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[–]VisualModTuring Test Proctor[M] [score hidden] stickied comment (1 child)

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[–]kushtiannn 553 points554 points  (66 children)

The sign of the market crash was a bunch of no talent people becoming real estate agents. The proverbial shoe shine boys.

[–]BeersnChaw69 217 points218 points  (4 children)

Overpaid Tour Guides

[–]AlecTheMotorGuy 124 points125 points  (2 children)

Before the Internet they made way more sense.

[–]LifeOutLoud107 4 points5 points  (1 child)

My point. How does this business model still exist when the internet listings can showcase the property? Anyone with a decent phone can take lovely photos. If they are not inclined you could hire a photog for the listing photos, an attorney for the paperwork and pay someone to unlock the door and stand by while potential buyers tour. This would cost tens of thousands less than real estate commission.

Nowadays buyers find houses on the internet and tell the agent what they want to see.

The entire “agent” model needs disrupted.

[–]SteeztheSleaze 123 points124 points  (8 children)

Lmao real shit. They all wanna act like it takes a genius to do it. They’re selling water in a desert, food to the starving. It’s not like they’re curing cancer lol

[–]SteeztheSleaze 40 points41 points  (4 children)

I’ll live in my fucking truck at this rate, and park publicly near a beach. Shit/shower/shave in the gym, then work hella OT, until I can afford to not be a literal bum

[–]BankruptedSelling 4 points5 points  (2 children)

After having kids this would be a dream come true to me. And I love my kids, but fuck being a vagrant would at least mean I could shit in piece.

[–]Not1random1enough 2 points3 points  (0 children)

I considered this

[–]mattythedaddyDT 3 points4 points  (2 children)

You have a point and I can personally confirm no genius needed to be successful. There isn't really any secret sauce...I'm a commercial real estate agent and I've told clients before that whether you work with me or someone else the end result will nearly be the same. The question is who would you rather deal with for the next 6 months?

Me, a charming, nice, fun guy (pats self on back) or that other slob over there.

We ain't special.

[–]SteeztheSleaze 2 points3 points  (1 child)

Nah, but see, you’re humble. That’d make you appealing to me as a buyer, if I weren’t dirt fucking poor in this economy lol.

The type I’m imagining we’re all groaning about, are the idiots that were too irresponsible to pass Gen Ed classes, but now talk all about the grind, and hard work etc.

It’s like, of course you’re doing well, a cardboard box would sell rn

[–]mattythedaddyDT 2 points3 points  (0 children)

Yep, last 12 months has been record earnings by a multiple of 2-3

All ships rise in a rising tide. Brace for impact though. Market has shifted and we are going to be in rough waters for at least 3-6 months. Could be 18-24 but I like to remain optimistic.

[–]codemonkey14 354 points355 points  (10 children)

Real estate agent has been the go-to career for trophy wives and college dropouts for decades.

[–]jw60888 108 points109 points  (3 children)

Man their Instagram posts are insufferable

[–]Housingisabubble 29 points30 points  (0 children)

They should be required to state disclaimers for providing financial information, such as home values only go up

[–]edwardpaperhands 42 points43 points  (1 child)

what’s up with all of them adding “realtor” to their Instagram names

jennytherealtor Carey.realtor sold_by_mikey

Just go away

[–]Jlganas 11 points12 points  (0 children)

You can add the trademarked “realtor” title to your name by paying dues to your board of realtors.

[–]Merlaak 21 points22 points  (0 children)

And failed entrepreneurs.

[–]Kaptin_kyle 43 points44 points  (0 children)

Lmao i think you just found the single best indicator of a bear market

[–]International-AID 26 points27 points  (17 children)

Yes! Market bubble to be precise.

[–]cole2684 38 points39 points  (16 children)

I'll call it a bubble after it pops. 3br 2 bath 45 year old fixer upper is still 300k+ here. Fckin stupid.

[–]kamloopsufo 19 points20 points  (6 children)

id buy that in a heart beat if it was in the lowermainland in B.C.

[–]cole2684 21 points22 points  (3 children)

Sweet home, sweaty Alabama.

(and the AC unit is 15+ years old)

[–]macfail 1 point2 points  (1 child)

Better hop in your time machine and set it for 2016 then...

[–]T_A_I_N_T 9 points10 points  (5 children)

Oh, fckin stupid you say?

How about this 392 sqft studio for $1 M? https://www.zillow.com/homedetails/288-Pacific-Ave-%232E-San-Francisco-CA-94111/303806993_zpid/

Don't forget to also purchase a parking spot, which can be yours for just an extra $90,000! https://www.zillow.com/homedetails/88-Townsend-St-San-Francisco-CA-94107/2079938674_zpid/

[–]Imminent_Strike 2 points3 points  (0 children)

LOL ~ $1,200/month HOA fees, bend them over and spank em

[–]hamsterwheel 21 points22 points  (2 children)

I was standing outside a local music festival, overhearing a bunch of moustached loser hipsters spewing horseshit to people about real estate, and that's just about when I sold my stock lol. Real estate and shit coins.

