3 ms·
It's only disproportionate for buyer's agents in a buyer's market or seller's agents in a seller's market when the cost of a crap shack is $800k+ - which unfort
by onlyrealcuzzo 4y ago
It's only disproportionate for buyer's agents in a buyer's market or seller's agents in a seller's market when the cost of a crap shack is $800k+ - which unfortunately is a growing part of the country.
If you're unaware - the brokerages can take up to 40% of the agent's commission. That's where the real rip off is.
There's lots of places where the median home is still <$250k. It's a lot of work to sell that house (in a buyer's market). In a seller's market - it's a lot of showings and offers before something gets accepted.
70% of 3% of $250k = $5250
Typically, R/E agents are 1099 - which means they're paying ~10% more income tax in the employer's side of Medicare and Social Security.
That's $4446 after payroll tax but BEFORE income tax.
You're lucky if you're selling >1 house a month.
Just because real estate agents aren't writing code and aren't making doo-dads, doesn't mean they're doing nothing, or that their time is worthless.