Compass Real Estate is a real estate brokerage and technology company that has changed the entire industry. They offer innovative solutions and improved services to the clients who choose an agency that uses their advanced software. Check out this blog about Compass if you want to do more research into the company but here are the basic facts you need to know about Compass Real Estate.
Compass earned distinction for innovation
With regard to Compass’ use of technology, they have combined years of real estate experience with a large team of tech experts to become the first of their kind to offer easy-to-use and cutting-edge software for real estate agents. Being the first in the industry to provide an original product helps to give the company an edge and build the reputation of the brand, allowing them to take leadership more easily in their particular niche.
Compass expanded quickly
Since the launching of Compass Real Estate in 2012 they have expanded into 19 markets across the United States servicing clients in Newport Beach, The Hamptons, Dallas, Los Angeles, Aspen, Chicago, Washington, and more.
They make revenue via a commission cut
Compass (originally Urban Compass when it was first founded) was involved in the real estate industry by working with contracted agents and taking a cut of the commission for their services. They started out as a tech company but made the decision to build software for realtors and thus they ended up changing their entire business model. This happened in 2014 and they earned revenue by establishing contracts with independent real estate agents, then taking a portion of the commissions that their partners earned.
The Mayor of New York helped them celebrate their launch
A bit of a fun fact about Compass Real Estate is that when the company went public in May 2013, a celebration was planned. The Mayor of New York at the time was Michael Bloomberg and he was fully on board to help them celebrate the event.
Compass was awarded millions more in funding in 2014
In 2014, when Compass changed its business model to focus more on real estate support, they attracted a significant amount of investment interest. A round of series B funding brought in another $40 million which hiked up the company valuation estimate up to $360 million. This set them off on a good footing and meant they could lease a large space for their company headquarters.
Compass focused on rentals in the early stages
One of the first ventures that Compass was involved with was the New York City rental industry. If you know anything about the how the rentals system was running just ten years ago then you probably know how badly it was in need of improvement – it was almost impossible to rent a place in New York City without going through pages and pages of advertisements that were misrepresenting the properties available. For many, finding a home was a complete nightmare and ultimately a huge waste of time.
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The New Jersey Digest is a new jersey magazine that has chronicled daily life in the Garden State for over 10 years.
