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Don't Panic, Prepare! Real Estate Tactics Amidst NAR Lawsuit Turmoil! · The Real Estate Agent Playbook

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Think the NAR lawsuit regarding Buyer Agent Commission spells
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doomsday for your real estate career?
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Buckle up because it's not doomsday.
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It's game day.
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Let's go.
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What's up guys, Jeremy Cain, the real estate agent playbook here,
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bringing you one of the most important videos that I've ever recorded.
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Just coming to you as a fellow real estate agent who's in the fight with
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you and want to discuss this, give my ideas around what I'm going to
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do with my business, and dive in.
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If you like what you hear at any time, throw me a thumbs up.
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I'd love to have you back.
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As this kind of unfolds and our careers may be affected or may
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not be depending on how it goes.
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But let's really come together as a community here.
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I'd love the engagement.
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Throw me some comments and let's talk about this.
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And if you're doing something that I'm not mentioning that you
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want to share with the community.
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Let's go, right?
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We want to share.
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We want to make sure that we are doing everything we can to not only advance
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ourselves and our careers, but the real estate agent community as a whole.
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So let's roll.
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So obviously there's been all kinds of things said in the media and
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everything that's been going on this week since last week or two weeks ago.
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Decision came down.
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Obviously, we've had additional lawsuits filed and now There's
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all kinds of ideas out there.
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The biggest one I've heard is that buyer's agents will go away.
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There's no way for them ever to be legally paid again and they're just going to
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vanish all the way to, well, this decision means that we went from a required minimum
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of 1 of a buyer co op to be listed in the MLS to a required minimum of 0.
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So obviously there's a lot of that.
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I would imagine them.
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The impact will fall somewhere between those two things, but as we kind
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of break this down, understand that everyone's opinions are out there.
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There will be years and years of appeals, and hopefully we come to some
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sort of solution without bankrupting all of our, you know, boards and
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all of our companies and brokerages, but we'll see how that plays out.
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At the end of the day, us as real estate agents and realtors have
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made an oath to our community to serve them, serve the consumer.
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So that's what I'm going to do, regardless of if, you know, that oath is no longer
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available within the National Association of Realtors or whatever happens there.
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But my job is to serve the community, serve my clients, and since I'm
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in this space I'm going to serve the agent community as well.
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So, that's, that's kind of the next phase of where I'm going with this.
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So first things first, avoid panic.
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Understand that in the 90s...
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We went from real estate agents holding all the keys, holding the
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book of all the listings that got delivered to the office on Monday.
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And if there was five houses listed in Lockwood or Broadmoor
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or a certain neighborhood, the agent was the only one that knew.
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All of a sudden we had the internet and DOS and all the things.
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MLS got put on computers.
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And then the internet.
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And then we have all of these sites where now the consumer can access.
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So understand that at that point, real estate agents felt like,
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Oh, I lost all the secrets.
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I don't hold the secrets anymore.
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I'm worthless.
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Or did they actually go out there, adapt, use the internet as a tool,
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and absolutely explode their business.
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And so I think that's an important point in our Industry's history to
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really consider and look back on we will adapt things will get better
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in the end Did the internet make the real estate agent industry better?
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I would say yes So in the end this Commission and maybe finally having
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answers of who should pay this buyers agent Commission will come to fruition
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Probably not in the immediacy But as for now, that's, you know, kind
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of the mindset I'm going to have.
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So don't panic, don't freak out, don't shift your entire business
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to listings because I know you were already trying to do that anyways.
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And so if, you know, if you completely take the focus off the buyers and all of
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the stuff and marketing and things you've built because you don't think buyers
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agents will ever get paid a commission again by anyone else besides the buyer
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who doesn't have money, that is a panic move and it's probably not the right one.
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So what can you do?
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First and foremost, we need to prepare and that starts with
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our education and our skillset.
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So as an agent, we need to be dialing in our skill sets and talking to the client.
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No matter what state you're in, no matter what anything is, you are still
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under the Sherman Antitrust Act that all commissions are 100 percent negotiable.
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There's no minimum.
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There's no maximum.
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So the better you are at that skill and talking and proposing your value,
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which we'll talk about in a second, you, the more you can get paid.
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The beauty about this real estate industry is there is no
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ceiling and there is no floor.
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You as an agent, as an independent contractor, have the ability to go out and
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absolutely crush it or absolutely suck.
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So, dial in your education, your scripts, what you're saying.
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And scripts is kinda, I hate that word because it's like, Oh, this
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is a script and I'm gonna trick.
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No, just understand the contracts.
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Just understand how to have that conversation.
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Right?
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As of right now, we have a commission structure that is 100 percent negotiable.
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As it was 10 years ago, as it was the day before the lawsuit, the day of
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the lawsuit, and every day since, and every day into the future until they
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take down the Anti Sherman Trust Act.
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Which I don't think is happening anytime soon.
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So if we have a negotiation opportunity, just as we talk to our clients about
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the negotiation opportunity involved with an inspection and appraisal and,
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you know, going under contract, it is a negotiation opportunity at the front end.