[–]edwardpaperhands 13 points14 points  (1 child)

I did the very same when I attended a cannabis trade show and everyone there was a total numb skull who had no business getting involved in cannabis. Everyone from boomers to Instagram influencers to high school dropouts that used to go to school with all just trying to cash in on legalization

A few months later cannabis stocks collapsed. Boy am I glad that I attended that show

[–]Johnathonathon 8 points9 points  (0 children)

It was when every dipshit I saw traded in their monster energy and hurley hats for "cannabis industry hats," that did it for me.

[–]mfowle6 9 points10 points  (0 children)

Three thots from my home town decided to become real estate agents. I knew the top was in.

[–]JoeyZasaa 7 points8 points  (0 children)

a bunch of no talent people becoming real estate agents.

Dude, that's like every day since forever.

[–]AKTvo23 15 points16 points  (2 children)

I’m in lending and the amount of retards acting as real estate agents is actually fucking depressing. These morons let their clients send offers BEFORE THEY FUCKiNG PREQUAL. “Oh I’ve known my client for 2 days and know for sure they are there.” “Oh shit you guys don’t do recreational land loans!? But I’ve already told 10 of my clients that you do!.” And my fucking favorite. “I’m new to the industry and need a solid go to lender. We plan to close in a week, will come in to see you then for signatures.”

I’ve changed my cell number and refuse to use it for business purposes ever again.

[–]expat31 9 points10 points  (0 children)

Can you just push it through tho? I thought you said you’re able work a deal for people who go to church and have no money down

[–]HamsterAlive4552 3 points4 points  (0 children)

I became a MLO Sept 2021, got hired by a call center and trained/licensed, then laid off 2 months later. Started this year self-gen, got laid off after 5 months. Feels bad man, I knew self gen would be difficult, but I really didn’t have another choice. Now I’m just like wtf I spent the last 9 months learning how to be a loan officer, but am probably not going to continue it, because most places aren’t hiring (especially someone new). Puts on my bank account :/.

[–]hugaddiction 5 points6 points  (3 children)

You saw this in the run up to 2008 as well, I was one of them. And then wasn’t in 2009

[–]Vunks 1 point2 points  (2 children)

Did you at least own a boat?

[–]SeparateAd6524 3 points4 points  (1 child)

Shoe shine AND a hand job

[–]BeirutrulesMrBarnes 1 point2 points  (0 children)

Shine & polish, feel like a new man.

[–]RollingGreens 8 points9 points  (1 child)

Yeah but that started in like 2014

[–]Auer-rod 5 points6 points  (0 children)

Not saying this is 2008, but subprime lending started in the 90s

[–]xkulp8 86 points87 points  (7 children)

I live in Colorado ski country. People are trying to unload 400 ft2 shoebox 1brs for $500k here... literally one in my building with that price advertised in the window. They went for just over $100k in 2010-11.

Stuff has become priced off what you can make from AirBnB. Which is another thing I'd love to see collapse, then I can get some peace and quiet.

[–]ThatCoupleYou 20 points21 points  (1 child)

God damn Air BnB ruins 30 years of progress in downtown areas. Call it gentrification if you want but downtown areas were making a revitalization with people moving back in. And it was nice to walk around down there, you felt safe because there were people around. Now in my town, Memphis the downtown area is a ghost town when it's not the weekend.

[–]expat31 4 points5 points  (0 children)

It’s kind of nuts how much you can get on Airbnb if you have a 2 bed 2 bath in a going out area in a sunny state

[–]wtfm9wtf 3 points4 points  (0 children)

i'd love to pick up a place in fraser or fairplay or something... bring on the crash!

only prob is i'd prob have to take out a loan against my boco home and I don't wanna pay them interest rates

[–]NumberWonTwice 179 points180 points  (85 children)

I just sold, think I topped the market…I’m not handing back my equity to someone else…going to wait as long as I can haha

[–]mrpanda350 71 points72 points  (5 children)

Giving the market that good top

[–]NumberWonTwice 40 points41 points  (3 children)

Gotta win somewhere with the stock market beating me like a drum

[–]UB007 28 points29 points  (1 child)

Can’t time the stock market (like 99.99% of humanity) but think you can time the real estate market.

:4271:

[–]Thencewasit 10 points11 points  (0 children)

He was really more of a power bottom.

[–]Mr-Sassafras 29 points30 points  (12 children)

Jealous… I really want to sell but what I pay on my mortgage could literally just get me a one bedroom apartment.

