Flat Fee MLS Listing Companies: Everything You Need to Know

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  Written by Michael Warford

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  Edited by Jessica Johansen

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  Reviewed by Nicole Beauchamp

👉 Sections: Flat fee MLS companies by state | Alternatives | Drawbacks | Benefits | Best flat fee MLS companies | FAQ

A flat fee MLS listing company gets you on the multiple listing service (MLS) — the main directory of homes for sale used by realtors and sites like Zillow — for a flat fee, typically between $100 and $400. That way, you avoid paying a percentage-based commission to a listing agent, which is on average 2.72% of your final home sale.

The savings you get from flat fee listings can come at a cost, though.

With a flat fee MLS listing service, you’ll largely act as your own realtor, so expect to put in a lot of time and effort. And you could still be disappointed with the savings. Homes sold by owner tend to sell for less, and some flat fee MLS services charge hidden fees at closing.

If you’re thinking of using a flat fee MLS listing service, a great alternative is using a low commission realtor. They’ll handle the entire sale process for you, but you’ll still save big on commission fees.

For example, Clever Real Estate negotiates low 1.5% listing fees with top realtors at brokerages like Keller Williams, Berkshire Hathaway, and RE/MAX. You’ll get the dedicated service of a great local agent, but pay a fraction of the 3% commission agents typically charge. Learn how Clever can help you save thousands on your sale!

Can you really save with a flat fee MLS listing service?

If you have experience in real estate and are comfortable pricing and negotiating, a flat fee MLS service could save you money on realtor fees.

But if you’re not confident going toe-to-toe with a more experienced realtor, you risk losing money on your home sale. On average, homes sold without an agent sell for significantly less, so any savings you get from the lower listing fee may be negated by the lower sale price.

Only 8% of homes are successfully sold for sale by owner (FSBO) — and in half of those cases, the seller already knows the buyer.

Fortunately, selling without a realtor isn’t the only way to save money on listing fees. A growing number of real estate brokerages offer legit alternatives to flat fee MLS companies — providing similar savings without the risk.

With Clever, for example, you can get a top local realtor without paying traditional prices. Clever’s listing fee of 1.5% is a fraction of the 2.5–3% traditional real estate agents charge. You’ll save thousands AND get the reassurance of having a pro on your side.

Flat fee MLS listing without a realtor: Pros and cons

Drawbacks of a flat fee MLS listing

👎 Your house may sell for less

Studies show that FSBO homes sell for anywhere from 5.5% to 26% less than agent-represented homes. By comparison, the average fee collected by a listing agent is 2.5–3%, meaning your savings on realtor fees could be negated by a lower sale price.

Real estate agents can price homes effectively by performing a comparative market analysis (CMA), which is based on data from the multiple listing service (MLS). Only people with an active real estate license can access the MLS.

People without access to the MLS often struggle to price their homes correctly. Less-experienced home sellers may also have difficulty negotiating contingencies, closing costs, and repairs with the buyer.

If you want to save money without the risk of selling for less, we recommend working with a low commission real estate company, like Clever Real Estate. You’ll still save money on realtor commission, but you’ll have a full-service real estate agent to help you get the best price for your home.

💰 Save money with Clever and still get a top agent 💰

👎 You won’t save on buyer’s agent commission

Even if you don’t sell with a listing agent, you’ll still likely have to pay a buyer’s agent commission, which averages about 2.65%. 

In a recent survey by Clever Real Estate, nearly half of sellers incorrectly believed that buyers pay the real estate commission. But the seller almost always pays the real estate commission for both the seller’s and buyer’s real estate agents.

Sellers offer a buyer’s agent commission to incentivize agents to show their house to buyers.

Since 90% of buyers use an agent, if you don’t offer a competitive buyer’s agent commission, you might struggle to find a buyer and sell for the price you want.

👎 You could face legal risks

Legal risks increase when you don’t have a real estate agent. In most states, liability in a home sale falls on the seller. That means you’ll have to disclose known defects with the home. Failing to do so could leave you open to legal or financial risks later on.

For example, if you fail to disclose a leaky roof, the buyer could hold you liable for the costs of the repairs and even take you to court for your failure to disclose them.

Legal risks can also make it harder to find buyers. Our Data Center’s recent survey of home buyers found that fear of legal risks was the number one reason why they’d refuse to buy a FSBO home.

Even if you get a lawyer to help with closing, that doesn’t usually protect you from liability claims. While a lawyer can help with paperwork, it’s not typically their job to make sure you’ve disclosed everything you’re supposed to. Your best bet for ensuring you meet your disclosure obligations is hiring a real estate agent.

Finally, while some states have “buyer beware” laws where sellers face fewer legal risks, even in these states you still have some legal obligations about hazards and defects that you must disclose. For example, federal law requires sellers to disclose the presence of lead paint, regardless of which state they live in.

