Five Ugly Truths about Traditional Real Estate Agents

Five Ugly Truths about Traditional Real Estate Agents

Most people tend to think of real estate agents and car salesmen in the same way– a necessary evil. When you need a new car you work with the sales team, presumably whoever found you first in the parking lot, and when you decide to buy or sell a home you work with a real estate agent. It’s understood in both scenarios that the amount you spend directly affects the commission the sales professional will receive, but it’s the way things have been done for the last century, and if it’s not broke why fix it? Because the commission-based real estate model is broken, and working with a commission-based real estate agent isn’t necessary to buy or sell a home.

1. Traditional real estate agents work with the understanding that there is a standard 6% commission for each sale they successfully close.

It’s a widely accepted norm, but it’s not actually required. You don’t have to pay 6% of the price of your home to someone who might not provide you with incredible service. 6% may not seem like much, but if you sell your home for $300,000, you’re giving away $18,000 of profit that could be going to your next purchase. You can buy a lightly used, high-end car for that, or a brand new one if you stick to basics.

2. You don’t have to work with a traditional, commission-based agent to receive a yard sign, key box, a post on MLS, showings, etc.

Everything you need to buy or sell a home is included in’s flat-fee model. Everything except the big check you have to write to a commission-based agent on closing day.

3. No matter what your home sells for, or how much you pay to purchase it, you should receive the exact same level of service for the exact same price.

Here at, that price is $5,000. That’s the amount it takes to sell most homes, so if you sell your $300,000 home with a licensed Agent, you’ll receive a $13,000 refund.

4. Traditional real estate agents are unable to put service over commission, so they may not have your best interest in mind.

Ever notice that when you tell a salesperson your budget, they show you a lackluster item that’s in your budget, followed by several knockout items that are just outside your budget? That’s a pretty common tactic, and it gives the impression that you need to increase what you’re willing to spend in order to get something good. It also guarantees a bigger paycheck for the sales rep., and limited transparency for you.

5. The biggest reveal about traditional real estate agents is perhaps the simplest: You don’t need one.

Trying something new can be scary, especially when it involves one of the largest purchases of your life, so rest assured that Agents are licensed real estate professionals who have completed all state requirements. There is no difference in the licensing process or the specializations available because a knowledgeable professional is vital to the real estate market– we just allow our agents to put service over commissions by providing a competitive salary instead of a commission-based model.

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