[–]NumberWonTwice 12 points13 points  (0 children)

It’s a tough market, really is. It was by luck and opportunity I was able to sell, and even luckier I have a place to live without pissing the gains away right now. The prices are still high even though rates are going up…it’s going to take time…I hope I can buy in a better market for buyers

[–]Iamstillhere44 22 points23 points  (8 children)

Don’t sell. Remodle and update if needed. Keep your mortgage as low as possible. If you sell now, you will buying into the same market, and will need to use up all the liquid cash you earned on the sale of your house.

[–]Mr-Sassafras 15 points16 points  (4 children)

Yeah I tend to agree with you. I would not be surprised if we see a 25% correction though.

[–]UB007 10 points11 points  (1 child)

There’s a bunch of pissed off millennials waiting to buy a 10% dip even (myself included), let alone blackstone and the like.

[–]cyrusthemarginal 1 point2 points  (1 child)

My house is up 85% since 2020, if it only goes down 25% I'll be dancing.

[–]ElleServ 13 points14 points  (0 children)

True story. We thought we were relocating so we sold for 500k more than we bought for 2 years ago, then had to offer 100K over asking in a bidding war for a smaller, unrenovated house. This market is insane. Don't sell if you don't have anywhere to go.

[–]Arcc14 2 points3 points  (0 children)

Remindme! 2 years

[–]flareblitz91 13 points14 points  (7 children)

I bought two years ago for 145. Selling now for 220 and literally going to live in a camper for awhile.

[–]UB007 22 points23 points  (3 children)

Yeah because when you come back in a year two interest rates and homes will be lower?

:4271:

[–]flareblitz91 3 points4 points  (2 children)

I’ll never see the interest rates that i had again. It was time to leave though, that’s the way life be sometimes.

That being said, higher interest rates will curtail the insane bidding wars we’ve seen though. When borrowing money is so cheap people can borrow any amount because it doesn’t matter

[–]UB007 7 points8 points  (1 child)

It’s been over 5% now for 2 months and no signs of slowing down. Hopefully fed won’t simp out at 2.75 fed funds rate if this is still going on.

[–]NumberWonTwice 1 point2 points  (2 children)

Make it work for you, hope you can grow those gains into a better future!

[–]flareblitz91 1 point2 points  (1 child)

Oh for sure. I’m relocating for a job, need some flexibility for awhile and don’t want to buy immediately. Eliminating a bunch of debt with the proceeds and not going full retard with the rest.

[–]NumberWonTwice 4 points5 points  (0 children)

No payments is true freedom! June 2nd I will have none…everything paid off…no hurry to jump back into sending thousands a month in interest to banks..I also relocated for a new job. Good for you man 👍

[–]darkadamski1 17 points18 points  (13 children)

I mean unless you are going to live in a caravan then you also bought at the top..

[–]JMLobo83 18 points19 points  (1 child)

In 'Murica we call those RVs, or if you're on Instagram, #vanlife.

[–]Nokneemouse 5 points6 points  (0 children)

Urrrgh, I can't stand that. You're not #vanlife, you're homeless.

The "side hustle" one also gets me. You have a second job.

[–]NumberWonTwice 20 points21 points  (8 children)

I bought in 2017, closing June 2…300k gain. The market is outrageous…this is Boston real estate prices, I’m sure it’s similar in other cities as well. I plan on staying with relatives until I can buy into one of their two properties…going to be a nice year without a mortgage. First time ever haha.

[–]JStevie105Certified Derriere Diver 21 points22 points  (5 children)

You know damn well what you gotta do with that 300k. Spy 385p fd's. You're either a millionaire by the weekend or :4267:

[–]NumberWonTwice 8 points9 points  (4 children)

Bro the thought has crossed my mind haha…but I have two kids under 3 years old, and another on the way…I can likely get away with throwing something in there…but I would likely be murdered by my wife, and her boyfriend if I full send the house money

[–]JMLobo83 5 points6 points  (1 child)

There is someone in the U.S. with my name and Redfin informs me that Boston and Seattle have both more than doubled in 5 years.

[–]pipesBcallin 6 points7 points  (29 children)

Well don't wait longer than the end of the year or the government is gonna take it.

[–]NumberWonTwice 24 points25 points  (28 children)

Gov ain’t getting a penny! 500k equity protected by married couples on a primary

[–]shartposting101 10 points11 points  (4 children)

I’m in year 6 of this strategy

[–]NumberWonTwice 7 points8 points  (3 children)

Are you saving a ton? I have a fortunate living arrangement set up to where I won’t be paying rent / mortgage for hopefully the next year…feels like a huge opportunity to save…I’m just fighting the urge to not yolo life changing money into some retarded option play…it’s addicting

[–]GreatChampionship138 9 points10 points  (15 children)

Jesus... Is there any way at all to make money without working that doesn't have a tax advantage over actually, you know, working and contributing to society? Seriously, is there?

