Please rate my unique business model

[Eddie Egelston]

Hi All-

I have a bad idea. Please tell me how bad on a scale of 1-10. 1 Being terrible, 10 being a good idea.

Flat fee buyer representation. $59 an hour, or whatever wage makes sense for you and your market;  every dime of the buyer commission gets refunded to the buyer. If they never buy, oh well you got paid. If they do buy a $400k house after a few weekends of taking them out? Congrats Mr & Mrs Buyer you will be getting a $10k check at closing.

I came up with this recently after 4 buyer clients of mine backed out of 5 agreed contracts... In a row...      -__-

It would have to be in a higher than average price range, like maybe $400k minimum. And you likely would have to be your own broker to avoid your split cutting into the deal. Certainly not for everyone in every market. But is it that terrible? Rate it 1-10!

[Lance Balkus]

I think for a certain demographic you may be on to something. However, for your more expensive clients I think you'd lose most of your upside. I actually fee like real estate is going to be greatly affected by technology in the coming years.