National brokerage’s presence can be seen across the whole of the United States. These include brokerage firms such as RE/MAX, Redfin, and Zillow. A real estate agent has the license to arrange the sale of properties and land for their owners. Their work entails showing the property, listing properties, negotiating, etc. The specialized knowledge that an experienced real estate agent brings to the table gives an edge to the sale of a property, but it comes at a certain cost. Traditional real estate agents usually charge 5–6 percent of the sale price. This fee is usually split equally between the seller and the buyer agents. For a homeowner, this charge can eat into their potential savings. Discount real estate brokers, in such a scenario, provide a better option to homeowners to sell their properties. Compared to a traditional real estate agent, discount real estate brokers charge 1 percent of the sale price.
Discount Real Estate Brokers
In comparison with a traditional real estate agent, listing with a discount real estate broker makes practical sense as it ensures you save up on your potential savings. Offering built-in savings, a discount broker can charge a rate as low as 1 percent or a flat fee. On average, homeowners save $7000 in listing fees when they hire a discount broker. Depending on the property price and the average commission rate in your region, the actual savings may vary. Discount real estate brokers include full-service discount brokers and limited services discount, brokers. While full-service discount brokers offer the same services as traditional real estate agents for a low commission or flat rate, limited services discount brokers offer reduced services at lower rates. Choosing the right discount real brokerage that would suit your needs and pocket is essential, which can be done by doing some research on company websites and reading up on consumer reviews.
Advantages of Discount Real Estate Brokers
The main advantage of a discount real estate broker is savings. Apart from potential savings, you can avail better services also. Flat fee listing is another type of discount real estate broker. Usually, a low flat is charged for properties under a stated value. Even if it’s a fee of $3,000 or $4,000, that could still make a major difference in comparison to the typical fees charged by a traditional broker. Discount real estate brokers make up for their lower fees by processing sales faster than other traditional brokers can do. Another advantage to working with a discount real estate broker that a lot of people don’t realize is that the process is well organized and smooth. Following the traditional process of selling a house could take up too many weeks, not to mention the large amount of work that it requires. As the main focus of discount real estate brokers is to sell properties quickly and efficiently, they tend to be more productive and cost-efficient, resulting in a sales experience that is faster and more efficient. At a lower listing price of 1 percent, a discount broker would allow you to list your property on the MLS, which stands for Multiple Listing Service, apart from providing other services that a traditional agent would provide, such as assistance with costing, advertising, etc.
Agents such as Clever Real Estate are traditional agents who collaborate with other brokerages such as RE/Max to help a homeowner sell their houses. As a referral fee network, Clever Real Estate usually helps you by pairing a property owner with an agent. It assists you in locating a suitable agent quickly and saving money as compared with the amount you would pay if you tried to find one on your own. Clever Real Estate, a completely online national brokerage service, offers full-service listings for 1 percent on the home sale price. The other advantage of using Clever Real estate is it’s available nationwide. Also, as per Clever Real Estate reviews by customers, apart from money savings, customers were happy that Clever Real Estate matched them with the right real estate agent, ensuring a smooth sale. On the downside, their services are just that—match with the right real estate agent. Choosing a discount real estate broker is a better option, as most discount brokers provide a similar experience to working with a traditional realtor.
Having said that, some discount brokers aren’t worth it. It’s best to avoid companies that offer fewer services than traditional real estate agents. Although these “limited-service” advertise lower commission rates, it could result in risky service trade-offs. On the other hand, Houzeo reviews by customers suggest that choosing it makes for the right option. With nationwide coverage, strong in-house customer support, and Houzeo’s IntelliList Management System, Houzeo is your go-to discount real estate platform. And customer reviews are testimony to that. The customer reviews like “responsive customer service,” “fast listing,” “great technology, ” and “easy-to-use app” indicate their satisfaction with Houzeo’s services. In 2021, around $3.5 billion worth of properties were listed on Houzeo.com. Apart from superb technology, Houzeo gives you full control of your listing also.
In summary, various discount brokers can provide a range of services. Top brands that offer full services give you a similar range of services and support traditional realtors provide, while limited-service discount brokers typically only perform a handful of services. Thus, choosing the right agent makes all the difference. It is very important that you decide on the right one that suits your property goals and needs as well as your financial requirements.
Laila Azzahra is a professional writer and blogger that loves to write about technology, business, entertainment, science, and health.