Money For Nothing

Australian house hunters and sellers warned about using real estate agent comparison websites

This link to a recent Domain article will help explain the pitfalls in using vendor advocacy firms to help select an agent. It is particularly targeted at online matching firms but applies equally to any company that markets itself as helping to identify the best agent to help sellers. In reality, most of these companies undertake no due diligence on agents they refer the business to; the basis of selection is whoever will pay them a referral fee of between 20-30% of the sale fee. They are intent on clipping the coupon only, indeed it’s almost along the lines of the great Dire Straights song; Money For Nothing… Huge amounts are spent marketing to the public how they can help consumers but the reality is that, typically, they add absolutely nothing to the advantage of the seller. Often it’s quite the opposite and the agents appointed are the worst option; they accept the business because they are desperate for any business. Always choose the best negotiator to represent you when selling and make sure you interview them yourself before choosing an agent. If it doesn’t “feel” right, trust your instincts.