Why we created One Percent Homes
The changing real estate landscape
With the use of the internet to market properties, it is now less expensive for agents to effectively get the news out about their new listing(s). There are also many options now to buy and sell homes - private listing, flat fee, online marketplaces and a full array of different commission options.
It is a common misconception that in order to get great service you need to pay high fees. On the flip side, most people think that if you pay less in fees, you usually get poor service because your agent is less invested due to the lower money being earned. I saw this gap in the industry as an opportunity to create One Percent Homes. Lower fees and outstanding service.
Why our selling structure works
At One Percent Homes, we like to call this the Sweet Spot. We offer 1% to seller's - since they are the one's paying their own agent as well as the buying agent. In my experience, you cannot offer less than 2.5% to the buying agent. This is industry standard in the GTA. If you predetermine the buying agent's commission at anything less than the full 2.5%, that agent would prefer to show any other home where they stand to make more money. This shouldn't happen, but to be frank, it does.
Buy with us, earn cash back
When you choose us to buy your home, you will earn money you would not have made otherwise. We do this because it helps our client's afford their legal fees, closing costs or even part of your first mortgage payment. Earn 1% cash-back of our pre-tax commission on the final sale price of the home.
Read the fine print
Don't be fooled by different wording and advertising. Companies are gaining traction by marketing themselves as a no commission or flat-fee service. But as the consumer, don't be fooled. These companies are earning money whether they choose to call it commission or not. Masked under tiered, fee packages that can quickly add up to match or surpass a regular 2.5% commission.
Other low commission models differ from us because we offer the same service as a full fledged 2.5% agency, but ultimately save you money at 1%. Other low commission models may choose to cut corners by providing flat-fee and limited support or not having your home visible through all the available marketing channels. These are corners we promise to never cut.
Change in Mindset
We view One Percent Homes as the new wave realtor service, similar to the way the investment banking market has shifted over the last 10 years. Companies like Wealthsimple and Questrade have created easier investment vehicles, providing lower fees and higher returns. Compare this to the outdated, traditional bank advisors with higher fees and, on average, lower returns.
At the end of the day, you will generate a positive return on your investment most times in the GTA through either channel - with a full service 2.5% or One Percent Homes at 1%. The difference being is a guarantee that one saves you money.
If you are like us and don’t like paying high commissions, choose One Percent Homes.