👎 Selling without a realtor is a lot of work

Selling a house is a full-time job, and if you’re using a flat fee MLS company, you’ll essentially be acting as your own agent. Many sellers who choose to sell without a realtor often find that the amount of work is the biggest challenge.

For example, according to our own Data Center’s 2022 survey, the most challenging aspects of selling a home according to sellers are:

• Preparing a house to sell (30%)
• Pricing a house correctly (20%)
• Finding a qualified real estate agent (19%)
• Attracting buyers (11%)
• Negotiating with buyers (10%)
• Filling out paperwork (8%)

A flat fee MLS listing service typically doesn’t help address any of these issues, which are traditionally handled by a real estate agent. For that reason, if you’re worried about having the time or ability to tackle any of the above issues, you’re probably better off with a realtor. Otherwise, you may find yourself overwhelmed by the amount of work.

Benefits of a flat fee MLS listing

👍 You’ll pay less in commission

The biggest advantage of a flat fee MLS listing company is that you can avoid paying a seller’s agent commission, which is currently 2.72% on average. On a home sale, that can add up to thousands of dollars. In contrast, the cost to list on your local MLS without a realtor is only a few hundred dollars.

Don’t forget that although you can avoid the seller’s agent commission, chances are you’ll still have to pay the buyer’s agent commission, which is currently 2.65% on average. Failing to offer a competitive buyer’s agent commission could make your house extremely difficult to sell.

👍 Flat fee MLS companies may work for experienced sellers

If you have experience selling homes, then there are likely fewer risks with using a flat fee MLS listing service for you than for most people. That experience comes in handy when overcoming some of the drawbacks of a flat fee MLS listing provider since you’re less likely to feel overwhelmed by all the work.

Sellers who have experience with marketing homes, know how to price them fairly, and are comfortable negotiating with buyers may get by fine without the services of a listing agent.

Also, if you’d prefer taking a more DIY approach, then a flat fee MLS listing service may be better suited to you. You’ll have total control over who you show your property to, how high or low you’re willing to price it, and your timeline for selling.

👍 In hot markets, desirable properties can sell themselves

A flat fee MLS listing service also has benefits if you live in a particularly hot property market where homes “sell themselves.” Because homes in such markets are almost guaranteed to sell, there is less need for a realtor to help market your home.

However, even in a hot housing market, you should still only list on the local MLS by yourself if you already have experience selling a home.

You may have little trouble finding buyers and getting competitive offers. But other aspects of the sale, like paperwork and ensuring you’ve met your disclosure requirements, can cause problems for inexperienced sellers no matter how favorable the market is. In that case, you’re better off hiring a discount realtor to avoid costly mistakes.

Flat fee MLS listing companies in your state

Nationwide flat fee MLS listing service providers are available in most states, but some companies offer more limited coverage. To see what flat fee MLS services are available where you live, click on your state below.

What are the best flat fee MLS listing services?

The best flat fee MLS provider — or, rather, the best of the worst since all of these companies come with big risks — depends on what you’re looking for, where you live, and your experience selling homes.

If you’re interested in going the extreme DIY route, then a service that only offers an MLS listings and nothing else is probably the most cost effective option. But if you need even a few extras, like key boxes, disclosure forms, or closing assistance, you’ll want a company that offers a more comprehensive package.

And remember that many flat fee MLS companies only operate in certain states, so check out what’s available in your state to find the service that’s best for you.

» MORE: Read our full Beycome review

» MORE: Read our full Fizber review

What does an average flat fee MLS service offer?

Flat fee MLS companies offer a way for you to list on the MLS for a flat fee when you’re selling your house. While some throw in other very basic extras, the actual MLS listing is typically all you get unless you opt for an upgraded package. 

More expensive packages or pricing tiers may include services like: 

• Marketing on social media sites 
• Staging help 
• Professional photography 
• Pricing advice for your area
• Negotiation support with buyers
• Help with closing paperwork

These upgraded packages are rarely a good value. If all you’re looking for is an MLS listing, you’ll probably want to steer clear of these upgraded packages. And if you do need additional support beyond a simple MLS listing, you’re better off going with one of the companies that we’ll cover in the next section.

Alternatives to flat fee MLS providers

For most sellers, a discount real estate broker — like Clever or Redfin — is a better option. With a discount real estate broker, you’ll still get all the advantages of having your own agent, but you won’t have to worry about paying full price.

While discount brokers are usually more expensive than flat fee MLS services on paper, in the long run they could save you more money. Unlike when you list on the MLS without a realtor, your agent will help with marketing, pricing, and negotiations, all of which can result in a higher sale price.

