{"id":3331,"date":"2023-10-17T13:47:24","date_gmt":"2023-10-17T17:47:24","guid":{"rendered":"https:\/\/www.deeds.com\/articles\/?p=3331"},"modified":"2024-04-25T23:17:29","modified_gmt":"2024-04-26T03:17:29","slug":"did-they-really-just-say-that","status":"publish","type":"post","link":"https:\/\/www.deeds.com\/articles\/did-they-really-just-say-that\/","title":{"rendered":"Did They Really Just Say That?"},"content":{"rendered":"\n
\"\"<\/figure>\n\n\n\n

\u201cA glut of mediocre Realtors is screwing over homebuyers,\u201d says Entrepreneur.com<\/em><\/a>. Is that just clickbait, or a serious remark?<\/p>\n\n\n\n

And hey! If we didn\u2019t have agents, what exactly would home buying look like?<\/p>\n\n\n\n\n\n\n\n

What\u2019s the Deal With a \u201cGlut\u201d of Agents?<\/h2>\n\n\n\n

During the housing boom after Covid first struck, the real estate agent population surged. Suddenly, everyone and their cousin seemed to be trying their hands at profiting from a hot market.<\/p>\n\n\n\n

Now, there are more agents than there are homes for them to sell.<\/p>\n\n\n\n

There\u2019s no glut of excellence in the field, though. And when too many agents of all abilities compete for diminishing returns, agents keep commissions high just to survive.<\/p>\n\n\n\n

Yes, home buyers could feel \u201cscrewed over\u201d in the chaos of it all.  <\/p>\n\n\n\n

What About the \u201cMediocre\u201d Part?<\/h2>\n\n\n\n

Hundreds of thousands of new agents arrived during the 2020-2021 boom. Some of these agents, though, are running away from the current housing slump<\/a>.<\/p>\n\n\n\n

All in all, turnover and low standards mean a lot of so-so people claim to be adding value to the field.<\/p>\n\n\n\n

Perhaps the states could toughen up their licensing requirements? As things stand, states usually require only a few weeks\u2019 worth of online study.<\/p>\n\n\n\n

We might wonder why the real estate profession doesn\u2019t improve from within. The National Association of REALTORS\u00ae (NAR) is real estate\u2019s main trade group. Entrepreneur.com <\/em>says the association doesn\u2019t want to raise the bar to entry into the profession. NAR\u2019s membership numbers are, after all, key to their influence.<\/p>\n\n\n\n

Meanwhile, the heavy costs of buying already take up a huge share of people\u2019s incomes. No wonder some go through the trouble to be their own agents.<\/p>\n\n\n\n

How about you? <\/strong><\/em>Would you become a real estate broker to buy your own home<\/em><\/strong><\/a>?<\/strong><\/em><\/pre>\n\n\n\n
What Would We Do Without Our Agents?<\/h2>\n\n\n\n
Most buyers get serious value from agents. Buyers\u2019 agents can find good local inspectors and contractors, flag flood risks<\/a>, and so forth.<\/p>\n\n\n\n
A talented agent can spare a buyer the hassle of negotiating with a seller directly, getting a well-crafted result. So, competent agents save their clients from the work that would have become a huge job.<\/p>\n\n\n\n
But a seller might well say: Hey! I can sell this home myself! <\/em> <\/p>\n\n\n\n
And a good number of sellers simply don\u2019t hire agents. Cutting out one agent can save 3% of the purchase price. Some figure they\u2019ll save thousands of dollars by just posting details and images of their home online, and opening a communications channel for potential buyers. Local lawyers can manage the contracts on behalf of these sellers.<\/p>\n\n\n\n
It\u2019s the buyer who needs the most help, including mortgage support as a new homeowner.<\/p>\n\n\n\n
DIY Escrow: Is Today\u2019s Tech Creating Tomorrow\u2019s Solutions?<\/h2>\n\n\n\n
Could blockchain tech manage direct interactions between sellers and home seekers?<\/p>\n\n\n\n
With blockchain \u2014 the technology underlying bitcoin \u2014 buyers could handle direct, secure exchanges. Imagine this. A seller accepts the buyer\u2019s offer and requests payment through blockchain. Once identities and details are verified, the blockchain ledger gets updated with a permanent data block. Payments are safely released.<\/p>\n\n\n\n
Blockchain-based smart contracts execute their own terms and conditions, automatically.<\/p>\n\n\n\n
Blockchain is basically an electronic recording system. It\u2019s a good fit, then, for managing and transferring real estate records. It gives everyone involved updated access to accurate information, reducing the risk of misunderstandings. Smart contracts based on AI, blockchain, and other advanced technology could even automate appraisals, based on the same inputs appraisers would normally use. There\u2019s a lot of potential here.<\/p>\n\n\n\n
So, Looking Ahead\u2026<\/h2>\n\n\n\n
We don\u2019t need more real estate agents. But we do need good<\/em> real estate agents. To the extent that professional people fall short of consumer expectations, today\u2019s digitally driven market will find alternatives.<\/p>\n\n\n\n
This doesn\u2019t mean blockchain and AI will take over the agent\u2019s job overnight \u2014 if at all. But blockchain technology could streamline transactions, even where professionals stay in the picture.<\/p>\n\n\n\n
We\u2019ll keep watching, as innovations at the intersection of tech and real estate continue to develop.<\/p>\n\n\n\n
Supporting References \u00a0\u00a0<\/strong><\/p>\n\n\n\n
James Rodriguez via Entrepreneur<\/em>\u00ae: There Are Way Too Many Real-Estate Agents \u2013 A Glut of Mediocre Realtors Is Screwing Over Homebuyers<\/a> (published by Entrepreneur Media, LLC on Aug. 2, 2023; republished from Business Insider<\/em>).<\/p>\n\n\n\n
Aspire Solutions via LinkedIn.com<\/em>: Transforming Real Estate \u2013 How Blockchain Is Revolutionizing Property Ownership<\/a> (Sep. 30, 2023); see also Aspire Solutions via Medium.com<\/em>: Transforming Real Estate: How Blockchain\u00a0Technology Is Revolutionizing Property Ownership<\/a> (Oct. 4, 2023).<\/p>\n\n\n\n
Seven Bits Technologies via LinkedIn.com<\/em>: Exciting Times for Real Estate \u2013 How Blockchain is Transforming the Industry (Oct. 3, 2023).  <\/p>\n\n\n\n
And as linked.<\/p>\n\n\n\n
More on topics: <\/strong>AI and blockchain in real estate<\/a>, <\/strong>Real estate agents\u2019 duties<\/a><\/strong><\/h3>\n\n\n\n
Photo credit: Tim Samuel<\/a>, via Pexels.<\/p>\n","protected":false},"excerpt":{"rendered":"
\u201cA glut of mediocre Realtors is screwing over homebuyers,\u201d says Entrepreneur.com. Is that just clickbait, or a serious remark? And hey! 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