Regulations

Survey suggests rewards of providing ancillary services outweigh risks

3 out of 4 brokerages offering services like mortgages, title insurance and home warranties

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Three out of 4 real estate executives say their brokerages offer at least one ancillary service, with mortgages, title insurance and home warranties among the most popular offerings, according to an online survey by Imprev Inc. Among brokerage firms offering at least one major ancillary service, 89 percent offer mortgages, 71 percent offer title services, and 49 percent offer home warranties. While higher profits were the most often cited benefit of offering ancillary services (79 percent), 70 percent of the nearly 200 real estate executives surveyed by Imprev in May also identified "one-stop marketing opportunities" as a benefit. Another 62 percent cited "increased customer satisfaction" as a motivation for offering ancillary services, and 60 percent said providing such services helped ensure "better quality control." The provision of mortgage, title insurance and other settlement services is highly regulated, and not without risk. Real estate brokerages that operate a...