Algonquin firm's site gives homebuyers tools, savings

Technology has already made dramatic changes to the real estate industry, from searchable databases to slick, heavily produced drone videos that a buyer can use to find the right property before he even thinks of calling an agent or broker.

Now an Algonquin entrepreneur is looking to disrupt the industry again with a website that provide homebuyers with the tools to negotiate and seal the deal themselves.

Carl Swanson is CEO of AmericanRebateRealty.com, a website designed to empower property buyers with the tools needed to carry them through the buying process, from finding the right property to closing. Swanson notes the main advantage of the online DIY process is that the buyer can save a sizable amount of money in fees over using traditional brokers.

Swanson, who is a licensed broker and real estate developer with more than 40 years of experience, notes ARR.com provides the tools, forms and other resources that brokers use to find property and negotiate a selling price for a buyer. The business model is the first of its kind in the real estate market, he said, and the process can save the buyer thousands of dollars at closing.

"We provide a unique set of tools and knowledge tutorials that helps the consumer manage the entire process from the very beginning phase of looking for a home, making the offer, closing and receiving a tax free rebate," Swanson said.

When a buyer registers on the ARR site, he basically agrees to be represented by Swanson. From there, the buyer has access to information, tutorials, forms, and other tools to handle a real estate deal on his own.

ARR does also offer human support if needed, Swanson notes.

"You are still being represented by me as your buyer broker, but you're doing it through technology," Swanson said. "You have the capacity at any time to email or call me."

Registration and use of the site's tools are at no cost. When the property transaction is closed, Swanson said ARR collects the fees and commissions and splits them with the buyer. With an additional 3 percent seller-paid closing cost that can be negotiated into the deal, Swanson said the average saving for a buyer is about 4.25 percent, compared to working through a broker. On a $150,000 home sale, the savings to the buyer would be about $6,150, he notes.

"The cash benefits that people get are amazing."

The site went live earlier this year, the culmination of about 2 1/2 years of development. Working with Dan Gurke, who is ARR's chief technology officer, Swanson set out to develop an online real estate program that would allow people to "empower themselves." It's that empowerment that makes ARR different from established real estate websites, he notes.

"Most people in real estate technology have been doing data manipulation," Swanson said. "This is actually transactional automation.

"I spent weeks writing out 100 pages of concepts and forms that would be put into the website," he added.

While it's built up a good local clientele, Swanson admits there is more to be done to build up the site and what it can offer buyers.

"It's a work in progress," he said. "We still need to work to continue to make the site more user friendly and mobile friendly."