Last Updated on February 15, 2023 by Tabraiz
Founded in 2017 with a mission to make buying and selling homes more effortless and more affordable for everyone, Clever has been in the real estate market’s attention for its “100% free” promises. The platform analyzes and works with hundreds of real estate service providers across the country.
Clever real estate claims to have helped individuals achieve their goals and get more value from real estate agents. Clever real estate provides real estate services and functions as a brokerage firm and has its name in the sector as a licensed brokerage allowed to collect huge rebates from its affiliated agents.
However, Clever shows a different image to its clients and the web audience, as Clever real estate reviews tell a different story about the firm. We’ve spent hours working on getting an accurate understanding of the platform and its client experience.
What is Clever Real Estate?
Founded by Benjamin Lee Mizes, Jake Cardenas, Jeremy Decker, and Luke Babich in 2017, Clever is among the many services emerging in the real estate sector, calling itself a “Discount real estate brokerage firm.”
The platform utilizes marketing tools to attract home sellers and buyers to log in with the website with their personal information, and they automatically turn the logins into leads in its database. Moreover, the platform follows a different approach than other real estate platforms as they don’t provide any services with traditional brokerage offers.
How Do Clever Real Estate Functions?
A real estate transaction will not occur without an interested buyer and a seller. The moment these two individual links, there happens a deal. A realtor acts as a middleman to take the process further until closing.
What Clever does represents itself as a middleman in the middle. The platform makes easy money by linking a buyer/seller with a realtor, charging 25% to 40% of the commission as a service fee.
Besides, Clever also states to offer refunds if customers use their services to sell and buy properties. Well, there’s still some doubt about the saying’s credibility. As a result, the platform will earn considerable revenue from rebating.
Yes, per their terms and conditions, an individual only applies for the refund scheme after the house’s purchase value is more than $150,000. Further on which, Clever will earn 40% of the commission as a “Service Fee.”
How Does Clever Mints Money?
Clever operates a full-fledged website where they guide and attract potential house buyers, sellers and renters through its content marketing strategy. The platform utilizes sharp SEO marketing PPC campaigns, where advertisers pay an amount every time a user clicks on one of their ads and visits their website.
As said earlier, through sharp marketing tools, the platform engages interested individuals to log in with the website with their personal information and acquire leads. The leads are then sold to affiliated agents for a “Service Fee” within ten days of closing.
Precisely, the platform earns considerable amounts from several transactions. If the home is sold for less than $125,00, Clever charges 25% of the gross broker commission, whereas, If the house is sold for more than $125,000, the platform sets a greater of $1,000 or 25% of the gross broker commission. Usually, if the agent represents the buyer, the clevers’ charge will go up to 40% of the broker commission.
Is Clever trustworthy?
We don’t recommend you use Clever if you care about your privacy. Because the platform doesn’t hold any responsibility for your confidential details, it sells them to an affiliate’s broker for considerable dollars. Moreover, the platform doesn’t yet have the partners or connections to provide the best agents and the expected services.
Clever’s rates are cheaper than other companies with a similar flat fee model; there’s just one reason to hover over the website. But that too at what cost? By risking your data to an affiliated agent? Well, the choice is yours. We’ve covered the downsides of the platform that an individual should consider.
Clever real estate reviews
The reviews we’ve gathered are a mix of everything. Many expose the evil, wrong side of the platform, while some find Clever their perfect fit. That being said, let’s take a look at it.
Clever real estate misrepresents its service as ‘Zero Charges’
In enforcing truth laws in state and federal advertising, the FTC requires companies to: Use the terms “free” or “sale” with caution. It is also equally crucial for a real estate firm to know their pricing upfront and disclose every charge that applies.
But Clever advertises its service as “100% free”, and the charges go up alongside the process. Specifically, the platform charges 25% to 40% of the agent’s total commission as a “service fee.”
Considering Clever’s policy, the platform’s partner agents agree to provide 100 percent full-service and support for a flat $3,000 listing fee, or just 1 percent for homes over $350,000. But, the reality differs. The agents demanded a payment of $150 for the photo and $350 for the transaction coordinator, irrespective of 100 percent full service and support.
Amazing agent support
Despite faulty remarks, the platform has excellent reviews on Trustpilot. Clever has a 3.8 out of 5 rating on free sites like Google Reviews. Through our research, we come across a particular comment. Clever pairs with a well-experienced realtor made the home sellers’ experience great as they were communicating and humble.
Clever does not observe the whole procedure
Once the agent is assigned to the consumer, the platform doesn’t take much responsibility. Traditional brokerage firms monitor their agents; as we know, Clever is not a conventional brokerage firm. Hence, Clever can’t argue with the affiliated agent for his best service as they are not wholly associated with the firm under specific rules and regulations.
Best alternates for Clever Real Estate
We suggest to you the best options for Clever Real Estate that offer better service at an affordable price and an easy solution for “How to list on MLS”. They provide better service and power technology, maintain their grace, and protect your privacy at all costs.
Houzeo reviews say a lot about the platform as it is one of the best alternatives because it fulfills all your requirements to make your home selling process smooth and hassle-free. The platform offers package options ranging from $229- $499 through different fixed fee MLS services.
Houzeo provides an unbeatable combination of maximum savings, cutting-edge technology, and 5-star customer support. Following are some Houzeo Reviews that will help you in many ways.
Houzeo is a tech-focused For Sale By Owner website and real estate platform that gives you access to tools only real estate agents have.
- HOUZEO makes selling homes possible without a seller’s agent
- 24/7 supportive customer service representative
- Friendly user-interface
- Fully automated streamline services
- Respectful and humble employes
Apart from this, if you are interested to know more about Tips For Hiring Real Estate Agents then visit our Real Estate category.