I have owned my home free & clear of banks for 30 years & yes l will agree it's still hard keeping things up. The costs are ridiculous! I can't imagine people who have a mortgage & having to pay that on top of ALL the up keep. IT'S GOTTA BE HARD! I'm at the point l want to sell the house. Get a van & live out of that but getting up there in age l don't know if even that would be a good idea. It's getting VERY stressful so much so l'm at the point I'm losing sleep over all this. Like this week here we are it's all ready Thursday & l have had maybe 8 hours sleep all week. I work a factory job & make a little over $20 an hour & can still barely keep up. These tariffs have me just stressed out to the MAX. & Yes I'm a Republican. I'm sure working in the automotive industry & how that's going just adds that much more stress. It's just a pure 💩 show! I have my doubts that Trump is going to make things better even Trump said that a few days ago in a interview😢
I plan to use a real estate lawyer when I sell next year. They are generally cheaper than a real estate agent because you only need them to get the more complicated legal stuff done properly. I don't need all the bells and whistles that come with an actual agent. And I do not plan on paying the fees for my buyer's agent. Makes zero sense.
We need to go back to Keynesian economics! We are going through a second Robber Barron era. We are going back to the 1800s. Child protection laws are already being rolled back in some states.
My personal experience: I sold my home in 2015. Was on the market for weeks. A buyer made a lowball offer. I countered. after a week of extremely slow back and forth things came to a halt. Finally I asked for the buyer's phone number. In 10 minutes I made the deal directly. The broker still got their commission even though they weren't able to handle the negotiations and I had to do it. Made me question why I needed an agent at all.
I was selling a house and the realtor and buyer kept stalling trying to get me to keep coming down. I was in no hurry, so I told the realtor to tell the buyer he had until noon the next day to commit or I was taking the property off the market. At 11:50 the next day I received a call from the realtor and the buyer agreed to the deal.
I sold my condo in Kansas City over a year ago to Opendoor and they only offered me 10,000 under market and it was way worth it for all the convenience. I literally just had to take some pictures, nobody ever had to come through my home from either Opendoor or anyone trying to buy it. After accepting the offer I was able to choose my closing date and was able to get the money in my account for selling while still living in the unit so I could then put that towards my new place in Orlando Florida, maybe not everyone has the same experience but this was mine. Long time listener keep up the great work Michael!
We used OpenDoor to sell our home in Phoenix AZ several years ago. Their offer was exactly what 2 RE agents sold us that we should list the house for. No showings, low ball offers. We closed in our time frame that we set up and got our check in the spot. No fuss and zero problems. Would do it again.
You can list your home on MLS for a small price. Schedule your own open house. Your buyer doesn’t need to be represented by an agent. Make sure they prove they have cash or are fully underwritten. Have contract done up by a real estate attorney. He/she can advise on a title company. Time to make real estate agents obsolete.
@@sportsfan8866hire a lawyer…. Missed that part. As one who has purchased with a buyers agent, that’s what we need….a contract negotiation. No longer do we need a dumb print out of public information on the internet.
I'm in Michigan, and the housing market here over the past 7-8 years has been unprecedented. Houses that were purchased for $130K in 2015 are now going for $590K. These are tiny, poorly constructed 950-square-foot homes in quiet, mediocre neighborhoods. Meanwhile, nicer, average-sized homes in better neighborhoods that were over $300K a decade ago are now selling for $750K+. It's wild.
A recession as bad it can be, provides good buying opportunities in the markets if you’re careful and it can also create volatility giving great short time buy and sell opportunities too. This is not financial advice but get buying, cash isn’t king at all in this time!
I've been in touch with a financial advisor ever since I started my business. Knowing today's culture The challenge is knowing when to purchase or sell when investing in trending stocks, which is pretty simple. On my portfolio, which has grown over $900k in a little over a year, my adviser chooses entry and exit orders.
bravo! I appreciate the implementation of ideas and strategies that result to unmeasurable progress, thus the search for a reputable advisor, mind sharing info of this person guiding you please?
The decision on when to pick an Adviser is a very personal one. I take guidance from ‘’Stacy Lynn Staples’’ to meet my growth goals and avoid mistakes, she's well-qualified and her page can be easily found on the net.
I was a Realtor. On houses under $250k the payment is fair. When your talking million dollar houses the payouts to agents is criminal. It should be XXX flat rate for the house. It should be more for high end houses but the system we have now does not leave anyone feeling happy after closing.
I have bought and sold houses, in different states, houses where we actually lived, never paid an agent, always sold them without paying outrages fees to realtors. Its really not that hard people, just educate yourself and you will save a TON of money.
I’m buying a house right now and I had to tell my attorney to inform the sellers agent that it’s not legal to block a valid and substantial offer. (Prequal letter and offer submitted). Seller agent was upset I didn’t sign her to represent me in the deal. 15k loss on their end. But the NAR had that ruling and their agent was trying to subvert that. Edit: as soon as I click play Mike mentions the NAR thing 😂 Yeah, I hired an attorney to represent me. Waayyyy less than 3% of the pitches price and gets paid for the work not on commission of the house.
I have never found that a real estate agent was able to procure more money for my properties. It is all about the comps. Most agents are grossly overpaid. In Vegas, the seller's agent doesn't attend showings in most cases. A scam.
