A flat-fee real estate broker is a company that will sell your house for a fixed dollar amount instead of the typical 2.5-3% listing fee. If youâre looking to work with a flat-fee agent, we usually recommend a full-service brand that offers a similar experience to working with a traditional realtor. Top companies like Clever Real Estate and Houwzer can save you big bucks without the service trade-offs youâll encounter with many of their competitors.
Most sellers should avoid working with the flat-rate brands weâve classified as reduced or limited service. With these companies, youâll typically encounter big service trade-offs, less hands-on support, and your experience may feel a lot more DIY. You can usually find a better deal with one of the discount brands we recommend in our guide to the best low commission brokers. Companies that offer reduced or limited service are only worth considering if youâre an extremely experienced seller and comfortable handling more (or even most) of the sale yourself.
Keep reading: Top flat-fee brokers for most sellers | Who should use a flat rate realtor? | Reduced and limited service options | How to choose | FAQs
Top flat-fee real estate companies that offer full service
Pricing | Locations | |
|---|---|---|
1% or $3,000 | Nationwide | |
$5,000 | FL, MD, NJ, PA, VA, DC |
Full-service flat-fee brokers are the right choice for most sellers because they offer a similar (or even the exact same) experience as working with a traditional agent. You'll have a dedicated agent who provides all the services that you'd expect from a traditional realtor, but you'll pay a lot less.
Having a dedicated agent on your side to handle pricing, marketing, and negotiations could have a significant impact on how many potential buyers see your house â and how much they're willing to pay for it.
While the fees may be higher than limited-service companies, you'll get a lot more for your money with a full-service brand â and you're more likely to avoid costly mistakes like mispricing your home.
Keep in mind that whether you use a flat-fee broker or a traditional real estate agent, youâll still need to pay the buyerâs agent commission in addition to the listing fee. Itâs usually percentage-based and around 2.5-3%.
Clever Real Estate
Clever Real Estate
Learn Moređ˛ Listing Fee
$3,000 or 1%
đ° Avg. Savings
$7,375
â Avg. Customer Rating
4.9/5 (1,512 reviews)
Clever is a quick, easy, and free way to find a top-rated local agent. And, unlike many similar companies, Clever pre-negotiates big discounts on your behalf, so you can save thousands without sacrificing on service.
- Free, nationwide agent-matching service that partners with full-service local agents from conventional brokerages like Keller Williams, Century 21, and RE/MAX
- Provides multiple agent matches so you can interview, compare marketing plans, and choose the best fit
- Pre-negotiates low rates on your behalf â you get full service for a flat $3,000 listing fee, or just 1% if the home sells for more than $350,000
- If you buy with Clever, you could get a check worth up to 0.5% of the home price
- You may not get matched with an agent from your preferred real estate brokerage
- Agents may not provide premium services like drone photography and professional home staging
As of March 11, 2022, Clever has a 4.9 out of 5 rating on Trustpilot, based on 1,512 reviews.
Clever has pre-negotiated low commission rates with top agents in all 50 states and Washington, DC.
Clever Real Estate is our top pick for sellers who want to save on commission for two main reasons â savings and service quality.
Clever charges a $3,000 flat fee on homes below $350,000. Above that price point youâll pay a 1% listing fee instead â which is still a fraction of the traditional 2.5-3%. That makes Clever the most affordable nationwide brand that offers full service.
When you find your agent through Clever, youâll face zero compromises in terms of service. Unlike other flat-fee brands, Clever matches you with top local realtors from traditional brokerages like Keller Williams, Berkshire Hathaway, and RE/MAX. So youâll get a traditional realtor, but at a steeply discounted price.
Houwzer
Houwzer
Full Reviewđ˛ Listing Fee
$5,000
đ° Avg. Savings
$7,000
â Avg. Customer Rating
4.8/5 (1,300 reviews)
Houwzer offers true flat-fee savings â but homes near or below $500,000 can likely find better rates and less risk elsewhere.
