RealTrends is close to the submission deadline for the 2023 RealTrends 500 brokerage ranking. How has the uncertain market affected the top brokers? It’s too early to know. But, if you recall, Compass was last year’s disruptor, beating Realogy Brokerage Group (now Anywhere Advisors).
Here’s a look at how companies performed in 2021 in the 2022 RealTrends 500 brokerage rankings. This ranking broke records in terms of market share, closed transactions sides, and sales volume.
Based on 2021 numbers, the top four – Realogy Brokerage Group and HomeServices of America, Compass, and eXp Realty – had a combined 20% market share in America.
Steve Murray, Senior Advisor at RealTrends, stated that these four brokerage companies generated just over $20 billion in residential gross revenue in 2021. “Based on 2020 data, these same firms closed just more than $14 billion in 2021 rankings. This means that the increase was 43% within a single year for these four firms.”
While some of this growth was due in part to an increase in the value homes sold, Murray says that “a large portion” was due to organic growth and acquisitions. I can’t recall ever seeing this level of one-year growth.
Submissions are now being accepted for the Realtrends 500 brokerage rankings (based on 2022 numbers). The deadline for submissions to the rankings is March 3, 2023.
Berkshire Hathaway’s behemoth HomeServices of America is the No. With more than 388,000 transactions, it is the No. 1 brokerage by transaction sides. There are two sides to every real estate transaction: a buyer and a seller. NRT, now Realogy Brokerage Group maintained this top spot before 2018.
Realogy Brokerage Group, which consists of company-owned offices of Coldwell Banker and Corcoran, was No. 2 with more than 376,000 transaction side.
None of these numbers take into account the many franchises for either brand.
Cloud-based brokerage eXp Realty continues its meteoric rise to the No. With more than 355,000 transaction side, eXp Realty continues to be No. 3 in transaction sides. Glenn Sanford, founder and CEO of the company, is leading the effort to add Mark Willis, former Keller Williams CEO, to its leadership team. This is in anticipation of litigation with Keller Williams. Willis was a key player in Keller Williams’ massive growth between 2005 and 2014, when it grew from 700 agents to 140,000 worldwide.
Compass landed at No. Transaction sides ranked Compass at No. 4.
2022: Sales volume leader shaken
The biggest news is that Compass, a 10-year-old self-proclaimed realty technology brokerage, has surpassed Realogy Brokerage Group to claim the No. With $251 billion in sales in 2021 and a record sales volume of $1,1, Compass occupied the No. 1 spot. This marks the end to almost 20 years of RBG at that spot. Realogy came in second place with $246 billion.
Compass rose quickly to the top of the market by purchasing agents and teams, rather than brokerage firms. This was the primary way for many firms to grow quickly. “Anywhere Advisors, formerly NRT and then Realogy Brokerage Group, bought Coldwell Banker in 1996. They quickly rose to No. They remained No. 1 for many years. Murray said that they got there largely through this major acquisition. “They got there largely via that major acquisition,” said Murray.
HomeServices of America is the third largest firm in terms of sales volume, with $199 Billion, followed by eXp Realty, at $132 Billion.
RealTrends is the undisputed leader when it comes to ranking real estate brokerage firms, agents, and teams. To confirm the validity and sales volume of transactions submitted by firms, third-party verification must be done.
Submissions are now being accepted for the Realtrends 500 brokerage ranking (based on 2022 numbers). You have until March 3, 2023 to submit your rankings data.