SAN DIEGO (KGTV) — Buying a home in San Diego is already a costly decision, often reaching well into the million-dollar range. Now, a new wave of AI-powered real estate platforms is promising to cut costs significantly by changing how buyers navigate the process.
Some companies are eliminating the traditional buyer’s agent altogether and passing those savings directly to the homebuyer.
For one Carlsbad buyer, that shift meant real money back in their pocket.
After touring dozens of homes, they turned to an AI-powered platform called TurboHome and say they saved about $45,000.
“I was able to use all the money that I would have spent towards a buyer’s agent and use it towards closing costs … overall ended up being about $45,000,” the buyer said.
In a typical transaction, a buyer’s agent commission on a million-dollar home can run around $25,000, often built into the overall deal. Instead of charging a percentage, platforms like TurboHome use a flat fee model, allowing buyers to keep the difference.
The technology uses artificial intelligence to analyze home values, inspection reports, and market data — while reducing reliance on traditional commission structures.
“Due to our flat fee… you’re able to take that difference between the 2.5% and our flat fee… and use it to lower your monthly payment, your cash to close, or make your offer more competitive,” a company representative explained.
In a market like San Diego, those savings can add up quickly.
“I think especially in a place like San Diego where the house prices are so high, every small percentage matters and it can lead to some significant cost savings,” the representative added.
AI-powered brokerages are part of a growing trend aimed at reducing commission costs, which can total five to six percent of a home’s price when factoring in both buyer and seller agents. That can mean tens of thousands of dollars in potential savings.
Some buyers are even using the model as leverage in negotiations.
“The traditional process is they pay both the seller and the buyer’s agent fees … I would say, I don’t need you to pay my buyer’s fee — so I’d like to cut 2.5 to 3% off the price of the house,” one buyer explained.
But the savings come with trade-offs.
Without a traditional agent, buyers are often responsible for handling negotiations, reviewing contracts, and making sure they’re not overpaying — especially in a competitive housing market.
“If you’re willing to do a little bit of work yourself, then you can save a significant amount,” one user said.
For some buyers, that trade-off is worth it. For others, having a real estate professional guiding them through the process still provides peace of mind.
TurboHome is currently available in California and Texas. While the technology is still relatively new, it’s quickly gaining traction — especially in high-cost markets like San Diego, where every dollar counts.