- Huge commission savings on luxury homes
- Listing fee includes virtual home tours and other premium marketing services
- Houwzer has a small team, which limits your options if you don't hit it off with the first agent they send you
- If you're selling a lower-priced home, Houwzer may not be cheaper than selling with a traditional realtor
Houwzer has a 4.8 out of 5 rating (1,300 reviews) across popular review sites like Google and Zillow.
Houwzer is available in the following locations: FL, MD, NJ, PA, VA, DC.
Howuzerâs flat fee of $5,000 makes it a good option if youâre selling a higher-priced home, as you can see in the table below. But 1% commission brokers like Clever offer better rates on homes below $500,000.
Here's what Houwzer's flat listing fee could save you at different price points:
Selling price | Savings with Houwzer* | Listing fee as a percentage |
|---|---|---|
$100,000 | -$2,000 | 5% |
$250,000 | $2,500 | 2% |
$500,000 | $10,000 | 1% |
$750,000 | $17,500 | 0.7% |
*Compared to 3% listing fee | ||
Houwzer is one of the only flat-fee brokerages to offer full service, which makes it a better option than reduced-service brands like Help-U-Sell and Homie. But sellers who prefer the hands-on service of a traditional agent may get less personalized support than they expect.
Houwzer uses a team-based approach, so your agent wonât be as directly involved with your sale as a traditional realtor. Youâll still get all the same services with Houwzer as you would with a traditional realtor, they just might not all be delivered by your assigned agent. Rather, someone else on the Houwzer team may assist with items like showings, negotiations, or closing.
Houwzer's customer service model works out fine for many sellers, and thereâs nothing inherently wrong with it. But if you have a complicated situation â or you just prefer the familiar experience of working with a traditional realtor â we recommend working with a brand like Clever.
Âť MORE: Read the full Houwzer review
Flat-fee brokers that offer reduced service
Pricing | Locations | |
|---|---|---|
$3,500 | AZ, CO, ID, NV, UT | |
$2,950-7,950* | 74 locations in 18 states | |
$2,995-8,995* | 126 locations in 35 states | |
*Actual fees vary by location | ||
We donât think the flat-fee brokers in the reduced-service tier are a good option for most people. Theyâre overpriced relative to the lack of benefits youâll generally receive, even if the low rates look good on paper. In fact, for the amount youâd spend on a reduced-service broker, you can often get a full-service agent for not much more money.
Reduced-service brokers offer many of the same services as a traditional agent, but usually with a significant reduction in hands-on support. For example, agents typically handle a lot more customers, which limits their ability to provide personalized customer service.
The only time a reduced-service flat-fee broker could make sense is if you live in an area where homes like yours are practically "selling themselves" and the potential savings are a lot higher than you'd get with a full-service brand. Even then, youâll need to be an experienced seller who isnât afraid of tackling more of the home sale yourself since you probably wonât get a ton of support.
Homie Real Estate
Homie
Full Reviewđ˛ Listing Fee
$3,500
đ° Avg. Savings
$8,500
â Avg. Customer Rating
4.3/5 (1,118 reviews)
Homie offers legit flat-fee savings â but may provide less personalized service than a traditional agent.
- Flat-fee pricing model offers big commission savings on higher-priced homes
- Self-service listing process lets you get your home on the market quickly
- Homie agents provide no in-person services or support
- Agents juggle up to 10x as many customers at once, which increases the risk you'll have a bad experience
Homie has a 4.3 out of 5 rating (1,118 reviews) across popular review sites like Google and Yelp.
Homie is available in the following areas: AZ, CO, ID, NV, UT.
Homieâs $3,500 flat listing fee offers some serious savings, especially if youâre selling a high-value home. For example, on a $750,000 home you could save up to $19,000 in listing fees compared with a traditional realtor. But there are significant trade-offs when it comes to service.
Homie agents are busy â they handle about 10 times as many clients as a typical traditional realtor. So, while you will get an assigned agent, itâs unlikely that they will have as much time to dedicate to you as an agent with a typical workload.
Having an agent provide personalized support throughout your sale is important. The more your agent knows about your house and your sale goals, the easier it will be for them to market it â which ultimately translates into an easier time selling it. With Homie, you may find that your agent just isnât as available as youâd like them to be.