If you MUST use an agent. Offer them 1%. If they refuse to show your house, sue them. 😅or list yourself and drop the ask 1-3%. Agents really don’t do much with the internet. The legal backing of an agent-agency-is what folks need in 2024. Lawyers Will figure it out
@LockedUpLarry you know what I'll tell me buyer if the seller only wants give up one percent only.. we ethier gotta get my buyers agent commission money in the loan or in a price increase on the home sell. if you want to go forward with this seller whos only offering 1% buyers agency you'll be on the hook to pay on top of your inspections, appraisal, loan fees and Down-payment my 1.5% that's remaining. Guess what they're gonna say let's keep looking 😂🎉. You house sits on the market days and guess what happen when you sit a long time here come the low ballers and prices drops.😂
@@FreestylingIsLike123 paper equity means nothing without a buyer. Most buyers take out a mortgage. Not sure if you’ve been awake the last 2 years, but most buyers don’t have the cash. No buyer, no money! :-( Sowwie if you fomo’d and you can’t offload, bucko.
@@FreestylingIsLike123 you can list 20% higher with that same logic! Good luck with that. You get it now! In some states, you can have the listing agent close the deal for an extra %. But, yeah. Games over soon. Sorry.
I sold my house to open door in 2022. It was fantastic. They never even stepped foot in the house. The entire process was easy I felt they actually paid above market rate for it. 10/10 would do again.
That would be a nightmare. I’ve sold many deals over the past few years. Often creativity and experience is required to get deals done. Banks send out generic approval letters that aren’t worth a damn. Inspectors lie about problems. Lots to overcome no AI could ever deal with.
I never understood why a seller would want to pay a buyers agent a fee, only to have the buyers agent to want to offer the owner a lesser selling price. To me, that's equivalent to paying someone to take money from you.
I had to do that! But I really needed to sell my manufactured home. The buyer is a good man...he can fix a few things that I was not able to. It took 8 months to sell it.😢
@@genconex but the buyer is not a professional at buying houses… Who is the buyer going to listen to when he or she needs something? The listing agent? Who’s only objective is to sell that house? Buying a house is not like going to Best Buy and buying an appliance and it never will be.
@@genconex the reality is especially in today’s market… Sellers know that good buyers are represented by agents. And those buying agents are putting in the hours and they also know that a buyer represented by a good agent means that buyer is 100% legit. That in itself is worth the two or 3%. And as a buying agent, I know that it boils down to offering the best service anywhere.
I used a company similar to Open Door and got 30K more than I thought I would have. Even the rep from the company was surprised about the high offer. The house was sold in 5 days. Didn't have to deal with people coming into the house and the company did the clean out for me. It allowed me to relocate to another state within a month. I would do it again, especially if I needed to sell fast.
I was curious about Open Door and asked for a quote for my house. 2019, custom new build, corner lot, 2ksqft 4b/2b. They offered about $15-$20K less than I was looking for. They prey on people who are desperate to sell without a walk-through with a realtor. The worst part is that they keep on sending "adjusted" offers which are not significantly different than the initial quote. They seem predatory. 🤨
My son sold to Opendoor for 20k more than the real estate agent said he could get for it. They said just move out, don't touch a thing. true story, 3 yr's ago
I really don’t understand why we need real estate agents at all anymore. None of the agents I have used in my life have really facilitated a buyer. They do open houses and cross their fingers. Maybe other people have better experiences but 6% of $1 million home that they Didn’t put any investment in other than a few weeks of posting the listing online should not equate to $60,000.
One thing you didn't mention about using OD is convenience. No searching for a respectable Realtor in your area, no staging and open houses, no showing and that is a huge plus, especially if you have dogs at home. I would go for OD.
Regarding taxes in PA. Allegheny county is allowed to add a 1% sales tax on top of the state's 6% rate (7% total). And a 1.5 mill county tax hike is HUGE, especially since Allegheny does regular reassessments. As far as I know, property assessment is done county wide, or when there's a major change to the property. I'm in Beaver county (immediately to the north) and they did the first reassessment in 40 years (effective 2024). Property "values" all went up 3-5x, but they had to reset the millage rates lower to prevent a "windfall". So for example county taxes went from 20 down to 3 mills, school taxes from 80 down to 10, city taxes vary to much to give a good example. So now the rush is on to start raising the millage again. A few examples being one school district immediately (for 2024) enacted a 20% bump to 12 mills, or my town talking about raising the city rate for 2025.
Our property and school taxes are ridiculous! I live in Allegheny County (Moon), and I was born and raised in Beaver County (Hopewell). I knew it was only a matter of time before Beaver County got in on the reassessment action. 🤑🤨
all the title searches and entries at the county clerk can be automated. I don't know why we need to bother with the real estate agent and pay them a percentage of the sale price. that's ridiculous. The title searches are actually done by a separate company. I mean if anybody can steal your house by making a faux entry at the county clerk then why don't you make your own entries!!
I had one of these companies call me a dozen times they offer 526 thousand.I finally sent then a text told them when I sell they will be able to bid on the house starting bid is one million dollars never heard from them again .
I don’t know how successful Open Door is in California, but most people here wouldn’t try to sell or buy without an agent because of all the state home sale regulations and the possible legal issues that could arise. However, paying an agent a percentage of the sale price is ridiculous because the work and time an agent puts in is the same for pretty much any priced home unless it’s some type of outlier that takes special efforts to sell, buy and close. Real estate agents should be pressured into accepting only fixed fee compensation.
Buyers just need to be fully underwritten by a mortgage lender, or have cash to buy a home. No buyer agent needed. Real estate “agents “ are some of the least educated, least ethical individuals.
recently bought a house had a realtor who charged .5% commission offered 10 % under asking a house. 1st offer accepted wish i went lower but you never know. I assume they accepted it since they only had to pay .5% to our agent instead of 3%. We also sold our old house with a flat fee realtor 3k for everything and he sold the house higher than the 3% commission agents wanted to. Saved 9 k on commissions. In my opinion Flat fee realtors are the way to go.
