Knowing the 'real' real estate market

Perspective: Revamping Real Estate Commissions

One of the problems that we in the industry suffer from is that the vast majority of home sellers are satisfied with the current commission model.

I offered a fee-for-service model that would save home sellers thousands — tens of thousands of dollars in many cases — on the sale of their home. In 23 years of offering, basically to work by the hour on a retainer or pay 7 percent at time of sale, not one seller opted for the fee-for-service offer.

It’s not the amount of commission — it’s the lack of negotiation skills and knowledge of the "real" real estate market by the "I’ve got a killer application for people to buy property online" crowd that’s the issue.