Redfin: A Disruptive Growth Play In Real Estate (NASDAQ:RDFN)

The digital transformation revolution is offering enormous opportunities for growth across all kinds of areas. Technology is transforming industries such as communications, entertainment, enterprise management, and commerce, to name a few noteworthy examples among countless others. The real estate sector is now poised for disruption too, and Redfin (NASDAQ:RDFN) could benefit from exponential growth opportunities due to this trend in the years ahead.

A Disruptive Business Model

Redfin has a clear mission “to redefine real estate in the customer’s favor”. The company’s name is an anagram that encodes “Friend” and “Finder”. The company is well-known for charging a commission of 1.5% or even 1% if you sell and buy with Redfin as opposed to the standard 3% commission charged by most competitors.

Redfin uses technologies such as map search and virtual house showings to increase exposure, improve the quality of the customer experience, and to deliver efficiencies and cost savings.

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Median U.S. Home Price Hits Nearly $320,000, a New Record, Redfin Says

U.S. home prices surged to new heights in September, though there are signs the country’s frenzied housing market may be cooling off, according to a new report.

The median home sold for $319,769 in the four weeks ending Sept. 27, a 14% increase from a year ago and the highest price on record, according to the report from real estate firm Redfin on Monday. U.S. home prices haven’t increased that dramatically since mid-2013.

The pandemic, which forced millions of Americans to shelter, work and school at home, has spurred intense home-buying activity. Pending sales were up 30% year-over-year in September, according to the Redfin report.

Redfin created their own measure of demand recovery, an index that in the last week of September was 34.8% higher than pre-pandemic levels in January and February.

Meanwhile, the number of active listings on the market hit a new all-time low in September, with 28%

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Real estate brokerage Compass buys Seattle startup Modus in move that boosts competition with Zillow and Redfin

National real estate brokerage Compass has made another move that places it in even greater direct competition with Seattle-based digital brokerage giants Redfin and Zillow.

In an arms race of integration, the three firms have sought to consolidate the homebuying process within their companies, going well beyond digital home searches and brokerage services. Zillow and Redfin, for instance, both have mortgage-lending divisions and subsidiaries that offer digital closing services.

Compass announced Monday it will acquire Seattle-based Modus, a technology startup that aims to simplify the process of closing on a home, for an undisclosed amount this month. Modus offers digital title and escrow services.

“The end-to-end platform that we are creating is our mission,” said Compass Chief Technology Officer Joseph Sirosh. The difference between Compass and its competitors, he said, is that Compass is building technology to enable better service from its real estate agents.

“When most other companies talk

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