Tag: selling

Why Choosing the Right Real Estate Broker Matters More Than Ever.
Education · Maximize Your Profit · Real Estate Sales · Sellers · Selling a home

Why Choosing the Right Real Estate Broker Matters More Than Ever.

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Why Choosing the Right Real Estate Broker Matters More Than Ever

The real estate landscape is evolving, and recent changes in agent compensation have added complexity to the home buying and selling process. If you’re thinking about selling your home, it’s crucial to select a real estate professional who will not only represent you but also navigate these changes effectively. That’s why choosing Dennis Rath Home Sellers is one of the best decisions you can make. Here’s why.

Understanding the Role of the Broker—It’s Not Just the Agent

Many people assume that real estate agents and brokers are the same, but they’re not. When you sign a real estate contract in Ohio, you’re not just dealing with an agent; you’re actually entering into an agreement with the primary broker of the company. This means that the broker holds the ultimate authority in your contract.

A vital question to ask is: Who is the broker, and where are they located? At some firms, the broker may be miles away in a different city, like Cleveland or Columbus, or even out of state, creating a disconnect between you and the person who holds the authority over your contract. At Dennis Rath Home Sellers, you’ll deal directly with me, Dennis Rath—the primary broker—ensuring personal, attentive service throughout the process.

Personalized Service and Unmatched Dedication

At Dennis Rath Home Sellers, you’re not just another listing on a board—you’re my top priority. Unlike large firms where homes can get lost in the shuffle, I focus all my energy and expertise on your unique needs. From the initial consultation to the final closing, I ensure your home gets the attention it deserves. My goal is to maximize its market potential and secure the best outcome for you.

Navigating New Compensation Rules with Expertise

The real estate industry has changed, especially regarding how agent compensation can be advertised and negotiated. While these changes offer more flexibility, they also introduce new complexities into transactions. With 30 years of experience, I’m well-equipped to guide you through these changes. I’ll help you keep costs low, protect your interests, and secure the best possible results.

What You Need to Know About Broker Dynamics

A recent study from the National Association of Realtors indicates that 72% of real estate agents primarily represent home buyers, and 1 in 4 agents may leave the industry in the next two years due to financial pressure. Large brokerages, in particular, are facing shrinking revenue as they manage the overhead of dozens of offices. These pressures are pushing some brokers toward dual agency, where the same broker represents both the buyer and seller—a situation that can create conflicts of interest.

At Dennis Rath Home Sellers, I avoid dual agency to ensure my sole focus is on representing you, the seller. My commitment is to your best interests, without any divided loyalties.

Modern Marketing Without Unnecessary Overhead

After spending 25 years with the Realogy Franchise system, I’ve learned that high overhead doesn’t always translate to better results for clients. Thanks to the internet, I can market your home on the same platforms used by large franchises—without the unnecessary expenses. My MLS agreements ensure your property appears on all the major real estate websites, giving you a competitive edge.

Instead of maintaining multiple offices, I efficiently cover all of northeastern Ohio from my office on Lorain Rd in Fairview Park. I also partner with experienced professionals, such as title companies and mortgage services, to provide you with the best services, including top-tier professional photography to showcase your home in its best light.

Now Is the Time to Act

As the real estate market continues to adapt, now is the perfect time to leverage the personalized service and market exposure that Dennis Rath Home Sellers offers. With me, you’ll have direct access to the person in charge, ensuring transparency and quick responses to your concerns.

Ready to get started? Call me today at 440-490-7284. Let’s navigate this changing landscape together and achieve the best outcome for your home sale.

The National Association of REALTORS Settlement
Education · Maximize Your Profit · Maximize Your Profit · Real Estate Sales · Sellers · Selling a home

The National Association of REALTORS Settlement

Featured dennisjrath

I assume you have read headlines about the National Association of REALTORS® (NAR) agreement to end litigation in the Sitzer-Burnett lawsuit because it’s been all over the news.  If by chance you haven’t heard, let me give you some background what the lawsuit was about.

The Sitzer-Burnett is a class-action suit that was filed in Sept. of 2021 in federal court by a group of home sellers in the state of Missouri against the National Association of REALTORS (NAR), along with several other defendants including Anywhere, Berkshire Hathaway HomeServices, Keller Williams, and RE/MAX.

