🚨 Rex Real Estate is no longer in business
Rex was a discount real estate brokerage that operated from 2015 until it shut down in 2022. While many older reviews still appear online, the company no longer lists or sells homes. This article explains how Rex worked, why it failed, and what today’s home sellers can learn from its approach.
Rex Real Estate was a discount real estate brokerage that shut down in 2022 following company layoffs.[1]
The company aimed to disrupt traditional real estate by cutting agent commissions and relying heavily on technology and salaried agents rather than the MLS.
While Rex no longer operates, its rise and fall may offer useful lessons for home sellers considering alternative real estate models. Our review explains how Rex worked, what sellers liked and disliked about the service, and what today’s sellers could learn from its approach.
What Rex Real Estate was
Rex Real Estate was a discount real estate brokerage. At the peak of its business, Rex positioned itself as a tech-first alternative to traditional real estate agents, promising lower fees and a more modern home-selling experience.
Rex did this by offering to sell your house for a total commission of 2.5%, compared with the 5-6% average real estate commission real estate agents typically charge.
Instead of listing homes on the MLS and cooperating with buyer agents, Rex tried to sell homes directly to buyers using online marketing and in-house agents.[2]
The idea was simple: cut out the middleman, reduce commissions, and pass the savings on to sellers. On paper, it sounded appealing. But, in practice, it came with tradeoffs that not every seller expected.
How Rex Real Estate worked
Rex handled home sales very differently from most brokerages sellers were used to.
Again, its homes typically weren't listed on the MLS. The MLS, or Multiple Listing Service, is the shared database real estate agents use to list homes for sale and see each other’s listings. This was a very unorthodox approach, considering that 88% of all sellers listed their home on the MLS.[3]
Instead, Rex relied on digital ads, its own website, and internal buyer leads to generate interest. Agents were salaried employees rather than commission-based, and each agent often worked with many clients at once.[4]
This structure helped keep costs down, but it also meant less exposure and, in some cases, less personalized support.
What sellers liked about Rex
Some sellers genuinely liked the Rex experience. For example, in 2022, the company had a weighted average rating of 4.7 out of 5 based on over 1,000 public reviews.
Common positives from its online customer reviews included:
- Lower advertised listing fees
- A modern, tech-driven process
- Salaried agents who weren't motivated by commission upsells
For sellers in very hot markets, especially those confident in their home’s appeal, the model sometimes worked well enough.
Where sellers ran into problems with Rex
Other sellers had a tougher experience working with Rex. The most common online review complaints involved:
- Limited buyer exposure without MLS listings
- Fewer showings compared to agent-listed homes
- Agents juggling high volumes of clients
- Weaker negotiation leverage without buyer agent participation
These issues became more noticeable when the market cooled and buyers had more options.
Rex's legal challenges and industry pushback
As Rex tried to expand nationwide, it faced pushback from the real estate industry. That tension eventually spilled into a series of high-profile lawsuits.
Rex sued both Zillow and the National Association of Realtors, arguing that industry rules and listing practices made it harder for non-MLS brokerages to compete. A big part of the dispute focused on how non-MLS listings were displayed online and whether that limited their visibility to buyers.[5][6]
In the end, the courts rejected Rex’s antitrust claims. While the cases highlighted ongoing debates over competition and listing access, they also added to legal costs and uncertainty at a time when Rex was already struggling to scale and operate profitably.
Why Rex Real Estate shuttered operations
Rex closed its doors in 2022 after struggling to scale its model. While the company never pointed to a single reason, several challenges were hard to ignore.
Rex faced rising marketing costs, legal and regulatory pressure, and increasing difficulty competing with MLS-based listings.[7] As markets shifted, the limitations of an agent-light, non-MLS model became harder to overcome.
What can sellers today learn about Rex's failures?
Rex’s story is a reminder that lower fees do not automatically lead to better outcomes for home sellers.
Saving on commission can matter, but there are more important things to consider, such as exposure, pricing strategy, negotiation support, and agent availability. Many sellers discovered that limited visibility and stretched-thin agents could cost them time or even on sale price.
The takeaway isn't that discount models are bad, but that how those savings are achieved really matters.
Best Rex alternatives of 2026
Rex tried to lower costs by cutting out the MLS and minimizing agent involvement. Today’s best alternatives take a more balanced approach: they focus on lower fees without sacrificing exposure, support, or buyer demand.
Competitors like Redfin, Clever, and Ideal Agent offer a time-tested approach to savings. By offering discounted listing fees, sellers can save money while still offering a competitive fee to the buyer's agent, ensuring their homes get as much visibility as possible.
Unlike Rex, all of these companies keep MLS exposure front and center. That means more buyer traffic, stronger competition, and better odds of selling at market value, even if the total commission ends up being slightly higher than Rex’s former pricing.
Find more REX alternatives near you
Clever, Redfin, and Ideal Agent are the best nationwide alternatives to REX, because they all offer bigger savings and better service without any of the risks. But depending on where you're located, there may be regional companies worth considering as well. Check out the other discount real estate services available in your area to find the best real estate agent for your needs and budget.