Âť MORE: Read the full Homie review
Help-U-Sell
Help-U-Sell
đ˛ Listing Fee
$2,950-7,950
đ° Avg. Savings
$6,550
â Avg. Customer Rating
No online reviews
Help-U-Sell's pricing and service quality varies a lot depending on location, but in general it offers poor value for money.
- Flat-fee pricing can offer big savings on higher value homes
- Some Help-U-Sell offices offer excellent service and support
- Pricing generally increases as home sale price increases, undercutting potential savings
- Service and pricing are highly inconsistent and vary a lot between different Help-U-Sell offices
Help-U-Sell is available in AL, AZ, CA, CO, FL, HI, ID, MI, MN, MO, NV, NC, OK, OR, PA, TX, UT, VA, WA.
Help-U-Sell can save you money in the right circumstances, but because itâs a franchise company, the service you get is going to vary a lot between different offices.
Generally, fees range from $2,950 to $7,950, but are mostly based on your home price. While Help-U-Sell advertises a flat fee, in reality that fee generally goes up the more your house sells for. So you can probably find a better rate with another discount brand.
Unfortunately, Help-U-Sellâs problems with pricing extends to its service, with some offices' packages failing to even include an MLS listing. An MLS listing will get your house maximum exposure and is crucial if youâre looking to attract the most number of potential buyers.
If you're considering Help-U-Sell, verify that your local Help-U-Sell franchise includes, at minimum, an MLS listing, photography, and help with negotiations and closing.
Âť MORE: Read the full Help-U-Sell Review
Assist-2-Sell
Assist-2-Sell
đ˛ Listing Fee
$2,995-8,995
đ° Avg. Savings
$6,500
â Avg. Customer Rating
No online reviews
Assist-2-Sell's service and pricing vary by location, but generally it offers poor value for sellers.
- Higher value homes may be able to get significant savings with a flat fee
- Prices are inconsistent, but generally higher than the competition
- Some customers complain about poor service and support
Assist-2-Sell is similar to Help-U-Sell â and comes with many of the same potential risks. It is also a franchise company, meaning that its fees and service quality vary by location.
Listing fees alone can range as high as $9,000, which is why we donât recommend Assist-2-Sell for most sellers. Plenty of competitors offer better savings â and Assist-2-Sellâs business model could come with significant sacrifices in terms of customer service.
A common complaint from dissatisfied Assist-2-Sell customers is that agents are disorganized and hard to get in touch with, so you may find yourself with less dedicated customer service than you'd like. But again, your actual experience is going to depend on the quality of your local Assist-2-Sell office.
Âť MORE: Read the full Assist-2-Sell Review
Flat-fee brokers that offer limited service
Pricing | Location | |
|---|---|---|
$99-$499+ | AL, CA, FL, GA, IL, MN, NC, RI, SC | |
$95+ | CA, FL, GA, MI, NC, SC, TN, VA | |
$179-$349 | Nationwide |
Limited-service companies â often called flat-fee MLS companies â are cheap, but they arenât a good option for most people. Youâll largely be left on your own to market your house, negotiate with buyers, and handle closing. Because of the amount of DIY required, many sellers who go this route often end up having to reduce their listing price or eventually give up and hire an agent anyway.
Companies in the limited-service tier provide the most barebones level of support of all the flat-fee companies. Typically, youâll only get a listing on your local MLS and a handful of other basic services, like yard signs and lockboxes.
The only time limited-service companies are worth considering is if you have lots of experience selling houses and youâre confident you can handle every step of the process yourself. If you do choose to use a limited-service brand, we recommend going with the cheapest option in your state that gets you MLS access and at least a 20-photo limit on your listing.
Âť MORE: See the list of the best flat-fee MLS services
Beycome
Beycome
đ˛ Listing Fee
$99-$499+
Locations
AL, CA, FL, GA, IL, MN, NC, RI, SC
Beycome offers real savings for extreme DIYers. But if you don't have much experience selling a house, you'll want to look elsewhere.
