{"id":3301,"date":"2022-07-12T13:09:45","date_gmt":"2022-07-12T13:09:45","guid":{"rendered":"https:\/\/preprod.realtrends.com\/blog\/2022\/07\/12\/yoreevo-leaders-say-commission-rebate-model-spurs-growth-for-nyc-brokerage\/"},"modified":"2025-03-13T02:44:32","modified_gmt":"2025-03-13T02:44:32","slug":"yoreevo-leaders-say-commission-rebate-model-spurs-growth-for-nyc-brokerage","status":"publish","type":"post","link":"https:\/\/preprod.realtrends.com\/blog\/2022\/07\/12\/yoreevo-leaders-say-commission-rebate-model-spurs-growth-for-nyc-brokerage\/","title":{"rendered":"Yoreevo leaders say commission rebate model spurs growth for NYC brokerage"},"content":{"rendered":"\n

In a slowing national market, buyers and sellers will be paying closer attention to commission structures, according to the co-founders of Yoreevo, a fast-growing New York City brokerage that offers rebates to buyers and sellers.<\/p>\n\n\n\n

\u201cWith affordability going down, buyers and sellers will both look to save as much money as possible to offset interest rate pressure on the buy-side and price pressure on the sell-side<\/a>,\u201d says James McGrath, a former financial analyst who co-founded the company in 2017. \u201cWe\u2019re also going to see buyers and sellers pause long enough to understand the market and think about their transaction costs.\u201d<\/p>\n\n\n\n

By leveraging technology to acquire low-cost leads, Yoreevo<\/strong> offers buyers up to 2% savings through commission rebates and low listing fees for sellers. \u201cWe provide a more efficient and personalized experience than traditional brokerage firms for approximately one-third of the cost, streamlining everything from the initial home search to the closing table,\u201d says McGrath.<\/p>\n\n\n\n

In 2021, the brokerage says it completed $200 million in transaction value and closed on more than 150 homes with a team of five agents \u2013 a 150% increase from the prior year. Since its inception, Yoreevo leaders say they have closed more than $500 million in transaction value<\/a> and distributed over $8 million in commission rebates to more than 400 customers.<\/p>\n\n\n\n

Leveraging technology<\/strong><\/h4>\n\n\n\n

Like other brokerage models like Flyhomes<\/a><\/strong> and Houwzer<\/a><\/strong>, both founded after their leaders bought homes and found it painful, McGrath and Leon Goldfeld launched Yoreevo after going through the traditional home-buying experience themselves. \u201cI knew there was an easier and more affordable way to purchase an apartment in the city,\u201d says Goldfeld, whose prior experience included consulting and finance. \u201cWe felt we could do it better and put more money back into the hands of our clients.\u201d<\/p>\n\n\n\n

Yoreevo\u2019s leaders have invested in proprietary tools that they say help its agents be more productive, including a lead generation solution that produces low-cost qualified leads. \u201cMost brokers use technology to solve problems that aren\u2019t, in fact, problems,\u201d says McGrath. \u201cAverage agents doing five to 10 deals per year, don\u2019t need an hour shaved off each deal \u2014 they need more deals. Only when you hit 20, 30 or even 40 deals a year do you start running out of time and need to use technology to automate and streamline the process.\u201d<\/p>\n\n\n\n

By prioritizing the client experience and providing leads, Yoreevo\u2019s agents can spend more time with buyers and sellers, taking a fully hands-on approach throughout the transactions, says McGrath. He adds that Yoreevo\u2019s low-commission, full-service model is the only offering. \u201cThere is no compromise on service so there is no lower-priced option.\u201d<\/p>\n\n\n\n

Impact on agents<\/strong><\/h4>\n\n\n\n

McGrath says Yoreevo\u2019s model has definitely helped with recruiting. \u201cThere are many agents who are excellent with clients and either not great at finding them or skeptical of that sales portion of the job,\u201d he says. \u201cWe also provide a base salary and benefits so agents don\u2019t have to worry about every deal or hiccup in the market. But if you want to be on \u2018Million Dollar Listing\u2019 and earn $500,000 for a single deal, this isn\u2019t the job for you.\u201d <\/p>\n\n\n\n

Eliminating agents\u2019 customer acquisition costs allows them to spend their time with customers on revenue-generating activities, adds McGrath. This allows brokerage to operate at lower commission rates, attract more clients and continue to drive down acquisition costs.<\/p>\n\n\n\n

\u201cThrough technology and an updated brokerage model, we\u2019ve reinvented the home-buying process by offering a customer-centric, technology-driven approach that matches modern times,\u201d says McGrath.<\/p>\n\n\n\n

Looking ahead, McGrath encourages more brokers to invest in agent technology tools<\/a>. \u201cThere are so many parts of the job done manually that can be automated to increase efficiency and productivity,\u201d he says. \u201cBrokers should be asking their agents what they do every day, and help them free up time to work with more clients.\u2019<\/p>\n\n\n\n

Although its been a point of discussion for many years, McGrath also believes that commission compression is coming soon \u2014 driven in part by the dramatic increase in information transparency in recent years. <\/p>\n\n\n\n

While an unpopular opinion among agents and brokers who say that their services<\/a> haven’t changed despite tech platforms, McGrath insists, \u201cAgents are paid the same commission fees but are doing significantly less work with the influx of platforms like Zillow<\/strong> and StreetEasy<\/strong>,\u201d he adds. <\/p>\n\n\n\n

\u201cAgents need to look at their current offering and make a decision. They either need to specialize in a niche where they can justify higher prices or transition to lower commission rates.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

Discount brokerage Yoreevo says that their commission rebate model is the future of real estate and lead generation is the key.<\/p>\n","protected":false},"author":15802,"featured_media":4822,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3255],"tags":[],"coauthors":[1023],"class_list":["post-3301","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-archive"],"acf":[],"yoast_head":"\nYoreevo leaders say commission rebate model spurs growth for NYC brokerage - RealTrends - Blog<\/title>\n<meta name=\"description\" content=\"Discount brokerage Yoreevo says that their commission rebate model is the future of real estate and lead generation is the key.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/preprod.realtrends.com\/blog\/2022\/07\/12\/yoreevo-leaders-say-commission-rebate-model-spurs-growth-for-nyc-brokerage\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Yoreevo leaders say commission rebate model spurs growth for NYC brokerage\" \/>\n<meta property=\"og:description\" content=\"Discount brokerage Yoreevo says that their commission rebate model is the future of real estate and lead generation is the key.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/preprod.realtrends.com\/blog\/2022\/07\/12\/yoreevo-leaders-say-commission-rebate-model-spurs-growth-for-nyc-brokerage\/\" \/>\n<meta property=\"og:site_name\" content=\"RealTrends - 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