Discount vs. Full-Service Realtor: Which Is Right for You?

When selling your home, you’ll likely choose between a full-service broker and a discount broker. Full-service agents handle everything from pricing and marketing to negotiations and closing support—giving you hands-on guidance.

Traditionally, full-service realtors at brokerages like RE/MAX or Keller Williams charge a 2.5–3% listing fee, which adds up to thousands of dollars. However, discount brokers have become popular by offering similar services for far less, potentially saving sellers significantly.

The catch is that "discount" covers very different things. Some discount brands connect you with an experienced local agent who does the full job for less. Others trim service to make the lower price work, which can mean a call center instead of a dedicated agent, or you handling parts of the sale yourself. The right choice depends on your home price, your market, and how much help you actually need.

This guide breaks down the difference between full-service and discount brokers so you can weigh the trade-offs, compare costs, and find the best value.

Not sure which path fits your situation? Take our Best Way to Sell quiz below to get a personalized recommendation based on your home, your timeline, and your priorities in about 60 seconds.

Full-service brokers vs. discount brokers: A summary

What is a full-service realtor?

A full-service realtor is a real estate agent who handles your home sale from start to finish. Most traditional brokerages, including nationwide brands like Century 21, Berkshire Hathaway, Keller Williams, and RE/Max, are considered full-service.

What full-service realtors do for home sellers

When you sell your property with a full-service realtor, they'll guide you through your entire sale, from before you list your house on the market to the day you sign your closing papers.

Along the way, they'll provide all of the services you need to sell your home, including:

• Accurate home valuation to set the right asking price via a CMA report
• Staging advice to make your property more appealing
• Professional listing photos that attract buyer attention
• MLS and website marketing on platforms like Zillow and Realtor.com
• Open house and showing management to generate interest
• Offer negotiation to secure the best price and terms
• Paperwork and contract support to avoid costly mistakes

That hands-on help is the whole point of paying more. Done well, it's what gets a home sold faster and for a higher price.

How much does a full-service realtor cost?

The listing fee at a traditional brokerage is typically 2.5-3% of the sale price. On a $500,000 home, that's $12,500-$15,000 to the listing side alone.

For years, the rule of thumb was that sellers paid a combined 5-6%, splitting commission between their own agent and the buyer's agent. That changed in 2024. Under the National Association of Realtors settlement that took effect August 17, 2024, offers of buyer-agent compensation can no longer be posted on the MLS, and buyer-agent pay is now negotiated separately.[2]

In practice, sellers still often cover the buyer's agent fee, but the structure is now more explicit.

"From what I'm hearing from the agents, not much has changed. The seller still pays the buyer's agent commission; they just have more paperwork," says Kristyn Grewell, who manages agent relationships across Clever's Southeast network and previously practiced real estate in Oklahoma.

Average real estate commission rates vary by location and have begun declining in recent years. Factors like rising home prices and competition from full-service discount brokerages are making rates more affordable than ever.

What is a discount realtor?

A discount realtor is any real estate agent who charges less than the typical 2.5% to 3% commission that traditional brokerages usually charge. Discount real estate companies come at a variety of different price points and offer varying levels of service:

• Full-service discount realtors provide the same range of services and support as traditional agents but charge lower rates.

• Limited-service realtors charge low fees but provide much less support than a full-service agent.

Full-service discount realtors

Full-service discount realtors offer a similar range of services and support as agents at traditional brokerages but charge less than you'd typically pay a full-service agent.

You get the basics you'd expect: a professional valuation, high-quality photography, MLS and website advertising, open houses and showings, negotiation support, and paperwork assistance. Depending on the brand, you may also get premium extras like virtual tours and paid digital marketing.

How much do full-service discount realtors cost?

Full-service discount real estate companies come at a range of different price points. Most nationwide and regional discount realtors charge a 1–2% commission. That’s substantially lower than the standard 2.5–3% listing fee that traditional brokerages usually charge.

Getting a discounted listing fee could net you huge savings, as you can see in the table below.

What full-service discount realtors do for home sellers

Full-service discount realtors provide the same basic services you would expect from a full-service traditional realtor, including:

• A professional home valuation

• High-quality photography

• Advertising on the MLS, Zillow, and other real estate websites

• Open houses and showings as needed

• Negotiation support

• Paperwork assistance

Depending on the discount brand, they may also provide premium services like virtual home tours and paid digital marketing.

