Surely THIS is a sign that the bubble is about to finally burst!!

Until recently British Columbia’s longstanding advertising slogan was “The Best Place on Earth”. One would think such pompous conceit must be well-substantiated. Indeed there is a list of very good reasons for such extreme arrogance…
Move over ‘Chuck Norris facts’, here come ‘Vancouver facts’!

Vancouver fact #20:
In Vancouver you can ski, surf, swim, and spend eight hours in the Emergency Room waiting to see a doctor to treat your hypothermia — all in the same day!

Vancouver fact #56:
Vancouver’s property salepeople’s tears can cure cancer. Its a shame that none of them will ever have reason to cry, since Vancouver home prices are only ever going to go up.

Vancouver fact #106
Vancouver could shrink its abundance of rainy days if it *really* wanted to. But Vancouver chooses to allow so much crummy weather every year because it is being ironically hip.

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Commissions are set at time of sale by reduced bid-ask spread. Realtors won’t tell you that, and apparently an academic won’t either.

Almost June…Surrey SFD prices rocketing higher and higher. Check MLS if u don’t believe it. Wishful believing they are lower is fantasy.

“No one would eat at a restaurant that paid the chef and wait staff a percentage of the value they convinced you to eat.”

That is exactly how the tip is calculated.

You act like commission are unique to real estate. They aren’t. Get your head out of your ass

Chilled, if a $100k property spends 300 days on the market what do you think a fair commission based on an hourly rate would be?

Vdtf that’s a conundrum every homeowner and investor faces. Who’s worth the commish?

Chilled: “No one would deal with an auto mechanic who is paid solely on what he can sell you. No one would eat at a restaurant that paid the chef and wait staff a percentage of the value they convinced you to eat.”

Everyone is in sales who deals with a customer and is compensated in some way by selling the customer something. Many auto mechanics are paid a commission or flat rate on what work is done. Ever been through the high pressure sales pitch during an oil change at Mr. Lube? They get a commision to sell you the engine flush or transmission fluid change. In restaurants tips are calculated off of the total bill so the wait staff are getting a 15% commision on what they sell you. You don’t get out much do you?

Exactly why i’ve never been back to Mr Lube. Of course at the last discount place i went to for an oil change told me i desperately needed brake pads which was a total lie.

Anyone read the Freakonomics study on realtors? I think that tells you what you need to know about the realtor incentivization. All they really want to do is sell your house as quickly as possible. Or get you to buy the biggest thing you can afford as quickly as possible. There is very little reason for them to get you the best price.

Anon # 6
MLS does not show the sold price.

“There is very little reason for them to get you the best price”

And this is a surprise?

Many if not most Realtors work off referrals, so there is some incentive not to screw over the client, at least in theory.

The biggest scam I see is the careful marketing around affordability and convincing the public of the supposed status quo, which is more house, rising prices, and property ladder mythos. Break those “truths” and it’s a long way down.

Anonymous #11, I guess it was more of a rhetorical question. I imagine people are quite happy to pay a commission if the agent puts in a lot of hours. If they put in only a small amount of time they’re not happy, and would have rather paid an hourly rate.

Frankly, if I were selling a place I’d prefer that a deal is done with as little work from the realtor as possible. i.e. a quick sale is the result. After all, I would have agreed the commission terms up-front (and they are negotiable, as I understand it).

I guess there’s the myth that all realtors own German luxury cars.
I was at two open houses this weekend, and the realtor’s cars parked outside were a Toyota and a Volkswagen.
Both houses were in the 1.5 mill range.
BTW, very little action at both open houses.
My guess is that right now being a RE agent must be very tough.

Saw this open house yesterday:

1988 WESTERN Parkway, University, Vancouver West, $3,990,000.00

Commission listed here:

3.25% for the first $100,000, 1.625% of balance and $10,000 bonus.

The house is very old, so mainly the land value (assessed around 4 million). I think the owner/realtor is waiting for a developer (?).

“Vancouver fact #106
Vancouver could shrink its abundance of rainy days if it *really* wanted to. But Vancouver chooses to allow so much crummy weather every year because it is being ironically hip.”

Well, it is a ‘dry rain’ after all.

Vancouver fact #106
Also called “liquid sunshine”.

“That is exactly how the tip is calculated.”

Of course, tips are optional, but don’t let that skew your moot point.

“Chilled, if a $100k property spends 300 days on the market what do you think a fair commission based on an hourly rate would be?”

Given the amount of Realturd work is the same if a home is listed for 3 minutes, 3 hours, or 3 years, what do you think the rate should be? I vote for 3 minutes.