The plaintiff’s case stated real estate commission rates are too high, buyers’ representatives are paid too much, and NAR’s Code of Ethics and MLS Handbook, along with the corporate defendants’ practices of forced compensation have led to inflated commission rates for the sellers.  The jury in this case agreed with the plaintiffs.  As soon as the verdict came in, the lead attorney for the plaintiffs filed a nationwide lawsuit against the National Association of Realtors, Compass, eXp, Redfin, Howard Hanna Real Estate, United Real Estate, Douglas Elliman, and Weichert Realtors.  Instead of appealing the Sitzer-Burnett case and litigating all of the others, the NAR decided to consolidate the cases and proposed a settlement, and as I understand it, it is now up to the court to accept the settlements.

The issue at the heart of the lawsuits is why home sellers are paying commissions of brokers representing home buyers. This

issue is like an onion, as it has many layers, and the industry has done a poor job of informing our clients what the truth is and many agents in the industry do not understand it themselves well enough to articulate it.  I understand it completely because I have been selling real estate through the changes.

The compensation, whether it is a flat fee or a commission, is outlined in the contract between the client and the primary broker of the real estate company. Most home sellers or buyers never talk to the primary broker unless something goes wrong.  Agents are employed by the brokers, and in most cases may not deviate from the broker’s decisions regarding compensation.

Brokers inform real estate agents what they need to charge, and that fee is split between the broker and the agent.  All compensation is negotiable and has always been, nothing in this settlement changes that. 

The way it works now is that the real estate compensation is paid to the listing broker, and the listing broker pays the cooperating (buyer’s) broker.

The reason this practice is in effect now is because that was the way it was long before buyers’ agency was a law.  When I was first licensed in 1994, cooperating agents (agents who work with buyers) acted as subagents of the listing agent. After the Federal Trade Commission released a study showing that most buyers thought they were being represented, Ohio passed a law that required agents to disclose whom they represented.  Thus, the buyers’ agency was born.  Compensation did not change after the buyers’ agency because the mortgage laws were never updated and that is how we ended up with this antiquated compensation model.

That brings us up to today.  Today there is no easy way for a buyer to pay their agent fees outside of the way it has always been because mortgage rules cap the amount of fees that can get added to a loan, and with VA loans buyers are forbidden to pay any cost.  Lawmakers did this to ensure fees do not deplete borrower equity.

So, what has changed as a result of the settlement and how will it affect the way real estate is sold?  Good question.  No one knows all of the details yet, but here is what we do know; As of mid-July 2024, compensation will be de-coupled from the listing contract and no buyer’s agent compensation will be listed on the Multiple Listing Service.  This means that sellers will pay their broker and buyers will be responsible for paying their broker. 

The internet is full of people making predictions.  Max Besbris, an associate professor, and author wrote, “It will prompt one of the biggest transformations to the housing market since New Deal-era regulations were put in place.”  No disrespect to Mr. Besbris, but I don’t think you can compare the NAR lawsuit settlement to the time that followed the Great Depression, but I may be wrong.

This issue is like an onion, as it has many layers, and the industry has done a poor job of informing our clients what the truth is and many agents in the industry do not understand it themselves well enough to articulate it.  I understand it completely because I have been selling real estate through the changes.

The compensation, whether it is a flat fee or a commission, is outlined in the contract between the client and the primary broker of the real estate company. Most home sellers or buyers never talk to the primary broker unless something goes wrong.  Agents are employed by the brokers, and in most cases may not deviate from the broker’s decisions regarding compensation.

Brokers inform real estate agents what they need to charge, and that fee is split between the broker and the agent.  All compensation is negotiable and has always been, nothing in this settlement changes that. 

The way it works now is that the real estate compensation is paid to the listing broker, and the listing broker pays the cooperating (buyer’s) broker.

The reason this practice is in effect now is because that was the way it was long before buyers’ agency was a law.  When I was first licensed in 1994, cooperating agents (agents who work with buyers) acted as subagents of the listing agent. After the Federal Trade Commission released a study showing that most buyers thought they were being represented, Ohio passed a law that required agents to disclose whom they represented.  Thus, the buyers’ agency was born.  Compensation did not change after the buyers’ agency because the mortgage laws were never updated and that is how we ended up with this antiquated compensation model.

