realtors (NAR) must follow. The Code consists of 17 Articles, each of which addresses a specific area of ethical conduct. These Articles cover a range of topics, including duties to clients and customers, duties to the public, and duties to other real estate professionals. Some of the key principles of the Code include the obligation to act in the best interests of clients, to avoid misleading advertising, to provide truthful and accurate information, and to treat all parties fairly and honestly. Violations of the Code can result in disciplinary action, including fines, suspension, or expulsion from the NAR. The Code is designed to promote ethical behavior and ensure that Realtors maintain the highest standards of professionalism in their work.
Realtors | Technology
Finally, the suggestion that traditional Realtors are no longer necessary is also biased against those who may not have access to technology or may not be tech-savvy. This creates an unfair playing field in the real estate market, where those who can afford the latest technology and online platforms have a perceived advantage over those who cannot. This further exacerbates existing inequalities and perpetuates discrimination.
Realtors have access to the same technologies and the real estate landscape is littered with the corpses of failed PropTech firms.
Realtors Do Not Impose Excessive Fees
PropTech and discount real estate brokerages often claim fees are excessive and that Proptech can provide the same level of services at a discount. This fails.
iBuyers claimed to have eliminated “commissions,” yet they charged a “service fee” between 6%-10%, which exceeds the average Realtor commission rate of 4.94%.
Realtors Conspire To Artificially Inflate Commission
Critics use a play on words and defective metrics when publishing anti-Realtor propaganda.
1. The commonality of “Rates” in the US is cited as they often range from 5-6%; however, actual fees paid should be the core metric as Consumers’ bank dollars, not percentages, so average “Fee” must be considered. Luxury Real Estate Advisor analyzed fees by examining state-specific average home values and corresponding state-specific commission percentages, which concluded that average actual fees range from $8,985 to $38,149; all 50 states displayed unique average fees. There lacked even two states displaying matching fees.
Conspiracy To Inflate Fees Fails.
2. The use of unprofitable brokerages as a benchmark of how fees should be structured. For example, Redfin’s brokerage business is not profitable, so now they are eliminating the buy-side rebate.
When a discount full-service firm becomes profitable, we can start the conversation.
Conclusion
In conclusion, it is essential to recognize the value that traditional Realtors bring to the real estate industry. Their expertise, personalized attention, and human connection are essential to the buying and selling process. Bias against traditional Realtors is unfounded and discriminatory and does a disservice to the industry as a whole. The media should be more balanced in its reporting and not promote biased views that lack consideration for the essential role that traditional Realtors play.