Merry Christmas! Some people just do not want to deal with the people who buy to change their mind over and over. Also some people will try to find all kinds of things wrong after they sold. 🤷♀️
In the 80s I bought a house for 85K, then sold it later for 125K both w/out agents. Then I bought a duplex for 125K, sold it later for 250K, w/out agents. Then I did a 1031 exchange for a 4 Plex for 390K w/my sister who's an agent. All in SO CA the 4 Plex is now worth north of 2 mil😊
If you hire the best agent (and you do need to know what you are doing), and the total should be about 4% for both sides. You can get market price, not be in the state, close in 35 days easy. I did it, discount broker relationship, agent handled everything, I was home for Christmas. Perfectly happy!
I commented on a realtors video last year saying realtors are gonna be unnecessary and they bawked. If they weren’t such a cult I think we would see more people represent themselves
1. the first part of you presentation is correct. 2. I am a retired real estate broker who actually read and did title reports, could walk a property with ability to spot building code violations, and be concerned with set backs and easements. 3. Despite that background, I would never sell my home in California without using a broker or buy a property without a broker. On the next block, a guy put up a sign that he was selling his own home. He was very verbal about real estate agents being rip offs and he would handle his own sale himself, even if he received a lesser price. Over a year later, I asked a broker who worked my neighborhood what happened. She related that after a year without completing a sale, he hired a broker. He had really screwed up.
I’ve found all my homes myself in the neighborhood that I wanted to live in because agents couldn’t find me a home I liked and it saved me money on the price. I pick the neighborhood first then I buy the house 😊.
The neighborhood can change, believe me. That should have no bearing on the house you buy. House won't change. Worse neighbors (criminals) can always move in around you.
I didnt even have a buyer agent when I bought my house I did the research online and called. So the agent selling took both sides of the commision even when we didnt agree on price and told him take a % less and its a done deal. Oh well 2013 then and not complaining but the amount they extort from your property is redic. No other transfer of property works like this🙄
Better yet, get your real estate license. I want one so I have access to the resources you get from it and so I can safely buy my own house without having to pay the agent fee. I'm not interested in being a real estate agent, though, I'd want my license just to do my own purchase.
Absolutely. I can't understand why Americans think they have to pay two sets of agents. Here in the UK, as you know, selling agent gets the commission.
The buyer payer dime of the deal. Remember, without buyer money there isn’t any money. Seller having the negotiable power is a myth. The buyer should understand this.
Why do you need a real estate agent for? I called escrow and they said you don’t need the middle man we can do all the paperwork work from seller to buyer
I sold to opendoor at a time where I got higher price per foot in my neighborhood all time high. They held the house for over 4 months and only made $7k
So Open Door pays less and then charges a 5% fee? what a ripoff. But agents are also a ripoff. Never met one that negotiated a fee. The claim is always fees are negotiable but they never lower their commissions. During the good days of 2020 2021 agents were selling in a day and getting 6%, that’s ridiculous.
Our smaller home was in a growing suburb.... We determined the price we wanted... & Contacted local builder's.... Our Home was sold in 30 days for more then we asked....
I bought a house six years ago that was for sale by owner. A friend of mine for 20 years who is a realtor was absolutely furious with me and hasn’t talked to me since because I did not bring him in on my end on the deal. I would’ve had to pay him roughly $3000 for literally nothing. I said what are you talking about? Why would I bring you in on a for sale by owner home? His answer, so I could’ve made some money. I haven’t talked to this clown since. It’s unbelievable how these realtors think.
We have usually gone with low commission realtors. We take excellent care of our homes and make sure it is in tip top shape, clean and highly marketable. We never overprice our homes and have always looked at all the homes in our area to make sure the asking price is realistic. Our homes have always sold within 48 hours. It doesn’t take much effort so for us , the low commission agent is the way to go. Some people need more guidance and support just to make their home marketable so it really depends on the individual homeowner.
I don’t know many people that have a positive attitude towards real estate agents. One or two here and there, but mostly it’s negative feelings. I’ve only bought one house in my life and I did not use a real estate agent.
Asking the NAR how many homebuyers still used an agent is like asking the BLS what the real rate of inflation is. Also, there are significantly less transactions which occurred in 2024 so we have yet to see how the market will respond to the settlement. One thing is for sure, agents will have to work a lot harder to justify their commission. I have already reached out to a buyer agent and my offer has and will not exceed 1.5%. I can find what I want, I just want help with writing an offer and closing. If I can’t find someone willing to help me next year for 1.5% I will simply get my license and do it myself. This idea that it’s the seller that pays the buyer’s agent is absolutely ridiculous and outright false. Ultimately, the buyer pays all commissions as they are incorporated in the negotiation of the home price, credits, etc. One way or another, the buyer pays. The real question is this: have the agents earned the 5-6%? If not, what have they earned?
Open door doesn't make an offer to all houses and properties ! Only when they see fast turn around sale ! But it's much better than hire a stupid agent and going through a hassle !
All you NEED is someone to list your house!!!! Then just be prepared for the buyers agents games!!!! Pay them almost nothing!!!!! The buyer found the house themselves!!!!!
As a flipper I have used a $100 flat fee broker for my listings and offer some co op. Not 3% necessarily. I save tens of thousands per house. Plus more importantly I have total control of the deal vs dealing with agents. Agents are notoriously lazy, uneducated about homes and have poor communication (unless they want something).
The new law is ridiculous and will never be followed because it makes no sense. Just because some people were scammed doesnt mean the whole industry needs to change.
