✍️ Editor’s Note: REX Real Estate is no longer in business. Watch the Rise and Fall of REX Real Estate while you consider alternatives to list your home.
REX Real Estate is a discount brokerage that provides services in 16 states. They charge a 2.5% listing agent commission. REX doesn’t list your home on the MLS. Instead, they advertise it on platforms like Zillow and Facebook to find an unrepresented buyer.
This approach allows sellers to save on the buyer agent commission. But it’s crucial to consider its potential impact. Homes listed on the MLS sell for 16.98% higher than those without an MLS listing. So, you may lose thousands of dollars on your home’s sale with REX.
You should list your home on the MLS through a Flat Fee MLS listing company. An FFM service lists your home for a nominal fee. So, you save on listing commissions while getting top dollar for your home.
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✍️ Editor’s Take: We recommend listing with Houzeo over REX Real Estate. Houzeo provides you maximum exposure by listing your home on the MLS. Compare REX Real Estate vs. Houzeo.
Is REX Real Estate Legitimate?
Yes, REX Real Estate is a legitimate brokerage company. Jack Ryan founded the company in 1987. They collaborate with licensed agents and operate in select markets across 16 U.S. states. REX is not accredited by BBB and has a B- rating.
REX Real Estate reportedly observed a downfall and ceased operations, leading to staff layoffs and the closure of specific offices. The company accused Zillow of their shutdown.
REX vs. Zillow Lawsuit
In March 2021, REX filed a lawsuit against Zillow. They claimed that Zillow’s site modification showed non-MLS listings in a secondary tab. Zillow made this change in January 2021 to comply with NAR guidelines.
REX alleged that the modification led to a significant loss of traffic. This drove consumers back to the MLS system and benefited NAR’s members. The lawsuit accused Zillow of limiting the competition, using deceptive practices, and false advertising.
In September 2023, Zillow won the case as the jury found their practices to be within acceptable standards.
REX Real Estate Locations
REX Real Estate is a licensed real estate brokerage in 16 states, highlighted in the map below:
How Does REX Real Estate Work?
Home selling with REX is different from other real estate companies. Instead of listing your home on the MLS, they list it on Zillow, Trulia, Google, Facebook, Instagram, Bing, and in print.
This allows you to find a home buyer who is not represented by the agent and can save on the buyer agent commissions. In case you don’t, REX advises you to sell to a buyer represented by an agent.
REX Listing Fee
REX charges 2.5% of the home’s sale price, with a minimum fee of $9,000. If your home sells for below $360,000, you end up paying more than the advertised 2.5% commission.
While REX claims savings on the buyer agent commission, this isn’t always the case. If their initial strategy doesn’t work, you will have to pay a 3% buyer agent commission. Several REX Real Estate reviews also highlight this issue.
This approach not only elevates the total payable commission to 5.5% but also impacts your home’s value. Additionally, if your property stays on the market for longer, its value can decrease. This benefits the buyers in negotiations.
REX Real Estate Services
» Jump to: For Sellers | For Buyers
REX offers various services to both sellers and buyers.
Selling With REX
While you sell with REX, their agent, or another member of their team, will assist you throughout the process. However, your home won’t get listed on the MLS. The services you’ll get are:
- Pricing the property
- Open house showing management
- Professional photography
- Negotiating offers with buyers
- Closing
Buying With REX
If you are a buyer, REX Real Estate connects you with a dedicated agent. Your agent assists you with offers, negotiations, paperwork, and closing. Additionally, you can get a rebate that is 1% of the home’s purchase price.
Buyer rebates often have associated terms and restrictions. State regulations and mortgage lender policies may also impose limitations. It’s crucial to inquire with your agent to fully understand the conditions surrounding the rebate.
REX Real Estate Reviews
Based on 7 reviews, REX Real Estate has a 3.8 out of 5-star rating on BBB. We could not find their reviews on other credible websites.
REX Real Estate Reviews: Praises
✅ Tami M. has praised REX’s professionalism and services.
We used REX to purchase a home in TX in 2019, and could not have had a better experience. It wasn’t our first time purchasing a home, but our agent Kate Ward still walked us through everything and made sure we were making educated decisions. The rebate we got from purchasing with REX was a huge benefit and allowed us to splurge a bit on some furniture! We will definitely be using REX in the future.
Source: Better Business Bureau
✅ Leanne J. said that REX is easy to work with and provides good service.
I was a first-time homebuyer with very little knowledge about the industry or how buying a home even worked. REX made the whole process seamless and they were always available to answer my questions. Their professionalism, knowledge, and hard work were respected and appreciated.
Source: Better Business Bureau
REX Real Estate Reviews: Complaints
❌ Alice M. said that REX is competent but lacks sources to help you sell your house.
