by Robert Palmer | Jul 19, 2024 | Industry, News Feed
McKillen joined the firm in early 2023 to spearhead Official’s expansion into Los Angeles. His departure comes weeks after Official co-founders and brothers Oren and Tal Alexander stepped down in response to mounting sexual assault allegations.
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Leading LA luxury broker Tyrone McKillen is bidding adieu to Official after spending less than two years with the brokerage, Business Insider first reported.
In early 2023, McKillen joined Official to spearhead the firm’s expansion into Los Angeles. At that time, McKillen brought over $500 million in listings with him, as well as his eight-person team, Plus Real Estate Group.
Official has confirmed that McKillen and his team will be leaving the brokerage.
“We have a deep amount of respect for Tyrone and support him in his new venture,” Nicole Oge, co-founder and chief growth officer at Official, said in a statement to the Real Deal.
Official and McKillen did not immediately respond to a request for comment from Inman. McKillen also did not respond to a request for comment from The Real Deal.
The move comes just weeks after Official co-founders and brothers Oren and Tal Alexander stepped down from their positions at the firm in response to mounting lawsuits alleging the brothers and their other brother, Alon Alexander, were perpetrators of rape and sexual assault.
Following McKillen’s departure, it is unclear in what capacity Official will continue to operate in Los Angeles.
McKillen’s exit will likely be a setback in terms of Official establishing itself in LA’s luxury market, which is full of competitive boutique firms and larger household names alike.
Currently, McKillen holds a mix of for sale and for rent listings representing more than $100 million in volume, according to his online profile.
The broker also founded and serves as principal of Plus Development Group, a LA-headquartered development and design firm, of which his team is also a part.
Last week, Tal Alexander denied the rape and assault allegations against him through a court filing made by his attorneys, who said they would push for a jury trial in their continuing fight against the allegations.
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by Jotham Sederstrom | Jul 19, 2024 | Industry, News Feed
At Inman Connect Las Vegas, July 30-Aug. 1, 2024, the noise and misinformation will be banished, all your big questions will be answered, and new business opportunities will be revealed. Join us.
Among all the hard things about being a real estate agent, is there anything harder than being yourself?
In real estate marketing, it doesn’t matter how many views a social media post or short-form video earns if the subject being watched isn’t showing us who’s really behind the smartphone. The stream won’t make it past season one.
Cracking the authenticity code is what gives Tyler Mount, CEO of Henry Street Creative, a reason to wake up every morning. The frequent speaker, coach and consultant is unapologetically himself and almost uncomfortably comfortable with who he is and what he’s good at — a rare trait in anyone, but one that becomes invaluable when its benefits are applied to helping people find their brand.
Mount will be at Inman Connect Las Vegas sharing his expertise on all things branding, marketing and, if we’re lucky, how to be yourself. He might very well be the only Connect speaker who is halfway to an EGOT (Emmy, Grammy, Oscar, Tony), holding three Tony Awards and a Grammy for his theater production work, including the musical “Once on this Island.”
Mount is also the youngest individual producer to be nominated in all four theater production categories, but his work as a digital strategist is equally impressive, having managed campaigns for President Joe Biden’s presidential election, NBC, IBM and the Tony Awards themselves.
The interview was edited for length and clarity.
Inman: Choosing marketing and creative work is one thing, but why in real estate? What’s unique about the industry’s needs?
Mount: I’ve always had a love of real estate. I worked in it in college, in Austin with some top agents and was very lucky to be mentored under them. I worked in entertainment and editorial for a while when back in New York, but then, when I wanted to own my own business, it just happened that way.
I leaned back into that love for real estate, working for a prominent developer, then with Ryan Serhant’s office, but I love working with the leaders of our industry because I find a huge disconnect between a real estate agent and their idea of what a business is, and how they treat their own business.
My work is not curing cancer, it’s not rocket science, but it is bigger than business: it’s their livelihood. If I can sit and talk and gossip with someone for 45 minutes back to back all day and it changes the trajectory of their career, their constant overwhelm, that’s time well spent.
One big hurdle is the transactional nature of real estate. It’s hard to convince agents that marketing is worth it; they only see money going out. How do you handle that objection?
I always set expectations very clearly. Anyone who wants an ROI on my services in three months gets told that they’re with the wrong company, and that it’s never happening.
Let’s be very clear. Anyone who tells you it’s happening is either lying to you or unethical — both types of people we don’t want to work with. If we’re lucky, we’ll see ROI in the first six months. Building your brand and equity takes a very long time, and once that has been established, that is far from you getting leads from it.
I’m an ROI-centric business owner; I’m only employed when I’m ROI-positive. Me charging a shit-ton of money upfront doesn’t behoove me at all because they’ll never work with me again. I am not cheap, but I am value-based. If you work with me for one year, you’ll pay less than one average commission check. If we can’t sell one home together, you shouldn’t be a real estate agent and I certainly shouldn’t have my job.
