RE/MAX HOLDINGS, INC. - RMAX STOCK NEWS

RE/MAX Holdings reported its Q2 2024 results, showing a 4.8% decrease in total revenue to $78.5 million. The company's Adjusted EBITDA increased by 5.4% to $28.1 million, with a margin of 35.8%. Net income attributable to RE/MAX Holdings was $3.7 million, with earnings per diluted share of $0.19. The total agent count decreased by 0.7% to 143,542, with a 4.4% decrease in U.S. and Canada combined. Motto Mortgage franchises increased by 2.6% to 241 offices. For Q3 2024, RE/MAX expects agent count to change between -1.5% to 0%, revenue between $75.0-$80.0 million, and Adjusted EBITDA of $24.5-$27.5 million. The company slightly reduced its full-year 2024 agent count guidance and narrowed its Revenue and Adjusted EBITDA ranges.

RE/MAX's recent consumer survey reveals that 63% of Gen Z and Millennials are eager to become homeowners despite market challenges. Key findings include:

1. 65% of Gen Z and 61% of Millennials are interested in homeownership but have concerns about affordability and maintenance costs.

2. 56% are willing to compromise on factors like price, location, or size to achieve homeownership.

3. Top reasons for pursuing homeownership include providing a stable place for family (66%) and having a place to call their own (59%).

4. 57% of Millennials feel financially ready to purchase a home, compared to 47% of Gen Z.

5. 90% of respondents are likely to work with a real estate agent when buying or selling a home.

The RE/MAX National Housing Report for June 2024 reveals a 7.2% decline in home sales from May and an 11.6% decrease year-over-year. Despite this, inventory rose 6.7% from May and 38.1% year-over-year, reaching 2.1 months of supply. The median sales price increased to $431,000, up 1.4% from May and 4.6% from June 2023.

Key findings include:

• New listings were down 5.2% from May but up 8.3% year-over-year
• Days on market shortened to 33 days
• Buyers paid 100% of list price for the third consecutive month
• Trenton, NJ saw the highest year-over-year increase in median sales price at 17.7%
• Hartford, CT and Trenton, NJ had the highest close-to-list price ratio at 105%

RE/MAX President Amy Lessinger noted that rising inventory provides more options for buyers, but lower interest rates are needed to stimulate significant market growth.

RE/MAX Holdings, parent company of RE/MAX and Motto Mortgage, will release its Q2 2024 financial results on August 8, 2024, after market close. A conference call and webcast discussing the results will be held on August 9, 2024, at 8:30 a.m. Eastern Time. Interested parties can join the webcast via the company's investor relations website, with an archived version available for a time. Participants can also register for a telephonic version of the call in advance to receive dial-in details.

RE/MAX has partnered with BOSSCAT to offer its agents advanced online tools for instant estimates, online ordering, and pre-list renovation services. This collaboration is set to benefit 75,000 agents across the U.S. and Canada. BOSSCAT's CEO, Min Alexander, emphasized that their technology streamlines the repair pricing process, enabling real estate professionals to focus on adding value for clients. BOSSCAT's platform, HOMEBASE, automates repair pricing from inspection reports and provides a lifecycle dashboard for maintenance and equity growth. RE/MAX's Madeline Hammer highlighted the partnership as a means to further innovate and support their network’s success.

RE/MAX has opened registration for the 2024 Broker Owner Conference (BOC) scheduled from August 19-21 at the Marriott Marquis in San Diego. This event will gather RE/MAX Broker/Owners and Managers worldwide to discuss real estate best practices, innovations, and trends. Notable speakers include Brian Buffini, Inky Johnson, and Dave Liniger. Sessions will cover leadership, luxury appeal, broker profitability, business growth strategies, and technology adoption. Attendees will gain insights on business growth, conversions, mergers, acquisitions, and market strategies. RE/MAX affiliates and their guests are invited to register.

In May 2024, RE/MAX reported a significant increase in housing inventory, with a 40% year-over-year rise, coupled with a 5% increase in home prices. Sales also outpaced 2023 numbers. New listings were up 15.1% over May 2023, driving a 22-month high. The median sale price hit $435,000, marking a 2.4% increase from April and a 4.8% rise from May 2023. Key metrics include a steady close-to-list price ratio of 100%, an average days on market of 34 days, and a months' supply of inventory at 1.9. Metro areas like San Diego, Phoenix, and Seattle saw the highest jump in new listings, while Cleveland led in median price increase at 18.9%.

RE/MAX has announced that nearly 2,500 of its agents and team leaders have been recognized for their exceptional productivity in the 2024 RealTrends Verified Top Agents and Teams rankings. This list highlights the top-performing agents and teams based on transaction sides and sales volume in 2023. Among the nearly 22,000 participants, RE/MAX affiliates made up a significant portion, reinforcing the brand's high standards and productivity.

Additionally, 138 RE/MAX professionals were honored in the exclusive RealTrends + Tom Ferry 'The Thousand' rankings. The performance of RE/MAX teams was particularly noteworthy, with significant averages in transaction sides per agent across multiple team categories.

RE/MAX President Amy Lessinger emphasized the dedication and expertise of RE/MAX agents, underscoring their commitment to providing unparalleled service. The company continues to lead the industry by equipping its agents with advanced tools and educational programs.

In April 2024, home sales rose for the third consecutive month, increasing by 11.2% over March and 9.0% compared to April 2023. New listings were also up by 6.3% month-over-month and 18.2% year-over-year, leading to a 28.8% increase in the number of homes for sale over last April. The median sale price reached $437,000, a 2.9% increase over March, fueled by buyers paying 100% of the list price.

The report highlights Bozeman, MT for the largest year-over-year increase in new listings at 38.9%. Other notable metrics include a decrease in the average days on market to 34 and an increase in months' supply of inventory to 1.7. Successful markets for closed transactions include Coeur d'Alene, ID and Minneapolis, MN, both with a 25.5% increase year-over-year.