- Basic MLS packages are among the cheapest in the industry
- Lack of add-ons mean DIYers aren't paying for things they don't need
- Barebones service is risky for most sellers, especially those who lack selling experience, have a complicated sale, or prefer working with an agent.
- "Concierge Package" is poor value for money.
If youâre comfortable handling almost every aspect of the home selling process, including staging, tours, and negotiations, Beycome offers the best value for money compared to what other limited flat-fee brokers offer.
Beycome has three pricing plans, although we only recommend the $99 Basic Package and the $299 Enhanced Package. Both get you an MLS listing, unlimited updates, free cancellation (except in Georgia), and access to an open house scheduler. The Enhanced Package throws in things like HDR photography, lockbox rental, and promotional materials.
Whatever listing package you choose, youâll still have to do a lot of the work yourself.But Beycome sets you up with more tools than a lot of its limited-service competitors.
That said, you shouldnât be using Beycome (or any of the reduced or limited flat-fee brokers on this list) if:
- You donât have experience selling a house
- Youâre more comfortable working with an agent
- You have a complicated home sale
If you want to save money on your home sale and still have the reassurance of an agent handling your transaction, Beycome probably isnât right for you. While they do have a âConcierge Packageâ that provides many of the things that a realtor provides, itâs more expensive than just hiring a full-service realtor through a top-rated discount brokerage.
Homecoin
Homecoin
Learn Moređ˛ Listing Fee
$95-2,999+
đ° Avg. Savings
Varies
â Avg. Customer Rating
5/5 (93 reviews)
Homecoin is one of the cheapest ways to get your home listed on the MLS. But purchasing the company's extra services could cost more than selling with a full-service, low commission brand.
- Homecoin's 12-month listing term is longer than what many competitors offer for similarly-priced packages
- Listings include unlimited MLS photos, even at the cheapest tier
- Homecoin's premium a la carte services are not a great value
- You're limited to 10 free listing changes
Homecoin has a 5 out of 5 rating (93 reviews) on Yelp.*
*Data current as of February 23, 2022
Homecoin is available in the following states: CA, FL, GA, MI, NC, SC, TN, VA.*
*Locations current as of February 23, 2022
In the world of flat-fee realty companies, Homecoin is as no frills as it gets. For true DIYers who are comfortable handling almost every step of the selling journey, Homecoinâs simple price and super basic service are a relief. Unlike with other limited-service brands, you wonât be paying for the things you donât want or need.
For $95, you get an MLS listing â and thatâs about it. Youâll have to pay extra for even basic add-ons, like photography, yard signs, or lockboxes. But if youâre hoping for even a minimum amount of support â whether thatâs getting help with negotiations, staging, scheduling showings, or marketing â Homecoin is probably not for you.
Homecoin's limited-service competitors usually throw in a couple of those add-ons for âfreeâ (albeit while also charging a higher price for their overall plans). And the full-service brands we recommend l provide more hands-on support. Both will be a bit more expensive than Homecoin, but theyâll probably save you a lot of stress (and potentially costly mistakes) in the long run.
Âť MORE: Read the full Homecoin review
Flat Fee Realty
Flat Fee Realty
đ˛ Listing Fee
$179-$349
Locations
Nationwide
Flat Fee Realty doesn't offer much value for most sellers. But pricing varies by location, so you may be able to find good local deals.
- Flat fees generally offer good savings for people with high value homes
- Some local offices throw in extra benefits, like disclosure forms and free listing changes
- Most locations don't offer any advantages over alternative flat-fee brands
- Pricing and service are inconsistent across different locations
For most sellers, Flat Fee Realty doesnât have many compelling benefits â but check whatâs actually offered in your area. The plans differ by state and some do come with decent benefits. For example, in some areas, youâll also get broker assistance, state disclosure forms, and free changes to your listing, in addition to Flat Fee Realtyâs basic offerings. Free listing changes are especially valuable, since these can otherwise prove costly.
Flat Fee Realty's pricing also varies depending on where you live. In general, youâll pay between $179-$349. That usually gets you a 6-month MLS listing with a 6-photo limit. You can upgrade to 25 photos for an extra $50.
