What Influence Consumer Choice for Real Estate Brokerage

Based on the data samples collected from 8 major cities in China, this paper will focus on the study of consumer choice behavior for real estate brokerage service. Firstly, it will analyze why and why not consumers choose to use brokers, then explore how they choose the brokerage firm and what major factors influence their decisions; at last point out the possible development direction for real estate brokerage firms in the future. The results show that on the average there are about 46.7 % buyers and 31.9 % sellers use brokers to assist their house search or transactions. The main reasons why want to be broker-assisted are “avoiding trouble ” and “more quickly”. The main reasons of non broker-assisting are “not necessary ” and “don’t trust”. There are a lot of factors influencing whether the consumers choose to use brokers, but significant common rules between different cities have not been found. When consumer chooses a firm, “general reputation”, “scale”, “office location”, “advertisement ” and “acquaintance recommendation” are top five factors that influence the decision