Why do you think authenticity is so hard for some in the industry?
We have to think of authenticity not in the way we think real estate agents or brokers or lenders should. ’Should’ is one of the most toxic words in business. Whoever said that real estate agents should wear suits and say ‘yes sir, yes ma’am’ and wear pearl necklaces? It’s just not the case.
Authenticity is not black and white. The real issue is that it’s not a business issue, it’s an interpersonal, mental and psychological issue because from a young age, we are influenced by our friends, our family, and most importantly, society, to be what they all think we should be. As children, we are constantly acting a certain way to avoid ridicule and hostility to fit in. The majority of our adult lives is then spent trying to figure out what is truth and what was put on as a front to protect us.
So in business, that carries on. People don’t want to look like idiots in business, they want to appear successful, so we act a certain way. For a lot of novice agents, that means wearing a suit and tie at every listing because that’s what agents should look like.
Even as a speaker, I’m professional. My number one goal is to be really fucking pleasant to work with. But if you need me to wear a suit and tie, and hate me cursing, then I’m probably not the right person for you. I don’t want to police myself. If you want Tyler, you get Tyler.
The more you act authentically and the more often you get hired, the more you realize who you are, unapologetically.
What advertising campaigns or concepts — in any industry — do you like right now?
We’re moving away from traditional product marketing. We are leaning into user-generated content, into any content that feels like it’s not an advertisement.
Ryan Reynolds has this concept called “fastvertising” and it’s genius because he takes real-life events and builds on them. If something is happening in the Zeitgeist, he can iterate on it with his content team and post on it this evening. That kind of topicality is really important, and it gives the impression that your brand is really smart, and you have a really smart content team.
Any other plans for Vegas?
Well, I have this weird infatuation with Vegas. I go every year for my birthday and stay no longer than 48 hours. I don’t want to be there longer, but I am shameless. I always win big. I’m not betting thousands, but hundreds, and like in life, if you want to win big, you have to bet big.
And I love Golden Steer, the best steakhouse on the planet. We always have a great time; that’s the goal. It’s not about winning. It’s about having a good time.
Thanks, Tyler. See you at the roulette wheel.
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by Ginger Wilcox | Jul 19, 2024 | Industry, News Feed
These times have been hard on nearly every real estate business. But different parts of the country report unique challenges and business approaches, as illustrated by Intel’s monthly gauge of industry sentiment.
This report was originally published on July 8, 2024, exclusively for subscribers of Intel, the data and research arm of Inman. Subscribe to Inman Intel for a deeper analysis of the business of real estate.
Agents across most of the U.S. are meeting some common hurdles: High mortgage rates that suppress new inventory, weak sales and a series of commission rulings and settlements that have flooded the brokerage business with uncertainty.
But in some parts of the country, that inventory squeeze is pressing in particularly hard. And in others, a significant share of clients are already pushing their agents for more answers about how they can manage — or benefit from — upcoming changes to NAR rules.
Intel dove deeper into its flagship real estate sentiment survey for these findings, looking for the key trends and factors driving business in the four main regions of the U.S.: the Northeast, South, West and Midwest.
Here are four of the biggest regional takeaways from the most recent Inman Intel Index, a survey of 708 real estate professionals that ran from June 20-July 3.
1. The inventory shortage is a different beast in the Midwest and Northeast
New listings are hard to come by in most parts of the country, but the decline in inventory has stabilized in most places.
But if you’re an agent in the Midwest or Northeast, your new-listing business is likely to have suffered especially hard over the past year.
- The share of agents who told Intel in June that their listing client pipelines got “substantially lighter” over the past year is 23 percent in the Midwest and 27 percent in the Northeast.
- Compare that to 12 percent of agent respondents from the West and 15 percent in the South who said their listing pipelines are substantially down year-over-year.
As a result of this continued winnowing of listing pipelines, agents in the Midwest and Northeast are likelier than agents in other regions to report that lack of inventory remains the greatest threat to their business.
- 33 percent of agents in the Midwest and 44 percent of agents in the Northeast listed “lack of inventory” as their top business concern.
- That’s compared to 15 percent of agents in the South and 19 percent in the West who said the same.
Instead of highlighting the inventory challenge, agents in the South and West were more likely to name mortgage rates as their top concern. They were also more likely to report holding positive outlooks for their buyer and seller pipelines over the next 12 months.
2. Top-level agent splits are fairly prevalent in most corners of the country — save one
Ultra-high agent splits have grown more common in recent years as big brokerage startups offered attractive packages to fuel their rapid growth, and franchises and indies reacted to compete for top talent.
But the latest Inman Intel Index results may also reveal a more layered regional dynamic.
