A real estate developer and author of a book about the rise of the real estate industry, author and real estate mogul James Altucher, has said that it’s not uncommon for people to move out of their home and live in a new one while the estate agent’s not getting paid.
“People don’t know that they’re getting the mortgage for a new home and the realtor’s not making money, and the agents aren’t getting the commissions that they would if they were working for you,” Altuchers said on the Late Show With Stephen Colbert.
“They’re just going out and getting the houses, and they’re not getting the money.”
Altuches book, Real Estate: The Rise of the Real Estate Industry, also claims that a significant percentage of the money made from buying a new property goes into the home.
“It’s not just the realtors who are getting a paycheck, but the realty company that sells the homes,” he said.
“That money is not going to the real owners.”