Listing agents don't sell houses, they market them. Its a pretty big difference. They make a marketing plan, they advise you on the price, they advise you on what improvements to make to increase demand, they advertise and sometimes stage the house, they make sure your house can be found by buyers and other agents on zillow and MLS. They don't have a stable of buyers that they personally know and to whom they can promote your house. In fact, much of the marketing is not directed at buyers at all, its directed at other agents. The hope is that buyers will contact an agent looking to buy a house, and then that agent will call your agent.
Now if the listing agent has a big reputation, so that buyers call them directly when looking for a house, then its just a big win for them; they would definitely direct them to their own listings first.
I hate the system, but it is what it is.
Now as to the low commission agents.......the first question is what are they going to do for the commission? Are they just going to take the listing, do little and hope to get lucky? Probably. I'd want to know what tangible things they would be doing at their own expense. The second question is, how exactly is the low-cost agent going to get buyers? If other commission-seeking agents aren't calling him/her where are the buyers coming from. Is it just people who see your house on zillow? That could be okay, but its best to know.
These are just observations from someone with no real estate experience except having bought and sold 15 houses.
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