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Read the passage and answer the question given below.
In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.
Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.
The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.
The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.
Q. If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?
- a)The total commissions earned by real estate agents and brokers will surpass $100 billion.
- b)All agents who represent real estate transactions will be paid with a flatfee.
- c)The total commissions earned by real estate agents and brokers will be less than $100 billion.
- d)The Internet will no longer be an important means of deriving information about the real estate market.
- e)Real estate agents will represent parties in approximately 75 percent of all residential and commercial real estate transactions.
Correct answer is option 'C'. Can you explain this answer?
Most Upvoted Answer
Read the passage and answer the question given below.In the year 2011 ...
C. The total commissions earned by real estate agents and brokers will be less than $100 billion.
This inference can be made because the passage states that the standard 6 percent commission arrangement is being questioned and that agents are willing to accept lower commissions or offer flat fees. Additionally, the passage highlights the impact of the Internet in providing access to real estate information and listing services at lower costs. These factors suggest that the total commissions earned by real estate agents and brokers may decrease in the future.
Community Answer
Read the passage and answer the question given below.In the year 2011 ...
Implications of the Passage
The passage suggests that the traditional 6 percent commission structure for real estate agents may be changing due to the increased access to information provided by the Internet. This change is leading to a questioning of the value of agents' services and a willingness to accept lower commissions or flat fees.
Inference about the Real Estate Business in Five Years
Therefore, based on the implications of the passage, it can be inferred that the total commissions earned by real estate agents and brokers will be less than $100 billion in five years.
The passage suggests that the traditional 6 percent commission structure for real estate agents may be changing due to the increased access to information provided by the Internet. This change is leading to a questioning of the value of agents' services and a willingness to accept lower commissions or flat fees.
Inference about the Real Estate Business in Five Years
- Total Commissions Earned: If agents are increasingly accepting lower commissions or flat fees, it is likely that the total commissions earned by real estate agents and brokers will be less than $100 billion in five years.
- Shift in Commission Structure: With agents willing to accept lower commissions or flat fees, it is unlikely that all agents will be paid with a flat fee in five years. However, the trend suggests a shift away from the traditional 6 percent commission structure.
- Role of the Internet: The passage highlights the importance of the Internet in providing real estate information. Therefore, it is unlikely that the Internet will no longer be an important means of deriving information about the real estate market in five years.
- Representation by Real Estate Agents: The passage does not provide specific data on the percentage of transactions represented by agents. However, with the trend of questioning agent commissions, it is possible that real estate agents may represent parties in fewer transactions in five years.
Therefore, based on the implications of the passage, it can be inferred that the total commissions earned by real estate agents and brokers will be less than $100 billion in five years.
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Read the passage and answer the question given below.In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.Q.If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?a)The total commissions earned by real estate agents and brokers will surpass $100 billion.b)All agents who represent real estate transactions will be paid with a flatfee.c)The total commissions earned by real estate agents and brokers will be less than $100 billion.d)The Internet will no longer be an important means of deriving information about the real estate market.e)Real estate agents will represent parties in approximately 75 percent of all residential and commercial real estate transactions.Correct answer is option 'C'. Can you explain this answer?
Question Description
Read the passage and answer the question given below.In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.Q.If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?a)The total commissions earned by real estate agents and brokers will surpass $100 billion.b)All agents who represent real estate transactions will be paid with a flatfee.c)The total commissions earned by real estate agents and brokers will be less than $100 billion.d)The Internet will no longer be an important means of deriving information about the real estate market.e)Real estate agents will represent parties in approximately 75 percent of all residential and commercial real estate transactions.Correct answer is option 'C'. Can you explain this answer? for GMAT 2024 is part of GMAT preparation. The Question and answers have been prepared according to the GMAT exam syllabus. Information about Read the passage and answer the question given below.In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.Q.If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?a)The total commissions earned by real estate agents and brokers will surpass $100 billion.b)All agents who represent real estate transactions will be paid with a flatfee.c)The total commissions earned by real estate agents and brokers will be less than $100 billion.d)The Internet will no longer be an important means of deriving information about the real estate market.e)Real estate agents will represent parties in approximately 75 percent of all residential and commercial real estate transactions.Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for GMAT 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Read the passage and answer the question given below.In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.Q.If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?a)The total commissions earned by real estate agents and brokers will surpass $100 billion.b)All agents who represent real estate transactions will be paid with a flatfee.c)The total commissions earned by real estate agents and brokers will be less than $100 billion.d)The Internet will no longer be an important means of deriving information about the real estate market.e)Real estate agents will represent parties in approximately 75 percent of all residential and commercial real estate transactions.Correct answer is option 'C'. Can you explain this answer?.
Read the passage and answer the question given below.In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.Q.If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?a)The total commissions earned by real estate agents and brokers will surpass $100 billion.b)All agents who represent real estate transactions will be paid with a flatfee.c)The total commissions earned by real estate agents and brokers will be less than $100 billion.d)The Internet will no longer be an important means of deriving information about the real estate market.e)Real estate agents will represent parties in approximately 75 percent of all residential and commercial real estate transactions.Correct answer is option 'C'. Can you explain this answer? for GMAT 2024 is part of GMAT preparation. The Question and answers have been prepared according to the GMAT exam syllabus. Information about Read the passage and answer the question given below.In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.Q.If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?a)The total commissions earned by real estate agents and brokers will surpass $100 billion.b)All agents who represent real estate transactions will be paid with a flatfee.c)The total commissions earned by real estate agents and brokers will be less than $100 billion.d)The Internet will no longer be an important means of deriving information about the real estate market.e)Real estate agents will represent parties in approximately 75 percent of all residential and commercial real estate transactions.Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for GMAT 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Read the passage and answer the question given below.In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.Q.If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?a)The total commissions earned by real estate agents and brokers will surpass $100 billion.b)All agents who represent real estate transactions will be paid with a flatfee.c)The total commissions earned by real estate agents and brokers will be less than $100 billion.d)The Internet will no longer be an important means of deriving information about the real estate market.e)Real estate agents will represent parties in approximately 75 percent of all residential and commercial real estate transactions.Correct answer is option 'C'. Can you explain this answer?.
