We saw an example yesterday of a seller who didn’t have a problem finding a cash buyer who was willing to pay 10% below their original list price.
For the homeowners who are fascinated by the idea of selling quick and easy and might take a discount for such a convenience, I can now offer an ibuyer option as well as my retail estimate of value.
The ibuyer quote is from an independent third-party, not from me or Compass, and frankly, I think you should sell using my traditional method because I think you’ll come out ahead in the end. But if you can’t wait, I’ll set you up with an ibuyer who can cash you out right away.
I’m not crazy about the idea, but I think it is inevitable that every realtor will have to offer every option as part of their fiduciary duty to the seller.
I still think it is a conflict of interest for the agent to offer to sell the property traditionally AND make an offer to purchase with their own money.
“I still think it is a conflict of interest for the agent to offer to sell the property traditionally AND make an offer to purchase with their own money.”
Yes it is. I get between 5 and 15 solicitations every day to sell to the equity thieves. Not just yellow postcards and fake hand written letters. Texts and phone calls all day every day. Some of them are from licensed agents with their company name on the letterhead but showing them operating as something else in the letter. Phoenix is a very hot market and you can make good money on a flip if you can steal the property.
The various incarnations of NAR are too weak to call this a violation of fiduciary duty. That alone should spell the end of NAR.
Broker/buyer is a conflict no doubt. Technically by merely declaring the conflict there is legal coverage but not ethical coverage. The nearest analogue that comes to mind is a boss taking advantage of a subordinate. If the industry is not very careful the backlash could end up with the County Recorder’s Office taking over the whole thing with a whiteboard open outcry system.