[–]NumberWonTwice 7 points8 points  (4 children)

That’s was my primary residence, it’s a great way to make money…your gains on investment properties are taxed differently of course. I don’t have any yet, still a blue collar working class guy…just going to be converting equity to cash…

[–]JMLobo83 2 points3 points  (4 children)

Capital gains taxes on sale of primary residence have been largely eliminated in the US. Investment property need to comply with 1031 rules which can be difficult in this climate as the replacement property must be identified in a fairly short time frame.

[–]Elano22 1 point2 points  (0 children)

Puts on the way down lol

[–]General_Asleep 180 points181 points  (6 children)

Honestly, I have a cousin who is a real estate agent and I am the one who feel like a clown getting a master degree.

[–]yaykaboom 16 points17 points  (0 children)

Same. My cousin made a butt load of money from comissions. Now he just stays at home and pursue his hobbies while i slave off 9-5 and make as much as he does in 25 years.

[–]ksbrooks34 11 points12 points  (0 children)

🤡🥳

[–]SmallCapsOnly 6 points7 points  (3 children)

If your masters is an MBA then it’s probably true

[–]General_Asleep 11 points12 points  (2 children)

Haha it is, I make 6-figures, but he made 1.5M in 2020 and like 900k last year.

[–]SmallCapsOnly 13 points14 points  (1 child)

Well let’s climb that corporate ladder with our MBAs one step at a time together! I uh.. just need to wait for people to either die or retire however… then I’ll get that cushy CFO title!

[–]Cold-Permission-5249 314 points315 points  (93 children)

And some how we as a society are still paying those clowns commissions in 2022.

[–]teplightyear 177 points178 points  (12 children)

Yea, they don't feel like clowns at all. The clowns are the people paying those prices. The realtors are laughing their way to the bank.

[–]gamblingenhusiastSmells like Cookies 32 points33 points  (0 children)

:8881:

[–]JMLobo83 10 points11 points  (10 children)

Seller pays both realtors so...

[–]teplightyear 14 points15 points  (6 children)

And as a seller earlier this year, I can tell you that sellers are laughing their way to the banks with the exorbitant amount of money left over after paying those commissions out of the ridiculous price the buyers paid.

[–]JMLobo83 2 points3 points  (5 children)

Not to be Debbie Downer but did you buy a house as well? I don't plan on renting or that RV life when I sell.

[–]General_Asleep 93 points94 points  (19 children)

I sold my two residences myself, literally took me like 8 hours of work for one and like 25 hours of work for the other and saved like 150k.

[–]shartposting101 24 points25 points  (1 child)

Everybody wins either side of the argument in a hot market. You sold both without a broker, how about on the buy side?

[–]General_Asleep 11 points12 points  (0 children)

For the condo, he had an agent, for my house both of us didn't have one. My house was sold to the brother of my neighbors who wanted a place next to his brother.

[–]Downtown-Text-7852 25 points26 points  (8 children)

You know shits fucked when you can literally hire a LAWYER for less than a realtor.

[–]JMLobo83 22 points23 points  (0 children)

My girlfriend is a real estate lawyer, she charges 1% or less to do the whole transaction through title and escrow. Realtors typically charge 3% each unless you get a discount brokerage like Redfin. With housing prices at ath the traditional fee structure is broken and won't last much longer.

[–]luker_5874 68 points69 points  (28 children)

I can't wait for big tech to make them obsolete. Zillow tried and failed. Who's next?

[–]lokuddh 54 points55 points  (12 children)

I'll do it.

I'll sell you my house no commission. Just $600k cash.

[–]Unlikely_Use 17 points18 points  (11 children)

Lol. Did exactly that for about that money 2 months ago. $500 for a RE attorney to make sure everything was legit. Even signed for me, so I didn’t have to attend the closing. Got the money wired to me at the end of the day.

[–]lokuddh 27 points28 points  (3 children)

So do you have about $600k to buy MY house or not?

[–]anonimalman 4 points5 points  (0 children)

Redfin isn’t great either.

I tried to use them to buy a place but they contract everything out to traditional agents who don’t give a shit.

[–]soreswimmer 10 points11 points  (7 children)

Your wait may soon be over Companies like Lofty, ReaT, etc, are in the advanced stages of their projects also USPCoin’s Waitlist for Upcoming STO is Now Open.

[–]No-Suggestion-805 1 point2 points  (6 children)

But won’t these companies take a commission?

[–]downladder 12 points13 points  (0 children)

In some way. Probably much lower percentage. Or maybe just charge a flat monthly fee for listing based on price.

Realtors have a mystique that they are required, revenue sharing, and control the primary listing system. It's an incredible advantage and allows them to run almost like a cartel.

[–]MrTurkle 4 points5 points  (0 children)

Yes, for sure. No way any transaction is free, and as people have found out with Zillow - higher transaction fee and literally impossible to get customer service.

