FangDD, a real estate platform that facilitates transactions between sellers and buyers through property brokers with a pay-for-performance revenue model

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Country: China
Year founded: 2011

  • Digitization has a tremendous impact in the transactional industry, including real estate. While other industry players focus on generating advertising revenue for listings, FangDD has adopted a pay-for-performance model which charges commission only if a property transaction has completed.

Concept

  • FangDD has a web portal along with 4 main dedicated services for different target groups including 1) home buyers who want to find property information, 2) home sellers who want to sell their second-hand properties, 3) agents who support the transaction for new and second-hand properties and 4) property developers who want to sell their new properties

Consumer Benefits

  • Home buyers: Greater home options with the access to a plethora of listed properties and relevant information and property agents
  • Home sellers: Reduce complexities and turnaround time with vast number of home buyers base and agents
  • Property agencies: Increase revenue potential with the opportunity to become the appointed agency of a new property development and have access to the operational system to monitor the performance of their property agents
  • Property developer: Increase occupancy rate and sale through the wide pool of potential buyers and agencies with a sale management platform to enhance efficiency and relationship management

How It Works:

FangDD uses its proprietary web portal and mobile application to facilitate the transactional relationships among the stakeholders in the real estate retail industry ecosystem as illustrated below. FangDD then charges commission for every successful closed transaction on the sale of the property.