The online real estate brokerage market is growing at a rapid pace


A person walks past a real estate agent's office in Seoul on September 12, 2021. (Yonhap)

A person walks past a real estate agent’s office in Seoul on September 12, 2021. (Yonhap)

SEOUL, November 3 (Korea Bizwire) Online real estate startups are multiplying rapidly, causing a new trend in the South Korean real estate market.

Dawin Property, a real estate brokerage firm, recently attracted a 3 billion won (US $ 2.54 million) investment from SoftBank Ventures Asia Corp. and Fast Ventures, according to industry sources.

Under the slogan of a zero commission promise for those who put houses on the market and half the usual commission for property buyers, Dawin Property broke the 300,000 mark in monthly active users just six months after the launch of its services.

Real estate startups specializing in proptech, a term used to describe the application of technology to real estate, have been growing at a breakneck pace in recent days.

ZIPTOSS, which has been providing online real estate brokerage services for small residential properties since 2016, broke the 1,000 billion won mark in total transactions in May.

In contrast, traditional real estate agencies are struggling due to the freezing of real estate transactions resulting from strict government regulations and the revised law to reduce real estate brokerage commissions by up to 50%.

Collusion of real estate commissions, which has been reported as a chronic problem in the real estate industry, is no longer accepted as a traditional practice.

Last month, the Seoul Eastern District Prosecutor’s Office indicted nine real estate agents for sharing information about properties for sale only with those who paid admission fees and asking them to maintain a high level of commissions. .

JS Shin ([email protected])

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