…in 3 months they only had 1 showing…virtually…they promised at least 1 open house a month, they did not have any open houses.Also, after i listed the property I was informed that if another broker brought a buyer that I would have to negotiate their commission on top of the commission that I would owe to Rex…I listed my property with a full service broker who sold the property in 9 days for more money.
Source: Better Business Bureau
❌ Carol T. explained the sluggishness of REX Real Estate and their lack of concern for customer satisfaction.
Our house was in a prime sought after market – 5 open houses and only 3 people showed up. The last 40 days of our 90 agreement not a single showing. Why – because real estate agents in the market black list your house and will not show it. Listed with an agent the day after our contract ended with Rex – 2 showings first day, 3 showings second day and 5 people at open house on day 3 and Boom multiple offers.
Source: Better Business Bureau
REX Real Estate Reviews: Pros and Cons
Let’s see the pros and cons of REX Real Estate:
👍 Pros
- Savings: The company offers an opportunity to save on a buyer agent commission. However, the savings depend on a case-by-case basis.
- Personalized Support: REX’s agents provide customized support during home sales and make it an exclusive experience for the home seller.
- Buyer Rebate: Home buyers can get up to a 1% rebate with REX Real Estate.
👎 Cons
- Limited Visibility: REX Real Estate doesn’t list your property on the MLS. This significantly reduces the exposure that your property gets.
- Risk of Reduced Price: It could take you longer to sell the property if you receive less exposure. Longer market times give the buyers an advantage in negotiations for your property.
Competitors of REX Real Estate
» Jump to: REX vs. Houzeo | REX vs. Redfin | REX vs. Homie
Here are 3 alternate companies you can consider:
1. REX vs. Houzeo
While REX allows you to save buyer agent commission, Houzeo offers you savings on listing agent commission. Houzeo charges $429 + 0.5% commission instead of the conventional 3%.
Moreover, Houzeo lists your home as FSBO. So, you also have the opportunity to save on the buyer agent commission.
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2. REX vs. Redfin
REX charges a 1.5% listing commission but extends an opportunity to omit the buyer agent commission. On the other hand, Redfin is a discounted brokerage. With them, you pay 1.5% listing agent commission and 3% buyer agent commission.
The major difference between the two companies is the absence of MLS listing in REX’s approach. Redfin syndicates listings across all local MLS platforms.
3. REX vs. Homie
While REX charges a 2.5% commission with a minimum fee of $9,000, Homie charges $5,000. So, Homie is more affordable. Homie also offers an MLS listing. So, Homie is a better choice for you.
Discount Real Estate Brokers Near Me 🔎
Looking for more options? We’ve compiled a list of the best discount real estate brokers in each state. Click on your state to check them out!
Other Options You Should Consider
- Sell to iBuyers: iBuyers make an offer on your property within 24-48 hours and can close within 7 days. Most iBuyers like Opendoor and Offerpad are also known to offer the fair market value (FMV) of your property.
- Sell FSBO With Flat Fee MLS Services: Flat Fee MLS websites will help you sell a house by owner and save thousands in listing agent commission. They will provide maximum exposure, professional services, and paperwork assistance.
- Sell to “Cash for Houses” Companies: Unlike iBuyers, “cash for houses” companies help you sell your house as-is. They can even close within 7 days. Cash-for-houses companies also make cash offers for homes outside metro areas or in difficult-to-sell locations.
Is REX Real Estate Worth It?
If you’re buying with REX, you can save some money with their commission rebates. However, to sell a home, you should consider the possible trade-offs.
Firstly, the absence of an MLS listing means missing out on a broad pool of potential buyers. Secondly, there’s no guarantee of getting an unrepresented buyer, resulting in an additional 3% commission. Lastly, not listing your home on the MLS may lead to a loss in equity.
We recommend you to list on the MLS with Houzeo. When you list on the MLS, you get exposure in the biggest marketplace. Additionally, Houzeo’s comprehensive dashboard, 100% online process, and customer support make home selling easy.
» Houzeo Reviews: Check out why more than 7,000 home sellers have rated Houzeo 4.9 stars out of 5.
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Frequently Asked Questions
What is REX Real Estate?
REX Real Estate is a real estate brokerage that has adopted a unique approach to offering savings on real estate commissions. They help you advertise your home on websites like Zillow, Facebook, and Instagram.
Who are REX's top competitors?
REX's top competitors include discount real estate companies like Redfin, Homie, and flat fee MLS listing companies like Houzeo. If you want to compare options available in your area, check out our blog on top discount real estate brokers.
How much does REX cost you?
REX charges a 2.5% listing commission, similar to the conventional 2.5% to 3%. They also have a $9,000 minimum fee. However, REX provides an opportunity to save on buyer-agent commissions. Learn how you can save up to 3% with REX Real Estate.