When me and my wife buy our house it is cheaper then rent. We pay $484 a month eventing includ it. The rent for house we was paying 800 month we buy our house 7 years ago.
If you can get a 1 percent down you will have the money left over which you saved for a larger down payment. Also, these people can get inspections. If inspection is shaky, they’ll know not to buy the house. If you get a VA zero down, that’s more money in the buyer’s pocket. And a VA lender will have an inspection and appraisal and if the house is crap the VA won’t approve the loan. With VA there is no PMI but the final monthly payment will include taxes and insurance. This will all be broken down by your lender. Guaranteed Rate is a real good lender for all kinds of mortgages. Very transparent.
Pace Morby... I'm following his method when I move to Florida. How to negotiate with the seller to structure a deal that makes both sides happy and save on realtor fees and all that other BS.
It's not hard to sell your own house. But to me, FSBO's are usually embarrassing! They seem to overvalue their property, and present the houses in an extremely amateurish way. The pictures are almost always horrible.
Open Door has high fees up front so they can sell at market on the resale. It might be good for estate sales where the heirs are all out of state. Overall, its tends to be more expensive for the buyer .
Anyone in the comments that has had a bad experience with an Realtor. It sucks, They’re crappy people in every industry. Especially when there is a low barrier of entry. But, Anyone looking to FSBO their property or use a discounting brokerage like Opendoor. PLEASE. Do not do this. Hiring a TOP Realtor in their fields. Will EARN you more money. Usually being on the 2-3% side. And that is WITH their commissions taken out. The right Agent will save you thousands of dollars. Do the work, ask around. Interview a few agents. It’s worth it.
Sorry but even personal friends of mine that are agents seem to be very lazy. It’s annoying. And just because I have a prequalified letter doesn’t mean I want to spend 100% of that amount.
I've sold several property's over the years myself, offering 2% broker and 2% buyer agent fee's with no issues. One I actually sold on craigslist. The other I paid to have it listed on the MLS.
Average Net Worth by Age (The SAD TRUTH!) th-cam.com/video/QW3l2osBPKE/w-d-xo.html
Would it be cheaper to get a real estate license to buy a property? Serious question. Would love to hear from you Thanks in advance 😊
Are y'all ready for Christmas? ⛄
I have owned my home free & clear of banks for 30 years & yes l will agree it's still hard keeping things up. The costs are ridiculous!
I can't imagine people who have a mortgage & having to pay that on top of ALL the up keep.
IT'S GOTTA BE HARD!
I'm at the point l want to sell the house. Get a van & live out of that but getting up there in age l don't know if even that would be a good idea.
It's getting VERY stressful so much so l'm at the point I'm losing sleep over all this. Like this week here we are it's all ready Thursday & l have had maybe 8 hours sleep all week.
I work a factory job & make a little over $20 an hour & can still barely keep up. These tariffs have me just stressed out to the MAX.
& Yes I'm a Republican.
I'm sure working in the automotive industry & how that's going just adds that much more stress.
It's just a pure 💩 show!
I have my doubts that Trump is going to make things better even Trump said that a few days ago in a interview😢
I plan to use a real estate lawyer when I sell next year.
They are generally cheaper than a real estate agent because you only need them to get the more complicated legal stuff done properly.
I don't need all the bells and whistles that come with an actual agent. And I do not plan on paying the fees for my buyer's agent. Makes zero sense.
We need to go back to Keynesian economics! We are going through a second Robber Barron era. We are going back to the 1800s. Child protection laws are already being rolled back in some states.
My personal experience: I sold my home in 2015. Was on the market for weeks. A buyer made a lowball offer. I countered. after a week of extremely slow back and forth things came to a halt. Finally I asked for the buyer's phone number. In 10 minutes I made the deal directly. The broker still got their commission even though they weren't able to handle the negotiations and I had to do it. Made me question why I needed an agent at all.
Real Estate agents and everyone adjacent drive me up the wall. They're some of the most incompetent people handling some of the most expensive things.
Closed 11x's FIRST thing I do I tell them Stay Out of My Way..!!!!!!!!!
I was selling a house and the realtor and buyer kept stalling trying to get me to keep coming down. I was in no hurry, so I told the realtor to tell the buyer he had until noon the next day to commit or I was taking the property off the market. At 11:50 the next day I received a call from the realtor and the buyer agreed to the deal.
Boom thats the way to go, buyowner
Horrible people in RE today
I sold my condo in Kansas City over a year ago to Opendoor and they only offered me 10,000 under market and it was way worth it for all the convenience. I literally just had to take some pictures, nobody ever had to come through my home from either Opendoor or anyone trying to buy it. After accepting the offer I was able to choose my closing date and was able to get the money in my account for selling while still living in the unit so I could then put that towards my new place in Orlando Florida, maybe not everyone has the same experience but this was mine. Long time listener keep up the great work Michael!
How do you know it was only $10,000 below market? They are flippers, and flippers do not purchase a home if they are only going to make $10,000.
I saw what Opendoor sold it for after buying it from me plus it was a condo so many units to compare it too before selling it to them
@@Cornstalker7273 doing the research, contrasting and comparing on the mls, having the home appraised…all things that I did.
We used OpenDoor to sell our home in Phoenix AZ several years ago. Their offer was exactly what 2 RE agents sold us that we should list the house for. No showings, low ball offers. We closed in our time frame that we set up and got our check in the spot. No fuss and zero problems. Would do it again.
Yay more people in fuckin Florida ! Jesus Christ! Wayyyyy too many people here! Sucks now.
I've sold three houses in my life and have never used a real estate agent. I received fair market value on all three sales.
So you thought.
The point is to make a profit, not to break even, Michael. You were doing it wrong.