Because photos are one of the most powerful tools for attracting buyers, we recommend paying extra for the 25-photo limit if you decide that Flat Fee Realty is for you.
For most people, all limited-service companies offer poor value. But some flat-fee realty brands are especially bad and should be avoided at all costs â they charge hidden fees, overcharge for basic services, or simply donât offer even a minimum level of service you should expect from a flat-fee broker. Even if you do decide that a limited-service flat-fee broker is right for you, we recommend steering clear of these companies.
Houzeoâs prices are about standard for the industry â usually in the $200-$300 range â but watch out because you will have to pay extra for some basic items, like listing modifications. Overall, Houzeo isnât great value for money and other flat-fee brands offer better service at similar or even lower prices.
Fizberâs prices are in line with most of its competitors, but it offers far less value for money. Unlike many flat-fee realty companies, Fizber doesnât even give you the ability to add any extra services, like lockboxes, yard signs, or promotional materials, meaning youâll have to search elsewhere for these basic but often essential items.
ISoldMyHouse.com advertises fees that are a bit high for the industry, plus it charges a huge markup for even basic add-ons. A combo lockbox, for example, will cost you $50, which you can easily buy yourself off of Amazon for less than half that price. Save yourself the money and look elsewhere.
FSBO.com is a well-known site, but it offers poor value for money and doesnât have advantages for any type of seller. Its MLS plan costs way more than what you can get elsewhere and itâs very barebones. Youâll have to pay extra for anything beyond an MLS listing.
Who should use a flat-fee real estate broker?
Flat-fee real estate brokers are a good alternative to traditional realtors for many home sellers who are looking to save on commission fees. Most people should only consider full-service companies â and not reduced- or limited-service ones â since they offer the same benefits as conventional agents, but potentially with significant discounts.
But even with full-service brokers, you need to make sure they make sense at your price point. Below $500,000, most flat-fee brokers wonât offer better savings than percentage-based discount brands. So in that case, youâre usually better off choosing the best low commission broker in your area.
Most sellers should avoid reduced- or limited-service flat-fee companies. While the low fees of a limited-service company may sound enticing, without a realtor taking charge of your marketing, open houses, and negotiations, you could end up selling for a lot less â thus wiping out any savings you might have gotten with those low rates. We only recommend limited-service flat-fee brokers for people with lots of experience selling houses and who are comfortable taking on almost all of the home selling process.
Finally, if youâre looking to save money on your home sale, donât limit yourself to flat-fee brokers. Other types of discount brokers, many of whom provide discounted percentage-based listing fees, may be able to help you save even more money and come with fewer tradeoffs in terms of service.
Âť MORE: The best low commission real estate brokers of 2022
How to choose a flat-fee real estate agent
Unless youâre comfortable handling most of your home sale yourself, youâll want to stick to agents from a full-service brand like Clever or Houwzer. When comparing flat-fee brokers, you should only consider ones that are highly rated online by previous customers and offer real âfull service.â
While many companies advertise themselves as âfull service,â that doesn't always mean the experience is on par with a conventional brokerage. For example, flat-fee agents often handle a lot more clients than a traditional realtor would, so theyâll have less time to devote to you. That could mean that theyâre not available to answer your questions right away or they may have to hand off some steps of the transaction to another person on their team.
We strongly recommend avoiding limited-service brands. They provide little value and come with substantial risk. These are really only for extreme DIYers who have a lot of experience selling homes AND live in a hot real estate market.
However, if you do decide to go with a flat-fee realty company in the limited-service tier, be sure that the brand offers:
- MLS access
- At least a 20+ photo limit
- Free or cheap cancellation
- Free or cheap listing modifications
Calculate your effective rate to find the best savings
Whether you choose a full-service, reduced-service, or limited-service brand, youâll need to check to make sure youâre getting the best possible savings at your homeâs price point. To do this youâll need to calculate your effective commission rate â your listing fee represented as a percentage of your home's sale price â and compare the flat fee to the percentage-based listing fee you could get elsewhere.
