In San Diego, one of the nation’s most expensive housing markets, Redfin has lowered its listing fee to 1 percent in an effort to save home sellers some money on commission costs.
The Los Angeles Times reports that the typical listing fee is 2.5 percent, and that Redfin’s previous rate in San Diego was 1.5 percent. Redfin rolled out a similar 1 percent plan in Washington D.C. a few years ago.
Since the median priced home in San Diego is $525,000, a 1 percent listing fee could save nearly $8,000.
Redfin’s business model is a bit different than other real estate agencies. Redfin agents receive salary and benefits rather than a commission.
Redfin said its fees cover the same services offered at traditional agencies, including free professional photography, open houses (as many as necessary), online marketing, print brochures and a 3D walk-through online tour.