Redfin is a real estate brokerage that advertises low commission rates for home sellers, as well as rebates for buyers. The potential savings are genuine, and the company has a solid track record overall.
However, as some Redfin reviews illustrate, its low fees may come with service trade-offs due to a lack of individual attention from its agents. Other low commission companies may provide a better combination of savings and hands-on service.
For example, Clever Real Estate negotiates 1.5% listing fees with top agents from trusted brands like Keller Williams and RE/MAX. You’ll get the same savings as Redfin, but with the full, personalized service and support of a conventional real estate agent. Find top local agents and get a 1.5% listing fee today!
✍️ Key Takeaways
- Redfin’s discount real estate brokerage service currently operates in more than 100 markets across the U.S. and Canada.
- Sellers pay a 1.5% listing fee — and get a 0.5% refund if they buy with Redfin too.
- Redfin agents use a tech-centric customer service model, which could mean less hands-on support.
- Redfin has an average customer rating of 3.7 out of 5 stars on review sites like Google, Yelp, and Zillow.
What is Redfin?
Redfin is one of the largest discount real estate brokerages in the U.S. Founded in 2004, the company is headquartered in Seattle and serves over 100 markets across North America. In 2020 alone, Redfin’s agents served more than 64,000 customers and managed $37 billion worth of real estate transactions, according to data from REAL Trends.
Redfin aims to offer the same basic services as traditional realtors — but charge a lot less. Redfin advertises a 1.5% listing fee, which is roughly half the 2.5–3% rate most conventional agents charge sellers.
Redfin’s reduced rate could translate into major savings. But, as with many discount brokerages, those savings may come at the expense of service quality.
If you’re looking to save on real estate agent fees without sacrificing service, we recommend Clever Real Estate. You’ll get the same 1.5% listing fee, but you’ll get paired with top local agents from name-brand brokerages like RE/MAX and Keller Williams.
Redfin is available in most major U.S. markets, but it may not have agents available in rural areas.
Redfin not available in your area? Or just want to compare your options? Check out our rankings of the best low commission real estate brands — and find a low cost realtor near you!
How does Redfin work?
Redfin’s business model relies on offering steep discounts to attract a higher volume of customers, and then offsetting those low prices by:
- Handling more customers per agent
- Reducing operating costs with a salaried team and tech integration
- Charging minimum fees for lower-priced properties
- Using its popular home search app to attract new customers
- Upselling current customers on add-on services and premium support
This strategy allows Redfin to slash its base listing fee to 1.5%, saving sellers thousands of dollars compared to selling with a conventional brokerage.
|Home price||Listing fee||Effective rate||Savings*|
How much does Redfin cost?
When you sell with Redfin, the total real estate commission will likely cost 4–4.5% of your home’s sale price. This includes Redfin’s 1.5% listing fee, as well as 2.5–3% for the buyer’s agent commission.
|Redfin listing fee||1.5% (min. fees vary)|
|Buyer's agent commission*||2.5–3%|
Redfin provides competitive listing fee savings to sellers — at 1.5%, Redfin’s listing fee is about half of that of a traditional real estate agent. But you should also plan to offer a buyer’s agent commission rate that’s in line with the average rates in your area.
Buyer’s agent fees typically cost 2.5–3% of the home’s sale price. As a seller, you can choose whether or not to offer a buyer’s agent commission — but choosing not to will greatly limit your pool of potential buyers.
A buyer’s agent commission provides an incentive for other realtors to show your home to their clients. It maximizes your chances of selling your home quickly and for top dollar.
👋 Looking to save on realtor fees?
Clever Real Estate also offers a 1.5% listing fee — but these aren’t “discount” agents. Clever matches you with top-rated local realtors from name-brand brokerages, like Coldwell Banker and Compass. You’ll get the full-service realtor experience for a fraction of the typical rate. Get matched with top agents in your area today!
Is Redfin really 1 percent commission?
Redfin also heavily advertises a 1 percent commission — but their standard listing fee is actually 1.5%. To qualify for the lower 1% rate, you’d also need to buy a home through Redfin within 12 months of your home sale.
Assuming you sell first, this means Redfin will charge you a 1.5% listing fee, then refund the 0.5% difference once you purchase your new home.
