Claims:We Claim:
1. A method for conducting a real estate transaction between a real estate buyer and a real estate seller, the method comprising:
a. receiving a property search criterion from the real estate buyer
b. assigning a discount code to the real estate buyer, said discount code being associated with a target property
c. if the real estate buyer procures said target property
d. paying the real estate buyer, a rebate amount
e. collecting a transaction fee from the real estate seller, said transaction fee including said rebate amount.
2. The method of claim 1, wherein the real estate buyer rents and purchases said target property.
3. The method of claim 1, wherein the real estate the host facilitates a person-to person meeting between the buyer and the seller in order to show the target apartment to the buyer.

, Description:Technical Field of the Invention
The present invention relates to real estate property transactions, and more specifically to conducting real estate transactions between a real estate buyer and a real estate seller using a real estate host.
Background of the Invention
Real estate brokers typically charge a commission for the rental and sale of real estate properties that optimizes their revenue per transaction. The commission is determined by the supply of available properties on the market and the demand for those properties. The objective is to sell and rent as many properties as possible at a commission that is as high as possible.
Presently, the commissions, while theoretically negotiable, are very inflexible because the client has imperfect knowledge of all available real estate on the market and is just searching for or trying to sell one piece of real estate, whose commission will not appreciably affect a broker's overall revenue, and is therefore not in a position to bargain for a better rate.
Moreover, to date it has been impossible for a third party to aggregate listings and impractical for the multitude of broker firms to do so, since the costs of producing such service must come at least in part from completed deals, and nobody in a completed transaction wants to reduce his or her fee by reporting the transaction.
Each broker knows that since they share access to the same general list of real property available as other brokers and because clients are generally charged the same commission fee by their competitors (with small variations), a broker can serve as many clients as he receives inquiries and loses money on each client who chooses his competitor to offer the same service. However, brokers cannot simply discount their normal fees for all clients without starting a fare war or compromising their underlying fare structure. Furthermore, brokers are generally required to pay a fee of one-half the going fee rate of 15%, or 7.5%, of the first year's rent to the brokerage firm who discovered and originally listed each particular real estate property for rentals or half the commission for sales.
Offering discounts to particular segments of clients is one way for brokers to draw additional client traffic. However, this practice is generally limited to instances where brokers have longstanding relationships with particular clients and have derived income from previous sales and rentals to them, or where brokers expect an increase in volume in return for the discount.
Object of the Invention
The object of the present invention is addressing the above-mentioned limitations of traditional real estate transactions by providing a real estate host for discounting and offering rebates in real estate dealings.
Summary of the Invention
Thus, an aspect of the present invention involves a method for conducting a real estate transaction between a real estate buyer (or renter) and a real estate seller (or the seller's broker). The method includes a receiving for receiving a property search criterion from the real estate buyer. An assigning assigns to the real estate buyer a discount code associated with a target property. If the real estate buyer procures the target property, the method further includes paying the real estate buyer a rebate amount and collecting a transaction fee from the real estate seller.
In accordance with another aspect of the invention, there is provided a system for conducting a real estate transaction. The system includes a real estate seller offering a target property for purchase or rent. A real estate buyer procures the target property from the real estate seller. In addition, a real estate host lists the target property in a host database. The real estate host assigns a discount code to the real estate buyer which is associated to the target property. When the real estate buyer procures the target property, the host pays the real estate buyer a rebate amount.
The foregoing and other features, utilities and advantages of the invention will be apparent from the following more particular description of various embodiments of the invention as illustrated in the accompanying drawings.
Brief description of Drawings:
FIG. 1 shows a flow chart for an exemplary apartment rental transaction process as contemplated by the present invention.
Detailed Description of Invention:
FIG. 1 shows a flow chart for an exemplary apartment rental transaction process as contemplated by the present invention. Although the embodiment of FIG. 1 relates to a real estate buyer searching for an apartment to rent or lease, the present invention may also be employed for other types of property as well as other types of property transactions. These other implementations are intended to be included within the scope of the present invention.
The process begins at accessing, wherein the real estate buyer contacts the real estate host. The accessing can include logging on to the host, creating a client profile, and validating the buyer's identity. After the accessing is completed, the process flow passes to searching .
Next, in searching, the buyer inputs a property search criterion which specifies the apartment the buyer is interested in renting. In response, the host retrieves apartment descriptions matching the property search criteria. The apartment descriptions are stored in a host database and may contain a brief narrative about each apartment as well as photographs and videos of the apartments. It is contemplated that the apartment descriptions may be viewed by the buyer through a computer network. For example, the buyer may use an Internet connection and a web browser to examine the apartment descriptions. Thus, the present invention beneficially gives the buyer the opportunity to preview the target apartment by examining the apartment description and gives the seller the opportunity to preview the buyer's credit by examining the buyer's qualifying information.
In one embodiment of the present invention the host database can be updated via a computer network. In such an arrangement, database entries are maintained by subscribing real estate agents who connect to the host using an Extranet or other secure network connection. Once connected, a real estate agent can add, delete, and modify his or her database entries.
After the buyer searches through the apartment descriptions, the buyer selects a target apartment at finding. The target apartment is the apartment which buyer selects to see in person. The buyer may choose more than one target apartment, but for ease of illustration only one target apartment is assumed chosen by the buyer. Next, at, the host assigns the buyer a discount code associated with the target apartment. The code may be any unique alphanumeric sequence which identifies the target property. In an embodiment of the invention, discount codes are created automatically using a key generator algorithm known to those skilled in the art. Once the assigning is completed, the process flow passes to receiving.
At receiving, the host receives qualifying information from the buyer. As discussed earlier, the qualifying information may include the buyer's yearly income, the buyer's debt, credit references, etc. The qualifying information is used to screen out apartments that the buyer is financially unqualified for and to help the seller determine if the buyer will be a financially stable tenant.
Next, at directing, the host facilitates a person-to person meeting between the buyer and the seller in order to show the target apartment to the buyer. The host provides the target apartment seller with the buyer's name and contact information so that the seller can schedule an appointment with the seller. Generally, at least some of the qualifying information is also passed from the host to the target apartment seller at directing.