Solutions for Read the passage and answer the question given below.In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.Q.If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?a)The total commissions earned by real estate agents and brokers will surpass $100 billion.b)All agents who represent real estate transactions will be paid with a flatfee.c)The total commissions earned by real estate agents and brokers will be less than $100 billion.d)The Internet will no longer be an important means of deriving information about the real estate market.e)Real estate agents will represent parties in approximately 75 percent of all residential and commercial real estate transactions.Correct answer is option 'C'. Can you explain this answer? in English & in Hindi are available as part of our courses for GMAT.
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Here you can find the meaning of Read the passage and answer the question given below.In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.Q.If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?a)The total commissions earned by real estate agents and brokers will surpass $100 billion.b)All agents who represent real estate transactions will be paid with a flatfee.c)The total commissions earned by real estate agents and brokers will be less than $100 billion.d)The Internet will no longer be an important means of deriving information about the real estate market.e)Real estate agents will represent parties in approximately 75 percent of all residential and commercial real estate transactions.Correct answer is option 'C'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
Read the passage and answer the question given below.In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.Q.If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?a)The total commissions earned by real estate agents and brokers will surpass $100 billion.b)All agents who represent real estate transactions will be paid with a flatfee.c)The total commissions earned by real estate agents and brokers will be less than $100 billion.d)The Internet will no longer be an important means of deriving information about the real estate market.e)Real estate agents will represent parties in approximately 75 percent of all residential and commercial real estate transactions.Correct answer is option 'C'. Can you explain this answer?, a detailed solution for Read the passage and answer the question given below.In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.Q.If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?a)The total commissions earned by real estate agents and brokers will surpass $100 billion.b)All agents who represent real estate transactions will be paid with a flatfee.c)The total commissions earned by real estate agents and brokers will be less than $100 billion.d)The Internet will no longer be an important means of deriving information about the real estate market.e)Real estate agents will represent parties in approximately 75 percent of all residential and commercial real estate transactions.Correct answer is option 'C'. Can you explain this answer? has been provided alongside types of Read the passage and answer the question given below.In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.Q.If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?a)The total commissions earned by real estate agents and brokers will surpass $100 billion.b)All agents who represent real estate transactions will be paid with a flatfee.c)The total commissions earned by real estate agents and brokers will be less than $100 billion.d)The Internet will no longer be an important means of deriving information about the real estate market.e)Real estate agents will represent parties in approximately 75 percent of all residential and commercial real estate transactions.Correct answer is option 'C'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice Read the passage and answer the question given below.In the year 2011 real estate agents and brokers received more than $100 billion in commissions on sales of residential and commercial property. The majority of that sum came in the form of the standard 6 percent charged on the sale of residential homes: 3 percent to the agent representing the buyer, and 3 percent to the agent representing the seller. This 6 percent arrangement has been the prevailing form of compensation in agented real estate transactions for decades. There is evidence, however, that the standard 6 percent commission may soon become a thing of the past.Real estate agents provide a number of services to their clients, but the most indispensable services they provide are those related to the control of information. Most clients can handle negotiations themselves, and advice on inexpensive measures to increase the value of a home—e.g. a fresh coat of paint, reduce clutter—are well known, but people not in the real estate business have generally not had access to sufficient information to determine the optimum price for their homes, nor have they been able to access the information networks used by brokers to advertise the availability of a home to the widest audiences. The most significant of these is the MLS network; only a licensed agent can list a home for sale on the MLS network.The transformation of information transfer through the Internet, however, is loosening the control that agents have over real estate information. Consumers can quickly find on the Internet, for example, the offering price and actual sales prices of most homes in their region for the last several years, and in most regions they can receive free access to essentially the same real estate listings that agents use when helping clients find homes. The ease of listing homes on the Internet, moreover, is making the process of selling a home far easier than it was in the past. With a digital camera and access to the MLS listing site, a seller’s agent can have a home listed to a wide audience in under an hour’s time.The consequences of the simplification of real estate information transfer are that a large number of consumers are questioning whether agents truly deserve a 6 percent commission. Increasingly, agents are willing to accept a commission of 5 or 4.5 percent, and some are willing to buy or sell homes for a flat fee. A number of Internet services have sprung up that allow homeowners to list their homes on MLS for less than $1,000, a fraction of the price they would pay for a commission to an agent.Q.If the implications suggested by the passage are correct, and if the average number and value of homes sold over the next five years remain approximately the same as in 2011, which of the following can be properly inferred about the real estate business in five years?a)The total commissions earned by real estate agents and brokers will surpass $100 billion.b)All agents who represent real estate transactions will be paid with a flatfee.c)The total commissions earned by real estate agents and brokers will be less than $100 billion.d)The Internet will no longer be an important means of deriving information about the real estate market.e)Real estate agents will represent parties in approximately 75 percent of all residential and commercial real estate transactions.Correct answer is option 'C'. Can you explain this answer? tests, examples and also practice GMAT tests.
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