REAX

The Real Brokerage Inc.

Next est. report 2026-10-29 · BMO

Buying a House '26: Residential Brokerages

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Overview

The Real Brokerage Inc. (REAX) is a technology-driven real estate company providing comprehensive agency solutions and a mobile-optimized platform to a growing

The Real Brokerage Inc. (REAX) is a technology-driven real estate company providing comprehensive agency solutions and a mobile-optimized platform to a growing network of agents across the U.S. and Canada. It offers favorable terms, wealth generation, and AI-enabled tools like HeyLeo to enhance agent productivity. The company is also set to merge with RE/MAX, aiming to combine an iconic brand with modern technology.

Search Keywords Brand Product

HeyLeo
Leo 2.0
Real Wallet
One Real Title
One Real Mortgage
reZEN platform
Leo CoPilot
Real Originate
residential real estate brokerage
real estate technology
AI in real estate
agent productivity
real estate commission models
market share gains
ancillary real estate services
housing market conditions

Search Keywords Event Phrases

REAX earnings
Real Brokerage RE/MAX merger
RE/MAX acquisition closing

Search Keywords Policy Regulatory

NAR settlement
real estate commission regulations
mortgage lending policy

What They Do (Plain English & Analogies): The Real Brokerage Inc. (REAX) is like a modern, high-tech toolkit for real estate agents. Instead of traditional offices, REAX provides agents with a powerful digital platform and AI tools to manage their deals, connect with clients, and grow their businesses more efficiently. They also offer integrated services such as mortgages and title insurance, aiming to be a one-stop shop for agents and their clients throughout the home buying and selling process. It's designed to give agents a super-powered virtual office and digital assistants to help them succeed, ultimately improving the experience for buyers and sellers.
Very Brief History: The Real Brokerage Inc. was co-founded in 2014 by Tamir Poleg (CEO) and Gal Weiss (CTO). The company quietly went public in June 2020 and has been listed on NASDAQ since 2021.
"Street Stereotype": The Real Brokerage is generally perceived as a fast-growing, tech-forward disruptor in the traditional real estate brokerage industry. It's known for its agent-centric model, attractive commission splits, and leveraging AI to gain market share even in challenging housing markets. The company is often seen as an efficient, digitally-native alternative to older, more traditional brokerages. The pending merger with RE/MAX is a significant event, expected to transform its market perception and scale.
Subsidiaries On Linked In*: One Real Title — Ancillary title and escrow services
One Real Mortgage — Ancillary mortgage origination services
Real Wallet — Financial technology and lending products
Customer Sectors & Example Clients: REAX's primary customers are real estate professionals, including individual agents, real estate teams, and independent brokerages. Ultimately, their services benefit the buyers and sellers of real estate. No specific client companies are named in the provided information, as their clients are individual real estate professionals and brokerages.
New Customers / Segments They'Re Targeting: REAX is actively targeting entrepreneurial agents, teams, and independent brokerages who are seeking better technology, more favorable economics, and a platform to run their businesses more efficiently and profitably. Following the pending RE/MAX merger, the company is focused on attracting agents from other brokerages (outside the combined Real/RE/MAX group) while also working to protect and strengthen the existing RE/MAX network and franchise owners' businesses. They also aim to expand the value proposition for RE/MAX franchise owners by offering access to their modern technology platform and ancillary services.
Supply Chain And Sourcing Geographies: The Real Brokerage Inc. operates as a technology-driven real estate brokerage. Its core offerings are its proprietary technology platform and real estate services. The company does not have a traditional physical supply chain or source physical products/components from specific geographies. Its 'supply chain' primarily involves digital infrastructure and human capital (real estate agents, technology developers, and support staff).
Sales Geographies And Expansion Plans: The company currently operates across all 50 U.S. states, the District of Columbia, and 6 provinces in Canada. Management has noted that they continue to open new provinces in Canada. The most significant expansion plan is the pending acquisition of RE/MAX, which is expected to close in the second half of 2026. This merger will substantially expand their global footprint and agent network, though no other specific new geographic market entries for the standalone Real entity were disclosed.
How Key Themes May Help/Hurt: The 'Buying a House '26: Residential Brokerages' theme presents both opportunities and challenges for REAX. The company stands to benefit significantly from the widespread adoption of AI (Bull1), as evidenced by its aggressive investment in AI tools like HeyLeo 2.0 and internal automation, which directly enhance agent productivity and operational efficiency. Its strategy of expanding integrated solutions (Bull2) through Real Wallet, One Real Title, and One Real Mortgage aligns with creating seamless customer journeys and increasing revenue per transaction. Furthermore, REAX's consistent market outperformance and strategic M&A (Bull3), particularly the RE/MAX merger, position it for continued market share gains despite a challenging overall housing market. Conversely, REAX could be hurt by persistent macroeconomic headwinds (Bear1), such as elevated interest rates and affordability challenges, which continue to suppress transaction volumes across the industry. Regulatory scrutiny and legal developments like the NAR settlement (Bear2) introduce uncertainty regarding commission structures, potentially impacting agent business models, though REAX's flexible model may offer some resilience. Lastly, the complex integration of the RE/MAX acquisition (Bear3) introduces execution risks and potential for agent churn, which could temper the expected benefits.