Clever offers better service and great savings

If you’re looking to save money, but you’re worried that a flat fee MLS service presents too many risks, our friends at Clever offer the best alternative.

With Clever, you’ll still get significant savings and your own full-service real estate agent — all for just a 1.5% listing fee. While that’s higher than the typical flat MLS listing fee, most flat fee MLS companies also don’t provide you with your own agent.

Redfin is a recognizable brand with some savings

Redfin offers a standard 1.5% listing fee that can represent significant savings compared to the national average of 2.72%. And the rate can be lowered if you sell and buy with Redfin. However, Redfin utilizes a team-based approach, meaning that instead of having a single agent handle most of your transaction, different members of Redfin’s team will handle different stages of your sale.

» MORE: Read our full Redfin review.

Houwzer provides savings for high-value homes

Houwzer offers a flat fee of $5,000 as opposed to the average 2.72% charged by traditional real estate agents. That makes it a good option if you’re selling a high-value home — typically above $500,000 — where Houwzer’s flat-fee would represent less than 1% of the sale price. Like Redfin, Houwzer utilizes a team-based approach. 

» MORE: Read our full Houwzer review.

Can I get an MLS listing without an agent?

Technically, no. Only a person or company with a real estate license can post on the MLS. Because flat fee MLS providers have real estate licenses, they can list on the MLS on your behalf.

When you use a flat fee MLS company, you’ll technically have an agent — but they’re only your agent on paper. They won’t do much that a traditional agent would do, aside from get you your MLS listing. In effect, you’ll be selling without an agent and doing the majority of the work of selling your house yourself.

Do you live in a minimum service state?

Fourteen states have minimum service laws for real estate brokers. In these states, all real estate brokers — including flat fee MLS services — must legally provide a minimum level of service to clients. The actual services that must be provided vary by state, but they all go beyond just an MLS listing.

If you live in one of these states, you may have to pay more for a flat fee MLS provider than you would in states without minimum service laws — however, you will typically get more comprehensive services.

Because true flat fee MLS companies are either difficult or impossible to find in a minimum service state, you’re often better off opting for a discount real estate broker instead. You’ll still get a discount on your commission fees, and you’ll get a level of service that usually goes beyond what is mandated by law.

How to improve your flat fee MLS listing

It’s not enough to just get your home onto the MLS — you also have to make it look amazing to potential buyers. If you do decide to sell without a realtor, you’ll need a listing that stands out and addresses what buyers are looking for. Here are some tips to optimize your flat fee MLS listing.

1. Describe your listing properly

Avoid using phrases like “motivated seller” or “fixer upper,” as they invite lowball offers. Specifics are powerful, as are brand names. Don’t just say your kitchen is updated; talk about the stainless steel Viking appliances and Silestone waterfall countertops. 

When you can’t tap into the prestige of a brand name, try to frame things in terms of benefits instead of features. Benefits are far more attractive than features. For example, a swimming pool is a feature, but having a private backyard oasis for long summer afternoons is a benefit. 

2. Get professional quality photos

Buyers are visual. When you look at a home listing, you almost certainly go to the photos first. That means getting good photos should be your highest priority.

There are a lot of factors that go into taking a great listing photo, like proper staging, lighting, and composition. Unfortunately, an unprofessional looking photo can turn off potential buyers, so you’ll either need to learn how to take amazing photos yourself or hire someone to do it for you.

3. Nail your list price

Pricing a home for your market is one of the hardest aspects of selling FSBO — and it’s one of the riskiest to get wrong. Set your listing price too high, and you’ll drive away buyers. Set it too low, and you’ll leave money on the table.

Look at similar properties online to get an idea of how much to list your home for. Consider the following factors when comparing your house to others that have recently sold:

• Location and proximity to amenities
• Square footage
• Number of bedrooms
• Age and condition of the house
• Recent updates and renovations
• Unique features
• Curb appeal

If you want to make sure you price your home right, it’s best to work with a realtor. A realtor will conduct a professional comparative market analysis to see how your home compares to local competition. To pinpoint its fair market value, they’ll also consider how inventory, buyer demand, time on market, and other factors may have shifted since a comparable home has sold.

4. Invest in home-selling tools

Although your MLS listing will increase your home’s visibility to buyers, you should still do everything you can to spread the word!

Invest in some high-quality yard signs and flyers, as well as a lockbox to make showings easier. Most flat fee MLS services offer these products, either as part of a package or as an add-on that you’ll have to pay extra for.

5. Respect your obligations to the MLS listing service

Once you choose a flat fee MLS service, you’ll often be asked to sign an exclusive listing agreement that comes with certain requirements. Pay close attention to these. 

For example, generally if you accept an offer, you must inform the listing company right away — within one day. This same rule applies when you officially close.

FAQ

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