T3 Insight

Real estate consolidation, increasing industry diversity + MLS tech integrations

Articles in this Edition

In this edition of T3 Insight, T3 Sixty's latest monthly analysis of the residential real estate brokerage industry includes articles on Real estate consolidation, increasing industry diversity + MLS tech integrations. Take a deep dive below.
Released June 16, 2021

Inside the real estate consolidation game plan

by: Paul Hagey

Don’t trust your gut when it comes to increasing diversity

by: Kelly White

The increasing importance of MLS technology interoperability

by: Clint Skutchan

What We're Reading

In addition to the articles, here are a few items we are reading from across the internet.

Why are so many teams suddenly joining eXp Realty?

EXp Realty’s national brokerage footprint with a team-forward brokerage approach is attracting teams in droves. Inman dove into the trend, which T3 Sixty also analyzed in its 2021 Swanepoel Trends Report chapter “Real Estate’s Cloud-Based Brokerage Takes Flight.” As teams shared in this article, and as T3 discovered upon diving into the company’s business model and interviews with executives, eXp is growing by leaps and bounds because of its revenue-sharing model, in which agents earn a portion of the company revenue of agents they recruit, its equity plan, in which agents earn company shares based on different performance metrics and a borderless, office-less support network that facilitates collaboration and growth. Access the STR and other T3 research at T3 Intel.

  • Inman
HomeServices of America Announces Christy Budnick as CEO of HSF Affiliates

HomeServices of America tapped company exec Christy Budnick, who has been CEO of president and CEO of Berkshire Hathaway HomeServices Florida Network Realty since 2018, to lead its franchise wing HSF Affiliates. In this role, Budnick will guide the brands Berkshire Hathaway HomeServices (BHHS) and Real Living. With a sales volume of $139.3 billion, BHHS was the nation’s fourth largest brand in 2020, according to the Real Estate Almanac. Budnick was the 193rd most powerful leader in real estate, according to the SP 200. She replaces No. 18 on the SP 200 ranking Chris Stuart, who left to lead Ben Kinney’s startup Place, which provides backend tech and support for real estate teams and agents.

  • Businesswire
RE/MAX makes major franchise acquisition

RE/MAX has reached an agreement to acquire RE/MAX Integra’s North American franchise region, which includes 19,000 agents in the U.S. and Canada. The acquisition continues a yearslong strategy by RE/MAX to acquire large regions they do not already own. The is another bold step by REMAX as existing leaders in the industry push back against the strong growth from a slew of new franchisors and brokerages that are well-financed and expanding rapidly.

  • Inman
MLS Aligned acquires tech startup Agent Inbox

In a bold move a group pf MLS organizations have collectively through a new company, MLS Aligned, acquired the messaging and showing tool Agent Inbox . The group of five MLSs led is by Arizona Regional MLS with MLS Listings (Silicon Valley), UtahRealEstate.com (Utah), Metro MLS (Milwaukee, Wisconsin) and RMLS (Oregon). The acquisition indicates an effort by MLSs to own their own technologies following Zillow Group’s recent acquisition of the popular MLS showing service ShowingTime.

  • The Data Advocate
A new era for zipLogix and NAR

ZipLogix, the forms software provider that was founded and run by a California Association of Realtors subsidiary until 2019 when Lone Wolf Technologies acquired it, will see its Realtor association connection terminate at the end 2021. NAR, which began offering parts of the technology as a member benefit in 2015, has decided to no longer offer it to members after spending $62 million over six years to provide this technology to members. When NAR’s support ends later this year, forms and transaction software will now compete on equal footing in markets across the U.S., which will open up the forms and transaction management technology markets a bit wider.

  • Inman
IFunder Homeward raises $371M

Homeward, which operates in Texas, Colorado and Georgia, helps streamlines moves for homeowners looking to buy a new home with iFunding, a twist on iBuying in which companies streamline transactions with alternative financing models. The startup purchases the next home homeowners want and then leases it to the homeowners until they sell the home they are moving from. At the same time, Homeward offers the homeowner a guaranteed base price for their previous home, which they list on the open market. The company charges a fee for this service and gives a credit to the client if they use the company’s mortgage. Realogy’s RealSure program, which operates in a similar fashion to Homeward, recently expanded to five additional markets, and Offerpad, another iFunder, has announced plans to go public.

  • TechCrunch
NAR membership at record high

NAR membership soared to 1.48 million at the end of 2020, an all-time high and up from 1.4 million at the end of 2019. The surge in membership reflects a hot market and a surge in people looking for flexible work opportunities during a pandemic-disrupted year.

  • Realtor Magazine
Institutional investors coming for real estate

Invesco Real Estate has committed to investing up to $5 billion in single-family rental homes over the next three years, and represents an increased focus by institutional investors on residential real estate. Currently, 2 to 3 percent of the nation’s single-family rentals are owned by institutional investors versus half of the nation’s multifamily units. That gap could narrow, however. If institutional investors appreciably increase their single-family home market share, as all indicators show they might, the brokerage industry will have to adapt to accommodate the new sector. Their increasing presence also influences macro housing trends, which will affect homeownership, home demand and affordability – all key housing issues now.

  • Yahoo Finance