How full-service discount realtors create savings

So how do they charge less for the same work? The best brands find efficiencies rather than cutting service. Clever Real Estate, for example, connects top-rated agents at traditional brokerages with sellers at no upfront cost, which lowers what agents spend finding new clients. The agent passes part of that savings to you by charging a 1.5% listing fee instead of their standard rate.

That model only works if strong agents are willing to take the lower fee, and many are. Grewell pushes back on the idea that a discounted listing automatically means a discounted effort.

"It's often a pretty broad-brush assumption that reduced commission automatically means reduced service, and honestly I think that can be a disservice to the agents themselves," she says. "Many of these agents see discounted listings as business they may not have otherwise had. They may reduce the commission, but they still gain a property to market, a sign in the yard, and future referral opportunities. Discounting commission is a business strategy, not necessarily a reflection of service level."

The economics line up differently for different agents, which is why a good one will still take the work.

"Some agents are very focused on maximizing commission per transaction and will look at a 1.5% listing as having to sell two homes to make what they used to make selling one," Grewell explains. "Other agents value unit count just as much. Many brokerages recognize both production volume and units, so there can be real value in closing more transactions, even at a reduced commission."

Other discount companies reinvent the model entirely. Brands like Redfin and Houwzer hire their own in-house agents. They provide the same basic services as a traditional brokerage, but the experience can feel different. You may have different team members handle different stages of your sale instead of one dedicated agent, start to finish.

Limited-service discount realtors

Limited-service discount realtors offer some, but not all, of the standard services traditional brokerages provide.

How much do limited-service agents cost?

Limited-service realtors are available at various price points, but they're rarely a good value for the average home seller.

Many limited-service brands charge à la carte fees for individual services, such as listing your house on the MLS and providing paperwork assistance. The individual costs may look cheap, but they add up quickly — and you have to pay them up front. Depending on how much support you actually need, you may not end up saving much working with them compared with a full-service agent.

Other limited-service brokerages charge flat commission rates — often 1–2% of the sale price — for listing packages that may include additional services such as remote support from a licensed agent. However, plenty of discount brands offer genuine full service for similar rates (or less), so most sellers will find better dollar-for-dollar value elsewhere.

What limited-service agents do (and don't do) for home sellers

Limited-service brokerages vary widely in what services and support they provide. At a minimum, most of these discount companies offer an MLS listing, along with any other services that are required by law.

Depending on the company, it may add additional services like a professional home valuation, contract assistance, and marketing materials such as flyers or a "for sale" sign. In general, the more services the company provides, the more it will cost you.

Limited-service brokerages rarely provide you with a dedicated agent to oversee your sale from start to finish. If you have access to an agent at all, it will likely be via a customer support line — you'll typically never meet them face-to-face.

» MORE: What to know about limited-service realtors

Are discount realtors worth it?

Discount realtors can be a great option for budget-conscious home sellers, but the value depends on the company, their services, and the potential cost savings.

For most budget-conscious sellers, the answer is yes, but only with a full-service discount brand. The top full-service brands cut your commission without cutting the services and support you need to sell for the best price. A limited-service brokerage is a different story, and is too risky for most sellers because the low rate usually comes at the expense of services that directly affect how fast you sell and how strong an offer you get.

The deciding factor isn't the rate, it's whether a strong agent is actually doing the work. That's worth vetting directly.

Grewell notes that the warning sign in Clever's own data isn't a low fee, it's how the agent runs their business. The agents that get filtered out are "agents who run a large team," she says, because "these agents are most likely to funnel leads to other agents, and the connection to expectations gets watered down." When you interview any agent, discount or not, ask who will actually handle your sale day to day.

Remember that the top full-service brands offer commission savings without sacrificing the services and support you need to sell your house for the best price possible.

Listing with a limited-service brokerage is too risky for most sellers. These companies advertise cheap rates — but almost always at the expense of services that can directly affect your ability to find a buyer quickly and negotiate an attractive offer. The potential savings likely aren't worth the trade-offs unless you're an experienced home seller in a hot real estate market.

When discount realtors are not worth it

A discount model isn't automatically the cheaper path, and there are clear cases where it doesn't pay off.

The biggest one is lower-priced homes. Many discount services carry a minimum fee, and below a certain price that minimum erases the savings.

For example, Clever's minimum is $3,000, which means the effective rate on a home under about $200,000 is higher than the advertised 1.5%. Grewell is blunt about where the math stops working: "There really isn't a savings to the customer under $150,000." If your home is in that range, compare the flat dollar cost, not the percentage.