- Fewer than 5 percent of agent respondents in the Northeast reported having splits of 90/10 or above with their brokerage.
- That’s far below the 18 percent of agents in the Midwest, 31 percent in the West and 34 percent in the South who told Intel their splits were as high as 90/10.
This may be partly explained by the population who replied to the poll, but not entirely.
- Agents in the Northeast were more likely than agents in other regions to report working with a publicly traded, non-franchising brokerage brand such as eXp, Compass or the Real Brokerage.
- At the same time, agents in the Northeast were also more likely than any other group to report having a 70/30 split, despite a smaller share saying their brokerage used a franchise model, which is more prone to adopt splits in this range.
Here’s a table with the full regional breakdown.
3. Sellers in the West may be wising up to the NAR changes
Although many agents have fielded questions from at least a few clients about the commission lawsuits, clients don’t always have a specific tactic in mind.
But throughout the Western U.S. states, more agents are seeing a level of client engagement with the details that other regions haven’t yet reported.
- 35 percent of agents in the West told Intel that a significant share of their seller clients — at least 1 in 10 of them — have asked whether they’re required to cover the buyer’s commission in recent months.
- This share exceeds those of other regions: 22 percent of agents in the South, 22 percent in the Northeast and 17 percent in the Midwest said the same.
Perhaps partly for this reason, agents in the West were among the most likely to name commission compression or negotiation as their top business concern.
- 26 percent of agent respondents in the West said their top concern was commission compression or negotiation, roughly matching the 25 percent who said the same in the South, and exceeding the 22 percent in the Midwest and 20 percent in the Northeast with the same response.
Still, in this generally high-price region of the country, it’s no surprise that the top concern of 34 percent of agents in the West was still mortgage rates, not commission compression.
4. An itch to jump ship vs. the wait-and-see approach
This region-by-region examination of the latest Intel Index results also revealed differing dynamics about recruiting.
- In the Northeast states, 12 percent of agent respondents said they were nearly certain to switch brokerages sometime in the next 12 months.
- The share of agents who believe they are sure to move was 10 percent in the South, 9 percent in the West and a mere 3 percent in the Midwest.
But just because so many Midwest agents aren’t yet sold on a move doesn’t mean they are closed off to one.
- 18 percent of Midwest agents who responded to the Intel Index in June reported their decision was either 50-50 or leaning slightly toward leaving their current brokerage, compared to the 14 percent of agents in all other regions who said the same.
Methodology notes: This month’s Inman Intel Index survey was conducted June 20-July 3, 2024, and received 708 responses. The entire Inman reader community was invited to participate, and a rotating, randomized selection of community members was prompted to participate by email. Users responded to a series of questions related to their self-identified corner of the real estate industry — including real estate agents, brokerage leaders, lenders and proptech entrepreneurs. Results reflect the opinions of the engaged Inman community, which may not always match those of the broader real estate industry. This survey is conducted monthly.
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by Kevin Van Eck | Jul 19, 2024 | Industry, News Feed
At Inman Connect Las Vegas, July 30-Aug. 1, 2024, the noise and misinformation will be banished, all your big questions will be answered, and new business opportunities will be revealed. Join us.
Looking for a quick catch-up on the buzziest stories of the week? Here’s Inman Top 5, the most essential stories, according to Inman readers.
And don’t miss The Download, our weekly column that breaks down one of the top stories of the week and equips you with what you’ll need to meet next Monday head-on.
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After brokerages and MLSs reached out, the Consumer Federation of America created criteria focused on whether agreements are readable, understandable and fair to buyers.
Creating leverage through technology has never been easier, Jimmy Burgess writes. Check out his list of hot apps to make this summer sizzle for your business.
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by Inman | Jul 19, 2024 | Industry, News Feed
CHICAGO (July 29, 2024) – Second Century Ventures, the strategic investment arm of the National Association of Realtors® and the most active global real estate technology fund, announced today the acceptance of seven companies to the 2024 REACH Commercial program. Launched in 2019, this marks the sixth cohort dedicated to scaling solutions for commercial real estate.
Companies selected for the 2024 program represent a diverse range of solutions across the real estate ecosystem. These innovations span large land transactions, real estate ownership, commercial lease abstraction, digital sales and leasing, lowering of carbon emissions and improving building operations, among others. Collectively, these companies have raised more than $150 million in funding and employ more than 150 individuals worldwide.
“These seven companies are driving innovation within the commercial real estate ecosystem,” said Dave Garland, managing partner of Second Century Ventures. “By investing in and supporting these forward-thinking businesses, we ensure that commercial real estate professionals have access to the latest technologies, empowering them to enhance operations, make informed decisions and deliver value to their clients.”
Companies accepted to the 2024 REACH Commercial program are as follows:
- Acres is a geospatial land research platform designed to empower brokers and agents involved in land transactions.
