Full service vs. Flat fee realtors – what is your choice?


When you want to sell your home, you must first decide on the house selling strategy you will use. While some people choose to sell their home without the assistance of a professional (for sale by the owner), this can result in a lot of unexpected stress. Using a real estate agent can help you avoid many problems you might encounter on your own.

Flat Service Realtors and traditional real estate brokers are two types of brokerages. They may appear the same, but choosing the wrong option can cost you many dollars in additional home selling costs.

Who is a Full-Service Realtor?

A full-service realtor handles everything from listing your home on the MLS at the right price to marketing it and negotiating the sale. They are known as full-service because they do not pick and choose which services to provide; instead, they provide the entire package.

A full-service broker does the following:

  • Home Tour
  • Know your expectations
  • Recommend repairs
  • Arrange a professional photographer
  • Pricing strategy
  • Professional Marketing

If there are any repairs, they will coordinate and meet with the repair people on your behalf after the inspection.

What is a full-service broker’s role?

Full-service brokers do more than assist you in making investment decisions. When you invest with a full-service realtor, you will receive investment advice based on research provided by the broker. Higher commissions and Advisory fees on house sales are common fees charged by full-service brokers.

Pros of Full-Service Realtor

Take care of all services.

A full-service broker can handle every aspect of selling a home. Marketing, negotiating transaction details on the seller’s behalf, and handling all paperwork associated with the home’s sale are all part of the typical home selling process.

Cons of Full-Service Realtor

More Commission

A full-service real estate broker must pay a high commission based on the price of the house. However, with the growing popularity of discount and flat fee brokers, this option looks more appealing. As agents have varying levels of experience and expertise, the seller should carefully screen them to ensure they get the best agent for the money.

Who is a Flat-Fee Realtor?

A Flat-Fee MLS brokerage typically separates the services offered by a traditional real estate brokerage. It advertises the property for sale on the local multiple listing service (MLS) without requiring the seller to use all of the services.

Flat fee realtors provide partial services at a reduced rate. Their services include:

  • Register your home with a multiple listing service (MLS).
  • Possibly provide you with customer service.
  • Providing you with a yard sign.

Discount brokerages do not provide other services because they work for a lower fee. Most set a flat fee or a reduced commission (2%).

What is a discount broker’s role?

Fees and commissions are typically lower with discount brokers. However, when you use a discount broker, you should conduct your investment research to save your money. Many discount brokers are online order fulfillment centers.

You must visit their online website and fill out an automated form with the house you wish to sell or buy, after which the broker will execute the order. Although discount brokers may provide education and research materials, you will rarely have a consultant assigned to review your decisions based on your needs.

You can also sell your home without using a traditional agent for sale by owner websites. They are useful in the following ways:

  • You can save money on agent commissions.
  • Not going through each step can save time or effort.
  • Gives you more control over the sale.
  • Allows for simple and quick changes to the list.
  • Some for sale by owner websites include a mobile app that allows you to update your listings while on the go.

What’s the difference between a Flat Fee Realtor and a full-service Realtor?

A Full-service Realtor will typically charge 2.5-3% of the listing price, whereas a Flat Fee Realtor will charge negligibly. Some discount agents charge a flat fee or a low commission but only provide limited services or charge extra for items like open houses or drone photography.

Pros of Flat fee realtors

The advantages of Flat fee realtors are as follows:

Taking Charge

You get to make all the decisions about how to sell your home. You decide on the price, which showings are available, and complete control over the negotiation process.

Spending Less

A flat fee service will typically cost you less to enter the MLS. As per Clever Real Estate reviews, they charge 1% listing fees. Compared to the 5 to 6% commission that most real estate agents charge, this appears to be a fantastic deal. These entry-level businesses frequently provide additional marketing, guidance, and home photography services.

Cons of Flat fee realtors

Some drawbacks of Flat fee realtors are as follows:

Selling for Less 

Homes typically take longer to sell when a real estate agent does not fully market them. FSBO homes sell for less on average, even after taking commission charges.

Difficulties in Selling 

Even if you are selling your home in ideal market conditions, the FSBO process is difficult, with many buyers looking for a similar home. If you are going it alone, you will have a lot to do to ensure that everything goes smoothly during the sale.

Keeping Legal

If you are new to doing all of the work required when selling a home, it is easy to overlook something important. This missing could result in legal issues that would not arise if you used an agent to sell your home.


Traditional realtors can be expensive, while limited-service brokers can save you money. Realtors must change how they sell homes now, as home shopping is primarily done online. Houzeo can be the best option for this new market, which readily provides all house services.

Contact the Houzeo team to know more about their offers and services. You should also check Houzeo reviews for more information. Homeowners can now get the same exposure and service that a traditional 6% realtor does for roughly half the price.


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