For example, if you pay a $5,000 flat fee to your realtor, your effective rate at different sale prices looks like this:
Sale price | Flat $5,000 listing fee | Effective rate |
|---|---|---|
$100,000 | $5,000 | 5% |
$300,000 | $5,000 | 2% |
$500,000 | $5,000 | 1% |
$700,000 | $5,000 | 0.71% |
$900,000 | $5,000 | 0.55% |
In the above example, a $5,000 flat fee is a great deal if youâre selling above $500,000. However, below that and youâll be paying more than 1% to your realtor. In that case, given that there are discount brokers that offer a 1% listing fee, youâre much better off going with one of them.
You can calculate your own effective rate by entering your desired sale price and a hypothetical flat fee below:
Watch out for hidden fees and misleading claims
Some flat-fee companies â especially limited-service companies â are notorious for making misleading marketing claims and charging hidden fees. While few flat-fee brokers lie outright, they may make their services sound more impressive than they actually are.
To help you better compare what each company offers, these are the three most common issues weâve spotted:
Most flat-fee brokers advertise how theyâll not only get your house listed on the MLS, but theyâll also get you listed on popular real estate portals like Zillow, Trulia, Redfin, and Realtor.com.
While technically true, these claims fail to mention that all MLS listings automatically get syndicated to Zillow, Trulia, Redfin, and Realtor.com anyway. So long as youâre getting on the MLS your listing will be reposted on all of these sites, regardless of whether you work with a flat-fee broker or a traditional agent.
Getting an MLS listing is the most basic service that all real estate agents and limited-service brokers should be providing. Getting syndicated to any of these sites is the bare minimum that you should expect from a broker â not something that you pay extra for.
We recommend keeping an eye out for hidden fees and extra charges when comparing flat-fee realtors and brokers. Limited-service brands in particular often charge extra for services that are fairly routine or mundane.
For example, one of the most common forms of hidden fees is charging you for modifying your listing. Some flat-fee MLS services charge more than $20 for each listing modification â meaning even a few changes could lose you hundreds of dollars.
Look for a flat-fee broker that lets you make free changes. Or, better yet, work with a full-service real estate agent or broker, who will typically handle changes to your MLS listing for you at no extra charge.
Flat-fee brokers often claim that you can set your own buyerâs agent commission or that you can even avoid paying realtor commission entirely if the buyer doesnât have an agent. While both claims are technically true, theyâre very misleading.
For one, sellers are always free to set whatever buyerâs agent commission they want, regardless of whether they have an agent or work with a flat-fee broker. But that doesnât mean they should.
We always recommend offering the standard 2.5-3% commission. If you offer less than that, buyerâs agents will have little incentive to show your house to their clients since they wonât be getting paid much (if anything). And if buyers arenât seeing your house, it probably wonât sell very quickly.
Secondly, while you could avoid paying commission if your buyer doesnât have an agent, the fact is that almost all buyers DO have agents. Expecting a buyer to not have one means your home could be listed for an extremely long time before it gets any offers â if it gets any offers at all.
Next steps
Whether you decide to work with a flat-fee broker or a traditional real estate agent, we always recommend comparing multiple options. Pick 2-3 flat-fee brokerages that you think could work for you and compare what they offer.
But donât assume that a flat-fee broker is the only way to save money. You should also compare them to what traditional realtors or other local discount brokersoffer. While youâre more likely to pay a percentage-based commission, you may find that the overall savings are better.
And take into account all the services you get, which can have an impact on what you actually make off of your home sale. For example, paying $100 for an MLS listing sounds cheap, but if that means your house sells for $10,000 less because you donât have the experience to market it yourself and negotiate with buyers, then youâre not actually saving money.
If youâre looking to save but you still want the expertise of a full-service realtor, we suggest comparing Clever Real Estate to other options you may be considering. Cleverâs savings are among the best in the industry, and because youâll still be working with a top local agent from a traditional brokerage, you wonât have to make any sacrifices in terms of service.
