How New York estate agents fuel inequality and segregation
Agents shape buyers’ choices, which shape neighbourhood values — and the resources those neighbourhoods receive
New York — A new book argues that the stratification in quality of life between New York’s rich and poor neighbourhoods is at least partially the result of real estate agents.
“Agents’ work in shaping buyers’ choices leads to upselling,” writes author Max Besbris, referring to the phenomenon of homebuyers starting with a predetermined budget then spending beyond it. “Repeated in aggregate, these practices create positive feedback loops that drive up prices in more expensive neighbourhoods.”..