(San Francisco, CA) — “There will be a single platform in real estate. It’s not a matter of if, it’s a matter of who will be the company that builds it,” said founder and CEO of Compass, Robert Reffkin at the Inman Connect San Francisco conference Thursday.
Thank you @inmannews for letting me share my vision for the future the @compass team is working hard every day to create for agents. Our goal is not to get market share or to be a technology company – it’s to improve the lives of agents so much that they don’t remember what life was like before. As the proud son of an agent and with many of my best friends being agents, this is a very personal mission for me. It will require time, capital and collaboration on a massive scale, but I believe if we work together we can build a real estate services platform that reinforces the value of a 6% commission and creates a second revenue stream for agents. If we can do that, we will create a beautiful future for our industry that we can all be proud of.
Compass is a major competitor in the real estate industry due to its ability to acquire brokerages and infiltrate new markets.
On Thursday, Reffkin told Brad Inman, founder of Inman, that they acquire brokerages by offering the broker-owners four to six times their yearly earnings before interests, taxes, depreciation, and amortization.
Since January 2016, Compass has acquired the Hudson Company and Conlon Real Estate in Chicago, Paragon Real Estate in San Francisco, and ICS Realty in Aventura, Florida.
Today is a special day for our company as we announce we are joining Compass! Compass is a real estate technology company with a powerful end-to-end platform that supports the entire buying and selling workflow. Their commitment to culture, community and improving the experience for agents throughout the country makes this a special opportunity for Paragon to build on our success over the last 14 years. This partnership will bring the Compass’ Bay Area to more than 500 agents representing more than $4.5 billion in sales volume, creating the number one estate company in San Francisco by sales volume and market share.
I am thrilled to welcome the @paragonregroup to the Compass Family! For over 14 years, the entire Paragon team has succeeded by building a collaborative culture with some of the most talented agents in the Bay area. Their commitment to providing unparalleled service to their clients closely aligns with our mission to help everyone find their place in the world. I could not be more optimistic and excited about our future together.
They currently operate in a total of 17 markets and have recently expanded to new markets in Seattle, Philadelphia, Naples, San Diego, and Tahoe. They have a public plan to achieve 20 percent market share in the top 20 metro markets by 2020.