RE/MAX Dissolves Referral Partnership with Redfin
Just weeks after announcing a strategic alliance with Redfin, RE/MAX is now dissolving the exclusive referral partnership. The news comes a week after Redfin rolled out Redfin Direct, a pilot program in Boston that enables unrepresented buyers to offer bids on homes listed on Redfin’s site.
RE/MAX CEO Adam Contos sent a letter to brokers and agents, explaining his position:
Redfin Direct “goes against every value RE/MAX has had for more than 45 years. I feel very strongly and passionately about that, as does our Board of Directors and my leadership team. We strongly believe the role of an agent in the transaction, for both buyers and sellers, is more important than ever — providing professional guidance and protecting the interest of consumers in a large, complex financial transaction.”
Redfin also issued a statement, assuring that while it had “utmost respect for RE/MAX as a company…we also have a duty to get as many offers for our customers’ listings as we possibly can, and to give those listing customers the best value. We believe in consumer choices; our mission is to redefine real estate in consumers’ favor.”
The dissolution of the RE/MAX referral program isn’t the only criticism voiced about Redfin Direct.
Redfin CEO Glenn Kelman responded to perceived criticism of the program in a May 9 blog post, in which he maintained that “the only way to protect our agents’ future is to put our customers first.”