Redfin is a discount real estate brokerage that offers reduced price listing fees for sellers along with a buyer rebate for buyers. Redfin is owned by one corporate entity and does not operate franchises in the US.
Buyers and sellers work with Redfin to buy or sell their home. Redfin provides the buyer or seller with an agent team who helps them with every stage of the process for buying and selling.
Redfin charges sellers 1% to 1.5% to sell their home. Redfin offers a rebate for many buyers that work with their service.
Redfin primarily generates revenue through real estate commissions from buyers and sellers paid on a successful home purchase or sale. In cases Redfin is not active in a market, it will generate referrals from partner agents. Redfin also generates money through ancillary services such as concierge offerings related to preparing a home for sale, mortgage, and title insurance. Finally, Redfin also purchases and sells homes through its Redfin Now arm, where it generates money from service fees and home price appreciation.
Redfin is publicly traded. It is listed on NASDAQ with the ticker RDFN.
Redfin employs agents as full-time employees. As a result, agents are paid a salary and smaller sales commission by the brokerage rather than being paid entirely based on sharing commissions via a traditional commission split. That said, based on public financials, Redfin agent salaries account for almost 70% of gross commission income, meaning agent salaries are somewhat similar to a 70% split even if not directly paid in that manner.
Redfin employs agents as full-time employees rather than independent contractors.
As of the end of 2019, Redfin employed slightly over 1,550 lead agents.
Redfin reduced headcount by roughly 7% in April 2020 in response to the Covid-19 pandemic.
Redfin acquired Walk Score, a real estate portal and neighborhood data platform, in October of 2014. In February of 2021, Redfin acquired RentPath, a family of rental portals including ApartmentGuide, Rent.com, Lovely, Rentals.com, and RentPrep, for $608 million.