How Realtors are compensated
The typical Realtor works 40 hours per week and has been in the business for seven years.
Then there is the other group: I received a call this morning from a Realtor, wanting to know if she could send her client to one of my listings. I asked her if she was planning on showing it to her client. “No, I’m busy today”. I reminded her that the seller was willing to compensate the Realtor who sold her home and that if she wanted to be paid as the buyer’s agent, she would need to show the home to her client. I then asked her if she would mind showing the home to her client when “she wasn’t busy”. “Uh, okay”, she told me. Who isn’t busy this time of year????
Sunday, the day before George’s birthday, 9 days before Christmas: Lots left to do: finish up online Christmas shopping, review and prepare my escrow for closing on 12/22, business holiday cards to get out, new price reduction on one of my listings (need to call each agent who has inquired about this house) and more bills to pay. And my girlfriend from Rome just arrived in town!
I am curious as to why a buyer would work with an agent who is too “busy” to "do what Realtors do". How long does it take to show one home? It shouldn’t take more than 15-30 minutes + travel time. And unfortunately some showings are over in 5 minutes.
Real Estate agents are paid a commission at closing. We are unpaid until we close escrow. I really don’t know what is more basic in our job description than “showing property”. I personally have a buyer’s agent, Natalie. Natalie is paid salary and commission. When I am “busy” she can show properties to my clients. Natalie also covers for me when I am on vacation. Other Realtors may not have full time help, when they go out of town they typically make an arrangement with another agent to handle their clientèle during their absence. They may compensate the other agent or perhaps the agents reciprocate during each other’s vacations. Real estate is a business and business arrangements should be made when a Realtor is not available.
So, why do I receive phone calls, such as: “My agent is out of town, can you show this property to me”? A buyer can simply pick up the telephone and contact ANY real estate office to look at property, so why would a buyer choose to work with an agent who goes out of town and leaves them in the lurch? I am “happy” to show my listings to other agent’s clients; however, I first ask the buyer “If you like the house, do you have to wait for your agent to return in order to write the offer”. When the answer is yes, I ask them: why not wait for their agent to show them the house? My job is to move my inventory, if I am not moving it, why should I work for their Realtor?
Another interesting aspect of real estate is that weekends are “Prime Time”. Often our weekends are booked by Wednesday. So by Wednesday/Thursday my weekends are typically scheduled with showings and my own (personal commitments). Contract negotiations “happen” there is no scheduling for that. So when a home buyer wakes up on a Sunday morning and decides to look at homes; which agent do you think is available? The experienced agent? Or the new agent? Or the agent that works all week on another job?
Okay, so now I am off to show ONE house and I just might be done!







I loved to read this article and learn what you are doing. It explains how realtors are paid and why they should have someone who is capable to take care of their business when they are unavailable.
Keep up the good work.
joyce
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