Redfin is a failure, never got more than 3% of market even in Seattle


#1

#2

Right, it’s a failure. Bay Area has the most tech literate population in the entire country and Redfin should in theory dominate here. But it does not. I think I have seen maybe 2 Redfin listings in my hood back in evergreen ever. They are such a rarity I pointed out their open house signs to my wife every time I saw one.


#3

@manch,

I heard that Redfin’s next strategy is to buy your perfected real estate forum website to enhance that Redfin experience and take it to the next level…

If that happens, please remember us little people ok???


#4

It should have sunk in already @sfdragonboy. Redfin don’t care for you, or me.


#5

Ah, for now, @manch… for now. We are only in the first quarter. Do you mean a company has never, ever, reversed course 180 degrees and gone back to something it abandoned and thought was useless? Success, always draws interest even from the most hardened naysayers and enemies…


#6

I think i’ve seen around ten.

I don’t think they’re a failure, but I agree with elt1 on a previous thread that they need to advertise.


#7

I bet Deleon himself netted more profit than Redfin and their thousand agents


#8

I still think their fundamental mistake is their thinking they are tech company first and real estate company second. They seem to think that just because they have the best tech, whatever that means, problem will solve itself. That they don’t need to, gasp, advertise on TV for example. I am not sure what their commissions structure are, but I saw they lost not one but two team leads in the last couple years.

Real estate, for better or worse, is still a “people” and “relationship” business. Most people buy one or two houses total in their entire lifetime. They need personalized service and a lot of hand holding. Telling them to go research themselves on a website is very daunting for most people. Now that they shut down their forum newbies don’t even have a place to ask questions. :smile:


#9

Being private know one knows…But I doubt they net a profit. …they pay more than average agents make and have huge overhead for their no earning tech back office…probably still have down rounds for their investors


#10

Even if Redfin fails, they’ve still brought new ideas to the industry. The fact is that being salaried is highly beneficial to the agents, and if Redfin falls, I fully expect someone else to step in and try something like that again. There’s no reason not to have an experienced broker who hires up and coming agents and simply salaries them, paying bonuses like any other organization.


#11

In most industries sales people work on commission. …while trying to disrupt an industry Redfin may have disrupted itself…Zillow has come out as the clear winner…They know how to make money…get it from agents desperate to buy exposure through tech.


#12

Sure, that’s Google’s model for revenue–advertising. Adds nothing to the industry, just syphons money off. Someone still has to sell the house.


#13

There are currently 7 active Redfin listings in San Jose.


#14

In the entire city of San Jose?


#15

People trying to disrupt the RE business looked at realtors like travel agents and stockbrokers. …they were wrong…different business model…All the internet has done is change they way people look for houses…They still need boots on the ground realtors to make the transactions happen


#16

So they’ve clearly focussed on the buyer’s market, not the seller’s one.

I agree that this is a mistake in the Bay Area, maybe elsewhere, but doesn’t mean that they aren’t doing transactions.


#17

yes, 7 in the whole city.


#18

BTW did you go to the Redfin party? How was it?


#19

My wife and I went to the Redfin Party. The food was good, I talked to the agent assigned to me, and then watch the Golden State game. It was a good experience.


#20

What was Redfin’s goal in hosting the party?