The Real Brokerage added more than 2,000 new agents in the third quarter while revenue rose to $372.5 million, according to quarterly earnings Thursday. The company posted a net loss of $2.5 million.
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The Real Brokerage added over 2,000 new agents between July and October and grew its total revenue by 74 percent compared to a year ago, the company reported in third-quarter earnings on Thursday.
The company posted a net loss of $2.5 million as it remained in a high-growth stance of attracting new agents by offering them financial incentives that brokerage leaders said outmatched its competitors.
Total transactions closed hit 35,832 in the quarter, 76 percent higher than a year ago. Total agents rose to 21,770, up 79 percent from a year ago and up 11 percent from the second quarter, according to the company.
In total, Real generated $372.5 million in revenue for the business from transactions valued at $14.4 billion during the quarter, the company said, adding that it didn’t see any meaningful change in agent commissions despite changes that took effect in the quarter.
“We believe we are well-positioned to lead this industry forward,” Real CEO Tamir Poleg said, “using AI not just as an enhancement but as a foundation for a better, modern real estate experience.”
Real representatives shared insights about the company’s past performance and plans for the near future in a call with investors Thursday morning.
Real President Sharran Srivatsaa said the company’s 240 full-time employees were having conversations with agents about switching over to his brokerage in the coming months, as agents plan for how best to close out the year and set up moves for 2025. He indicated the company would remain in a position of high growth.
“We have, over the last quarter, been having a lot of conversations regarding planning for agents to explore the Real platform,” Srivatsaa said.
Srivatsaa said the company hadn’t seen any indication that commissions were falling.
Even if they did, Poleg said, a lower commission environment or one where agents consider leaving the industry might actually benefit Real.
“A lot of agents will be looking for a brokerage that allows them to keep more money in their pockets. That might accelerate our growth,” Poleg said. “I do believe any declining revenue because of lower commissions will be offset by higher growth. But right now we don’t see any indications of commissions declining.”
In addition to offering agents an 85 percent commission split, Real is leaning on new products and technologies that it believes will help continue gaining market share and recruiting agents.
The company recently launched Real Wallet, a debit card for U.S. agents and line of credit for agents in Canada. The company said the product would give Real agents quicker access to their money and better insights into their total earnings over time. It also said it would begin rolling out more products tied to Real Wallet in 2025.
Real has also highlighted its artificial intelligence offerings, which currently help agents interact with clients. Next year, consumers will gain access to the brokerage’s AI, which is now called Leo.
“Initially launched as the OneReal mobile app in 2023, Real’s consumer interface is evolving into an AI-driven text-based product, scheduled for launch in 2025,” the company said.
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