Just in….
Another online realty company targets Seattle
Puget Sound Business Journal (Seattle) – 2:47 PM PDT Friday, June 15, 2007
by Eric Engleman
BuySide Realty Inc., a Chicago-based online discount real estate brokerage, has begun listing homes in Seattle, the home turf of one of its main rivals, Redfin Corp.
Both BuySide and Redfin give people who buy a home with their services a partial refund on the commission that normally goes to the buyer’s agent. Such online discount brokerages have sparked friction with traditional real estate agents.
BuySide CEO Joseph Fox declined to comment, and Redfin CEO Glenn Kelman could not immediately be reached for comment.
When a home sells, the buyer’s and seller’s agent each earn a percentage of the home price, typically 6 percent, which they divide equally between themselves.
If a person buys a home through BuySide or Redfin, these services will refund part of the commission that go to the buyer’s agent. BuySide refunds 75 percent of that commission; Redfin refunds two-thirds of the commission.
BuySide Realty was founded a year ago. Beyond Washington state, it offers discount brokerage services in California, Florida, Georgia, Illinois and Virginia.
Redfin‘s area includes Seattle, the San Francisco Bay Area, Los Angeles, Orange County, San Diego and Boston.
The Redfin website indicates it plans to expand to Washington, D.C., this month and Chicago “soon.” BuySide Realty’s headquarters are in Chicago.