That brings us up to today.  Today there is no easy way for a buyer to pay their agent fees outside of the way it has always been because mortgage rules cap the amount of fees that can get added to a loan, and with VA loans buyers are forbidden to pay any cost.  Lawmakers did this to ensure fees do not deplete borrower equity.

So, what has changed as a result of the settlement and how will it affect the way real estate is sold?  Good question.  No one knows all of the details yet, but here is what we do know; As of mid-July 2024, compensation will be de-coupled from the listing contract and no buyer’s agent compensation will be listed on the Multiple Listing Service.  This means that sellers will pay their broker and buyers will be responsible for paying their broker. 

The internet is full of people making predictions.  Max Besbris, an associate professor, and author wrote, “It will prompt one of the biggest transformations to the housing market since New Deal-era regulations were put in place.”  No disrespect to Mr. Besbris, but I don’t think you can compare the NAR lawsuit settlement to the time that followed the Great Depression, but I may be wrong.

The upside is the cost of selling will come down in the long run once the mortgage rules are updated, allowing buyers to pay for a buyer’s agent or to be able to finance the cost. 

The downside has some significant issues as well with removing the compensation of any type from the MLS.  The biggest one I can see is how it will affect first-time home buyers.  First-time home buyers as a general rule rely more on agent services to help them through the sometimes complicated and always emotional process of buying a home.  A home is the biggest piece to their financial future.

Throughout my career, I’ve dealt with a lot of issues like this one.  The concept of sellers and buyers paying for their representation and removing it from the MLS is simple and understandable, but how the execution happens will depend on a wide range of human behavior.

Some people are predicting housing prices will decline along with commissions.  I don’t think that’s true because home prices are primarily determined by the supply and demand for housing units.  I can’t see how the cost of brokers’ fees will factor in.

I am very happy with the changes.  As you know I have been advocating for this for quite some time.  As a person who has made his living over the last 30 years in the real estate industry, I am glad to see more transparency in the transaction.

I developed my fee structure of giving sellers options more than 9 years ago.  Since then, I have been able to save sellers several thousand on their side of the transaction.  Because of the current compensation model, my hands have been tied to save money on the buyer’s side, this should go a long way to correct that. 

Thank you for your friendship and your referrals.

Dennis Rath

Education · Real Estate Sales · Sellers · Selling a home

Unlock the Power to Sell Your Home After a Decade.

dennisjrathLeave a comment

You are now entering the world of real estate.

You are now entering the world of real estate. Those who have not dealt with realty for over 10 years will be surprised to find how much it has changed. The technological revolution has changed the world. Home seller workshop to keep you up-to-date on market trends and best practices in today’s real estate sector. Basically, a home seller workshop is important for you. Why? Let’s explore.

Understanding Today’s Real Estate Market

Many changes have occurred in the estate market during the past ten years. The market’s dynamics, the preferences of buyers and pricing strategies and all changed. Understanding these shifts is vital for a sale to occur.

The Impact of Technology on Real Estate

Technology has utterly changed the way property is marketed and sold. It is important to understand how you can use these tools for everything from marketing a home to conducting virtual home tours.

The Significance of Home Seller Workshops

Gaining Valuable Market Insights. Workshops provide a window into what is happening in the marketplace, letting you benefit from knowledge of price and volume trends.

Preparing Your Home to Sell

Present Your Home with Potential Strategies. The first impression truly is crucial; how can we enhance this benefit?.

Repairs and renovations to your home are always essentialWorkshops can put it in terms you will understand better: —

Marketing Your Property The media is also a way to attract potential buyers in addition to traditional methods.

Marketing Properties

Reduce Your Property Listing Costs To Nothing With This Cost-Effective Techniques Advertising Techniques. Learn how to create captivating listings and advertisements that will attract the buyers.

Use Social Media and Online Platforms: Strategies for Real Estate. Marketing Your Property The media is also a way to attract potential buyers in addition to traditional methods.

