Redfin, the online real estate brokerage, announced Monday that it is launching a widespread expansion of 1% listing fees, bringing the lower fees to 18 new markets.
The nationwide rollout follows successful tests of lower listing fees in markets like Washington, D.C., Chicago, and Seattle.
According to Redfin, approximately 80% of Redfin’s home selling customers will pay Redfin just 1% of the final sale price, subject to a minimum of between $3,000 to $5,500, depending on the market.
“This pricing better reflects how our customers want to pay a real estate agent,” Redfin CEO Glenn Kelman said.
“Especially in today’s hot market, the most value-conscious customer is the one selling, not buying, a home,” Kelman continued. “We first tried shifting more savings from buyers to sellers nearly three years ago, with 1% pricing in Washington, D.C., and then later in four other markets, and our overall share gains in those markets have outpaced other Redfin markets.”
Redfin previously offered a 1% listing fee in Baltimore, Chicago, Denver, San Diego, Seattle, Washington, D.C., and Northern Virginia.
Now, the company will offer a 1% listing fee in markets like Los Angeles, Boston, New York, as well as the following markets:
Inland Empire, California
Lake Tahoe, California
Orange County, California
New Jersey (statewide)
New Mexico (statewide)
Hudson Valley, New York
Long Island, New York
Rhode Island (statewide)
In all other markets where Redfin operates, the company will offer 1.5% listing fees.
“Offering the Redfin home-selling experience for just a 1 percent listing fee builds on Redfin’s mission to make real estate better for consumers,” said Karen Krupsaw, senior vice president of real estate operations. “We are addressing every pain point for sellers-- not only the cost of selling a home-- but the challenges of setting the right price, getting the property ready to list, making a strong debut on the market and keeping track of logistics and paperwork.”