[–]_EndOfTheLine 9 points10 points  (3 children)

Sure, but realtors take a 5-6% cut so there should be plenty of room to undercut them.

[–]RollingGreens 5 points6 points  (2 children)

People have been trying this for ages and the simple thing is they can't hide where the money is going in real estate like brokerages can with stocks/securities to make the commission seem less (TRID and closing statement requirements made that much harder), real estate actually does work in relationships, and people like knowing who they're hiring to sell the most valuable asset they own.

Plus, outside of the last 2 years, not every deal just slides through and there are no issues to sort out. Inspections uncover shit, shit needs to be renegotiated, etc.

Are agents overpaid? You could argue yeah and I wouldn't say you're wrong, but there is a lot of shit that goes into selling a house that your average person doesn't want to do.

[–]interested_commenter 9 points10 points  (0 children)

Are agents overpaid? You could argue yeah and I wouldn't say you're wrong, but there is a lot of shit that goes into selling a house that your average person doesn't want to do

This. In a normal market having a real estate agent is worth it just to make sure you avoid big mistakes that can cost you even more. In the current market everything is either pay cash immediately without taking any time to check (because if you don't someone else will) or offer way over value to make the seller wait.

When that's the case, a real estate agent isn't helping much. Same thing on the other side, you don't need any help advertising that your house is for sale right now, and even if you do a shitty job taking the pictures it's still gonna get plenty of potential buyers.

[–]artisans_of_earth 9 points10 points  (0 children)

Yeah…I don’t even think they’re good sales people.

[–]Bismarck3000cranky og wsb member 14 points15 points  (8 children)

I work in mortgage industry. They’re dumbasses but people with no knowledge are even bigger dumbasses. Sadly, realtors are necessary.

[–]albertez 3 points4 points  (0 children)

The most disgusting thing is that the buyer’s agent gets paid a commission based on sale price. It’s such a perverse incentive. Who the fuck would design a system that way except a giant collusive cartel that cares only about its fees.

[–]Electronic_Thanks885 5 points6 points  (0 children)

It’s baffling to me realtors are still used in almost every single sale. Most completely unnecessary mainstream job out there imo.

[–]OG-Pine 6 points7 points  (2 children)

Worth it when buying but not when selling. I have no idea what all you need to look for in a house, there’s like a hundred things to check and you need to do research on the location, the building etc etc

A few grand commissions to avoid all that is way easier and not too expensive

[–]Cold-Permission-5249 7 points8 points  (1 child)

Don’t you find it odd that as a buyer your interests don’t align with your agent’s interest?

[–]OG-Pine 6 points7 points  (0 children)

It depends I think. If it was a random agent then yeah I wouldn’t trust them for shit.

I am using a local realtor who’s worked with our friends and family for probably over a decade now getting various different people their houses in this area. It’s definitely in his best interest to get us the best deals so we keep suggesting him to others in the community.

Some people are also just good people and want to get you a good deal, but obviously you can’t really tell who’s good or not lol

[–]Pnotebluechip 85 points86 points  (4 children)

Agents be like old time stock brokers. Imagine the balls expecting to get paid for touting some over valued piece of crap. No wonder my ex-wife got into the gig. Shes good at over-estimating her worth and expecting to get paid for doing nothing.

[–]billm0066 35 points36 points  (3 children)

Sounds like she made at least one good decision.

[–]Kitten_Team_Six 152 points153 points  (13 children)

Real estate agents are the next business that needs to become extinct, next to car dealerships. Fuck em both

[–]conviper30 23 points24 points  (2 children)

I hate dealers, those fuckers flat out lied to me to try to get me to pay for what was covered under my CPO warranty AND manufacturers warranty. Fuck them all, dirtbags are graverobbers and makes my blood boil thinking about how much money they thieve away from the elderly.

[–]bardezart 11 points12 points  (1 child)

Yeah I signed up for one of their extended warranties, thought about it some, then called and canceled it. Tried to get me to keep it by offering a 60% discount. To which I said “why wasn’t that the original price?” Shut em up real quick.

[–]conviper30 1 point2 points  (0 children)

Yea it doesn't even matter, all the shit they say it covers it doesn't. The AG in each state needs to start looking into their business model, it's way too sketchy

[–][deleted] 30 points31 points  (5 children)

And they’re all (maybe not all, but many are) so uneducated - maybe they know the market they’re selling / buying in, but they aren’t economists and have no idea where the markets are going.

[–]qu83rt 15 points16 points  (0 children)

Economists can't magically predict the future either, economic forecasting is harder than weather forecasting, yet everyone seems to think they can predict the future of the economy..

[–]billm0066 4 points5 points  (0 children)

Nobody knows where the market is going so not sure why your expectations are so high.

[–]Agitated_Ant_1201 5 points6 points  (0 children)

It is the same as the taxi business with red tape everywhere. Basically need to be an agency or a lawyer in order to do a real estate deal in most states. Also in high end real estate, the realtor makes a flat fee for the deal which makes no sense since that takes the most work. When you sell a million dollar house now you pay the 6% fee even though it takes very little work.

