Houwzer is a discount real estate brokerage operating in many states along the East Coast as well as Arizona, Colorado, Washington, D.C., and Washington State. Its 1% commission model offers significant savings for buyers and sellers (compared to a typical real estate commission of 3%).
The company achieves its lower fees by focusing on a high volume of clients and transactions and employing salaried agents instead of commission-based ones. Unlike some other low-commission brokerages, it strives to provide full-service support to its customers.
Houwzer at a glance
Summary card:
- Average rating of 4.9/5 based on 1,300+ reviews.
- Pros: Low fees, buyer rebates, full-service experience.
- Cons: Limited geographic coverage, team-based approach vs. dedicated agent.
- Founded in 2015; privately owned.
- AZ, CO, DE, FL, GA, MA, NJ, NC, PA, SC, VA, WA + Washington D.C.
- Additional services: In-house mortgage and title services.
Customers Houwzer works best for
Some clients may particularly benefit from using Houwzer:
- Sellers looking to save money with the flat 1% listing fee.
- Buyers seeking rebates on buyer agent’s commissions.
- Those looking for full-service offerings that include a mortgage advisor and title insurance.
Customers who Houwzer may not work well for
However, the company may not be the right fit for everyone, such as:
- Those who reside outside of the company’s service area
- Sellers and buyers with special requirements, such as selling in a competitive market or dealing with a luxury property.
- Those in need of hands-on, personalized service with a dedicated agent.
Pro tip: If you’re looking for a traditional agent experience for a fraction of the cost, consider Clever, which pre-negotiates 1.5% commission rates with top agents in your area.
Houwzer vs. competitors
| Company | Listing fee | Avg. customer rating |
|---|---|---|
| Clever | 1.5% | 5/5 (3,000+ reviews) |
| Houwzer | 1% | 4.9/5 (1,300+ reviews) |
| Redfin | 1.5% | 3.01/5 (1,100+ reviews) |
| Ideal Agent | 2% | 4.9 (7,000+ reviews) |
Houwzer has the lowest listing fee among its main competitors. However, sellers who decide on the company for this reason should keep in mind that the savings may be less substantial than expected. The seller would typically still have to pay the buyer’s agent’s commission, which will not be discounted.
If you’re looking for a more traditional hands-on approach, Clever might be a better fit. Sellers and buyers who work with Clever are matched with top agents in their area who will guide them through the whole process, from start to finish. What’s more, Clever is available nationwide, so you can work with the company no matter where you are or where you’re looking to buy.
Redfin and Ideal Agent are two other well-known low-commission brokerages. Ideal Agent has excellent reviews from customers but charges a higher fee of 2%. Redfin could also be worth looking into, but some clients were unsatisfied with their agents’ quality, so you may want to choose your realtor carefully if you go with Redfin.
Houwzer reviews
| Source | Customer rating |
|---|---|
| Google* | 4.8/5 (500+ reviews) |
| Zillow | 5/5 (791 reviews) |
| Yelp* | 4/5 (53 reviews) |
| Weighted average | 4.9/5 (1,300+ reviews) |
| * For Google and Yelp, we used aggregate numbers from multiple company profiles. | |
Houwzer has strongly positive reviews across multiple platforms. Satisfied customers praise the cost-saving model and report excellent service from the team members. However, a few reviews bring up frustrations with individual agents and the team’s seeming unresponsiveness.
Positive experiences
‘They saved me a lot of money’
Many Houwzer reviews address significant savings in their five-star reviews. Sellers commend the company and team’s ability to provide high-quality service despite lower commissions.
Another common theme that’s noticeable in the reviews is the professionalism, knowledge, and excellent communication skills of the individual professionals sellers and buyers worked with.
‘Extremely helpful from start to end’
Angela did an outstanding job in preparing me for a fast and profitable sell of my home. She is not only brilliant in her field but kind, generous and easy to talk to. She brings high level professionalism and results in all that she does. You won’t be disappointed with her!
— Zillow
Negative experiences
Houwzer does not have many recent negative reviews. However, two themes emerge from looking at the comments from unsatisfied clients. Some users mention inefficiency and a lack of guidance.
‘Feeling abandoned, misled, and utterly frustrated’
‘Agent is very unprofessional’
Also, a couple of clients expressed dissatisfaction with the selling agent, which signifies inconsistent service quality.
To ensure you’re happy with your realtor, make sure to research a few of them beforehand. We recommend reading clients’ reviews about particular agents you’re interested in, interviewing a few candidates, and verifying whether they have expertise selling similar properties on your market.
Houwzer pros and cons
Pros
- Low commission fees: 1% commission instead of the traditional 2-3%.
- Full-service offering: Support throughout the process plus additional services.
- Buyer commission rebates: Buyers can get a portion of their agents’ commission rebated if the seller covers it.
Cons
- Less personal approach: Team-based model limits personal connection.
- Limited availability: Available in 12 states and Washington, D.C.
- Occasional delays or errors: High transaction volumes may cause issues.
How Houwzer works
Houwzer provides full services to buyers and sellers while offering significant cost savings compared to traditional brokers. The company’s website mentions that instead of working with one agent, you will be connected with several real estate professionals responsible for their respective parts of the process.
Selling a home
One of Houwzer's main selling points is the 1% realtor’s commission (compared to a standard 2.5-3% fee). This includes full support and additional services, such as professional photography and social media marketing.
Houzer’s professionals assist sellers with the following:
- Pricing strategy development
- Property staging and photography
- Listing a house on the MLS and across real estate websites, such as Zillow and Realtor.com
- Showings and open house coordination
- Offer negotiation
Buying a home
Working with a Houwzer agent to buy a home is similar to working with an agent at a traditional brokerage firm. You can initiate the process by filling out the form on the website to get matched with an agent.
Buyers who use Houwzer can expect these services:
- Help searching for the right property
- Preparing an offer
- Offer negotiation support
- Paperwork preparation
- Guidance through closing
The home buyer rebate
The main perk that Houwzer offers buyers is its rebate program. In the rare instance that a seller won’t cover commission for the buyer’s agent, buyers pay 1% of the home’s sales price to cover the agent’s fees.
However, if the seller agrees to pay the buyer’s agent’s fees, and if the buyer’s agent’s commission is more than the 1% minimum, Houwzer offers a 50% commission rebate to the buyer.[1]
Additional offerings
On top of the primary package, Houwzer has a few additional services available for buyers and sellers. Most of them are available through Houwzer’s parent company, Newfound.
- Newfound Mortgage — mortgage advisory services for buyers who can compare loan options and apply for a mortgage through the service.
- Houwzer Title — offering title insurance and closing services.
- HomeRise MLS listing — starting at $95 to list and an additional $495 at closing, the platform focuses on home sellers who want to list their property without an agent’s assistance (FSBO).
Additionally, the company advertises that buyers who bundle mortgage and title services can receive $2,500 back at closing.
Houwzer reviews: The bottom line
Houwzer offers its clients substantial savings with the 1% commission model and buyer’s rebate program. It differs from many other brokerages by having a team of professionals working with a client instead of one assigned realtor.
However, the company’s focus on maintaining a high volume of transactions along with its team-based approach may lead to reduced personal attention and slower response times.
Many sellers and buyers prefer to work with a single dedicated agent throughout the process. Clever has prenegotiated a 1.5% listing commission with some of the best agents in your area: To get matched with experienced agents today, fill out this short quiz.