- Infinityy brings properties to life with immersive AI companions that plan and execute personalized property and neighborhood experiences, capturing leads 24/7 and significantly increasing close rates.
- Incentifind is an incentive resource from search to savings. The go-to database of green building incentives, with $500 million in savings already identified.
- Premise HQ automates complex data management across commercial and industrial properties from completely disparate applications and processes to reduce operational costs, increase capitalization rates and minimize risk.
- Prophia provides commercial real estate investors and operators an AI-driven data management platform to enhance the performance of assets, funds and portfolios.
- Rensair is the world’s first certified air quality ecosystem, using patented hardware and software to cut carbon out of existing HVAC systems and instantly lower emissions and energy use by more than 40%.
- Withco empowers small businesses to become property owners so that they obtain the control, wealth, and permanence only afforded through ownership.
“This year’s REACH Commercial cohort, selected from our most competitive application pool yet, is set to significantly impact the industry,” said Bob Gillespie, managing partner of REACH Commercial. “They are addressing major challenges in our rapidly evolving field with innovative solutions in lowering carbon emissions, leveraging artificial intelligence and big data, and creating better fintech solutions to drive real estate transactions. We are excited about this outstanding group and their potential for substantial growth.”
REACH offers a robust curriculum including education, mentorship, exclusive networking opportunities and significant exposure to the global real estate marketplace. To learn more about REACH and how to get involved, visit nar-reach.com.
About REACH
REACH is a unique technology scale-up program created by Second Century Ventures, the most active global fund in real estate technology. Backed by the National Association of Realtors®, REACH leverages the association’s 1.5 million members and an unparalleled network of executives within real estate and adjacent industries. The REACH program helps technology companies scale across the real estate vertical and its adjacent markets through education, mentorship, and market exposure.
About NAR
The National Association of Realtors® is America’s largest trade association, representing 1.5 million members involved in all aspects of the residential and commercial real estate industries. The term Realtor® is a registered collective membership mark that identifies a real estate professional who is a member of the National Association of Realtors® and subscribes to its strict Code of Ethics.
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by Inman Content Studio | Jul 19, 2024 | Industry, News Feed
Industry veteran and DOORA co-founder Troy Palmquist has been promoted from eXp’s director of growth to the VP growth and product marketing. Palmquist joined eXp in 2023.
At Inman Connect Las Vegas, July 30-Aug. 1, 2024, the noise and misinformation will be banished, all your big questions will be answered, and new business opportunities will be revealed. Join us.
EXp Realty Director of Growth for California Troy Palmquist has been promoted to the brokerage’s vice president of growth and product marketing, according to an announcement on Friday. In his new role, Palmquist will lead eXp’s recruitment and retention strategies alongside the promotion of a growing list of divisions, including eXp Commercial and eXp Farm & Ranch.
Wendy Forsythe
“Troy’s leadership and deep understanding of the real estate industry will be invaluable as we continue to scale our marketing strategy and support our agents,” eXp Realty Chief Marketing Officer Wendy Forsythe said in a written statement. “His passion for the industry and agent success aligns perfectly with our mission and values.”
Palmquist has nearly 20 years of industry experience, including sales and leadership roles at RE/MAX, Engel & Völkers and Wedgewood Enterprise Group.
In 2017, Palmquist launched The Address, a multimillion-dollar indie brokerage that took the SoCal market by storm with expansions into Agoura Hills, Newport Beach, Oxnard, Malibu, and Long Beach. Palmquist sold The Address in 2018 and stayed as the broker of record for another four years until Corcoran Global Living bought the company in January 2022.
Troy Palmquist
After closing the door on The Address, Palmquist co-founded the full-service brokerage and interior design firm DOORA Properties with designer Antoinette Fargo. In October 2023, Palmquist moved DOORA to eXp Realty and became the brokerage’s California director of growth.
“I am honored to be part of eXp Realty, a true category disruptor in the real estate industry,” Palmquist said. “I look forward to leveraging my experience to drive growth and innovation, and to support our agents in achieving their highest potential. It’s amazing how one conversation can change your life. I am incredibly grateful for the leadership at eXp, and I love being part of this company.”
Palmquist is the latest in a series of upgrades eXp Realty has made to its leadership lineup, with star marketing and branding strategist Wendy Forsythe and leading Florida broker Kendall Bonner taking on high-level roles. In April, eXp also promoted seven leaders to high-level growth and agent success roles for the U.S. and Canada, a move eXp Realty Chief Growth Officer Michael Valdes said was “designed to harness the potential” of eXp’s team.
“As we navigate a fluctuating economic landscape, it is crucial that we continue to innovate and double down on our growth efforts, ensuring that eXp Realty remains a leader in the real estate industry,” he told Inman. “I am confident that with our new team in place, we can drive significant growth and help our agents to thrive in any market condition.”
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