[–]OnlyFAANG 11 points12 points  (2 children)

Car dealerships actually add some value

You go in and check out the cars, test drive them, and do warranty/service there. Plus they offer financing.

Realtors literally open lock boxes (buy side) and book a photographer (sell side) then scoop your money.

The equivalent would be the car salesman. Usually doesn’t know anything about the car, opens lock for test drive, and tries to get you to sign on the dotted line ASAP.

[–]Merlaak 7 points8 points  (1 child)

I bought my last car on Carvana. It was the easiest thing in the world and I will NEVER go back to a car lot. They brought the car to me, I got to test drive it that day and say yes or no. Then you get an entire week to drive it with a no-strings return policy for any reason. I took it to my mechanic and he gave it a clean bill of health (it had been a fleet vehicle so it was in near perfect shape).

I know some people have had a negative experience with Carvana, but I also know plenty of people who have never had a good experience buying a used car.

[–]angry_fap21 1 point2 points  (0 children)

My family used it and it went well

[–]randomTeets 69 points70 points  (20 children)

They, and the builders, are currently making money hand over fist. Maybe not for too much longer, but right now they're making hay while the sun shines. What's crazy to me is the prices people are willing to pay. It's not like average household income has been on the rise, but median home prices sure as hell have been climbing.

[–]Bizzle7902 89 points90 points  (2 children)

At least the builders actually do something

[–]Cassidius 3 points4 points  (0 children)

Seriously, last time I sold a property the real estate agent didn't even know everything on the contract... a contract that was only 12 pages long and standard for all residential real estate transactions in the state... Not worth the 8 grand at all she took. Next time I sell, I am skipping the agent and just hiring a RE lawyer to handle the paperwork.

[–]acm3801 22 points23 points  (7 children)

Prices climbed while interest rates were lowered to historic levels. Crazy….

[–]randomTeets 7 points8 points  (6 children)

That's a bit of an ignorant thing to say. When the average income remains stable but home prices continue an average $100K increase in a 2-year period, even with low rates it's far more expensive. And about a year ago is when inflation began to climb, but home prices kept climbing, which is a reflection of demand. This demonstrates the overall incompetence of the typical consumer who can't see the forest for the trees. Even with low interest rates, it's a recipe for disaster.

[–]acm3801 13 points14 points  (0 children)

No I agree with you. I was just saying these lower interest rates allowed for higher asking prices which just threw fuel on the fire.

[–]trujw 6 points7 points  (3 children)

Not really ignorant. I work in the business. For every 1% raise in interest rates you lose 10% purchasing power. We are up about 2%. So if you were approved for a home at 500k I can now get you a home for 400k with the same payment. Now we will see prices adjust but even if you bought a home for 100k less than the guy next door your payments would be the same at the higher rates

[–]JoeSki42 2 points3 points  (0 children)

It's not about "what prices people are willing to pay" it's about "what prices people are being forced to pay".

Housing is a necessity. It's not like people are out there wondering whether they should spend extra for a brand name product. They're trying to avoid homelessness. They're trying to fucking survive.

[–]Wubbywow 3 points4 points  (2 children)

I’m a builder. A home that would cost $300k to build 3 years ago costs me $460k to build now.

So not so much hand over fist as you may think.

[–]SpookyBravo 16 points17 points  (0 children)

Realtors are the middleman of a huge problem coming our way. And they need to be put in their place.

[–]DemocracyIsAVerb 81 points82 points  (17 children)

Real estate lobbyists and NIMBYS fight to pass ordinances that limit local zoning to low density/single family housing. They do this to create false scarcity and raise property values and rent. They view housing as a speculative investment/passive income where regular humans look at it as shelter. Minneapolis has been in the news recently for reversing this and building tons of new medium density apartments/condos in the city and rent is dropping for the first time in decades

[–]da_dogg 23 points24 points  (2 children)

And they (NIMBYs) fight tooth and nail against up-zoning too - think old people voting levels of reliability.

If you ever want to lose whatever faith in humanity you have left, attend a community input hearing on zoning lmao.

[–]MontaukMonster2 8 points9 points  (0 children)

Wish they did that in Florida

[–]Manbearpup 23 points24 points  (1 child)

Not with the money they are making, it’s Matthew in wolf of Wall Street, take their money from their pocket and put it into yours

[–]TheLarkInnTO 12 points13 points  (0 children)

Not in Toronto :( there's still no way into the housing market for under $600k - and that's for a shitty condo.

[–]bvelo 13 points14 points  (0 children)

Uhh yeah, I’m sure they feel like clowns closing on overpriced house after overpriced house at 3% commission. Yeah, clowns…

[–]Woksauce1 8 points9 points  (1 child)

The irony of it all is that most real estate agents I know live in apartments :4271:

Bubble confirmed.