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Now, what's going to be interesting is if we're signing a buyer's agency
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with our client, we have to have a conversation and say, look, there will be.
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All kinds of options, you know, offered due to this lawsuit.
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The commission offered to a buyer could be zero, it could be 5%, it could be anything
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in between, or anything over 5 percent because they're 100 percent negotiable.
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This is what my value is, ABCD.
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We'll talk about that again, like I said, but this is what
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I charge for those services.
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Okay, there's nothing that says we cannot charge what we want to charge.
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We just have to understand that the listing agent can no longer require
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the seller to pay one dollar or a million dollars or any set number.
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So, we have to have that conversation with the buyers and say, look,
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we're gonna, this is, My process.
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Okay.
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This is how much I pay for my services.
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If you find a home that pays less than this, great.
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If you find a home that pays more than this, great.
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We will work it out then or make sure you have that dialed out.
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So that everyone's in agreement, so that they feel that they're getting
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it done, and we move forward.
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And so, having that conversation early on.
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Now let's flip the script on the seller's side.
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Hey Mr.
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Seller, you have the opportunity to pay a buyer's agent a co
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op for coming to the deal.
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And we don't need to break it down if the brokerage is paying, or
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the listing brokerage, whatever.
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Our side of the transaction has the option to, in addition to what you...
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Pay me or a portion of what you pay me can be offered as a co op fee to bring a
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buyer's agent to the ship, to the deal.
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What's that mean?
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Well, buyer's agents have access to buyers.
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We need buyers in order to sell your home for the most possible dollar, right?
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If we have one offer, your home's going to sell for less than if we have 10.
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If there's 10 agents out there that have a buyer that fits your needs,
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come to the table with an offer.
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Then, great.
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Do we want to offer a commission?
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There may be more agents out there, or more contracts or offers
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out there if we offer a co op.
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If not, that's okay.
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What do you want to do?
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100 percent negotiable.
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Boom, put it out there and go.
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This does not mean that you don't, you have to charge anything different than
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you charge for your services on that side.
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So it just needs to be the conversation.
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It just needs to happen.
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And once we have that and the boring stuff and the conversations out of the
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way, then we can move forward with, you know, what we're going to do here.
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It just has to be more transparent than most of us have been.
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Okay.
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I will tell you that Colorado's contracts are very well laid out.
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And so these conversations have happened, you know, across the board with all
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of my clients for my entire career.
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They've always had these things really laid out.
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I understand that other places are not like that and I also understand
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agents sometimes don't, you know, go through the entire contract.
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If it was me, I would go through those contracts and especially Those key
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clauses, not only about commission, the key clauses about disclosures,
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the clauses about everything.
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So it all comes back to your education around your craft as a real estate
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agent and a realtor in our industry.
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So now we need to adapt.
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We need to build a value stack.
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We need to get very good and clean about telling exactly what we do, right?
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And when does that start?
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When does our value start?
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Okay.
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And, you know, I was asked a question today in a, you know, at a conference,
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it said, you know, how much, how many hours do you put into a buyer agency or
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a buyer, you know, from start to finish?
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Well, if you're talking about how long I've been talking to buyers
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and educating buyers and doing all the things through YouTube, through
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whatever, it's a lot longer than, you know, Hey, I want to buy a house.
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Now what now what now what so we have to understand, you know what that hourly
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wage is when it starts I would start it as soon as that first lead comes in.
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Where's that value boom start demonstrating your value, but
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understand what it is Here mr I have access to, you know, a great network.
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Here's some great lenders.
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Here's some great credit repair people.
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Here's a great financial advisor, wherever that value starts.
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And you start that conversation, you start connecting them with professionals.
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They're going to help them get to their end goal.
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Well, that's where your job has started as a real estate
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agent, because here's the deal.
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If I'm connecting them with the lender, local lender, who I know, like, and
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trust, who absolutely crushes it, and I know will get them to the table in the
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quickest time possible, depending on their timeline, versus, hey, I clicked on
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a couple buttons and I have this lender.
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And here you go, they say I'm approved for 2, 000, 000 and I don't
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even have to show them anything.
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Well, you know at the end of the day, that's probably going to cost them a
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lot of money no matter what, right?
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So, because there's fees and hidden things and all the things with these
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less reputable people that are out there, you know, doing, you know, clickbait
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kind of ads and things like that.
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So, connecting them with the right people, okay?
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If it's on the seller side, when does that start?
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Hey.
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Your furnace is old.
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Here's an HVAC guy.
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Wherever that value starts, start documenting what that looks like
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and the value you bring so that when you start to have that conversation
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about your commission and how you get paid, you can say, this is what I do.
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I do 1 through 100.
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Okay?
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And, you know, we don't need that generic list out there
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of all the things that you do.
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Make it yourself, make it specific, make it personal to you, and
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really dial in that value stack.
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Also, what happens after the transaction, okay?
