Key player in Sitzer/Burnett launches real estate startup
“Our hard-won settlement paved the way for a new era,” said Josh Sitzer, whose company offers flat-fee home tour and offer preparation services for buyers.
Less than a year after claiming victory in a landmark commissions trial, one of the plaintiffs in the case is again taking action, but this time as an entrepreneur.
As reported by TechCrunch on August 29, Josh Sitzer — a Missouri home seller who, in 2019, filed the class action lawsuit against NAR and major brokerage companies that became known as Sitzer/Burnett — has partnered with Bryce Galen and Neal Batra to launch Landian, a company that offers flat-fee real estate services on demand.
Agent services, but no commissions: The goal of the venture, according to TechCrunch, was to "take advantage of the new landscape" following NAR's settlement and offer buyers a different way to work with agents.
"While hiring agents is a choice for many, I don't believe anyone should be bullied into paying for undesired services due to unfair industry practices," Sitzer told TechCrunch.
According to the Landian website, which is currently in beta mode, potential customers can paste in listing links and choose the flat-fee options they need. A home tour is priced at $49, for example, while offer preparation comes in at $199. Buyers can also opt for a more comprehensive agent package for $1,799.
On Landian's home page, Sitzer states that "our hard-won settlement paved the way for a new era of fairness and transparency," and the company's flat-fee approach is "liberating homebuyers from the excessive commissions they were previously forced to pay."
The company says it offers services in the U.S. and Canada and bills itself as a platform that schedules and coordinates service contracts — but is not a brokerage.
According to TechCrunch, Landian is in startup mode and is seeking seed round financing.
About Sitzer/Burnett: The first commissions case to go to trial, Sitzer/Burnett pitted home sellers against the National Association of Realtors, Anywhere Real Estate, RE/MAX, Keller Williams and HomeServices of America.
On October 31, the jury found in favor of the plaintiffs, agreeing with their allegations that the defendants were part of a conspiracy to inflate commission fees and awarding $1.8 billion in damages. Since that time, all of the defendants have reached settlement agreements, and the industry adopted policy changes that went into effect on August 17.