Will Realtors Become Extinct? 7 Signs Explaining Why They Might

Are Realtors Becoming Obsolete?

It’s no secret that the real estate industry is changing. With the rise of technology, more and more people are buying and selling homes without the help of a traditional realtor. So, will realtors become extinct? Here are seven signs that explain why they might be obsolete in the future.

The internet has made it easier than ever for people to buy and sell homes without the help of a realtor. In fact, according to a recent report from the National Association of Realtors, nearly 90% of home buyers use the internet to search for homes. And, more and more people are completing their transactions without ever meeting with a realtor in person.

The rise of technology has also made it easier for people to find information about homes and neighborhoods without the help of a realtor. Sites like Zillow and Trulia offer detailed information about homes, including prices, square footage, and the number of bedrooms and bathrooms. And, thanks to Google Maps, people can now get a street-level view of any neighborhood in the country.

What’s more, people are now using social media to find homes. Sites like Facebook and Twitter have enabled people to connect with others looking to buy or sell homes in their area.

The traditional role of the realtor is changing, and many people are beginning to question whether or not realtors are still necessary. So, will realtors become extinct? Here are seven signs that explain why they might be obsolete in the future.

7 Signs Realtors May Become Extinct

Sign #1 – The Internet Has Made It Easier Than Ever to Buy and Sell Homes Without a Realtor

The internet has changed how the world lives, interacts, and does business in just a few decades. The real estate industry has not been exempt from this change. In fact, the internet has made it easier than ever for people to buy and sell homes without the help of a traditional realtor.

Sites like Zillow and Trulia offer detailed information about homes, including prices, square footage, and the number of bedrooms and bathrooms. And, thanks to Google Maps, people can now get a street-level view of any neighborhood in the country.

Lending sites like LendingTree have also made it easier for people to compare mortgage rates and find the best loan for their needs.

Sign #2 – Technology Has Made It Easy for People to Find Information About Homes and Neighborhoods

With mobile devices and intuitive apps, prospective homebuyers are armed with incredible search tools that allow them to find detailed information about homes and neighborhoods without the help of a realtor. What was once exclusive information realtors had access to is now readily available to anyone with an internet connection.

The internet provides unparalleled access to information in every sector, and now agencies, brands, and 3rd-party sites are all competing for the homebuyer’s attention. This competition drives innovation and gives consumers more choice, convenience, and value than ever before.

Sign #3 – Social Media Is Playing a Bigger Role in the Home Buying Process

Social media platforms like Facebook and Twitter have made it possible for people to connect with others who are looking to buy or sell homes in their area. This access is a significant change from the traditional role of the realtor as the middleman between buyers and sellers. Social media has introduced a new breed of real estate experts, from influencers to celebrity flippers.

These platforms have also made it easier for people to find homes not listed on the traditional real estate market. For example, someone looking for a fixer-upper can search Facebook groups or Twitter hashtags to find homes that owners are selling.

Sign #4 – More and More People Are Completing Their Transactions Without Ever Meeting With a Realtor

As the internet and technology have made it easier for people to buy and sell homes without the help of a realtor, more and more people are completing their transactions without ever meeting with a realtor in person. This is a profound change from the traditional realtor model as the key figure in home buying and selling.

Online calculators, tools, document scanners, and e-signatures have allowed people to complete their transactions without ever stepping foot in a real estate office. Such access to information and service creates a “fast-food, get-it-now” mentality among consumers that is quickly changing the real estate landscape.

Sign 5 – The Real Estate Industry Is Slow to Change

The real estate industry has been slow to change, which is one of the reasons why it is facing such disruption now. When comparing the real estate industry to other sectors disrupted by technology, it’s clear that the real estate industry is lagging.

For example, the travel industry was disrupted by companies like Expedia and Priceline, which created an online marketplace for airline tickets and hotel rooms. The music industry was changed by iTunes, which made a digital marketplace for songs and albums. And the taxi industry was disrupted by Uber, which created a ridesharing platform that connects drivers with passengers.

In each of these cases, the disrupted industry was slow to change, which allowed the new companies to come in and disrupt the market. The same is happening in the real estate industry now.

Sign #6 – There Are More Options Than Ever for Selling Your Home Without a Realtor

Consumer-facing tools and services have made it possible for people to sell their homes without the help of a realtor.

For example, companies like Zillow and Redfin allow people to list their homes on their platforms and connect with buyers directly. These companies also offer other services that traditionally would have been provided by a realtor, such as home appraisals, home inspections, and closing services.

Another option for home selling without a realtor is to use an online real estate auction platform like Auction.com. These platforms allow sellers to list their homes and set a minimum bid price. The auction process allows buyers to compete against each other for the home, which can result in a higher sales price.

Sign #7 – The Cost of Hiring a Realtor Is Rising While the Cost of Selling a Home is Going Down

The cost of hiring a realtor is rising, while some perceive the need for one is decreasing. In the past, realtors were essential for their ability to provide detailed information about listings. Today, that same level of detail is available online with a few clicks.

At the same time, the cost of selling a home is decreasing, thanks to the rise of do-it-yourself real estate companies and platforms. For example, Zillow Offers allows people to sell their homes directly to Zillow for a flat fee. The company then makes necessary repairs and lists the house for sale.

Furthermore, many believe that realtors are not worth the cost because they do not negotiate on behalf of their clients or because they are not able to guarantee a successful sale. 

The combination of these two trends – the decreasing need for realtors and the decreasing cost of selling a home – is bad news for realtors. As the need for their services decreases and the cost of their services increases, it’s only a matter of time before the industry is disrupted.

How Realtors Can Ensure Their Usefulness in the Future

So, will realtors become extinct? While it’s certainly possible, there are things that realtors can do to ensure their usefulness in the future.

Realtors need to embrace technology and use it to their advantage. Technology has made it easier for people to buy and sell homes without the help of a realtor. But, it has also made it easier for people to find information about homes and neighborhoods without the help of a realtor. Realtors must use technology to their advantage and ensure they provide their clients with the best possible service.

Realtors need to offer their clients something they can’t get from any other source. In addition, realtors need to focus on providing value to their clients. With many options available to people looking to buy or sell a home, realtors must focus on delivering value to their clients.

Finally, realtors need to be prepared for the future. The real estate industry is changing, and realtors must be ready for the future. Realtors need to stay up-to-date on the latest trends in the industry and be prepared to adapt to the changing landscape.

The Bottom Line

It’s hard to imagine a world without real estate agents. After all, they are the professionals who help us buy and sell our homes. The bottom line is that realtors need to embrace change to remain relevant in the future. The real estate industry is changing, and realtors need to change. Will realtors become extinct? Only time will tell. But, if they’re willing to embrace change, they can ensure their usefulness for years to come.