Redfin minimum fees
Although Redfin advertises a flat commission rate, its discounts are subject to minimum fees that vary from $2,000–7,000 depending on location. On average, Redfin’s minimum fee is $3,350.
What does this mean? If you’re selling a less expensive home in a pricier market, Redfin commission minimums could reduce or even eliminate your potential savings. Compare discount brokerages in your area to find the best rates and value for your situation.
|District of Columbia||$5,300|
|Des Moines, IA||$2,400|
|El Paso, TX||$2,000|
|Fort Myers, FL||$2,700|
|Grand Rapids, MI||$2,500|
|Kansas City, MO||$2,800|
|Las Vegas, NV||$3,200|
|Little Rock, AR||$2,000|
|New Jersey (north)||$3,700|
|New Jersey (south)||$3,300|
|New York City and Long Island, NY||$5,200|
|Northern New England||$3,300|
|Orange County, CA||$6,900|
|Palm Beach, FL||$3,400|
|Palm Springs, CA||$4,000|
|Salt Lake City, UT||$3,500|
|San Antonio, TX||$2,600|
|San Diego, CA||$6,000|
|San Francisco, CA||$7,000|
|St. Louis, MO||$2,900|
Are Redfin agents good?
Yes, Redfin agents are generally good. The company has a vetting process in place and provides in-house training. However, since Redfin’s agents are paid a salary instead of working for a percentage-based commission, they may be less incentivized than a traditional agent to get you the highest price possible for your home.
The drawbacks of working with Redfin agents generally stem from the company’s business model rather than the agents themselves. These include the following:
Redfin handles more of the sales process remotely
Although you have access to a local agent, Redfin manages quite a bit of the sale process remotely via its online seller dashboard.
The platform walks you through the various stages of your listing and sale process, helping both you and your agent stay organized. It also generates automated updates, such as:
- How Redfin is marketing your home
- The number of times buyers have viewed your listing
- How your home compares to similar listings
When your sale or purchase goes smoothly, these digital tools make the process more convenient. However, they also reduce your personal contact with your agent. If you’re not completely comfortable with Redfin’s tech-first approach, it could make the process more frustrating and confusing.
Redfin agents work as a team
When you sell with a Redfin agent, you’ll work with a team of Redfin employees in addition to your dedicated listing agent.
In theory, this team-based approach increases efficiency, allowing Redfin agents to manage more transactions at once with only a minimal impact on service quality.
However, involving more people in your sale could lead to more miscommunication, mistakes, and delays that make an already stressful process even more frustrating. If you encounter unwelcome surprises that complicate your sale, you may find your agent is unfamiliar with the ins and outs of your situation.
Real estate transactions are complex, highly regulated affairs. Even something as seemingly minor as missing a deadline to complete paperwork or respond to an offer could be enough to thwart a potential sale.
Want to work with a top agent in your area without sacrificing service? We recommend trying an agent matching service like Clever Real Estate. Clever negotiates 1.5% listing fees with experienced agents from top brands like Century 21 and Coldwell Banker, so you can net the same savings without any compromises.
Evaluate Redfin agents on a case-by-case basis
As with any real estate brokerage, some Redfin agents are better than others. Working with one Redfin agent could be a great experience, while a different one might not be a great match for your situation, personality, and needs.
When hiring a real estate agent, you should never choose an agent just because of the brand name. Make sure they’re actually the best fit for your sale. Interview several realtors — preferably from different brokerages! — to find the right match for you.
Selling with Redfin
For the most part, the Redfin selling experience should be comparable to selling with a traditional brokerage. Your agent — or another Redfin team member — will guide you during each stage of the process, from deciding on a list price to signing your closing papers.
Along the way, they’ll provide services and support like:
- Professional photography
- 3D walkthrough for virtual tours
- Open houses
- Reviewing offers
- Negotiating with buyers
- Closing coordination
The biggest difference is that you may get less hands-on support with Redfin compared to a traditional agent. Is selling with Redfin worth it, then? In some cases, the potential savings may be worth this trade-off. However, many home sellers may prefer to work with other low commission real estate companies that prioritize personalized support.
Redfin Concierge Service
In addition to the standard listing package outlined above, Redfin offers several premium options.
Redfin’s Concierge Service is a premium listing package that includes support for getting your home market-ready. For a base listing fee of 2.5%, Redfin provides professional staging and house cleaning, alongside the services included in its standard listing package.
