New DIY real estate website launches with low commissions
A new do-it-yourself real estate website has launched in Metro Vancouver. It promises to save sellers money on commissions and provide both buyers and sellers all the tools they need to go it alone.
It’s called Bode, a one per cent real estate listing site. It is not for everyone, especially first-time buyers, but if you are savvy, like to take control and learn as you go, it could work for you.
“The millennial demographic is now almost half the real estate market,” said Robert Price, Bode founder. “What we do is give all of our sellers all the tools that they need to sell without representation.”
Price is a former telecom guy who has teamed up with real estate broker Jeff Jackson.
They first launched Bode in Alberta just before the pandemic hit and they say business boomed when everything was forced to go digital.
“And (we) are now expanding across Canada, starting with Vancouver,” said Price.
Bode gives sellers the tools they need to price, market and list their home on the Bode website and other listing services. It also offers up experts for appraisals, inspections and other services needed to complete the deal.
So how does it differ from low-commission website Redfin, which also charges one per cent to sellers?
We broke it down. If you list your house on Bode, offering a typical buyer’s agent commission and selling it for $1.3 million – with Bode’s take and buyer’s commissions – you would pay about $30,000. It would be $7,000 more if you hired an agent. For that same scenario, you would pay the same amount on Redfin, except Redfin pairs you up with a real estate agent to help guide you through the process.
“The only thing that we’re prohibited from doing is giving advice,” said Jeff Jackson, Bode founder and real estate broker of record.
However, Bode says it also allows buyers to use its site and its tools to purchase any home.
“So now we’re giving the capability to go all the way through the transaction whether you’re the buyer or the seller without the need of an agent,” said Price.
If we use the same $1.3 million home selling to an unrepresented buyer on Bode, the seller’s total commission for the transaction would be $13,000.
If an unrepresented buyer goes to Redfin, the company will charge the seller an additional one per cent. Now having to pay two percent to Redfin, or $26,000, makes Redfin more expensive.
So is it all about the money?
“That’s an important factor,” said Craig Munn, spokesperson for the Real Estate Board of Greater Vancouver. “It’s great for the consumer to have that choice.”
Munn says younger generations are savvier and they like the uptake on apps and tools. He says it will be interesting to see how the market evolves over time.
Whether or not you chose to DIY, it is important to remember commissions are always negotiable, even the buyer’s agent commission if you decide to use Bode.
Remember a home is one of your largest assets and real estate transactions have many nuances, which is why real estate agents exist in the first place but there is no guarantee of good service. If you choose an agent, you should interview several and take the time to look at their reviews and talk to their references.
CTVNews.ca Top Stories
NEW From yearning for a change to cost of living, why some Canadians have left or may leave the country
For some immigrants, their dreams of permanently settling in Canada have taken an unexpected twist.
NEW Capital gains tax change 'shortsighted' and 'sows division' business groups tell Freeland
Forging ahead with increasing Canada's capital gains inclusion rate 'sows division,' and is a 'shortsighted' way to improve the deficit, business groups are warning Finance Minister Chrystia Freeland.
Here are the ultraprocessed foods you most need to avoid, according to a 30-year study
Studies have shown that ultraprocessed foods can have a detrimental impact on health. But 30 years of research show they don’t all have the same impact.
Documents reveal Canada praised Haitian sanctioned over alleged gangland connections
A Canadian diplomat and an RCMP officer heaped praise and gratitude on a sanctioned Haitian businessman that Global Affairs accuses of gangland connections, after he allowed a helicopter airlift of Canadian citizens and police at his luxury golf course last month, emails provided by his lawyers suggest.
Blind Sask. boy heading to international braille competition hopes to increase accessibility for visually impaired
A Saskatchewan boy who qualified for an international braille competition in Los Angeles next month hopes he can inspire change in his home province.
Police handcuff man trying to enter Drake's Toronto mansion
Toronto police say a man was taken into custody outside Drake's Bridle Path mansion Wednesday afternoon after he tried to gain access to the residence.
Minister said 'hundreds' of Canadians might use Gaza visa. More than 7,500 applied.
An immigration lawyer in Toronto says new figures from the federal government show just how 'grudging' Ottawa's efforts have been to rescue Canadians' family members from the war in the Gaza Strip.
Canucks claw out 5-4 comeback win over Oilers in Game 1
Dakota Joshua had a goal and two assists and the Vancouver Canucks scored three third-period goals to claw out a 5-4 comeback victory over the Edmonton Oilers in Game 1 of their second-round playoff series Wednesday.
U.S. presidential candidate RFK Jr. had a brain worm, has recovered, campaign says
Independent U.S. presidential candidate Robert F. Kennedy Jr. had a parasite in his brain more than a decade ago, but has fully recovered, his campaign said, after the New York Times reported about the ailment.