Do You Want to Be an Effective Social Media Using It’s important to have a presence today. Learn how you can use social media platforms to effectively market your property.

Negotiation Tactics and Sealing the Deal

Closing the Sale: Sell it Right! Obviously these kinds of things take skill—no one is born with them all acquired only hard work. This section looks at the tips and tactics for successful negotiations, and offers some insight into how negotiations are made.

Objections Buyers Raise

Overcoming Objections: Justify Your Price Learn how to address objections, from buyers in order to overcome them successfully.

Agents and Real Estate: What Are Their Roles?

Types of Real Estate Agents: A Guide to Their Functions in Need to understand these complex issues in a simple, straightforward way that gets results!

The Right Agent for You, and Comparing Agents against Selling for Sale by Owner

Look at the pros and cons of selling through an agent, compared with doing it yourself.

The Role of Technology in Home Selling

Use advanced technology, such as virtual tours and video showings, to extend your property’s impact and bring it to a larger public.

Strategies for Online Listings

Let people know your property by introducing special ways of presenting listings.

Avoiding Common Mistakes When Selling

Getting the Price Right in Your Own Home. Pricing your home is very difficult. Find out how to avoid mistakes in pricing.

Timing Your Sale

Knowing when is the best time to list your home is vital for those practicing real estate. Get to know strategies for timing.

The Emotional Aspect of Selling Your Home

Overcoming Sentimental Attachments. Selling a home can be a whole array of stumbling blocks. Learn how to manage and move forward in a positive way.

What life is like after the sale

Learn to or prepare yourself for the changes that will come with the sale of your home and the new chapter in your life.

Overcoming Sales Challenges

There are challenges that present themselves in every sale. Take some examples to see what people have gone through.

Upcoming Real Estate Industry Trends

A ten-year forecast. Take in the lessons of the past decade. Finding out what trends can be projected in estate for years to come today in order to outperform competitors later on.

Adapting to Changing Circumstances

Adaptability is key. Understand how to be flexible and cope with market changes.

In Summary

In summary, if you haven’t sold a property in over a decade you would do well to attend a home sellers workshop. It gives you the knowledge and skills to manage the current market for real estate sales effectively. If you would like to have any questions answered or attend a home seller workshop, please don’t hesitate and contact us.

Frequently Asked Questions

What are the benefits of a home seller’s workshop?

Home sellers can attend a workshop for inspiration and know-how, plus also reap the benefits of networking and specialized expertise. This combination makes for a home selling experience that is more successful (and confidence-building.

Real estate market has been through the ten years of development.

To sum up U.S. real estate market during the last decade, first it grew, then it recessed, and finally it rebounded. It was mainly determined by economics over the past ten years. Large changes have occurred in the market and housing prices have not followed a regular pattern.

What can we learn about some trends in home staging and marketing houses?

When you stage a home, it’s worth a lot more money. Nowadays, there are trends in staging homes such as virtual and luxury.

How important do you think technology is for selling a house today?

The importance of technology has gone up, changing how today’s homes are sold. In terms of property transactions in the age of modern conveniences, technology affects all these elements: virtual open houses, digital marketing strategies for exposure, buyer engagement techniques–it is in this manner that the real estate industry has been revamped.

What financial considerations should be on my mind in selling a house?

In selling a house, there are such matters to weigh as listing price, agent commissions, closing costs, repairs, and potential capital gains tax. And for a really successful sale, this is what you need to know; all these factors are fundamental to getting the most for your money.

The technological revolution has changed the world. Home seller workshop to keep you up-to-date on market trends and best practices in today’s real estate sector. Basically, a home seller workshop is important for you. Why? Let’s explore.

Understanding Today’s Real Estate Market

Many changes have occurred in the estate market during the past ten years. The market’s dynamics, the preferences of buyers and pricing strategies and all changed. Understanding these shifts is vital for a sale to occur.

The Impact of Technology on Real Estate

Technology has utterly changed the way property is marketed and sold. It is important to understand how you can use these tools for everything from marketing a home to conducting virtual home tours.

The Significance of Home Seller Workshops

Gaining Valuable Market Insights. Workshops provide a window into what is happening in the marketplace, letting you benefit from knowledge of price and volume trends.

