The net also makes it so more investors can market directly to buyers and sellers. While it is not legal to broker deals it is legal to buy and sell to make a profit on the deals.

Technology change is similar to other business arena where a change in the rules knocks the entrenched king off his thrown. Change or be changed.

The suit went away because it mattered little now. It was a great delaying tactic in the mean time.

I am an investor and not an agent. I am a buy and hold investor so not one that is trying to make my money flipping deals. I do find it easier today to find deals given all the great web resources (maps, satellite images, public record info) than when I stated over 20 years ago. I also find I can coach new investors as the web helps us exchange details on individual deals. Agents who can add value are welcome but how they add value keeps changing.

So, by leveraging automation and increasing efficiencies, the process of selling a house has gotten much easier then it was in 1990. And, so like any other industry, when the product becomes easier to manufacture and deliver then the price should come down. For the most part, Realtors are not getting paid for their value… they are getting way OVER paid for it. With the exception of those highly professional agents that cater to a unique market, or luxury market where the expense of time and money to sell a house is a considerable risk… those agents are truly providing value.

But the agents that are selling the median priced homes and arent doing anything other than list the house in the MLS… what value do they really provide? Not enough to warrant a 6% sales commission.

Besides, the agents that understand this have already adapted to technology and are ok with a 2% commission because they are making up the difference 10 fold in volume by leveraging tech.