This package seems a bit expensive for what it includes. On a $500,000 home, it costs $5,000 more than the standard package. Most sellers will likely find it much cheaper to opt for the 1.5% listing fee and pay à la carte for extra services like house cleaning and staging.
In select markets, homes worth more than $1 million are eligible for Redfin Premier. This package includes everything from Redfin’s Concierge Service, but sellers pay just 1.5% — the same listing fee as Redfin’s standard plan.
In a company memo dated November 9, 2022, Redfin announced it’s closing its RedfinNow subsidiary. RedfinNow was an iBuyer service that paid cash for homes in select markets.
Buying with Redfin
Redfin also offers savings for home buyers, although they’re a bit lackluster compared to the discounts that Redfin offers sellers. If your purchase qualifies, you could earn a commission rebate — what the company calls the Redfin Refund. This rebate can help offset closing costs and other upfront expenses.
According to the company, the average buyer who qualifies for a Redfin commission rebate saves $1,750. However, its website is vague about how it calculates this rebate amount. You’ll need to talk to your agent and mortgage lender to determine what you’ll qualify for based on your budget and location.
Be aware that the Redfin Refund is subject to numerous terms and restrictions. For example, rebates are:
- Limited to select markets
- Unavailable if Redfin refers you to a partner agent from another company
- Not offered on certain types of purchases, including short sales
- Contingent on Redfin earning at least $6,500 in buyer’s agent commission
In addition to these eligibility restrictions, state regulations and your mortgage lender’s policies could limit your ability to earn a Redfin commission rebate. Learn more about home buyer rebates.
Redfin offers extra savings to buyers who also sell their previous home with Redfin within 12 months of their purchase. On top of the commission rebate, Redfin reduces its listing fee to 1% (from 1.5%) when these customers sell — or refunds the difference if they sell first.
Redfin reviews: Pros, cons, and areas of concern
Generally, Redfin has fair to good reviews. On Consumer Affairs, Yelp, and Google, Redfin’s customer rating averages 3.7 out of 5 stars based on 301 reviews.
Redfin has many advantages compared to traditional, full-price real estate brokerages. But it’s important to weigh Redfin pros and cons carefully. Then you can decide if a Redfin agent is your best option or if another discount service provides better value.
Pro: Solid savings for home sellers
Most sellers choose Redfin for its low fees. And a consistent theme among many selling with Redfin reviews is that those savings are genuine.
This Yelp reviewer said they saved $17,000 compared to listing with a traditional brokerage and offering a 3% commission rate to both agents.
Pro: User-friendly technology
Lots of discount brokers claim to have user-friendly technology, but Redfin’s popular platform is still the gold standard.
Redfin’s home search app has been downloaded millions of times. And for the most part, it draws rave reviews from users. This isn’t just beneficial for buyers. The app’s popularity gives Redfin sellers a leg up, since the company gives its listings priority placement when buyers search for homes.
Pro: Fewer risks than other discount brands
You’ll face service quality compromises with many discount brokers, but the risks seem less pronounced with Redfin.
This Google reviewer was impressed with the communication and marketing strategy of their Redfin realtor. Despite selling a specialty property, they enjoyed a quick and easy sale.
Con: Lackluster savings for home buyers
Redfin claims its average commission refund is $1,750. This seems a bit lackluster compared to the home buyer rebates some other discount services offer.
This first-time home buyer found the savings weren’t worth the tradeoffs. While they earned a small rebate, they felt their agent was more focused on closing the deal than advocating for their best interests.
Con: Less hands-on attention than traditional realtors
Redfin may have fewer service quality risks than other discount brokers, but customers should still expect less hands-on support compared to traditional realtors.
Redfin agents use a team-based approach to handle more customers than the average realtor — so you’re more likely to encounter Redfin agent reviews about frustrating mistakes and delays. For example, this realtor encountered several problems working with multiple Redfin agents.
Con: Premium listing packages may limit your savings
If you list with Redfin, the company may try to upsell you on its Redfin Concierge Service. This premium listing package includes more features than the standard plan, but it costs roughly as much as hiring a traditional realtor.
In most cases, you’ll maximize your savings by choosing Redfin’s standard 1.5% listing fee and hiring local contractors to help you get your home market-ready.
