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Thursday, March 27, 2014

Dealing with the Real Estate Machine Bias against selling your home yourself......

Geez..... Never seen anything like it.

I am trying to sell my home myself with the following mechanism:

  • Listed on ForSaleByOwner.com
  • Signed a flat fee MLS listing agreement with My Castle Realty in Houston to put my house on the Houston Associaton of Realtors MLS listing - www.har.com
  • Agreement includes a 2% Buyer's Agent Commission, meaning that if any real estate agent brings me a buyer, said real estate agent gets 2% of the sales price.
  • If approached by a buyer not represented by a real estate buyer's agent, i.e. an individual, I do not pay the 2% Commission.
The normal procedure is to list a house for sale with a real estate agency with a 4 - 6% sales price commission broken down as follows:
  • 2 - 3% to the listing agency
  • 2 - 3% to the buyer's agent / buyer's agent agency
So the only real difference between what I'm doing is taking away the 2 - 3% that normally goes to the listing agency.

In exchange for this consideration, I have the sole responsibility of showing the house, evaluating offers and negotiating with the potential buyer or buyer's agent and filling out the real estate sales contract should be buyer not be represented by a buyer's agent.... basically what the listing agent would do.... not much for $6000.

You would not believe the rude and unprofessional response I have gotten from specific real estate agents and the real estate industry in general, just because I'm selling the house myself.

These real estate agents are not used to dealing with an individual or a For Sale by Owner situation..... basically they are used to showing a few houses, filling out a few forms and raking in $6000 for 10 - 20 hours work..... AMAZING!

The local real estate agency industry has basically blackballed me or intentionally guided potential buyers away from my house because I have not listed with a local agency.

I have never met this kind of response in any other Do it Yourself situation.

It makes me think even less of the real estate agency industry in general and the profession of being a real estate agent in particular

I may end up having to list my house with a local real estate agency just to sell my house.... but it won't change my opinion of the profession or the industry.

It's a money making, good ole boy / girl network, where competition is squashed through information isolationism techniques and negative bias.

Only in good ole Lake Jackson Tx..... can't wait to get out of this sonofabitch!


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