This is some HUGE news in our industry today.
I got a heads up on this a few weeks ago, but I didn’t know it was going to happen so quickly.
What are your thoughts on the RE/MAX to Real Brokerage acquisition?
For me, it makes sense that traditional brokerages are going to have a harder and harder time competing against virtual brokerages that are both lower cost and tech-enabled.
I mean, who goes to an office anymore, right? (Well, we do as a team, but that’s because we want to and we have great support and culture)
The writing has been on the wall for a long time, but COVID accelerated the shift away from traditional brokerage. Once the office was gone, or we realized what it was like to not need one, the prestige of bricks and mortar really fizzled out.
It doesn’t have to be this way, imho. The play for brick and mortar is to add massive value. And I feel like they are, in general, failing to do so.
Why would I pay a premium for an office I don’t use, and a brand that means no more to consumers than any of the cloud brands or my team’s brand??
Our experience at a RE/MAX office: The Carey Real Estate Group (the team I run inside the REW building) used to be with RE/MAX. And here’s the thing – it wasn’t worth the money. The broker-owner ran a team and competed against us. We got no leads and very little support.
Every office is different, of course, and there are great RE/MAX operators out there who genuinely add value. But when an office doesn’t deliver, the brand (and the balloon, which they inexplicably got rid of) isn’t worth very much to an agent or a team.
What we actually need: great brokers of record, instant access to help when it matters, compliance coverage, and reliable back-of-the-house tech & reporting
We’re with EXP Realty now, and it is MUCH better. (Not perfect, but much better.)
What’s actually better for our team:
Fast access to Brokers of Record. This is the secret sauce for retaining agents and teams. We run into situations we’ve never seen before all the time, and we need help. Real estate is complex.
We get paid fast. And when there’s an issue, we get extremely fast and helpful responses from support.
They don’t interfere with our marketing. EXP is all about agents branding themselves. They don’t act like compliance cops harassing us over creative marketing that, as it turns out, is actually compliant. We don’t want to break the rules (and we don’t), but it’s nice not to have to defend our creativity to old-school brokers who just don’t get it.
Culture. EXP has a great culture. We just left EXP Con and it’s something to see – supportive, accessible, encouraging at every level. CEO, CMO, Founder – direct access to all of them, and they’re genuinely excited to talk to you.
I’m making this list on purpose – not to promote EXP Realty (I’m sure Real Brokerage, LPT and others have great things about them too) – but to make a point.
Notice anything missing from my list? No mention of technology, AI, or tools in what is better for our team.
That’s not an accident. We don’t use a single thing EXP offers except Skyslope, which is “fine” – but we use it because it’s required, not because we chose it.
Here’s my point: brick-and-mortar brokerages don’t have to lose. And they don’t need special “unique” tech to be great or retain agents. They just need to pay for good tech that works well for the agents.
What they need to do is put the focus back on serving their actual customers – their agents – and stop pretending that a name or a balloon is good enough to charge a premium.
For Bricks and Mortar Brokerages here is what I think they need to do to win:
#1: See my list above? It’s about customer service! Provide amazing customer service. Be fast, accurate, and reliable. And be friendly / kind. Customer service trumps technology
#2: Provide leads: This is a level playing field for all brokerages and can be a great profit center for you as well. Don’t let Zillow take x % of the deal when you could take a bit less (saving your agents money while you make a profit). Win / Win!
#3: Have a technology answer: Stop actiing like technology is expensive. It’s not! (And most of you charge a tech fee anyway). Great technology is cheaper than ever now and offers a lot more than in the past. Granted, you probably pay for way too much of it (separately) and don’t leverage half of it - so the discipline here is to consistently hold it accountable.
Does it serve your business? Do the agents use it (and love it)? Is it a staple? We focus on Websites (your technology hub, leads < no explanation required and CRM < per agent productivity) - there are a few others you “need” for sure (transaction management, accounting, etc.) - but go down the list. Past that - what are you spending (or wasting) your money on? Pay the premium for the “Good stuff” - in the categories that really matter and throw out the rest.
Anyways, I got off topic a bit there lol - so folks, what do you think? Is this an exciting move for RE/MAX agents or are we headed towards too much consolidation and a “Sea of sameness”
Personally, I think this will solidify the rise of tech enabled teams who don’t care which brokerage “brand” or “logo” they have - they just care about great support and low costs so they can run their businesses and make a profit for their themselves and their agents.