Area of concern: Redfin’s extra services may not be the best value
Redfin’s business model relies in part on persuading existing customers to use other in-house services. These include:
- Title Forward: Redfin’s title and settlement company
- Redfin Mortgage: An in-house mortgage broker
- Redfin Open Book: An affiliate network for service providers like contractors, electricians, and landscapers
Buying or selling a home is a hectic process, so it’s convenient to use these in-house services. However, just because Redfin has cheap listing fees doesn’t mean their title or mortgage service is a great value.
We recommend shopping around and comparing Redfin reviews and services against local providers to find the best combination of rates and service quality.
Top Redfin alternatives
Although Redfin offers genuine savings, its value is relatively middle-of-the pack compared to other discount brands. Depending on your situation and priorities, you may find better value with one of these Redfin competitors.
|Company||Average rating*||Locations||Listing fee||Buyer incentives||Average savings**|
|Redfin||3.7 (301 reviews)||Nationwide (select markets)||1.5% (min. fees vary)||Yes||$5,541|
|Clever||4.9 (1,995 reviews)||Nationwide||1.5% (min. $3,000)||Yes||$5,625|
|REX||4.7 (1,041 reviews)||Select states||2.5% ($9,000 min. fee)||Yes||-$325|
|SimpleShowing||4.9 (335 reviews)||FL, GA, TX||1% (min. $5,000)||Yes||$6,375|
1. Redfin vs. Clever Real Estate
Clever Real EstateLearn more
- Listing fee: 1.5% (min. $3,000)
- Available Nationwide
- Full Service, Zero Tradeoffs
Sellers save an average of $5,625 when they list with Clever, compared to a traditional 3% listing fee.*
*Average savings based on listing fees at four common price points: $100,000, $250,000, $500,000, and $750,000.
Clever has a 4.9 out of 5 rating (1,995 total reviews) on popular review sites like Google, Facebook, and Trustpilot.
Clever is available to sellers and buyers nationwide.
Clever Real Estate is the best alternative to Redfin if you want to save but don’t want to sacrifice service.
Clever pre-negotiates discounted commission rates with traditional realtors throughout the U.S. Its agent-matching service connects you with top-rated realtors in your area from major brands like RE/MAX and Keller Williams. You can interview as many agents as you like until you find one that’s the perfect fit.
If you sell with one of Clever’s partner agents, you’ll pay the same 1.5% listing fee, but you’ll work with a full-service local realtor from a top regional or nationwide brand. In other words, you get the same savings without the service quality risks. Find a top local agent and get a 1.5% listing fee now!
2. Redfin vs. REX Real Estate
REX Real EstateLearn more
- Listing Fee: 2.5% (min. $9,000)
- Risky Approach For Sellers
- Poor Reputation
REX advertises huge discounts. But, according to our research, sellers actually “save” an average of -$325, compared to a traditional 3% listing fee.*
Simply put, most sellers won’t save much, if anything, with REX. The company charges high commission rates and minimum fees, so your potential savings depend entirely on a risky marketing approach that often fails.
*Average savings based on listing fees at four common price points: $100,000, $250,000, $500,000, and $750,000.
REX has a 4.7 out of 5 rating (1,041 total reviews) on popular review sites like Google, Facebook, and Zillow.
REX is available in the following areas: AZ, CA, CO, FL, GA, MD, NV, NJ, OR, PA, TX, WA, DC.
REX is a discount brokerage that claims it can save home sellers up to 50% on realtor fees. REX’s strategy involves eliminating the buyer’s agent commission by marketing its listings on social media and other digital platforms rather than advertising them on the MLS.
Unfortunately, this approach is risky — and customer reviews suggest it has a high failure rate.
3. Redfin vs. SimpleShowing
- Listing Fee: 1% (min. $3,500)
- Limited Service Area
- Full Service, Few Tradeoffs
Sellers save an average of $6,375 when they list with SimpleShowing, compared to a traditional 3% listing fee.*
*Average savings based on listing fees at four common price points: $100,000, $250,000, $500,000, and $750,000.
SimpleShowing has a 4.9 out of 5 rating (335 total reviews) on popular review sites like Google, Yelp, and Zillow.
SimpleShowing is available in the following areas: FL, GA, TX.
If you live in Florida, Georgia, or Texas, SimpleShowing is a discount brokerage that offers a comparable experience to Redfin for a slightly lower rate.