Thin agent coverage is the other issue. In some markets, there simply aren't enough participating agents to get a quality match. Grewell points to small communities near state borders, rural stretches like parts of Appalachia, and a handful of areas where local agents won't budge on standard commission rates.

"For those hyperlocal areas, we are not always a good fit," she says. If you're in one, it's worth checking a discount service and one traditional option before you decide.

Finally, watch the service model itself. If a brand routes you to a call center, hands your sale across a rotating team, or pushes à la carte fees for things a full-service agent includes, the savings may not be worth the trade-offs unless you're an experienced seller in a hot market.

The best discount real estate companies

The best discount real estate companies offer huge savings with few (if any) trade-offs compared with traditional, full-service brokerages.

Best for most sellers: Clever Real Estate

The best discount real estate company for most home sellers is Clever Real Estate. With listing fees of just 1.5%, it offers the most affordable rates of any full-service brand available nationwide.

Clever's free, no-obligation service connects you with top agents from trusted full-service brokerages like Berkshire Hathaway and Coldwell Banker. And since Clever pre-negotiates low rates on your behalf, you'll get the traditional agent experience, for a third of the price!

Best for $1 million homes: Houwzer

Houwzer is a great option if you're selling an expensive home and savings are a top priority. Houwzer charges a flat 1% listing fee, no matter what your home is worth. That pricing structure translates into huge savings on homes worth $1 million or more, though it offers less value on lower-priced homes.

Unlike Clever, Houwzer hires its own in-house agents, instead of matching you with realtors from traditional brokerages. All of Houwzer's agents provide the same basic services as conventional realtors, but you may encounter minor trade-offs — and you'll have extremely limited options when picking your agent.

Other nationwide, full-service discount companies

Redfin is a popular home search tool and full-service discount real estate brokerage. It's a well-established brand with a solid track record overall, but its 1.5% listing fee is less competitive than other low commission companies.

Ideal Agent pre-negotiates 2% listing fees with realtors at conventional brokerages. It's a great way to find a qualified agent and save on commission, but Clever offers a similar service for roughly half the price.

What type of realtor is right for me?

Full service is the right fit for most sellers because it's the surest way to get all the support a successful sale takes. The good news is that full service no longer means paying 2.5-3%. Top discount brands now deliver it for as little as 1-1.5%.

Choosing an agent is personal, so shop around. Interview agents from multiple brokerages and ask each one who will actually run your sale, how they'll price and market the home, and what's included at their fee. Then match the model to your situation: a full-service discount brand for most sellers, a flat-fee option for high-value homes, and a traditional agent if you're in a thin market or want one dedicated person from start to finish.

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Why you should trust our advice

This article was written by Trent Seigfried and reviewed by Steve Nicastro, Managing Editor at Clever Real Estate. Steve isn't writing about this from the outside. He was a licensed real estate agent in Charleston, SC, from 2019 to 2022 with $6 million in closed transactions, and he has personally bought and sold more than 30 homes as an agent, an investor, and a for-sale-by-owner seller.

In September 2024, he sold his mother-in-law's two-bedroom condo in Charleston without a listing agent, paying a 2.5% commission to the buyer's agent on a $250,000 sale and saving the listing-side fee outright. That mix of full-service, discount, and DIY experience is the lens we use to judge whether a lower commission actually costs you anything.

We don't rank these companies by who spends the most on advertising. We rank them by which option keeps the most money in your pocket without costing you the sale.

To pressure-test how the low-commission model holds up in the real world, we interviewed Kristyn Grewell, who manages agent relationships across Clever's 40-market Southeast network and tracks signed-agreement and meeting rates across thousands of seller matches. Grewell previously practiced real estate in Oklahoma, so she sees both the agent's economics and the seller's outcome. Her candor about where the model doesn't pay off, like homes under $150,000 and thin rural markets, shaped the honest "when it's not worth it" guidance in this guide.

Our commission figures come from Clever's nationwide survey of real estate agents.[1] The 2024 rule changes are sourced directly from the National Association of Realtors.[2]

Company ratings reflect verified customer reviews aggregated across Google, BBB, Trustpilot, Yelp, and Zillow, weighing patterns across hundreds of reviews rather than one-off complaints.

One more thing worth stating plainly: List With Clever is owned by Clever Real Estate, which we rank first. We applied the same criteria to Clever as to every other company here, we earn the same referral fee no matter which service you choose, and we call out where competitors beat Clever. You should weigh that ownership relationship when reading our recommendations.

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