Compass International Holdings CEO Robert Reffkin is considering joining the national residential real estate data-sharing initiative Open Real Estate, which was founded by four of the firm’s largest competitors. The initiative aims to provide fair and equal access to listing data, returning power to homeowners and their agents.
Reffkin expressed support for the change during his company’s third quarter 2206 earnings call. “We welcome this change. It actually validates what we’ve been saying for the better part of two years,” he said. The CEO stated there is “definitely a path” for Compass to join, adding that the firm is excited about a national service that benefits agents and clients.
Compass Boosts Private Listings
Despite his praise for Open Real Estate, Reffkin also highlighted the growth of Compass’s private exclusive inventory. As of early November, the company had 89,000 listings visible on Compass.com before they appeared on public portals. In cities without restrictions on marketing office exclusive listings, an average of 63% of new Compass listings used its three-phase marketing strategy.
The company’s new “See It First” offering appears to be driving traffic. In September, after its launch mid-month, traffic to Compass apps and websites rose 68% year over year. For the full quarter, traffic was up 53.6% annually. Reffkin expects this trend to continue with the See It First campaign, which is part of a broader rebranding effort.
Reffkin also noted the benefits of this private network in the age of artificial intelligence. He said large language models, when asked for new listings in a specific area, “more often than not” provide consumers with Compass International Holdings listings. This, he argued, functions as a new type of search alert.
Platform Expansion and Financial Gains
Compass’s internal listing network is integrated into its Home platform. The company has onboarded 33,950 agents onto the platform as of the end of October and plans to roll it out to the remaining 46,000 owned-brokerage agents by the end of 2026. Franchise network agents will gain access starting in Q1 2027.
This expansion increases the number of client contacts in Compass’s database, which now stands at 225 million unique contacts. Reffkin explained that when an agent lists a property, it instantly appears in the saved searches of these contacts. He cited a Houston agent who used the platform to find a Dallas listing for a client, resulting in a cross-geography purchase that would not have been possible otherwise.
Related Post: 5 Digital Tools to Help Real Estate Agents Get Off to a Great Start
Financially, Compass reported an 11.6% annual increase in revenue on a pro forma basis, reaching $3.90 billion for the third quarter. The firm achieved a net income of $63 million, marking its first profitable third quarter, compared to a $4 million loss the previous year.
Operating expenses declined by 6% annually. Reffkin attributed this to financial discipline and cost cooperation actions, noting the company has realized $360 million in net cost synergies, exceeding its $330 million full-year target for 2026. He remains committed to the $500 million cooperation target.
Compass’s owned-brokerage operation ended the quarter with 85,476 agents, an increase of more than 2,000 from the prior quarter. While the firm lost 4,098 agents, 58% of those leaving had $0 gross commission income in the past 12 months, and 74% had $20,000 or less in GCI.
Owned-brokerage agents closed 140,118 transactions with a gross transaction value of $138.9 billion. Franchise agents closed 191,809 transactions totaling $108.9 billion in value. Reffkin expects further growth in agent count and productivity.
The company’s mortgage joint venture, now operating under the OriginPoint brand after merging with Guaranteed Rate Affinity, funded $3.30 billion in loans during the third quarter, up 9.9% year over year. As a top-10 lender, the firm has seen increased interest from loan officers. Reffkin stated the goal is to become a top-5 retail lender.
Future Growth and Market Position
Compass is actively expanding its agent recruitment pipeline. The number of opportunities added to the company’s growth team’s weekly active pipeline has increased by 39% compared to the second and third quarters. Reffkin attributes this trend to a “flight to quality,” where agents seek brokerages offering superior technology and tools.
Agent Recruitment and Future Goals
Compass is focused on attracting, retaining, and growing its agent base. The firm’s owned-brokerage operation added more than 2,000 agents during the quarter, despite losing 4,098 agents. Most departing agents had low gross commission income.