SimpleShowing charges a 1% listing commission — compared with Redfin’s standard 1.5% fee. Both companies use technology to allow their agents to work with more customers than traditional brokerages. However, SimpleShowing is a smaller company, so you may have fewer agents to choose from.
FAQs about Redfin
How does Redfin work for sellers?
On paper, selling with Redfin is similar to using a traditional realtor. Redfin will market your home on the MLS, help you negotiate with buyers, and help coordinate the closing process. However, the customer experience may feel a bit more impersonal. Redfin agents juggle 3x as many customers as the average realtor, so expect less face-time with your agent — and more time working with other Redfin employees who may be less familiar with your situation. Find other ways to save on realtor fees.
How does Redfin work for buyers?
Buying with Redfin is a lot like using a traditional realtor, although you'll handle more of the process virtually. Eligible buyers may also earn a commission rebate. As a buyer, you'll browse homes, schedule tours, and complete paperwork through the Redfin app and website. Your main point of contact will be your "lead agent," who will help you write offers and negotiate with sellers. However, your lead agent won't oversee every aspect of the buying process. For example, they'll send other team members to accompany you on home tours. Learn how to get a cash-back refund when you buy a house.
Why is Redfin bad for some customers?
Redfin's hands-off service model and mixed agent quality make it a less-than-perfect option for some customers. Additionally, while Redfin has nationwide brand recognition, its savings are relatively middle-of-the pack compared to its top competitors. Find other low cost realtors in your area.
What are major pros and cons of Redfin?
Positive Redfin reviews typically highlight pros like realtor commission savings, a user-friendly app and website, and satisfactory experiences with individual Redfin agents. The biggest Redfin con is that agents handle 3x as many customers as traditional realtors. When agents get too busy, they may not be able to give you as much personalized support as you need. This hands-off approach isn't the best fit for everyone. Learn more about how Redfin compares to traditional realtors.
Should I use Redfin to sell my house?
If saving on real estate commission is your top priority, Redfin is worth considering. Its 1.5% listing fee isn't the best commission rate available, but nationwide brand recognition and a proven business model make it less risky than some of its newer competitors. Want to save even more? Find 1% commission real estate companies.
Can I trust Redfin?
Redfin is a legitimate company with licensed real estate agents across most of the U.S. It offers savings for most sellers compared to the cost of traditional real estate agents. However, the company relies heavily on technology, so you may receive less hands-on support than you would with a conventional realtor. Learn more about how Redfin works.
Does Redfin really save me money?
Redfin’s fee for listing a house is 1.5%, which is about half of what a traditional real estate agent would charge. You get even more of a discount when you buy and sell with a Redfin agent. However, Redfin charges minimum fees. If you're selling at a lower price point, those minimum fees may make Redfin cost more for you than using a traditional real estate agent. Learn more about how much Redfin costs.
Why do people use Redfin?
Saving on real estate agent fees is a top reason people use Redfin. A Redfin agent charges a listing fee of 1.5%, which is around half of what a traditional real estate agent charges. However, some Redfin reviews claim that Redfin agents offer less hands-on support than conventional realtors. See how real customers rate Redfin's service.
If you’re looking for the pros and cons of selling with Redfin, it’s important to compare ALL of your options for saving money. We recommend reading the following resources to learn about other ways to save.
Discount Real Estate Brokers and Agents: Everything You Need to Know: Selling with a discount real estate broker like Redfin is often a very different experience from using a traditional realtor. Learn more about how discount brokers work and how to decide which company is the best fit for your situation.
What Companies Offer the Lowest Real Estate Commission Fees? Redfin offers solid savings for home sellers, but some of its competitors charge even less. Find out which company charges the lowest commission fees.
The Best For Sale By Owner (FSBO) Websites: Want to maximize your savings? Consider rolling up your sleeves by listing your house for sale by owner (FSBO). We’ve compiled a list of the BEST websites for FSBO sellers.
Realtor Fees: Who Pays the Commission and How Much Is It? Wondering how much realtor fees cost? This guide explains what you’ll pay (and how to get discounts) when working with a realtor.
How to Sell Your House Without a Realtor: Want to sell your house without a realtor? This guide outlines steps to selling without a realtor, pros and cons, and costs.