Redfin is a technology-powered real estate company that supports consumers with brokerage, iBuying, rentals, lending, title insurance, and renovation services. The company was founded in 2006 and is headquartered in Seattle, Washington, with more than 50 offices located throughout the country. In all, Redfin serves more than 100 markets across the U.S. and Canada. The company is led by chief executive officer Glenn Kelman.
Redfin integrates every step of the home buying and selling process and pairing its own agents with proprietary technology, creating a service that is faster, better and costs less. Through its Direct Access tech platform, Redfin enables homebuyers in 22 U.S. markets to tour vacant homes without an agent by using the Redfin app to unlock the home. According to Redfin, homes with Direct Access receive, on average, twice the number of tours as other homes. In conjunction with this capability, Redfin partnered with ADT security to help equip homes with smart locks and sensors that allow buyers to easily enter and tour homes, and enable sellers to stay informed on who is entering and exiting the property. The goal is to expand this program nationwide in the future.
Redfin announced that in 2020, it has saved its customers more than $1 billion since 2006 by charging a low 1% listing fee when a customer sells and buys their next home with a Redfin agent, compared to the 2.5 to 3% listing fee that is typical of most brokerages.
Moving forward, Redfin is leading efforts to make real estate fees more transparent by listing fees and buyer refund amounts publicly, as well as publishing the buyer’s agent commission being offered for every listing on Redfin.com in more than 75 U.S. markets.
The deal between Zillow and Redfin comes as new construction listings form roughly 30% of the housing sales market.