|❓ What is a 2% real estate commission ❓
A 2% real estate commission is a discounted rate offered by some seller’s agents to cover the costs of listing, marketing, and closing the sale of a home. The typical seller’s agent fee is 3%.
Some listing agents advertise 2% real estate commissions in contrast to the standard 3% — but are discount fees worth the potential trade-offs?
The best 2% real estate brokers offer discounted rates and comprehensive, high-quality services. Some discount brokerages and agent matching services, like our top pick, Clever Real Estate, offer commission rates even lower than 2% without skimping on quality.
Read on to discover which 2% brokerage is the right fit for you.
Where to Find Realtors Who Charge 2% Commission (or Less!)
|Home Bay Rating
🥇 Best Overall
Clever Real Estate
1.5% ($3,000 min. fee)
2% ($3,000 min. fee)
1.5% (min. fee varies)
26 states + DC
1.5% (min. fee varies)
12 states + DC
Some 2% commission realtors offer the level of service you’d expect from a traditional agent, but others skimp on service to cut costs. The best options include a full suite of listing and marketing services, regardless of the fee.
Here are some of the top-rated real estate companies that offer a 2% commission fee or less.
Clever Real EstateLearn More
Clever Real Estate is the best option for most sellers who are looking for a low commission realtor. Clever matches you with multiple full-service agents from local brokerages, including top brands like Keller Williams and RE/MAX. You can interview as many agents as you’d like until you find the right fit, or you can walk away at any time. If you choose a Clever agent, you’ll pay a low 1.5% listing fee.
- You get matched with top-producing local agents in minutes.
- You get a 1.5% listing fee (half the usual rate) no matter which real estate agent you choose.
- Clever’s agent matching service is free, with no obligation to commit to any realtor.
- Clever’s network of 19,000 agents offers great selection compared to similar services like Ideal Agent and UpNest.
- There’s no guarantee you’ll get matched with a specific local agent or brokerage.
- Add-ons like professional home staging and drone photography may cost extra (agents will let you know exactly what’s included during listing presentations).
Clever Real Estate offers a lower commission without sacrificing quality. Through its free service, you can find top-rated agents in your area and sell for just a 1.5% listing fee (much lower than the average realtor commission rate).
How it works: You take a short online quiz (five questions) to help Clever understand your situation and preferences. Then Clever matches you with vetted agents in your market who are a good fit. If you don’t like the agents Clever recommends, you can request more matches until you find the right fit — or simply walk away.
Why it’s great: You can use Clever to compare top-producing local realtors from major brands like Compass, Century 21, and Coldwell Banker. Each realtor in Clever’s network has agreed to offer lower commission rates, which lets you focus on choosing the best agent instead of worrying about the price. You get the same savings no matter what.
Ideal AgentLearn More
Ideal Agent is another good option for home sellers who want to find a low commission real estate agent. Its 2% listing fee offers decent savings, and it has a strong track record of matching sellers with top-producing agents. The quality of its agent network makes it a better option than discount real estate brokerages like Redfin and Houwzer.
However, Clever Real Estate’s similar agent matching service gives most sellers much better overall value than Ideal Agent. Clever has lower rates, the ability to compare multiple agents, and better coverage outside of major cities.
Our recommendation: Start with Clever Real Estate, and if you don’t find an agent you like, try Ideal Agent next.
- Ideal Agent works with only top-producing agents.
- Ideal Agent’s agent matching service is free with no obligation.
- It offers 2% listing fees.
- The limited agent selection makes it hard to compare options.
- Ideal Agent often doesn’t have agents in smaller towns and rural areas.
- It’s more expensive than other low commission brands.
Ideal Agent is an agent matching service. It pre-negotiates 2% listing fees with vetted, conventional realtors across the country. However, Ideal Agent has a small network of 2,000 agents, and it provides only one agent match. Not being able to compare multiple agents is a pretty big drawback, since the agent the service matches you with might not be the right fit for your unique situation.
UpNest makes our list because it provides an easy way for home buyers and sellers to get matched with real estate agents online. The service is free and presents agent options in a user-friendly format.
UpNest is best for sellers who prioritize finding an experienced, quality agent over saving on commissions. It’s also a decent option for buyers who want to explore commission rebates in their area. However, potential savings are inconsistent and minimal compared to other low-fee brokerages. Home buyers and sellers who want guaranteed commission discounts should consider other alternatives.
- It’s easy to get matched with real estate agents.
- The service is free for buyers and sellers to use.
- Users can easily compare agent profiles, commission rates, experience, and reviews.
- Commission discounts for sellers are inconsistent and minimal compared to other low-fee brokers.
- Rebates for buyers may be restricted depending on location.
- Customer service can be lacking, and you might not get your questions answered.
UpNest is a real estate brokerage that matches home buyers and sellers with local agents. The service is free to use. UpNest makes money by charging its agents a referral fee on closed deals.
Unlike other low commission brokerages, UpNest doesn’t pre-negotiate commission discounts. Agents set their own rates, so savings are inconsistent. The company matches customers with agents online by having users enter property and timeline details. Users can then compare agent profiles, including their experience, rates, and reviews.
Redfin is an established discount brokerage that offers solid savings compared to what most realtors charge. Its platform offers some useful tech extras, and you can potentially save more through buying and selling with Redfin.
But while Redfin gets you a lower commission and could get you a good sale outcome, it can be a risky choice if you don’t research its agents carefully. Not all of Redfin’s agents are high quality, and many are relatively inexperienced. If you’re interviewing a Redfin agent, compare them against a few other low commission real estate agents in your area to ensure you hire the most qualified agent for your budget.
