Mr Pero founded Mike Pero Mortgages in 1991 and is due to lanuch Mike Pero Real Estate in March or April.
Mr Pero said on average the lower commission rate of 2.95 percent would save home sellers between $3000 and $6000 and he believed that would be enough to attract people away from other real estate companies, which he said charged 3.95 percent.
He would offer franchises to real estate agents, which could include exclusive territory ownership.
The focus on internet and mobile marketing and communication would help reduce administration and management overheads, Mr Pero said.
"Our new generation real estate company will make smarter use of agents' time, meaning that they will individually earn more while they deliver a lower fee to their clients, even at the same number of sales."
Mr Pero's entry into the market would be interesting, realestate.co.nz chief executive Alistair Helm said.
He would face a challenge in a competitive marketplace, but was not starting from square one as he already had a good mortgage brand.
New companies 200 Square and The Property Market also focus on online marketing and offer lower selling fees.
"It seems to be a bit of a flush of innovative companies," Mr Helm told NZPA.
All had a focus on online marketing, which was now people's first port of call when looking for a house, and were not using traditional print media, he said.
Other real estate companies offered less than 2.95 percent.
"It's unusual to find a big brand with a fair amount of marketing that offered a lower commission."
The commission was low and people always wanted to pay less but then there was a question of quality, Mr Helm said.
