Real estate brokerage Q4 earnings winners surged ahead by betting on rentals, AI-driven efficiencies and streamlined operations.
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The final earnings reports of 2024 paint a picture of an industry at a crossroads — where strategic bets on technology, rentals and operational efficiency are separating leaders from those struggling to regain footing. Companies like Zillow and CoStar Group are doubling down on digital dominance, with Zillow’s rental revenue surging 25 percent and CoStar marking its 55th consecutive quarter of growth.
Meanwhile, Compass is proving that scale still matters, expanding both revenue and agent count to surpass a 5 percent market share.
At the same time, the brokerage landscape is undergoing a reshuffle. EXp Realty saw revenue gains but a drop in agent count, underscoring the challenges of retention in a competitive market. RE/MAX turned a profit, but its 10th straight quarter of revenue decline signals ongoing pressure on traditional franchise models.
Elsewhere, mortgage and alternative real estate models are redefining their playing fields. Mr. Cooper is leaning into AI-powered efficiencies to streamline mortgage servicing, with its portfolio reaching $1.5 trillion, and Airbnb is signaling its ambitions beyond short-term rentals, earmarking $200 million for expansion as it seeks to solidify its post-pandemic growth.
And Offerpad’s deepening losses highlight the iBuying sector’s continued volatility, as home sales, acquisitions, and per-sale profits all trended downward.
As these earnings reports show, the real estate industry isn’t just reacting to economic pressures — it’s evolving in response to them. Here’s where major brokerages landed in Q4 and what their results reveal about the road ahead.
The real estate franchisor improved losses, revenue, and combined closed transaction volume during the fourth quarter of 2024 to put a cap on the year. Luxury continued to outperform the general market.
The company now has 17,752 principal agents. Founder and CEO Robert Reffkin said in a new earnings report that he believes his company will pull ahead in 2025.
A drop in expenses was enough to offset falling revenue from franchise fees and annual dues that make up about 70 percent of RE/MAX’s revenue, the company said on Thursday.
The virtual brokerage ended 2024 with 82,980 agents — a 5 percent drop compared to the previous year, according to Q4 earnings data. EXp also posted $1.1 billion in revenue in the final three months of last year.
Redfin posted double-digit revenue growth for Q4 and FY 24 on Thursday. The company’s $100 million Zillow rental syndication deal has opened the door for greater advertising spend, CEO Glenn Kelman said.
Zillow’s Q4 revenues rose 17 percent annually to $544 million while its rental segment generated $116 million, according to an earnings release Tuesday that included news of a rental partnership with Redfin.
Virginia-based portal CoStar Group grew its revenue 11 percent in Q4, to $709 million, executives said Tuesday. Traffic to Homes.com Network remained steady, with 110 million average monthly unique visitors.
Airbnb said it would spend over $200 million on unspecified investments this year as it looks to continue its post-pandemic boom. The company reported revenue has tripled since it went public in 2020.
At $17.3 million, Q4 2024 net loss is up 28 percent from the previous quarter, as homes acquired dipped 9 percent to 384, homes sold fell 18 percent to 503, and profits on each sale fell by 24 percent.
Dallas-based loan servicer is using AI to collect monthly mortgage payments from 6.7 million homeowners, a business that generated $393 million in pretax income during the fourth quarter.
Total revenue was $169.7 million, up 8 percent compared to a year earlier, boosted by its 1.2 million subscribers as the company bolstered its ongoing revenue streams.
In a year when home sales hit a three-decade low, the nation’s biggest mortgage lender made $96.1 billion in loans to homebuyers — the company’s best year ever.
Jessi Healey is a freelance writer and social media manager specializing in real estate. Find her on Instagram, LinkedIn, Threads, or Bluesky.
