REX Real Estate is a nontraditional real estate brokerage that strives to turn the conventional sales model on its head. By offering lower fees and commissions, they hope to attract the fee-conscious crowd.
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- What Is REX Real Estate?
- How It Works
- Key Benefits
- Other Things to Know
- REX vs Traditional Brokerages
- Frequently Asked Questions
What Is REX Real Estate?
REX Real Estate is a full-service real estate brokerage that is anything but traditional. They are focused on saving homeowners thousands of dollars by offering the lowest fees and commissions in the industry.
REX Real Estate was founded in 2015 with a simple but powerful mission: To change the way people buy and sell homes. In a traditional real estate transaction, the seller will pay out about 6% of the total sale price of the home.
These commissions are split between their agent and the buyer’s agent. With the median home price in the United States currently at $293,689, the “traditional brokerage” way means you’d pay out more than $17,600 as a seller!
But using a full-service, state-licensed brokerage like REX drastically cuts that number down to just 2%. REX can pay their agents such low commissions for a few reasons:
Using the median home price in the U.S. again, you’d pay REX Real Estate a total of $5,873 in fees instead of $17,600 with a traditional brokerage.
REX has shorter contracts (4 months) than traditional agents and brokerages (6 months) and uses highly targeted marketing strategies to help connect potential buyers with your home. We’ll explore this in more detail below.
How REX Real Estate Works
If you’re selling your home, here’s the process you’ll go through to get your home officially listed and sold.
Visit the Sell with REX Webpage
You’ll type in your home’s address, as long as it is within a state REX currently serves (we’ve included a complete list below). If you prefer, you can also start by calling them at (855) 342-4739.
Enter Your Information
Request a free valuation report OR create a REX home profile directly on the website.
Wait for a Follow Up
Receive a follow-up email or call from a licensed REX real estate agent. They will answer questions, give you tips and advice, and help you with the next steps: Pricing your home, scheduling a photoshoot, planning open houses, and more.
If you decide not to sell with REX after your free valuation report or follow-up conversation, you’re not obligated in any way to continue with REX. They promise to stop contacting you – a stark difference from getting repeated phone calls and emails from some traditional, commission-motivated agents.
Review the Listing
You’ll have the opportunity to do a final review of the materials REX gathered during the process: Your listing price, every photo of your home, the description of the property, and sign the REX listing agreement.
List the Home
Once you’ve officially reviewed and approved everything, your home is listed on rexhomes.com, and the marketing team begins marketing it on Facebook, Instagram, Zillow, Trulia, Google, and real estate apps to reach as many buyers as possible.
Wait for Offers
Follow the progress in your REX dashboard or on your home’s website. Communicate with your licensed agent anytime. Once you receive an offer you are willing to accept, your agent works alongside you to assist you with escrow, titling, and other steps to officially closing.
If your home doesn’t sell during the 4-month contract period for any reason, you’ll have two options. You can extend the contract and allow REX to continue marketing your home in an attempt to find a buyer, or you can terminate the agreement without every owing REX Real Estate any fee or commission.
Benefits of Selling with REX Real Estate
Why sell with REX instead of a traditional brokerage? REX Real Estate leverages Artificial Intelligence (AI) technology and decades of real estate data to inform their marketing strategies and the way they pair buyers with homes.
They do this with a 3-part system: Better, targeted marketing, lower commissions, and providing a full-service offering that helps sellers and home buyers stay in control through every step of the transaction.
Better, targeted marketing. Instead of relying on the MLS to “spread the word” about a home for sale, they use machine learning and data modeling to share your property on targeted marketing channels where buyers are already hanging out, like Zillow, Trulia, social media, Google, and print materials.
REX found that almost 90% of home buyers have already found their dream home using one of these channels before they ever speak to a real estate agent.
Why rely on the MLS listing as your primary “marketing strategy” when REX has proven they can sell homes quickly by applying Big Data and AI to marketing strategies instead of depending on the MLS to help home buyers see properties for sale?
Lower commissions. REX can charge some of the industry’s lowest fees (2% of the sale price) because they do things differently across the board and pass those savings on to you.
First, there is no buyer’s agent commission with REX – ever. REX pays its agents a steady salary, so commissions aren’t the focus of their role.
By cutting out the need to list properties on the MLS and covering the buyer’s agent commission themselves directly out of the lower 2% fee, they can use existing data and advertising options to share your home with interested buyers at a fraction of the cost.
Overall, they charge about 60% less than a traditional brokerage. Remember the example above where we compared the commissions from a traditional mortgage to REX’s lower commissions?
For the median home price in the United States, you’d pay $17,800 in commissions with a conventional brokerage/agent arrangement (6% commission) compared to just $5,873 with REX (2% commission).
Full-service brokerage. REX makes sure clients are set up for success from the beginning. Their licensed agents help with every step of the way, from pricing the home to coordinating photoshoots that help attract buyers online.
Just like agents at traditional brokerages, REX agents host showings and open houses to help buyers get familiar with your home. Unlike agents at traditional brokerages, when you list your home with REX, you also get a personalized online dashboard.
On it, you’ll find everything you need to know about how the sale of your home is going and a personalized website that lists everything buyers want to know and see about your home.
If you’ve ever bought or sold a home in the past, you can imagine how helpful this dashboard and personalized website would be! But REX doesn’t just handle the sale and purchase of homes.
They’re a true full-service brokerage, offering the following services to clients:
- Helping with escrow
- Arranging titling
- Scheduling service and utility connections
- Comparing mortgage and insurance providers
This can be a hugely valuable thing for anyone in the process of moving from one home to another. There are so many moving parts and things to schedule, and it’s helpful having an organized guide to getting it all done.
Other Things to Consider
The more you read about REX Real Estate, the more you’ll like this brokerage and the way they’re changing real estate. Here are a few things you might not know about the company.
They donate homes to people in need. We like that REX believes in giving back. Every 50 homes that REX helps sell means they’ll donate a home to someone in need. They’ve built six homes for needy families so far in Cambodia and Colombia.
They’re rated A+ with the BBB. The Better Business Bureau is where many people start their research about a company online. It’s hard to trust a company with a bad BBB rating! REX Real Estate has a BBB rating of A+ and is considered a BBB Accredited Business.
They’re not nationwide – yet. REX serves the following states and locations right now, but plans to be in every state soon:
REX or Traditional Brokerage: Which Is Better?
If you’re ready to list your home for sale but aren’t sure which brokerage to trust, REX Real Estate is likely your best option. The number one reason? Those 2% fees are much more affordable than the traditional 6% commissions you’d pay at an “old-school” brokerage.
Less time on the market (remember REX’s four-month contract compared to other brokerages’ 6-month contracts?) means you sell your home faster, pay less in commissions, and get guided help even after the sale is complete.
Comparing traditional brokerages with REX Real Estate is pretty simple: REX comes out as the better option in every category when you compare them with a traditional, full-commission brokerage.