Jovio is a Texas-based real estate brokerage that advertises low commission rates and a simplified sales process.
However, sellers need to carefully read the fine print to fully understand what they're getting themselves into. In many cases, selling a home with Jovio can end up being just as expensive, if not more expensive, than selling with a traditional realtor.
If you want to save money on your next home sale, Clever Real Estate can help. When you sell with Clever, there's no guesswork about what you'll pay to list your home: you'll work with a dedicated, top-rated, full-service realtor who will sell your house for $3,000, or 1% if it sells for more than $350,000.
Get in touch to schedule a free, no-obligation consultation with a top agent near you and learn how Clever can save you thousands on your next home sale.
For now, here's what you need to know about selling your home with Jovio.
What is Jovio?
Jovio is a technology-driven real estate brokerage that provides sellers with online tools to list their home as well as occasional assistance from a licensed realtor. Currently, Jovio operates in three Texas metro areas: Austin, Houston, and San Antonio.
When listing your home with Jovio, you'll get an MLS listing, access to remote real estate assistance, and a listing on Jovio.com. You'll also have access to Jovio's online seller dashboard, where you can schedule showings and see how many views, clicks, and impressions your listing is getting using Jovio's analytics.
One of Jovio's biggest draws is its 1% commission fee and $495 setup fee — much less than a traditional realtor's 3% commission. However, reading the fine print reveals that this only applies in some situations, and that homeowners selling lower value homes can sometimes end up paying as much as 4.5% in commissions for their listing agent alone.
Why Use a Discount Broker
Discount brokers can provide significant savings over a traditional realtor. Whereas a traditional listing agent's commission fees typically work out to 3% of the home's closing price, discount brokers generally charge rates between 1-2% of the final sales price.
In most cases, a discount broker will offer limited services for this reduced rate, but there are some discount brokers who offer full-service treatment just like a traditional realtor.
If you find a discount broker that gives you everything you need, you'll walk away from your sale with thousands of dollars in savings.
However, if you work with a realtor who doesn't provide the level of service and guidance you need, you can end up feeling lost or stressed out during the selling process — and sometimes you end up selling for much less so there are no real savings at all.
What to look for in a Discount Broker
When considering whether to work with a discount broker, you need to be sure you understand exactly what you're getting and at what price.
Most discount brokers justify their reduced rates with a limited range of services. Whereas a traditional, full-service realtor will perform a comparative market analysis, list your home on the MLS, negotiate on your behalf, and give you guidance every step of the way, a discount realtor may only offer a few of these services or toned down versions of them.
For example, some brokers, like Jovio, may provide negotiation assistance and advice, but won't actually negotiate face-to-face with a buyer like a full-service agent would.
Jovio advertises a 1% commission rate, but upon reading the fine print, you'll notice there's a high minimum commission that can actually end up costing you more than a traditional, full-service realtor on some home sales.
To avoid these issues, make sure you read all the fine print and understand exactly what will and won't be provided throughout the selling process.
How does Jovio work for sellers?
Selling with Jovio is straightforward:
- Schedule a property visit: A realtor from Jovio will visit your property to advise you on how to price your home.
- Prepare your listing: You'll go through Jovio's onboarding process, during which you'll set a date to take professional photographs of your home for your listing, provide information about your home, and decide when you want your listing to go live.
- Wait for offers: Once your listing is live, you'll wait for offers to start coming. You can monitor your listing's performance from your dashboard with Jovio's analytics tools, and you can get in contact with your Transaction Coordinator for advice on your listing. Additionally, your dashboard will allow you to schedule showings.
- Close: Your Lead Agent will go over any offers you've received, your Transaction Coordinator will schedule an inspection, and your Lead Agent will offer advice on how to negotiate. After approximately 30 days, you'll close on your home.
What does selling your home with Jovio cost?
Sellers pay 1% of their home's closing price and a $495 setup fee.
However, there's a $3,995 minimum commission fee. Combined with the $495 setup fee, that means you have to pay at least $4,490 for your listing.
Furthermore, that means that unless your home sells for at least $449,000, you won't actually be paying 1%.
Considering that the 2019 median home value in Texas according to Zillow is only $198,100, most people selling with Jovio will not be paying 1%. In fact, based on the median home value in Texas, you'll likely pay somewhere around 2.3%.
Keep in mind that as many as 49% of homes in Texas will sell for less than the median, so you could end up paying much more — if your home sells for $100,000, you'd pay 4.49% just in listing agent fees.
Also, don't forget that you'll still need to pay the buyer's agent's commission as well, which is another 3%, and you'll also need to pay an additional 1-3% in closing costs.
Benefits of Jovio
Jovio offers a couple of benefits to sellers. Let's take a look at them.
Lower Commission Fees
If your home sells for more than $449,000, you'll pay a very low percentage of your home's sales price in broker fees. When you sell above this price point, you'll pay 1% compared to the 3% of a traditional realtor.
However, remember that if you sell for anywhere around the 2019 Texas median home value, you'll actually end up with a commission rate closer to 2%.
Simple, Streamlined Process
Jovio's streamlined listing process makes selling quick and easy. The steps are clearly laid out, and you can access and manage your listing straight from your Jovio dashboard.
Potential Drawbacks to Jovio
Before signing on with Jovio, make sure you're aware of some of the downsides to their listing services.
As of October 2019, Jovio is only available in three Texas metro areas: Austin, Houston, and San Antonio. The brokerage plans to expand into the Dallas-Fort Worth area, but that's still in the works.
When you sell with Jovio, buyers will know you're using a discount agent because the sign in your yard will clearly say Jovio. Because of this, buyers may expect you to pass on those savings to them in the form of a lower sales price.
If you're a keen negotiator, you might be able to handle these requests, but there's no guarantee the buyers will back down. Since your Jovio agent won't personally negotiate on your behalf, this can easily become a stressful situation that loses you thousands of dollars.
As of October 4, 2019, Jovio has 5-out-of-5 star rating on Yelp (18 reviews).
Choosing the Right Discount Agent for You
Finding a discount real estate agent is no easy task — most brokers are not transparent about their fee structure, and it's not always clear what exactly you'll be getting for the price. Not to mention that many brokers lack that personal touch that's so important when you're selling something so deeply personal — your home.
Working with a top performing agent that you feel comfortable with is important, and that's why Clever Real Estate let's you interview as many agents as you want before making a decision. And since our agents work at the top brokerages in the country (think Keller Williams and Century 21), buyers will never know what you're saving on commissions.
When selling with Clever, you pay $3,000 for your listing, or 1% if your home ends up selling for more than $350,000, and you get a dedicated, full-service realtor who will be there for you every step of the way. It's that simple.
Want to learn more about how you can save with Clever? Get in touch to schedule a free, no-obligation consultations with top-rated realtors near you.