Real Estate Startups Are Targeting Agent Commissions

Business Insider reports that it has been two years since the National Association of Realtors settled multiple class-action lawsuits tied to commission fees in real estate transactions. The article notes that the traditional commission fee was normally 6%, split between the buying and listing agent. While buyers and sellers have found some savings, the overall market has not changed dramatically.

According to the article, Redfin data showed buyer's agent commissions fell from 2.43% to 2.36% between Q1 2024 and Q3 2024, before returning to 2.43% by Q2 2025. A February 2026 Clever Real Estate survey of 533 real estate agents found total transaction commissions were about 5.7%. That figure remains close to the former 6% standard, reinforcing why alternative models are drawing attention.

The visible examples in the Business Insider report include Beycome, Clever Real Estate, Galleon, Homa, Listwise, and Off-Markt. Their approaches range from helping users avoid traditional agents to matching sellers with agents under more transparent commission terms. Homa, described as an AI-powered buying platform, was used by Vicki Lynn to buy a Florida home without an agent; the article says she paid a flat fee and saved about $7,000.

The main takeaway is choice: these startups are not all trying to eliminate agents, but they are challenging how agents are used and paid. Sellers may want to compare flat-fee, for-sale-by-owner, agent-matching, and full-service options before listing. Buyers should also examine whether a platform provides support for offers, disclosures, inspections, and closing costs before relying on it in a transaction.