Preparing Your Home to Sell

Present Your Home with Potential Strategies. The first impression truly is crucial; how can we enhance this benefit?.

Repairs and renovations to your home are always essentialWorkshops can put it in terms you will understand better: —

Marketing Your Property The media is also a way to attract potential buyers in addition to traditional methods.

Marketing Properties

Reduce Your Property Listing Costs To Nothing With This Cost-Effective Techniques Advertising Techniques. Learn how to create captivating listings and advertisements that will attract the buyers.

Use Social Media and Online Platforms: Strategies for Real Estate. Marketing Your Property The media is also a way to attract potential buyers in addition to traditional methods.

Do You Want to Be an Effective Social Media Using It’s important to have a presence today. Learn how you can use social media platforms to effectively market your property.

Negotiation Tactics and Sealing the Deal

Closing the Sale: Sell it Right! Obviously these kinds of things take skill—no one is born with them all acquired only hard work. This section looks at the tips and tactics for successful negotiations, and offers some insight into how negotiations are made.

Objections Buyers Raise

Overcoming Objections: Justify Your Price Learn how to address objections, from buyers in order to overcome them successfully.

Agents and Real Estate: What Are Their Roles?

Types of Real Estate Agents: A Guide to Their Functions in Need to understand these complex issues in a simple, straightforward way that gets results!

The Right Agent for You, and Comparing Agents against Selling for Sale by Owner

Look at the pros and cons of selling through an agent, compared with doing it yourself.

The Role of Technology in Home Selling

Use advanced technology, such as virtual tours and video showings, to extend your property’s impact and bring it to a larger public.

Strategies for Online Listings

Let people know your property by introducing special ways of presenting listings.

Avoiding Common Mistakes When Selling

Getting the Price Right in Your Own Home. Pricing your home is very difficult. Find out how to avoid mistakes in pricing.

Timing Your Sale

Knowing when is the best time to list your home is vital for those practicing real estate. Get to know strategies for timing.

The Emotional Aspect of Selling Your Home

Overcoming Sentimental Attachments. Selling a home can be a whole array of stumbling blocks. Learn how to manage and move forward in a positive way.

What life is like after the sale

Learn to or prepare yourself for the changes that will come with the sale of your home and the new chapter in your life.

Overcoming Sales Challenges

There are challenges that present themselves in every sale. Take some examples to see what people have gone through.

Upcoming Real Estate Industry Trends

A ten-year forecast. Take in the lessons of the past decade. Finding out what trends can be projected in estate for years to come today in order to outperform competitors later on.

Adapting to Changing Circumstances

Adaptability is key. Understand how to be flexible and cope with market changes.

In Summary

In summary, if you haven’t sold a property in over a decade you would do well to attend a home sellers workshop. It gives you the knowledge and skills to manage the current market for real estate sales effectively. If you would like to have any questions answered or attend a home seller workshop, please don’t hesitate and contact us.

Frequently Asked Questions

What are the benefits of a home seller’s workshop?

Home sellers can attend a workshop for inspiration and know-how, plus also reap the benefits of networking and specialized expertise. This combination makes for a home selling experience that is more successful (and confidence-building).

Real estate market has been through the ten years of development.

To sum up U.S. real estate market during the last decade, first it grew, then it recessed, and finally it rebounded. It was mainly determined by economics over the past ten years. Large changes have occurred in market and housing prices have not followed a regular pattern.

What can we learn about some trends in home staging and marketing houses?

When you stage a home, it’s worth a lot more money. Nowadays, there are trends in staging homes such as virtual and luxury.

How important do you think technology is for selling a house today?

The importance of technology has gone up, changing how today’s homes are sold. In terms of property transactions in the age of modern conveniences, technology affects all these elements: virtual open houses, digital marketing strategies for exposure, buyer engagement techniques–it is in this manner that the real estate industry has been revamped.

What financial considerations should be on my mind in selling a house?

In selling a house, there are such matters to weigh as listing price, agent commissions, closing costs, repairs, and potential capital gains tax. And for a really successful sale, this is what you need to know; all these factors are fundamental to getting the most for your money.