[VIP] Realogy, Q3/2019: The Profitability Dilemma

Members only. Login or Subscribe.
Earnings Week content keeps rolling on! It's time we took a look at Realogy, the bellwether for health of traditional real estate brokerage.

I wish I could report some joyful news on that front, but alas, I just can't. Realogy is still profitable, generating good free cash flows, and still making some moves. It's just that there is a contradiction at the core of traditional brokerage that Realogy has not resolved and doesn't appear to have any plans for resolving. And if the talented managers at Realogy, with all of the financial resources at their disposal, can't resolve that contradiction, then no one in traditional real estate can.

The headlines for Realogy's Q3 are likely to be the big loss it printed, the changed competitive environment driven by something changing at Compass, and the sale of the relocation business out of Cartus. All of that is true, but I say we go behind the headlines and look at what's really important for the future of Realogy and by extension, the future of traditional brokerage in North America.
Members only. Login or Subscribe.
Get the latest posts via email