You can list your home on MLS for a small price. Schedule your own open house. Your buyer doesn’t need to be represented by an agent. Make sure they prove they have cash or are fully underwritten. Have contract done up by a real estate attorney. He/she can advise on a title company.
Time to make real estate agents obsolete.
You can cut your own hair as well… See how that works out !
Those agents are great to have to filter out unqualified buyers and to hold the hands of particularly the first time buyers.
@@sportsfan8866my good friend in college did that and looked good😂
@@sportsfan8866hire a lawyer…. Missed that part. As one who has purchased with a buyers agent, that’s what we need….a contract negotiation. No longer do we need a dumb print out of public information on the internet.
@@sportsfan8866I shave mine, looks great.
I'm in Michigan, and the housing market here over the past 7-8 years has been unprecedented. Houses that were purchased for $130K in 2015 are now going for $590K. These are tiny, poorly constructed 950-square-foot homes in quiet, mediocre neighborhoods. Meanwhile, nicer, average-sized homes in better neighborhoods that were over $300K a decade ago are now selling for $750K+. It's wild.
A recession as bad it can be, provides good buying opportunities in the markets if you’re careful and it can also create volatility giving great short time buy and sell opportunities too. This is not financial advice but get buying, cash isn’t king at all in this time!
I've been in touch with a financial advisor ever since I started my business. Knowing today's culture The challenge is knowing when to purchase or sell when investing in trending stocks, which is pretty simple. On my portfolio, which has grown over $900k in a little over a year, my adviser chooses entry and exit orders.
bravo! I appreciate the implementation of ideas and strategies that result to unmeasurable progress, thus the search for a reputable advisor, mind sharing info of this person guiding you please?
The decision on when to pick an Adviser is a very personal one. I take guidance from ‘’Stacy Lynn Staples’’ to meet my growth goals and avoid mistakes, she's well-qualified and her page can be easily found on the net.
I copied her whole name and pasted it into my browser; her website appeared immediately, and her qualifications are excellent; thank you for sharing.
As I was watching your video, a commercial popped up about paying cash for my home. That was funny AF!
Realtors are a scam. I'm a seasoned investor telling you this. Avoid them.
Real estate agent commission is too damn high!
I was a Realtor. On houses under $250k the payment is fair. When your talking million dollar houses the payouts to agents is criminal. It should be XXX flat rate for the house. It should be more for high end houses but the system we have now does not leave anyone feeling happy after closing.
@@DeplorablesGarbage it gets harder to sell the higher the sales price. $250k is easier than $1m home, do you agree?
No realtor is going to waste time on a sub $1m listing. There is simply not enough volume. These AI platforms will take it over.
@@bryangrant9282thats the problem, realtors, one of the easiest marketing careers, wants to make more than a Lawyer or Surgeons
You tube was advertising a video just this morning "To become a Real Estate Agent" l chuckled & was like NAH!
Burger flipper yesterday, real estate agent tomorrow. 😂😂😂
I have bought and sold houses, in different states, houses where we actually lived, never paid an agent, always sold them without paying outrages fees to realtors.
Its really not that hard people, just educate yourself and you will save a TON of money.
Makes me thankful we won’t be selling or buying another house anytime soon. Good grief! Thanks Michael 👍🏻
I’m buying a house right now and I had to tell my attorney to inform the sellers agent that it’s not legal to block a valid and substantial offer. (Prequal letter and offer submitted). Seller agent was upset I didn’t sign her to represent me in the deal. 15k loss on their end. But the NAR had that ruling and their agent was trying to subvert that.
Edit: as soon as I click play Mike mentions the NAR thing 😂
Yeah, I hired an attorney to represent me. Waayyyy less than 3% of the pitches price and gets paid for the work not on commission of the house.
My daughter sold her house though Open Door. Not only did she get top dollar, but the entire transaction was a breeze.
She did not get top dollar, trust me
@michaelspunich7273 better that than dealing with lying realtors on both sides and waiting months and months
Same thing happen to my son, they paid him 20k more than the local agent said he could get and it was also a breeze.
*this was a paid advertisement* 👍
Open door ? 1st time hearing this, im not a fan of money grabbbing agents... thanks for sharing this
I have never found that a real estate agent was able to procure more money for my properties. It is all about the comps. Most agents are grossly overpaid. In Vegas, the seller's agent doesn't attend showings in most cases. A scam.
Real Estate commissions are negotiable. If you're paying more than 3%, you have rocks in your head.
If you MUST use an agent. Offer them 1%. If they refuse to show your house, sue them. 😅or list yourself and drop the ask 1-3%. Agents really don’t do much with the internet. The legal backing of an agent-agency-is what folks need in 2024. Lawyers Will figure it out
You aint sueing anyone bucko 😂@LockedUpLarry
@LockedUpLarry you know what I'll tell me buyer if the seller only wants give up one percent only.. we ethier gotta get my buyers agent commission money in the loan or in a price increase on the home sell. if you want to go forward with this seller whos only offering 1% buyers agency you'll be on the hook to pay on top of your inspections, appraisal, loan fees and Down-payment my 1.5% that's remaining. Guess what they're gonna say let's keep looking 😂🎉. You house sits on the market days and guess what happen when you sit a long time here come the low ballers and prices drops.😂
@@FreestylingIsLike123 paper equity means nothing without a buyer. Most buyers take out a mortgage. Not sure if you’ve been awake the last 2 years, but most buyers don’t have the cash. No buyer, no money! :-( Sowwie if you fomo’d and you can’t offload, bucko.
