Comment by aggieben | Hacker News Reader

Comment by aggieben | Hacker News Reader

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There will never be a deal. NAR's prosperity absolutely depends on their exclusive control of market access. Professional licensing is the single reason why this market sucks donkey balls.

This is also why I would heartily support a total deregulation of real-estate-related professional licensing. It simply isn't that complex a task, and it doesn't really require much training to be competent at most transactions - and particularly the one kind of transaction you want to do. Anyone and everyone should be legally allowed to represent someone in selling or buying real estate.

In that world, the NAR continues to exist as a sort of "credibility certification", which I would fully support. But they shouldn't get to use the government to keep competitors out.

While I'm usually against certification, I don't think one weeks worth of studying and a $300 fee is a huge barrier to entry to be able to oversee a $300,000 transactions and have unrestricted access to 70% of houses on the market.

I don't think the market would change much if this barrier was removed. The median realtor is only $38,000 a year.

$300 fee? No, my friend. If you buy something on MLS, you pay at least half of a 6% commission on that $300k, for a cool $18,000 (if you have an easygoing seller, that is) How's that for a barrier to entry?

And yah - the market would revolutionize overnight* because without professional licensing suddenly MLS becomes just one of many sources of data - and judging by the technology of MLS, a quickly irrelevant one.

* - I exaggerate: it would take at least a fortnight.

He's referring to the cost to become licensed as a professional Realtor, at which point you can sell your own home.

You can sell your own home without a license. He was referring to the "cost of entering the MLS market" (my paraphrase) being a mere $300 (for having an agent list the sale). My point is that's not true because any actual sale costs an additional 6% of the transaction.

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