Arguments Against Real Estate Agents

The real estate industry is thriving with approximately sixty-eight percent of all Americans being homeowners. With low interest rates, 1st time home buyer down payment assistance programs, and government funded educational opportunities (i.e. the Home Ownership Center of Greater Cincinnati), the real estate and mortgage lending industries will continue to flourish. However, there are some unethical lending practices that are threatening the housing industry as a whole.

The problem is lack of awareness in the marketplace. Lazy Listers continue to exist because homeowners have not been given the questions to ask of, or shown what to look for in, a listing agent. As a result, there is a lower bar of expectation that listing agents have to reach and they get away with putting in less effort than is needed to sell your home for the highest price possible.

(Phoenix, Arizona) Realtor.com recently announced the metro Phoenix area would be the top United States housing market in 2017. In addition, they stated they believe home sales will increase by 7.2 percent and home prices by 5.9 percent. Individuals looking to buy or sell a home in the area this year benefit greatly from information of this type, yet many choose the wrong realtor to work with. A number of realtors use a cookie cutter approach for every home they buy or sell, yet this doesn't benefit the homeowner or potential buyer. Thomas Osterman (http://www.ostermanrealestate.com/) understands this and uses a unique approach when it comes to real estate transactions.

This paper will seek to provide an overview of the real estate process and its affects on the real estate agent. An agent needs to be knowledgable about the steps required to make a sale, and the risks involved when the sale does not go as planned. Real estate sales require much of the agent, including sacrifices in their personal lives and in their financial stability. Agents must be teachable and willing to seek to see others succeed. A successful real estate sale consists of many steps, sacrifices to personal time, and an agent’s ability to work well with others while remaining incredibly flexible.

First, real estate agents had unrealistic expectations from the market. Because banks were giving out low interest rates for a certain amount of time, people didn`t foresee the consequences of taking out loans which are not affordable at first. Since people were not knowledgeable about the financial market, they bluntly believed in the real estate agents and such.

Possibly one of the best actions on the buyers’ part was their decision to hire a real estate agent to assist them in their home purchase. Agents generally have more experience and know all the right forms and such needed to complete a purchase, which was especially important for these first time home buyers. The only interactions between the buyers and seller were through their respective agents. Because each party had an agent, the legality of Marsha and the sellers’ agent’s contract is stressed. Assuming that the seller granted her agent permission to accept offers on her behalf, the agent violated

Real estate agents draft the agreement of purchase and sale and make sure everything is up to par for closing. They receive commissions from the seller. Their fraud usually concerns falsifying the value of the property.

There should be a new law to protect the home buyers interests. As in the

To fully rectify this issue, we must root out the cause and begin the rehabilitation of its very foundations, foundations being the operative word. The foundations are basically every participant in the world of mortgage and real estate, but the most prominent characters are appraisers, realtors, banks and surprisingly homeowners. This scenario was the product of a greedy, corruption filled industry sponsoring a trickle down effect. Greed and corruption play obvious key roles in this particular transpiration. They are counterparts for all parties involved. For example, homeowners know that wealth equals power, as professed by the materialistic culture created by ourselves. In order to (please pardon the colloquialism) “keep up with the Joneses,” one “must” have a big house, a big car and so on and so forth. However, big houses cost big money, which a lot of people don’t have. So prospective homeowners tend to lie on loan applications, in order to live beyond their means, and purchase homes that are far too expensive for their actual financial situation. Appraisers and realtors had a hand in determining the price of these homes, often doing so in an unorthodox fashion. Appraisers used false advertisement or rather false estimation in calculating the value of these homes, resulting in gross inaccuracies. Realtors upheld their friends by listing these homes at their

Buying or selling a house or an apartment is one of the biggest decisions of a person’s life. And when selling or establishing a price for real estate, people seek out real estate agents to do the dirty work. A real estate agent has to convince a prospective homeowner that he or she is trustworthy and knowledgeable. In many ways, the agent acts as a counselor to individuals and families about to embark on a huge commitment. Real estate agents have a thorough knowledge or real estate market in their community. They

The Truth In Lending Act was established 30 years ago, and governed mortgage loan disclosure procedures. New rules regarding procedures set forth by the Truth In Lending Act (TILA) and Real Estate Settlement Procedures Act (RESPA) went into effect on October 3, 2015. The rules combine provisions previously set forth by both acts, and combine rules regarding mortgage disclosures. The new guidelines are published in a document that encompasses nearly 2,000 pages and affects every agency that deals with mortgage loans, from banks and brokers, to real estate agents and borrowers. Many real estate agents do not have time to sift through this cumbersome document, but it is important to know what has been updated in the amendments. Real estate agents should be aware of a few key changes in order to help

“Real estate is a year-round opportunity to help countless people realize the American dream” (“Why Real Estate”, 2012). Eighty-five percent of buyers believe that home purchases are good financial investments, and a majority of homebuyers and sellers rely on the services and expertise of real estate professionals to assist them with their transactions (Profile of Home Buyers and Sellers, 2010). “The primary job description for an agent is communicating with potential clients to determine what kind of property they are looking for” (Richard, 2012). This means, setting up interviews with clients to see if the agents firm possesses property that meets the client’s specific needs. Once it is apparent exactly what the client is looking for, the agent sets appointments to show houses to clients and many times the agent physically accompanies couples while showing off properties.

Many kids and young adults today are the targets of this online media take over. Through the use of the web and the smartphone most of the things we once needed will be no longer necessary due to the advancements in technology. The web and the Internet consist of everything from Google to social media and everything in between. Most of the articles about the media portrayal of the real estate process on the web are complaints from companies. The reason for this is because like TV shows the web is as capable of falsely portraying the process. For example if the media over-exaggerates the realtors commission numbers, then everyone will believe that they make a certain number, causing an increase in realtors in a certain location. The media causes a domino effect. If it shows on a TV show that realtors and developers make absurd numbers, then it causes an increase in people in a certain area, which then causes the market to fluctuate. One of the quotes given in the article is from an interview with Masaru Miyao; the general manger of the international department for the Mitsui Real Estate Development Companies. In Japan, he is one of the most popular men in real estate. "He told attendees at a seminar on world property markets that he gets more than 500 proposals a day from developers around the world seeking joint venture partnerships or financing for new projects. When asked how

The authors used all constructs of the theory through pre- and post-survey questionnaires for subjects studied that went through the training course. Through the pre-survey they were able to determine what realtors prior perceptions on lead and whether or not they understood its implications and any of the background information relating to lead prior to taking the course. After completion of the course, in six months, they were followed up with surveys and phone calls to determine how effective the course was. The realtors enrolled in the study were volunteers and were provided with a $200 financial incentive. The behavior researchers sought was to see if the realtors put into action what they learned and whether or not they were able to inform potential clients about the homes they were selling. An increase in realtor awareness is seen through the feedback they provided therefore it reveals to have sustained a continuous behavioral change in the thought process of selling a home to potential buyers. The authors did not clearly define the theories they used. Instead they stated using quantitative and qualitative measures and also described their methodology in detail.

The writer has addressed an important role played by the Fed in ensuring the implementation and enforcement of the Truth in Lending and Regulation Z. I support the point that protecting the public from misinformation and misleading information is the first step in regulating extortive real estate transactions. This is a practical approach which will control the operations of real estate agencies and institutions whereby they will be required to give the public all and true information about lending and selling as well as the effects of the future projections on home and property (Retsinas, & Belsky, 2005). Question: It