@@FreestylingIsLike123 you can list 20% higher with that same logic! Good luck with that. You get it now! In some states, you can have the listing agent close the deal for an extra %. But, yeah. Games over soon. Sorry.
I sold my house to open door in 2022. It was fantastic. They never even stepped foot in the house. The entire process was easy I felt they actually paid above market rate for it. 10/10 would do again.
I hate dealing with agents.. I can’t wait until we have AI real estate agents
That would be a nightmare. I’ve sold many deals over the past few years. Often creativity and experience is required to get deals done. Banks send out generic approval letters that aren’t worth a damn. Inspectors lie about problems. Lots to overcome no AI could ever deal with.
Thoughts on opendoor?
I never understood why a seller would want to pay a buyers agent a fee, only to have the buyers agent to want to offer the owner a lesser selling price. To me, that's equivalent to paying someone to take money from you.
No choice, forced to pay 6%, 3% to each buyer and seller agent
I had to do that! But I really needed to sell my manufactured home. The buyer is a good man...he can fix a few things that I was not able to. It took 8 months to sell it.😢
It makes zero sense. The seller didn't hire the buyer's agent. The buyer did.
@@genconex but the buyer is not a professional at buying houses… Who is the buyer going to listen to when he or she needs something? The listing agent? Who’s only objective is to sell that house? Buying a house is not like going to Best Buy and buying an appliance and it never will be.
@@genconex the reality is especially in today’s market… Sellers know that good buyers are represented by agents. And those buying agents are putting in the hours and they also know that a buyer represented by a good agent means that buyer is 100% legit. That in itself is worth the two or 3%. And as a buying agent, I know that it boils down to offering the best service anywhere.
I used a company similar to Open Door and got 30K more than I thought I would have. Even the rep from the company was surprised about the high offer. The house was sold in 5 days.
Didn't have to deal with people coming into the house and the company did the clean out for me. It allowed me to relocate to another state within a month.
I would do it again, especially if I needed to sell fast.
I was curious about Open Door and asked for a quote for my house. 2019, custom new build, corner lot, 2ksqft 4b/2b. They offered about $15-$20K less than I was looking for. They prey on people who are desperate to sell without a walk-through with a realtor. The worst part is that they keep on sending "adjusted" offers which are not significantly different than the initial quote. They seem predatory. 🤨
My son sold to Opendoor for 20k more than the real estate agent said he could get for it. They said just move out, don't touch a thing. true story, 3 yr's ago
Well they need to make a profit .. understand ?????
Yea, they are not a charity. Need to make profits to pay to their employees 😂
@@sophieca6906 I'm looking for a profit and I'm not a charity. That's why they won't get my business. I could do better without them.
Thanks for showcasing the article I sent. Much appreciated!
I really don’t understand why we need real estate agents at all anymore. None of the agents I have used in my life have really facilitated a buyer. They do open houses and cross their fingers. Maybe other people have better experiences but 6% of $1 million home that they Didn’t put any investment in other than a few weeks of posting the listing online should not equate to $60,000.
One thing you didn't mention about using OD is convenience. No searching for a respectable Realtor in your area, no staging and open houses, no showing and that is a huge plus, especially if you have dogs at home. I would go for OD.
Regarding taxes in PA. Allegheny county is allowed to add a 1% sales tax on top of the state's 6% rate (7% total). And a 1.5 mill county tax hike is HUGE, especially since Allegheny does regular reassessments.
As far as I know, property assessment is done county wide, or when there's a major change to the property. I'm in Beaver county (immediately to the north) and they did the first reassessment in 40 years (effective 2024). Property "values" all went up 3-5x, but they had to reset the millage rates lower to prevent a "windfall". So for example county taxes went from 20 down to 3 mills, school taxes from 80 down to 10, city taxes vary to much to give a good example. So now the rush is on to start raising the millage again. A few examples being one school district immediately (for 2024) enacted a 20% bump to 12 mills, or my town talking about raising the city rate for 2025.
Our property and school taxes are ridiculous! I live in Allegheny County (Moon), and I was born and raised in Beaver County (Hopewell). I knew it was only a matter of time before Beaver County got in on the reassessment action. 🤑🤨
all the title searches and entries at the county clerk can be automated. I don't know why we need to bother with the real estate agent and pay them a percentage of the sale price. that's ridiculous. The title searches are actually done by a separate company. I mean if anybody can steal your house by making a faux entry at the county clerk then why don't you make your own entries!!
I sold my condo in 2004 without a Real Estate agent.
Great info MiKe, thanks!
Sold 2 half million houses paying both sides at 1.5 percent!,,, Saved quit a bit!,,, THEY GOT PAID WHAT THEY WERE WORTH!!!!!!
Real Estate Agents: Never has so little been done by so many for so much !
Totally agree.
I suggest you go get a license and reap the rewards if you think its so easy.
Appreciate the Winston Churchill nod : )
I've been a steady watcher of your videos for about 1 year. This was one of the best videos you have put out.
I had one of these companies call me a dozen times they offer 526 thousand.I finally sent then a text told them when I sell they will be able to bid on the house starting bid is one million dollars never heard from them again .
I don’t know how successful Open Door is in California, but most people here wouldn’t try to sell or buy without an agent because of all the state home sale regulations and the possible legal issues that could arise. However, paying an agent a percentage of the sale price is ridiculous because the work and time an agent puts in is the same for pretty much any priced home unless it’s some type of outlier that takes special efforts to sell, buy and close. Real estate agents should be pressured into accepting only fixed fee compensation.
Thanks Mike
Buyers just need to be fully underwritten by a mortgage lender, or have cash to buy a home. No buyer agent needed.
