Real Estate Transparency - Agent pay
There's a lot of talk about real estate agents making too much money. As far as Charleston real estate agents and I'm sure around most of the country, some do, most don't. All make less than most people think.
I just read a post somewhere about real estate agents being the 2nd least trusted profession behind only stockbrokers. Who's in third? Much of the new technology becoming available is being touted as a way to reduce the fees paid by consumers for real estate services.
I always like this analogy. Let's use the 6% model, it could be 5 or 5.5 and then there are discounters and rebate providers but for the moment, let's use 6. Paid by the seller to the listing agent, all of it does not go to the listing agent (but when many people try to figure out how much realtors make, they always multiply the sales price by 6% and when agents advertise themselves as "multi million dollar producers", they just fan the flame). Let's get rid of the percentages and use pennies, nice shiny Lincolns.
Generally, the listing agent will split the 6 pennies with the selling agent so that leaves 3 pennies. The listing agent has to do something to sell the house. While many people think just sticking the sign in the yard and putting the listing in the MLS should do the trick, there is a bit of marketing and other expenses involved and it does cost money.
A short and not complete laundry list:
Computer, cell phone, Blackberry, digital camera, printer, fax, and other tech necessities
Website, email, high speed access, wireless high speed, virtual fax, etc.
Signs, MLS lockbox, 800 call capture, flyers
Advertising in newspaper and home magazines
Realtor.com enhanced listings and submittal to other popularly visited websites
Gas and lunch when working with buyers
Membership in local, State and National Associations, quarterly MLS dues, continuing education
In-house closing coordinator, E&O insurance, commission split with broker
At least another penny, don't you think? 
I saw an interesting comment (it was a while ago and I can't find the link) by one of the best bloggers in the industry, Ardell DellaLoggia from Rain City Guide saying that she doesn't look at the commission offered to the selling agent when she shows property.
I do, but I'll show the property anyway because I am working to find a home for my buyer and if that is the right house, I'm not putting my income ahead of my client's interest. But it also tells me a little bit about the seller and listing agent that I can potentially use in negotiation. By offering less to the selling agent, the seller is pinching pennies. A listing agent who gets the listing by discounting his commission at the listing interview is either not the best negotiator or is providing the seller with less. My client could potentially get an even better buy on the home.
A very astute client asked me what I would get paid if he bought a house and while most were paying either 2.5% or 3%, one of the homes we saw paid just a 2% commission and he said, "which one", I smiled and said, "actually it was one you didn't like." 
Nor do I go out of my way to show properties with high commissions or bonuses (and in one case, I told the listing agent to apply the bonus to the offer to get the deal done and my clients got their dream house).
Marlow Harris has an outstanding post. More, please! where she brilliantly discusses the issue of agent pay.
An agent's income should be in direct proportion to the quality of service he/she provides. That's just my 2 cents. A penny for your thoughts.