Real estate professionals don't just have houses to sell, they have services to sell as well. They have expertise and experience in the form of information. If someone isn't sure they want to buy and/or sell and they need the advice of a qualified real estate professional, why shouldn't they pay for the service even if they end up not selling or buying? The problem is that agents give away some of their most valuable things. They give sellers a market analysis and tell them how to sell - all for free. They drive buyers around for weeks giving them valuable information and analysis of homes - all for free. Then the agent shows up at the closing and expects the seller to pay for buyer agent and seller agent services without even an itemized bill or statement accounting for their time and services. Sellers and buyers feel fees are too high because they don't get the whole picture, and, after all, the agent told them the things they did for them are "free"! Switching from commission to fees requires changes many are not willing to make. Agents fear they will make less money if they charge by the hour or by the service. The independent contractor model will have to go. Agents will need to learn to be more productive - sell more for less. Brokers will have to learn new skills in hiring, firing, and keeping employees. Managers will have to work at making every agent productive instead of catering to the "super stars". This all seems scary, but what is the alternative? The real estate business has one of the highest turnover rates of any profession. Doesn't that say something? I object to the Millie's statement: "up until now the only choices available were to pay a full commission, or go it totally alone against the odds, or try one of these discount brokers that have been popping up only to find out, (when their house doesn't sell), that they got discount service!" This view is part of the problem. Our country became great because of entrepreneurs who found better ways to do things cheaper, faster, or with better service. Some discount real estate companies do a better job than so called traditional companies. Charging higher fees does not guarantee better service. There are plenty of unhappy buyers and sellers in "traditional" real estate services. Federal law says that all real estate commissions are negotiable. Doesn't that mean there can be no "discount" real estate companies. Aren't we all suppose to be charging fees related to our costs of doing business? To say "discount" is to imply there are set fees that some are discounting from. Real estate companies must charge expensive fees when they rely on highly motivated sellers to subsidize low motivated sellers and buyers because their fees have to cover houses that don't sell and buyers who don't buy. Discount companies that unbundle services, eliminate waste, and find ways to do things better can give better service at less cost.

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