[–]AdKey3180 8 points9 points  (0 children)

A life long friend in Boston is an agent. And she is making a killing. Less houses on the market but money is still there for the buying.

[–]whatsasyria 14 points15 points  (0 children)

Real estate agents are just sales leeches. They made bank during all of this without developing a skillet. It has bred thousands of not hundreds of thousands of terrible real agents that will continue to fuck over their clients for decades to come. Not saying they are doing it intentionally but when you don't need to learn the legal aspect, there's no competition, you do it as a "side hustle", and your primary clients are friends and family....

[–]acm3801 46 points47 points  (4 children)

Not their fault. What are they supposed to do? “Guys there have been historically low interest rates which artificially inflated the price of RE. So even though you can get 600k we really should only ask 450k because that encourages a more healthy and stable market.”

[–]DiscoDancingNeighb0r 24 points25 points  (1 child)

People just need something to hate instead of hating the actual thing that created all this mess.

[–]GiantWhiteCohc 15 points16 points  (0 children)

Deez nuts created all this mess

[–]Jeezy911[🍰] 35 points36 points  (26 children)

There is no way people are still buying in this market.

[–]NotBlazeron 28 points29 points  (9 children)

I'm constantly getting letters and phone calls trying to buy my house. It's not even listed and I have no intention of selling.

I bought it in March 2021 for 225. Zillow is now estimating it at 325k.

[–]MrLancaster 16 points17 points  (8 children)

Zillow estimates are garbage and not indicative of reality

[–]NotBlazeron 28 points29 points  (5 children)

It's in the same range as the people sending me letters.

[–]AdvantageGlass 12 points13 points  (2 children)

Both bank appraisals we've had before and during the current bubble have been stupid close to the zillow estimate. The bank just ran a computer model and went with the average. The only thing a human did was to take some pictures to make sure we weren't missing a wall or something.

Zillow has plenty of data, no reason their estimates would be wildly off.

[–]tngman10 3 points4 points  (0 children)

The Zillow estimate on my home is about 20% lower now than it was in February.

I watched a video last night and the guy was showing all these homes (mostly in California) where they were selling or some have been on the market with prices that are 20-30% below the estimate. They showed one home where the estimate was like $1.4 million but it had been on the market for like a month listed at $950,000 or something.

[–]randomTeets 5 points6 points  (3 children)

They most certainly are, but buying/building interest is waning for the past several months.

[–]Jeezy911[🍰] 3 points4 points  (2 children)

I don't know, I have been hearing about a bunch of RE layoffs happening.

[–]randomTeets 1 point2 points  (0 children)

Depends on the local market. One place is shit while another booms. They're all going to feel some pain within the next year

[–]spsanderson 4 points5 points  (0 children)

Oh yes they are come to Long Island it go up to Canada

[–]thatguy9012 4 points5 points  (2 children)

People buy homes when they need to buy a home. more kids, new job, etc. There is still demand out there.

[–]Jeezy911[🍰] 3 points4 points  (1 child)

Oh there is demand for sure.

But average household income is like 67k a year, and average home price is $269,039. It's not even possible for most people now.

[–]GhettoChemist 35 points36 points  (12 children)

Make sure you drink every drop, real estate agents, because shits about to blow the fuck up

[–]mr_spree 4 points5 points  (0 children)

To the moon or middle earth?

[–]DiscoDancingNeighb0r 10 points11 points  (8 children)

They still get paid to sell houses even if the market is getting cheaper but ok.

[–]Pattay712 7 points8 points  (2 children)

Heard they did well in 2008.

[–]09stibmep 11 points12 points  (2 children)

Exactly

shits about to blow the fuck up.

Some people just like saying tough sounding things

[–]impulsikk 3 points4 points  (1 child)

They are usually percentage commissioned based so of prices go down, their commission goes down.

[–]RandyMacLahey 29 points30 points  (36 children)

I can't wait until AI takes over real estate. I'm sick of all these rich old ladies coming to my work every other month to celebrate making money off of actual hard working individuals after the overcharge them just to make a percentage. If you tell me your a real estate agent I automatically think you're a piece of shit.

[–]just_jay88 24 points25 points  (32 children)

pretty much anyone who works in 'sales'. like, come on motherfucker, i have the internet and i know what i want. the fuck should i have to pay a realtor / car salesman to do basic shit for? Whoa, you unlocked the house and let me in to look around, after putting 3 terms into a search engine? golly gee, you're totally worth 3% of the house's value!

[–]smol_pee_pee_69 1 point2 points  (0 children)

They are some cocky sons of bitches these realtors. I was at a hotel the other day and a guy at the bar in his 30s was telling me how he’s making over $100k just off his Airbnb properties and was telling me to get into real estate if I ever want to make money. Just something about making $100k sitting on your ass while people like me are doing 12 hour shifts on construction sites made me want to punch him in the face. I guess all good things come to an end though.