- You get a 0.5% listing fee refund if you also buy with Redfin within 12 months.
- Redfin offers a few legit extras, like a 3D walkthrough and premium placement on Redfin’s home search tool.
- The 1.5% listing fee offers solid savings.
- Redfin agent quality and customer service are spotty.
- You have limited agent selection compared to other companies.
- Redfin’s minimum fees are very high in some markets.
Redfin is one of the more established discount brokerages. Its 1.5% listing fee offers legit savings compared to what most realtors charge. But those savings bring some potential risks.
Redfin agents typically handle three times more deals at once than the average realtor, which may explain the common customer complaints about bad service. And while Redfin has some solid agents, many others are inexperienced and just starting their real estate careers.
With only a few thousand agents nationwide, Redfin may provide only one or two options to choose from in your area. Its minimum fees also vary by market — some exceed $8,000. So depending on your location and your home’s value, you could end up paying more than the advertised 1.5%.
If you’re selling a house in one of Prevu’s markets, it’s worth a look. Like Redfin, its 1.5% listing fees are solid (although the minimum fees are higher than other brands), and the potential buyer savings are great if you qualify.
Prevu has limited agent selection and availability (12 states and Washington, DC). You’ll want to compare Prevu agents with low commission realtors from other brands to make sure the agent pool is extensive enough to find the right fit.
- Home sellers get a 1.5% listing fee.
- Home buyers can get up to 2% back after closing.
- Prevu offers limited agent selection.
- Prevu charges high minimum fees for sellers (though higher-end homes likely won’t be affected).
Prevu Real Estate is a regional discount real estate brokerage. It currently operates in select higher-end markets across the U.S. The company primarily focuses on home buyers and offers a pretty substantial commission rebate. But it also offers discounted 1.5% listing fees for home sellers.
How Does a 2% Real Estate Commission Work?
A realtor commission is the pay a real estate agent receives in exchange for selling a home or representing a buyer. Real estate commissions typically add up to 6% total, with 3% going to the seller’s agent and 3% going to the buyer’s agent.
A 2% realtor or brokerage charges a 2% listing fee instead of the typical 3% rate. As a seller, you’ll still be responsible for paying the buyer’s agent commission, so your overall commission will be around 5%.
What You Can Save with a 2% Commission Realtor
The 1% you save with a 2% commission realtor may not seem like a big deal, but 1% of a home can equal thousands of dollars. Here’s what you can expect to save with a 2% commission realtor compared to a 3% conventional listing fee.
2% Real Estate Commission Savings
|3% Listing Commission (Standard)
|2% Listing Commission (Discounted)
How to Negotiate a Real Estate Commission
Negotiating realtor fees could save you thousands of dollars, so it’s always worth a try. A seller’s agent may be willing to reduce their 3% commission for a number of reasons, including if your home will sell quickly or it has a high listing price.
Get the most from your commission by following these real estate commission negotiation tips:
- Interview multiple agents to find one that meets your needs, is familiar with the market, and has a record of selling homes similar to yours.
- Familiarize yourself with the local real estate market.
- Let the agent know if you are a real estate investor who plans to purchase multiple homes in the near future.
- Instead of asking for a reduced rate, ask for additional services like free staging, virtual tours, and other perks that aren’t always included.
As you negotiate with real estate agents, keep in mind that they may not choose to work with you if they feel a lower rate won’t adequately cover their services.
How to Find a 2% Commission Realtor
To find a 2% commission agent in your area, research and compare local brokerages and agent matching services based on these factors:
Look into the total cost of each real estate agent you’re considering, including the advertised commission and minimum fees charged by the broker or platform. Also evaluate whether you’ll be charged up-front fees prior to listing. This can be a red flag, since most reputable agents cover up-front costs like marketing expenses out of pocket.
When choosing a 2% commission realtor, look for a full-service provider who offers the same services as a traditional agent. Many discounted services offer limited service and skimp on in-person support in order to cut costs.
One-on-one service can be the difference between selling your home quickly and letting it sit on the market, so choose an agent that’s hands-on and committed to marketing your property effectively.
Research each agent’s reputation by reading online reviews and, if possible, connecting with people who have worked with the agent. Interview each agent to evaluate their experience and sales record in your market and at your home’s price point.
Some 2% commission platforms don’t give you the ability to choose your own realtor — or they match you with only one agent. But remember that you don’t have to commit to the first agent you find. In fact, it’s best to interview at least two to three.
If you want to find local realtors but don’t want to do all the research yourself, try working with Clever. Clever finds top agents in your area for you and pre-negotiates a 1.5% listing fee.
Best of all, you’ll still get full service from agents at top-performing brokerages like Keller Williams, Coldwell Banker, and RE/MAX. Interview as many agents as you’d like for free, or walk away at any time — there’s no obligation to move forward with an agent.
FAQ about 2% Commission
How much commission do realtors make?
Real estate commission is typically around 6% of the home sale price, half for the buyer’s agent and half for the seller’s agent. As the real estate market becomes more competitive, some agents or brokerages are offering lower commissions of 1–2%. Learn how to find a low commission real estate agent.
What is a 2% real estate commission?
A 2% real estate commission refers to a discounted seller’s agent fee that saves sellers money on their home sale. It’s 1% lower than the typical 3% commission. Some real estate companies offer 2% commission, while others offer even lower fees. Find the best 2% commission realtors near you.
Who pays realtor fees?
Traditionally, the seller pays the commissions of both the seller’s agent and the buyer’s agent, for a total fee of 6% of the home sale price. But you can negotiate the listing fee with your agent. Read tips for how to negotiate a real estate commission.