As the real estate industry undergoes rapid change, leading figures are leveraging new opportunities and embracing transformation.
Author Robert Brault is often quoted on his “short thoughts and observations”, one of which defines an optimist as “someone who figures out that taking a step backward after taking a step forward isn’t a disaster, it’s a cha-cha”. Who better to make the point than Mauricio Umansky, the luxury real estate specialist and coach, who demonstrated plenty of fancy footwork in Season 32 of Dancing With The Stars.
Umansky is the founder and CEO of The Agency, co-founder of the national real estate trade group, American Real Estate Association (americanrea.org), and the inspiration behind a first-of-its-kind live coaching network for real estate professionals launched in September 2024.
Mauricio Umansky, founder of luxury real estate brokerage The Agency, is a prime example of thriving in a shifting market. Despite economic challenges, Umansky has expanded his business, highlighting his belief that “when there’s trouble, there’s opportunity.” His latest venture, the Mauricio Umansky Network, offers mentorship and coaching to real estate professionals, aimed at helping them grow their businesses, enhance sales techniques, and improve negotiation skills. Umansky’s emphasis on ongoing education, particularly in negotiation, instills optimism in agents, showing them that with the right tools, they can stand out and succeed in an increasingly competitive market.
The subscription-based network, priced at $30 per month (or $20 per month if billed annually), provides access to weekly sessions, live discussions with industry experts, and coaching insights. Renowned real estate coach Tom Ferry is among the first guest speakers.
While Umansky focuses on mentorship and business growth, Landian aims to disrupt the industry’s compensation model with a flat-fee pricing structure. The start-up promises to give homebuyers more flexibility, allowing them to schedule tours and submit offers at lower costs than traditional models. Tours start at $49, and AI-powered offer submissions are available for $99.
Josh Sitzer, who won a recent battle in his commission lawsuit, co-launched the platform and said on the company’s website: “After our hard-won settlement paved the way for a new era of fairness and transparency, I’m thrilled to help launch Landian’s revolutionary flat-fee model for home tours and offer submissions, liberating homebuyers from the excessive commissions they were previously forced to pay.”
While offering a la carte and flat-fee services isn’t new in real estate, Landian’s model capitalizes on the current landscape by highlighting this approach and seemingly eliminating traditional buyer agent commissions, with buyers paying directly for services. This reflects the growing demand for transparency and cost-saving solutions.
Meanwhile, in the U.K., News Corp subsidiary REA Group made a bid to acquire Rightmove, Britain’s largest real estate portal. However, on September 30, 2024, Rightmove announced that it was not interested in the acquisition and officially rejected REA Group’s fourth proposal, which valued the company at approximately £6.2 billion (around $8.7 billion) with an offer of 775 pence per share plus a special dividend of 6 pence per share. Rightmove’s board deemed this bid “unattractive” and stated it fundamentally undervalued the company.
This move by REA Group signaled its desire to strengthen its global real estate presence and complement its U.S. operations. Observers believe Rupert Murdoch, owner of News Corp, aimed to capitalize on the down market and position his company as a digital leader in both U.S. and U.K. real estate sectors.
Key takeaways for real estate agents
- Lean into growth: Umansky’s expansion strategy during tough times demonstrates that periods of uncertainty can be growth opportunities. Agents should consider increasing their efforts when others are pulling back, gaining market share while competitors retreat.
- Invest in coaching: Continuous education and skill-building are essential for real estate success. The Mauricio Umansky Network provides agents with tools to improve key skills, like negotiation, which are critical in today’s market. When selecting a coach for further training, it’s important to approach it like buyers and sellers choosing an agent—they seek someone who aligns with their goals. Similarly, agents should choose a coach whose core messaging aligns with their needs and whose principles and values complement their unique value proposition.
- Investigate new models: Agents can explore offering flat-fee and à la carte services as potential revenue streams and opportunities for diversification. However, it’s important not to undermine the critical services that you offer – personalized service, expert market knowledge, and strong negotiation skills. This is where agents offer the true value to their clients.
- Adapt to industry shifts: Legal and regulatory changes, such as those emerging from the Sitzer | Burnett commission lawsuits are altering compensation structures. Agents must stay informed and adapt their business models to align with these new realities. Stay proactive by consulting your brokerage on how these updates impact you, following top industry leaders on LinkedIn for their insights, and regularly checking reliable real estate news sources for the latest developments.
- Stay digitally savvy: The bid by the REA Group to acquire Rightmove underscores the increasing importance of digital real estate tools. Agents who integrate technology and AI-powered platforms will be one step ahead of the competition.