FAQs about flat-fee realtors
Flat-fee real estate agents, brokers, and companies help you sell your home for a fixed fee instead of the typical percentage-based commission. Listing with a flat-rate real estate agent could net you significant savings â particularly if youâre selling a more expensive home. For example, working with a $5,000 flat-fee realtor for a $750,000 home sale could save you up to $17,500 on real estate commission.
But with some flat-fee companies, big discounts come with big tradeoffs. Flat-fee agents and brokers often swap savings for key services and support. This could negatively affect your sale outcome, potentially costing you more than you save.
A flat-fee commission in real estate means youâll pay a set price to list your home, regardless of its final sale price. The flat-fee pricing structure differs from the typical percentage-based fees that most listing agents charge, which directly correlate to your homeâs final sale price.
When you sell with a traditional realtor who charges a percentage-based commission, you typically set a total commission rate upfront when you sign your listing agreement. These percentage rates usually remain fixed. But since they're a percentage, the actual dollar amount you pay goes up or down alongside the sale price.
When you sell a house with a flat-rate agent or broker, the listing fee isnât calculated as a percentage of the final sale price. Instead, you and your agent or broker agree on a set dollar cost for their services at the outset. That fee will remain fixed, regardless of whether you end up selling higher or lower than the initial list price.
Real estate agents and brokers offer flat fees to attract more customers. Some companies have figured out ways to offer flat-fee savings without skimping on service. But many make up for the reduced rates by handling more customers per agent. This can limit their ability to provide dedicated service and support and set you (and your sale) up for trouble.
Yes, you still need to offer a buyer's agent commission. While you technically have the option to refuse to cover a buyer's agent fee, doing that means other agents have ZERO incentive to show your house to their clients. You should still be offering a buyer's agent fee of 2.5-3%, even if youâre selling without a realtor.
That does mean your savings with a flat-fee agent may be less than what you hoped for. So you should compare any flat-fee agent to what you could save with a discount broker.
While the upfront savings may be less, youâll have more dedicated support from an agent, which can ultimately help you sell for more â and save more â in the long run.
Flat-fee MLS brokers are legitimate and many of them do offer substantial savings, but they often come with drawbacks. Youâll get a lot less personalized service and in some cases you may effectively be acting as your own agent.
Handling the marketing, staging, tours, negotiations, and closing is a LOT for anybody who isnât a professional realtor. Most sellers can still get significant savings by using a discount realtor while getting an agent to handle most of the hard work.
Plus, you do need to watch out for hidden fees and misleading claims with some flat-fee MLS services. Many companies advertise a low flat fee, but they overcharge on add-ons or charge extra for basic services.
The best companies that offer flat listing fees without compromising on service quality include Clever Real Estate and Houwzer. Some other flat-rate brokers advertise cheaper prices, but they offset low fees by providing much less support than a traditional realtor. See our complete rankings of the top low commission companies here.
Flat rate realtors may or may not be a good value, depending on their listing fees, your estimated home price, and what services the agent will provide. In general, selling with a flat-fee real estate broker offers the biggest savings on more expensive properties. Or, you may find better savings with a low cost realtor who charges discounted percentage-based commission rates. Find the top 1% commission realtors here.
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Michael Warford has been writing about real estate for over a decade. He specializes in consumer-focused reviews, particularly of agent matching services, for sale by owner websites, and flat-fee brokers. This guide drew on hundreds of hours of research both by Michael and the team at Clever, including mystery shopping multiple flat-fee brokers. This article is reviewed and updated periodically to ensure you have the most accurate information to help you reach your real estate goals.
Methodology
Our ranking took into account numerous factors and we strived to take a holistic view of each company. That way no single factor where a company might perform exceptionally, such as low cost, could hide other shortcomings. That said, the most heavily weighted factors were:
- Service level
- Price point
We weighed these the most heavily simply because we assumed that service quality and cost are the most important factors for most home sellers. However, we also asked the following questions about each company and adjusted our rankings accordingly:
- Does the company have hidden fees?
- Does it make misleading marketing claims?
- Does it offer add-ons? Are those add-ons fairly priced?
- Does it have consistent and easy-to-understand pricing?
- Is it missing important services?