Real estate “agents “ are some of the least educated, least ethical individuals.
recently bought a house had a realtor who charged .5% commission offered 10 % under asking a house. 1st offer accepted wish i went lower but you never know. I assume they accepted it since they only had to pay .5% to our agent instead of 3%. We also sold our old house with a flat fee realtor 3k for everything and he sold the house higher than the 3% commission agents wanted to. Saved 9 k on commissions. In my opinion Flat fee realtors are the way to go.
Merry Christmas! Some people just do not want to deal with the people who buy to change their mind over and over. Also some people will try to find all kinds of things wrong after they sold. 🤷♀️
Buying is thorny, but renting is a real hassle nowadays, as well as terribly expensive. 😤
In the 80s I bought a house for 85K, then sold it later for 125K both w/out agents. Then I bought a duplex for 125K, sold it later for 250K, w/out agents.
Then I did a 1031 exchange for a 4 Plex for 390K w/my sister who's an agent.
All in SO CA the 4 Plex is now worth north of 2 mil😊
Sell it and move out of CA 🤣🤣
@ to where?
Not Florida
@@mingwong8091 to a trailer park 🤣🤣🤣
@@mikythesaint6507 yeah right, there ain't no place better than SO CA 😀
Happy holidays everyone!
To you as well!
Michael! Please do a video on the Brightline trains and its effect on real estate. They’re supposed to build a station in Cocoa, FL
That station in Cocoa is approved but it will take them until 2027 to actually have the station to my knowledge.
It doesn’t seem like a big deal it all goes back to contracts and contracts law. People can agree on anything they want to.
If you hire the best agent (and you do need to know what you are doing), and the total should be about 4% for both sides. You can get market price, not be in the state, close in 35 days easy. I did it, discount broker relationship, agent handled everything, I was home for Christmas. Perfectly happy!
Opendoor rocks from seeing two people in my friends use it
I commented on a realtors video last year saying realtors are gonna be unnecessary and they bawked. If they weren’t such a cult I think we would see more people represent themselves
1. the first part of you presentation is correct. 2. I am a retired real estate broker who actually read and did title reports, could walk a property with ability to spot building code violations, and be concerned with set backs and easements. 3. Despite that background, I would never sell my home in California without using a broker or buy a property without a broker.
On the next block, a guy put up a sign that he was selling his own home. He was very verbal about real estate agents being rip offs and he would handle his own sale himself, even if he received a lesser price. Over a year later, I asked a broker who worked my neighborhood what happened. She related that after a year without completing a sale, he hired a broker. He had really screwed up.
oh boy...people gonna love this!
The MLS you are in depends on whether 6% is negotiable or not.
I’ve found all my homes myself in the neighborhood that I wanted to live in because agents couldn’t find me a home I liked and it saved me money on the price. I pick the neighborhood first then I buy the house 😊.
The neighborhood can change, believe me. That should have no bearing on the house you buy. House won't change. Worse neighbors (criminals) can always move in around you.
@ I live on the lake so my neighborhood is getting better and better all the time!
I didnt even have a buyer agent when I bought my house I did the research online and called. So the agent selling took both sides of the commision even when we didnt agree on price and told him take a % less and its a done deal. Oh well 2013 then and not complaining but the amount they extort from your property is redic. No other transfer of property works like this🙄
DeleteMe - why the hell everything has to be a subscription today??? You delete it once, pay one time fee - and done! No need to pay them every month!
And what happens with our info with deletme after you cancel your sub? That's what I'm also wondering.
Better yet, get your real estate license. I want one so I have access to the resources you get from it and so I can safely buy my own house without having to pay the agent fee. I'm not interested in being a real estate agent, though, I'd want my license just to do my own purchase.
I have sold one house and bought one house. In both cases it was a nightmare.
In the UK, I'd reckon on paying 1.25% to my estate-agent and NOTHING to any representative of the buyer. America: your realtors are ripping you off!
Absolutely. I can't understand why Americans think they have to pay two sets of agents. Here in the UK, as you know, selling agent gets the commission.
The buyer payer dime of the deal. Remember, without buyer money there isn’t any money. Seller having the negotiable power is a myth. The buyer should understand this.
Real estate agents are some of the worst people on earth. That’s probably partially to blame for folks not wanting to use them versus open door.
Love your videos ❤…. Keep up the good work and content
Why do you need a real estate agent for? I called escrow and they said you don’t need the middle man we can do all the paperwork work from seller to buyer
You can be your own lawyer and accountant too
And car mechanic and hairdresser 💇♂️ lol
Comparing a real estate agent to a lawyer is like comparing a fry cook to a doctor
Or your own surgeon
This collab is pure gold!
I sold to opendoor at a time where I got higher price per foot in my neighborhood all time high. They held the house for over 4 months and only made $7k
True, nothing has changed for most people.
I was renting my townhouse and the owner decided to sell and gave me first option before going to market. I bought and we both saved. 😂
Michael keep reminding me of Delete Me because I will eventually sign onto it! Thank you for great video. 🌺
So Open Door pays less and then charges a 5% fee? what a ripoff. But agents are also a ripoff. Never met one that negotiated a fee. The claim is always fees are negotiable but they never lower their commissions. During the good days of 2020 2021 agents were selling in a day and getting 6%, that’s ridiculous.
Our smaller home was in a growing suburb....
We determined the price we wanted...
& Contacted local builder's....
Our Home was sold in 30 days for more then we asked....
I bought a house six years ago that was for sale by owner. A friend of mine for 20 years who is a realtor was absolutely furious with me and hasn’t talked to me since because I did not bring him in on my end on the deal. I would’ve had to pay him roughly $3000 for literally nothing. I said what are you talking about? Why would I bring you in on a for sale by owner home? His answer, so I could’ve made some money. I haven’t talked to this clown since. It’s unbelievable how these realtors think.
