I think this is a really naive idea, I think you're seriously underestimating the level of complexity in a real estate transaction. You're dealing with what is for many people is the most impactful and expensive purchase of their life. In that transaction, they have imperfect, limited knowledge of the market and acquisition process. Further, there are varying levels of dishonest actors within the process - with an extreme range of dishonesty present. Top that off with the fact that you're actually negotiating with imperfect information as well... :exploding_head: Having an actual expert present who can enable you to be successful is extremely empowering and much more likely to result in a positive outcome.
Now, all that being said, it's obvious there's a deficit of actual SME's who are extremely helpful in the process. I've purchased two homes... one with an agent who I feel would fit right in with the culture of the used car salesman stereotype and another who actually was that SME. She knew the market inside and out, knew what to look for in the neighborhoods, and found the problems in each house we looked at. She had connections that got us through a weird mortgage issue (multiunit home converted into one with... sloppy paperwork), helped with specialized inspections (radon issues), and provided great advice when dealing with a cantankerous negotiator. I certainly didn't find my money wasted there and actively recommend her for anyone in the NW Columbus, OH area. There's a lot that could be done to improve the situation - higher requirements for education and qualification of realtors, prohibiting companies from being the buyers and sellers agents, etc. There's a lot to automate as well. But when there's serious complexity and life changing quantities of dollars floating around, an expert should be strongly valued.
These are all edge case, for more complicated cases you could still hire an agent. Think of it like the current tax situation in the US. 90% of people use turbo tax and H&R Block, but the rest have to hire an accountant.
If I know how much houses go for in my neighborhood, and know what I want, I should be make an offer on a house without an agent. If you are getting a mortgage it is going to have to be appraised anyway, so no one is going to get terribly screwed over. You could also get an inspection to point any red flags.
The current situation you basically have to have two agents involved which is silly, especially if the buyer and seller can reach an agreement by themselves.
Most also only ever go through a small number of real estate transactions in a lifetime. If itβs your first or second purchase or sale, the agent is worth it. On your third or fourth maybe not β but how many buy more than two or three properties in a lifetime?
Now, all that being said, it's obvious there's a deficit of actual SME's who are extremely helpful in the process. I've purchased two homes... one with an agent who I feel would fit right in with the culture of the used car salesman stereotype and another who actually was that SME. She knew the market inside and out, knew what to look for in the neighborhoods, and found the problems in each house we looked at. She had connections that got us through a weird mortgage issue (multiunit home converted into one with... sloppy paperwork), helped with specialized inspections (radon issues), and provided great advice when dealing with a cantankerous negotiator. I certainly didn't find my money wasted there and actively recommend her for anyone in the NW Columbus, OH area. There's a lot that could be done to improve the situation - higher requirements for education and qualification of realtors, prohibiting companies from being the buyers and sellers agents, etc. There's a lot to automate as well. But when there's serious complexity and life changing quantities of dollars floating around, an expert should be strongly valued.