{"id":4302,"date":"2023-05-05T16:01:20","date_gmt":"2023-05-05T16:01:20","guid":{"rendered":"https:\/\/preprod.realtrends.com\/blog\/2023\/05\/05\/re-max-resilient-amid-housing-market-slowdown\/"},"modified":"2025-03-13T02:51:01","modified_gmt":"2025-03-13T02:51:01","slug":"re-max-resilient-amid-housing-market-slowdown","status":"publish","type":"post","link":"https:\/\/preprod.realtrends.com\/blog\/2023\/05\/05\/re-max-resilient-amid-housing-market-slowdown\/","title":{"rendered":"RE\/MAX resilient amid housing market slowdown"},"content":{"rendered":"\n<p>Like <a href=\"https:\/\/preprod.realtrends.com\/blog\/articles\/anywhere-loses-138-million-in-q1-as-sales-volume-declines\/\" target=\"_blank\" rel=\"noreferrer noopener\">other real estate firms<\/a>, <strong>RE\/MAX<\/strong> reported weaker financial results during the first quarter of 2023 than it did in Q1 2022, but executives&#8217; spirits were buoyed by the overall resilience of the <a href=\"https:\/\/preprod.realtrends.com\/blog\/articles\/re-max-past-present-and-future-on-display-at-r4\/\" target=\"_blank\" rel=\"noreferrer noopener\">50-year-old company.<\/a>\u00a0<\/p>\n\n\n\n<p>\u201cWe remain squarely focused on growth and we believe we\u2019re positioned for improved U.S. agent count performance in the near term,\u201d Steve Joyce, the CEO of <strong>RE\/MAX Holdings<\/strong>, told investors and analysts on the firm\u2019s first-quarter earnings call Friday morning. \u201cWe&#8217;re executing on the <a href=\"https:\/\/preprod.realtrends.com\/blog\/articles\/re-max-banks-on-strategic-growth-initiatives\/\" target=\"_blank\" rel=\"noreferrer noopener\">strategic growth initiatives<\/a> we put in place last year, and we remain confident in the upside that they can deliver in the long run.\u201d<\/p>\n\n\n\n<p>During the <a href=\"https:\/\/investors.remaxholdings.com\/news\/re-max-holdings-news\/news-details\/2023\/REMAX-HOLDINGS-INC.-REPORTS-FIRST-QUARTER-2023-RESULTS\/default.aspx\" target=\"_blank\" rel=\"noreferrer noopener\">first quarter of 2023,<\/a> <a href=\"https:\/\/preprod.housingwire.com\/tag\/re-max\/\" target=\"_blank\" rel=\"noreferrer noopener\">RE\/MAX<\/a> reported revenue of $85.4 million down 6.2% year over year and a net loss of $700,000 compared to a net income of $1.5 million in Q1 2022. Executives attributed the lower revenue and net loss to a 5.0% annual decrease in organic growth revenue caused by lower <a href=\"https:\/\/preprod.housingwire.com\/real-estate\/\" target=\"_blank\" rel=\"noreferrer noopener\">broker fee revenue<\/a> and a reduction in U.S. agent count.\u00a0<\/p>\n\n\n\n<p>In total, RE\/MAX saw a 5.4% yearly decrease in its U.S. count during the quarter, bringing the count to 57,450 agents. However, the firm\u2019s overall agent count grew 0.8% year over year to 143,523 thanks to increases in its Canadian and other international agent counts.\u00a0<\/p>\n\n\n\n<p>In order to improve RE\/MAX\u2019s U.S. agent count, the firm has launched MAXRecruit, which is designed to build the skills of local affiliates to grow their brokerages or teams. According to executives, the initial response to the program has been positive. In addition, <a href=\"https:\/\/preprod.housingwire.com\/tag\/nick-bailey\/\" target=\"_blank\" rel=\"noreferrer noopener\">Nick Bailey,<\/a> the president of RE\/MAX, noted that the firm\u2019s rollout of <a href=\"https:\/\/news.remax.com\/inside-maxtech-powered-by-kvcore-for-remax-affiliates\" target=\"_blank\" rel=\"noreferrer noopener\">MAXTech powered by <strong>kvCORE<\/strong><\/a> is another potential draw for agents.&nbsp;<\/p>\n\n\n\n<p>\u201cThe U.S. rollout is progressing nicely. We continue to hear very positive feedback from our network. Today more than 62,000 RE\/MAX agents across the U.S. and Canada have on-boarded or are actively in the process of doing so, giving them access to the enhanced capabilities of this industry-leading technology,\u201d Bailey said. \u201cMAXTech powered by KV core is being provided at no additional cost to affiliates, so it represents another major recruiting advantage to brokerages and teams alike.\u201d<\/p>\n\n\n\n<p>The firm also highlighted the strong performance of <a href=\"https:\/\/preprod.housingwire.com\/tag\/motto-mortgage\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>Motto Mortgage<\/strong><\/a>, which included a 21.5% annual increase in franchise count to 232 offices, with 10 franchise agreements being added in Q1. <\/p>\n\n\n\n<p>The long-term goal for RE\/MAX\u2019s mortgage ventures (Motto and <strong>wemlo<\/strong>) is to generate $100 million in annual revenue, with half coming from each firm. In order to achieve this goal, executives believe the firm will need between 900 and 1,000 franchises.\u00a0<\/p>\n\n\n\n<p>\u201cWe are encouraged by the solid star to 2023 and the interest we see in the marketplace. We noted last quarter that we witnessed a tight correlation between rising <a href=\"https:\/\/preprod.housingwire.com\/tag\/interest-rates\/\" target=\"_blank\" rel=\"noreferrer noopener\">interest rates <\/a>and a slowdown in our franchise sales since Q2 of last year as a result,\u201d Ward Morrison, the president of Motto Mortgage, said. \u201cIt&#8217;s positive to see franchise sales accelerate as interest rates began to stabilize in the back half of the quarter. Our pipeline looks good and we expect more encouraging results, especially if the macro environment continues to cooperate.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p>While the first quarter of 2023 was not the strongest for RE\/MAX, the 50-year-old firm posted stronger results than others in the industry.<\/p>\n","protected":false},"author":34740,"featured_media":4822,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3255],"tags":[],"coauthors":[1760],"class_list":["post-4302","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-archive"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v25.4 (Yoast SEO v26.8) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>RE\/MAX resilient amid housing market slowdown<\/title>\n<meta name=\"description\" content=\"While the first quarter of 2023 was not the strongest for RE\/MAX, the 50-year-old firm posted stronger results than others in the industry.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/preprod.realtrends.com\/blog\/2023\/05\/05\/re-max-resilient-amid-housing-market-slowdown\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"RE\/MAX resilient amid housing market slowdown\" \/>\n<meta property=\"og:description\" content=\"While the first quarter of 2023 was not the strongest for RE\/MAX, the 50-year-old firm posted stronger results than others in the industry.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/preprod.realtrends.com\/blog\/2023\/05\/05\/re-max-resilient-amid-housing-market-slowdown\/\" \/>\n<meta property=\"og:site_name\" content=\"RealTrends - 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