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Especially on the buyer's side, they now have this asset, right?
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If you've watched my videos, you know what I believe in annual
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reviews and how I do them.
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But, I get paid at the closing table, right?
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And I don't get paid again until they transact again.
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but I'm providing value throughout their entire time.
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I'm doing little, you know, items of value, little gifts,
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little leaf baths bags here.
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And you know, some de icer here for buffini people or whatever it is, but.
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Think about all that value and think about as it pertains to them, how is
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it, how does it pertain to them and their asset that they're purchasing?
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Because if we can really dial in that value stack, do all the things,
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have all the hard conversations, but if we can just lay it out there
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and say, this is what it's like to work with me, this is what it costs.
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If you know you want to do something else, that's great, right?
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Go do that just on the listing side Hey, this is what I charge to list
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your house because I do XYZ drone footage videos open houses Whatever
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you're gonna do to mark that property listed in magazines, whatever it is.
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This is what I charge.
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Do you want it?
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No, you want to go with another brokerage?
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It's only gonna charge you a flat fee or something great.
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That's fine That's your prerogative But this is my professional services
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and this is what I charge for it And this is how, how this works.
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And so if you have that value stack and it's dialed in, especially right now,
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as the interest rates are high and the market's down, now's the time to dial it
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in, have the beautiful marketing, have everything that demonstrates that value.
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So you can use less words when having the conversation, show them the value.
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Right?
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At the Wolfpack, we are huge on showing the value that we provide the
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agents that join us versus a lot of other Organizations and brokerages
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that just tell you what they do, but it never comes to fruition.
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Look, this is what we do.
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This is our culture, etc.
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So we're dialing in that value stack.
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We're making that the way it goes.
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And then, it's all about communicating it, right?
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How are you gonna communicate it?
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Make sure that you're showing up.
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Make sure that your value isn't just something that
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you put on a piece of paper.
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You gotta demonstrate it as we go.
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And you absolutely take your career to the next level in a time
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where everyone else is scared.
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Everyone else is freaking out.
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As myself, I'm like, okay, let's see if we can...
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We can make this really blow up, right?
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Let's see if I can take my value to buyers.
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I'm not abandoning them.
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I don't think that the buyer's agency will go away.
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If it goes away, it might just be for a little bit until something
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serious happens, but I'm going to help those buyers get into homes.
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Period.
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End of story.
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That's my job.
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Compensation may be different, but that's what I'm going to do.
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And so I'm going to work with them.
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I'm going to help them.
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That's what I do.
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My mission is help people build wealth through real estate, so that's
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what I'm going to show up and do.
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So, everybody else can run to the listing side.
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I hate to tell you this, but since I got in the industry,
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it's been list or die, right?
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And now everyone's like, oh, we just need to go get listings.
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And we'll be fine.
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Let me tell you something.
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People have been trying to get listing leads for a long, long time, and not
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even the major real estate marketing companies are very good at it.
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So what makes you think that, Oh, buyer's agent commission's going away.
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I'm just going to go get all the listings.
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That's what we've said in this industry since day one.
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So before you run away and abandon all the buyers, P.
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S.
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those buyers will eventually become sellers if you provide the right value.
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So that's maybe something that could adjust in your, you know, charges to
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them, especially if they are required to pay them, you know, once you get
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to the house and the seller isn't offering a co op commission and so on.
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But think about that as a longevity of the relationship.
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Think about the, you know, referrals and as you build your business,
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this is something to think about.
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Your book of business could be worth a lot more right now, depending on
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how you act right now in this moment.
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So, I hope that helps as far as the value stack, and I think that's what we should
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be doing is building that value stack.
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Getting creative and having those serious conversations.
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So, as this kind of plays out...
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I will definitely update you guys.
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I hope this helped.
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I hope that you understand and you had a moment where you hit that like button
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cause I absolutely appreciate that.
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Please subscribe to my channel, the podcast as well as we do this.
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So if you're on the road and you're like, Oh, Jeremy just dropped a video
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about, you know, his value or marketing or whatever you're looking at that I
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said that you liked, make sure you can catch that, on the audio feed as well.
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Real estate agents.
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We're going to band together as a community.
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We're going to make sure that we are still providing value to the consumer
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and we will adjust and adapt as we did when, when the listing booklets, you
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know, we're no longer our sole possession as the internet came to fruition and
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all the different things during COVID.
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You can't even go into houses until you're under contract.
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We adapted.
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That was temporary.
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This one might be a little bit longer, but it's about adapting and overcoming.
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And if we are panicked and freaked out, we cannot adapt and think through things.
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So if you have any questions, please let me know.
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I'd be happy to help you dial in your.
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Value stack.
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I will be creating a course that helps agents dial in their value stack So if
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you are interested, I'm not sure those details yet subscribe to this channel
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I for sure will be getting those out through my videos through my emails
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as we go if you're interested in the email list definitely opt into that
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below and let's move forward and let's Understand that it's all gonna be okay.
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We'll talk to you soon