Jason HartmanCEO of Empowered Investor and Real Estate Tools

Housing Market Makeover Alert!🚨

Name: Housing Market Makeover Alert!🚨
Uploaded: 2023-12-06T21:23:51+00:00
Duration: 58 s
Channel: Jason Hartman
Description: In this monologue, the speaker argues that the United States’ cooperative multiple listing service (MLS) provides far greater choice and transparency for…

6 Dec 2023 · 1 min

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In this monologue, the speaker argues that the United States’ cooperative multiple listing service (MLS) provides far greater choice and transparency for homebuyers compared to many foreign markets that lack such a system. He contends that the current practice of paying buyer agents through a commission split from the seller creates a misaligned incentive structure, leading agents to be less committed to buyers. To remedy this, he proposes that buyers should contract and directly pay their agents, ensuring agents are financially motivated to work harder for their clients. The speaker also highlights a perceived problem of buyer disloyalty, claiming buyers often switch agents or purchase elsewhere, which further discourages agents from focusing on buyers. He concludes that restructuring the buyer‑agent relationship and preserving the cooperative MLS model will ultimately benefit consumers.

Chapters

Remember, you can't hear the dogs that don't bark. You can't evaluate what you don't see. And what you don't see is that around the world, where they don't have a cooperative system like we do in the US where they aren't using a multiple listing service, people aren't getting as much choice and is hard, so hard to look for properties in these other markets around the world. The US System is way better. Having a cooperative system is a good thing, but we need to change it. The buyer's commission is paid by the buyer, and the buyer's agent is not going to work for a buyer anymore without getting a contract from the buyer and making sure that they're going to get paid. And guess what? The consumer is going to benefit from that because now they're going to dedicate a lot more effort. Now when a buyer's agent is working with a client, you know, they don't know that the buyer is really going to buy from them. The buyer might like, go off in some other direction, buy from somebody else. You know, they'll sell you out in a minute. This is why you don't want to work with buyers if you're an agent, because the buyers are so disloyal. That's one of the big things that has to happen.