ReaListing is about an idea. An idea that the residential real estate industry should function just like every other industry: abundant service providers, competing for business, and driving prices down over time. An industry in which performance is transparent and the interests of the service provider are in alignment with those receiving the service.
But as all home sellers know, the residential real estate industry does not operate like other industries. It is an industry predicated on an out-dated compensation formula, lack of transparency and built on one conflict of interest on top of another.
Even with increases in technology and an oversupply of real estate agents, not only have sales commissions not gone down over time, they have actually increased, at the same rate as home appreciation. (This is due to an inexplicable adherence to the percentage-based sales commission.)
Everyone knows percentage-based compensation is unfair, but nobody has done anything about it…until now. ReaListing’s mission is to use technology and market competition to make the residential real estate industry more fair for both home sellers and real estate agents. At ReaListing we understand that real estate agent commission rates will never come down as long as the agents get to specify their compensation, which is why ReaListing is the only service that encourages the home seller to dictate the commission.
Not only will ReaListing drive down the cost of sales commissions, it will simultaneously makes life better for real estate agents. How do we do that? We start with our core principles:
Real estate agents are highly skilled home service professionals who play a vital role in the intelligent and safe sale of a home.
Like every other home service professional, real estate agents are entitled to fair compensation for their effort, as determined by market competition, not by custom or tradition.
Like every other home service professional, real estate agents should not have to risk working for free, but should receive progress payments for the work they have already done.
Like every other home service professional, real estate agents should be paid by the person receiving their service.
Home owners are educated about the home selling process.
Home owners are realistic and objective about pricing their home.
Home owners take an active role in the sale of their home.
Home owners take full responsibility for the sale of their home.
These core principles will not be adopted quickly. There are rich, powerful forces in the real estate industry that are very happy with the status quo. But there is one thing on our side: every penny earned in the residential real estate industry comes out of the pocket of home sellers. And when home sellers, en mass, decide to change the way they deal with the real estate industry, the industry will change. It will have no other choice.
We see changing home seller’s behavior as our biggest challenge. It is not uncommon for home sellers, feeling overwhelmed when faced with the infrequent task of selling their home, to simply defer the entire process to a real estate agent, not knowing (or caring) that doing so undoubtedly costs them thousands (or tens of thousands or dollars). We take it as our challenge to eliminate the mystery, reduce the fear and show the way to a safe, intelligent and fair processes for selling a home using an experienced real estate agent. We hope, as a home seller, you are open to the possibilities.