Redfin extends 1 percent listing fee to 18 more markets

by Rincey Abraham

Redfin has extended its 1 percent listing fee to 18 more markets this week. Approximately 80 percent of Redfin’s home-selling customers will only pay 1 percent of the final sale price, depending on the market.

Redfin tested out the 1 percent listing fees in a handful of cities, including Chicago, Denver, Seattle and Washington, D.C. Some of the new markets include Los Angeles, Boston, New York City and Houston. Redfin will continue to offer a 1.5 percent listing fee in other markets.

This fee does not include the buyer’s agent commission, which is often paid by the seller. Redfin reports that the lowered listing fee is offset by the reduction of the Redfin refund for buyers in the new 1 percent listing markets. Buyers will continue to see the amount of the refund on the home listing page.

Additionally, there is a minimum fee requirement, which ranges from $3,000 to $5,500 depending on the individual market.

“This pricing better reflects how our customers want to pay a real estate agent,” said Redfin CEO Glenn Kelman. “Especially in today’s hot market, the most value-conscious customer is the one selling, not buying, a home. We first tried shifting more savings from buyers to sellers nearly three years ago, with 1 percent 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.”

Market Minimum Payment
CA – Inland Empire $3,500
CA – Lake Tahoe $3,000
CA – Los Angeles $5,500
CA – Orange County $5,500
CA – Sacramento $3,500
CA – San Diego $5,000
CO – Denver $3,000
DC – Washington, D.C. $4,500
HI – Statewide $4,500
IL – Chicago $3,000
MA – Boston $4,500
MD – Statewide $4,000
NJ – Statewide $3,500
NV – Reno $3,000
NM – Statewide $3,000
NY – Hudson Valley $4,500
NY – Long Island $4,500
NY – New York $4,500
OR – Portland $3,500
RI – Statewide $3,000
TX – Austin $3,000
TX – Dallas $3,000
TX – Houston $3,000
VA – Northern Virginia $4,500
WA – Seattle $4,500