Sold a home by owner 20 years ago payed a good real-estate lawyer 3,500$ to close the deal..
@ wow! That’s a lot especially 20 years ago. When I bought this home six years ago it was $800 for the Lawyer..
We have usually gone with low commission realtors. We take excellent care of our homes and make sure it is in tip top shape, clean and highly marketable. We never overprice our homes and have always looked at all the homes in our area to make sure the asking price is realistic. Our homes have always sold within 48 hours. It doesn’t take much effort so for us , the low commission agent is the way to go. Some people need more guidance and support just to make their home marketable so it really depends on the individual homeowner.
I don’t know many people that have a positive attitude towards real estate agents. One or two here and there, but mostly it’s negative feelings. I’ve only bought one house in my life and I did not use a real estate agent.
You are totally correct Michael and everything you’re saying well seriously you really are and people should be aware of the extra expenses😊
Yeah! If you need to get out the house no matter whta you can sell to open door for under market value!😅
Asking the NAR how many homebuyers still used an agent is like asking the BLS what the real rate of inflation is. Also, there are significantly less transactions which occurred in 2024 so we have yet to see how the market will respond to the settlement. One thing is for sure, agents will have to work a lot harder to justify their commission. I have already reached out to a buyer agent and my offer has and will not exceed 1.5%. I can find what I want, I just want help with writing an offer and closing. If I can’t find someone willing to help me next year for 1.5% I will simply get my license and do it myself. This idea that it’s the seller that pays the buyer’s agent is absolutely ridiculous and outright false. Ultimately, the buyer pays all commissions as they are incorporated in the negotiation of the home price, credits, etc. One way or another, the buyer pays. The real question is this: have the agents earned the 5-6%? If not, what have they earned?
Thanks
Auctioneers in Ohio are charging a 10% auctioneer charge and another 7% as realtors fee. 17%!!!
The real estate industry is corrupt AF
Open door doesn't make an offer to all houses and properties ! Only when they see fast turn around sale ! But it's much better than hire a stupid agent and going through a hassle !
All you NEED is someone to list your house!!!! Then just be prepared for the buyers agents games!!!! Pay them almost nothing!!!!! The buyer found the house themselves!!!!!
As a flipper I have used a $100 flat fee broker for my listings and offer some co op. Not 3% necessarily. I save tens of thousands per house. Plus more importantly I have total control of the deal vs dealing with agents. Agents are notoriously lazy, uneducated about homes and have poor communication (unless they want something).
The real estate sales culture as a whole sucks.
Brought my own buyer to the table . What a great feeling and I saved 1500$
Michael, can you do a video about the hoa situation update in Florida
I sold my home un port Charlotte fl.
In Dec 2020. In 4hours full asking price. Very lucky man at the time!
First person in the door. Michael
The new law is ridiculous and will never be followed because it makes no sense. Just because some people were scammed doesnt mean the whole industry needs to change.
Do you remember me saying the seller would still pay and little would change?
really good video
When me and my wife buy our house it is cheaper then rent. We pay $484 a month eventing includ it. The rent for house we was paying 800 month we buy our house 7 years ago.
If you can get a 1 percent down you will have the money left over which you saved for a larger down payment. Also, these people can get inspections. If inspection is shaky, they’ll know not to buy the house.
If you get a VA zero down, that’s more money in the buyer’s pocket. And a VA lender will have an inspection and appraisal and if the house is crap the VA won’t approve the loan.
With VA there is no PMI but the final monthly payment will include taxes and insurance. This will all be broken down by your lender. Guaranteed Rate is a real good lender for all kinds of mortgages. Very transparent.
Allegheny county is the 3rd largest county in the country.
Yeah, but the roof only leaks when it's raining! I'd be buying MORE booze....
Some of the flips are money laundering. They not loose.
I don’t like those south Florida neighborhoods with the power lines right out on the street
Pace Morby... I'm following his method when I move to Florida. How to negotiate with the seller to structure a deal that makes both sides happy and save on realtor fees and all that other BS.
It's not hard to sell your own house. But to me, FSBO's are usually embarrassing! They seem to overvalue their property, and present the houses in an extremely amateurish way. The pictures are almost always horrible.
Pretty much the only song still played on the radio here is Brown Eyed Girl by Van Morrison.
Right or Redfin and Zillow have the same listings as mls so why should the buyer pay for realtor fees when I can find it for free now
In California your property tax is limited to a 2% annual increase.
Open Door has high fees up front so they can sell at market on the resale. It might be good for estate sales where the heirs are all out of state. Overall, its tends to be more expensive for the buyer .
Anyone in the comments that has had a bad experience with an Realtor. It sucks, They’re crappy people in every industry. Especially when there is a low barrier of entry. But, Anyone looking to FSBO their property or use a discounting brokerage like Opendoor. PLEASE. Do not do this. Hiring a TOP Realtor in their fields. Will EARN you more money. Usually being on the 2-3% side. And that is WITH their commissions taken out. The right Agent will save you thousands of dollars. Do the work, ask around. Interview a few agents. It’s worth it.
Sorry but even personal friends of mine that are agents seem to be very lazy. It’s annoying. And just because I have a prequalified letter doesn’t mean I want to spend 100% of that amount.
I bought my first house without using an agent. Had to pay the seller closing costs but overall it was a smooth process despite being my first time
I've sold several property's over the years myself, offering 2% broker and 2% buyer agent fee's with no issues. One I actually sold on craigslist. The other I paid to have it listed on the MLS.