A new website has emerged as a venue for realtors to bid on listing properties and with a new boom expected, many using the service expect to see even more competition.
The Edmonton based bidcomhomes.com allows sellers to put their listing up for bid from potential realtors.
The site was launched by Girogio Lupinacci after dealing with frustration of paying out a high commission for selling his house.
“There’s gotta be some kind of competition when it comes to selling your home,” he says, “We do it with insurance. We do it with automobiles we buy.”
There is a growing trend toward unique business models being used by realtors to make the market more competitive.
There’s 2% realty which charges a flat commission and others like Robert Rudyk, offer cash back.
“I think people looked at what was happening around them and maybe made some quicker decisions,” says Rudyk, “Now with technology and the tools around them, there is more transparency.”
“It’s essentially consumer demand,” says Graham Cotterill of 2% Realty, “Especially with increase in house prices, I think people have decided they’d like to keep more of the money in their pockets.”
Roger Tailleur decided to use the site and so far likes what he sees.
“I think the power of the internet makes a big difference,” he says, “Knowledge is power. And I think once people see what this is all about, it definitely is the wave of the future.”
Tailleur has 4 bids on his home and now has different offers to choose from.
The traditional realtor commission rate charges the seller 7% on the first $100,000 and 3% on the remainder. That rate would cost the seller of an average single family home in Edmonton about $16,000.
with files from Fletcher Kent
© Global News. A division of Shaw Media Inc., 2012.