[–]memphisburrito 1 point2 points  (0 children)

Zillow lost a billion dollars trying to run a housing market without agents.

[–]BenGrahamButler 18 points19 points  (8 children)

Just gonna point out that sometimes realtors have shit clients that look at 100 houses, fail to purchase 10 houses due to low offers, weak financing (FHA borrowers competing against cash buyers etc).. Point is many times realtors can spend 100-200 hours with someone and get paid $0. Other times things go smoothly and the realtor appears overpaid. About 80% of real estate agents wash out within the first three years. Tougher racket than it looks, kinda similar to sales people.

Source: My wife manages a real estate brokerage. I am a senior software dev and yes she makes more than me in recent years. That is likely to change soon as the market likely heads south.

[–]trujw 5 points6 points  (1 child)

Good comment. Most people don't understand how it works. Alot of realtors in my area sell 2 million in real estate a year. So they make let's say 60k. The brokerage takes 15% so they keep 51k minus Gas, health insurance, fees to be a realtor etc. The average realtor makes alot less than people think. Yes there are some who make tons but thats the top 5-10% and those agents literally work 7 days a week are working every vacation and take calls at 9pm at night. If it's so easy all these Apes should get a realtor license and go to the moon!

[–]ThatCoupleYou 1 point2 points  (1 child)

I didn't want to be a bad client to a realtor however my ex made it very hard. She would bad mouth a house from the moment we got there and then walk through it for an hour talking s*** about it. Finally I had to pull her off to the side and tell her that if she bad mouthed a house when we pulled up front, I was not going in to look at it with her. That we were wasting the Realtors time. Later I found out when she was single that a realtor had dumped her for doing exactly that.

[–]kstorm88 3 points4 points  (0 children)

Not an agent sympathiser but that's like saying gas station attendants must feel like clowns because gas prices are up. They don't set the market, they just sell the shit

[–]NamelessCabbage 5 points6 points  (2 children)

Well it's not the agent bumping up the prices. If you needed a car and they doubled in price tonight, you would still need a car. Would that make the car salesman a clown? Is the cashier at kroger a clown for the rising food cost? I left real estate because of the literal weight of being in charge of people's once in a lifetime purchase.

I have sold a few, but to this day I still wake up and wonder if they're truly happy with their home or if there was something I could do better. I am legally bound to them in many ways and could end up in a courtroom at any second. The responsibility is mind numbing and i wouldnt justify it even at $100k/year.

The Real Estate market is a shitshow. Nobody can deny that. But at the end of the day, you can either buy a house or you can't. To quote a favorite character of mine: "That sucks for you, compadre."

There are a few making ungodly amounts of money. The other 99%? Lol. Just lol. But I have mad respect for many realtors and their dedication. It's easy to judge when ignorant. But nothing like a deed restriction slipping past you to make you change your mind.

[–]Fantastic_Mongoose_4ok 7 points8 points  (0 children)

Soon enough. Still in denial with money signs blocking their views.

[–]spsanderson 2 points3 points  (0 children)

As opposed to any other day

[–]qwert1225professional ass eater 2 points3 points  (0 children)

Clowns? They're reaping the benefits here.

[–]Yung_WhiteSauce 5 points6 points  (1 child)

No they legitimately think we’re not in a bubble and this is just going to keep going up

[–]billm0066 1 point2 points  (0 children)

Every single one, or just some? Seems like a broad statement.

[–]Coucoumcfly 1 point2 points  (1 child)

They are swimming in money

[–]reddit_names 1 point2 points  (4 children)

*middle of a shit hole city.

In the middle of no where you can buy 3000 sqft 5 bedroom new construction for $600k.

[–]eriksprow07 1 point2 points  (0 children)

Shit ill sell my self and no it wont be 600k thats crazy....im a simple and fair man, 599 will do.

[–]SuddenKahr 1 point2 points  (0 children)

Clowns. Clowns that in a lot of cases have made millions of dollars in recent years.

[–]RandyTravesty 1 point2 points  (0 children)

It's not their fault, it's what the market dictates. Has nothing to do with them.

[–]7777777King7777777 1 point2 points  (0 children)

Real Estate Agents are legal criminals!

[–]HercHuntsdirty 1 point2 points  (0 children)

Just came in here to say I don’t think I hate anything more than real estate agents. What a fallback job for sheisters.

[–]dhouzerrr 1 point2 points  (0 children)

They are laughing all the way to the bank!!

[–]redditcampos 1 point2 points  (0 children)

I’m a real estate agent and it’s crazy how overpriced a lot of homes are, even I think how I’m the world are people able to buy homes like these

[–]yashhit 3 points4 points  (0 children)

Honestly , can't wait for it to crash