3 Main Long-Term Bull Details

AI-powered Technology Platform & Innovation: Real's continuous investment in and rollout of AI-enabled tools like HeyLeo 2.0, which integrates with CRMs to nurture leads and generate opportunities for agents, significantly enhances agent productivity and client experience, creating a strong competitive advantage and potential for future monetization.
Differentiated Agent-Centric Economic Model: The company's value proposition, including favorable commission splits, low caps, revenue share, and equity opportunities, consistently attracts and retains high-producing agents, driving organic growth and market share gains even in difficult market conditions.
Transformational RE/MAX Merger & Integrated Services: The pending acquisition of RE/MAX combines Real's modern technology and economic model with an iconic global brand and highly productive agent network, creating a stronger, more profitable combined entity with significant cost and revenue synergy potential, further boosted by the expansion of high-margin ancillary services like mortgage and title.

3 Main Long-Term Bear Details

Persistent Housing Market Headwinds: The residential real estate market remains highly sensitive to elevated interest rates, inflation, and affordability challenges, which could continue to suppress transaction volumes and limit buyer demand, impacting overall industry growth and REAX's transaction-based revenue.
RE/MAX Merger Integration Risks: Despite management's confidence, the complex integration of two companies with different business models (Real's tech-brokerage vs. RE/MAX's franchise model) carries execution risks, potential for agent or franchise owner churn, and challenges in realizing the projected $30 million in cost synergies within three years.
Regulatory Changes and Competition: The ongoing uncertainty from the NAR settlement regarding commission structures could reshape agent compensation and business models across the industry, potentially increasing competitive pressures or requiring significant adaptations that impact profitability.

Competitors And Differentiation: REAX competes with other real estate brokerages, encompassing both traditional and tech-enabled models, such as eXp Realty, Compass, and traditional real estate franchises (prior to the RE/MAX merger). Their differentiation strategy is multi-faceted: they offer a modern, AI-enabled technology platform, including tools like HeyLeo for agent productivity and lead nurturing, and the reZEN platform for brokerage operations. They provide a differentiated agent-centric economic model with attractive commission splits, low caps, revenue share, and opportunities for equity. Additionally, REAX offers an integrated suite of ancillary services, including Real Wallet, One Real Title, and One Real Mortgage, creating a more comprehensive solution for agents and clients. The pending RE/MAX merger is a key differentiator, combining Real's innovative technology and economic model with RE/MAX's iconic global brand and extensive franchise network.
Recent Performance & What The Market'S Focused On: In the second quarter of 2026, REAX delivered significant growth despite a challenging housing market. Revenue increased 30% year-over-year to over $700 million, and Adjusted EBITDA grew 38% to $27.6 million. The company ended the quarter with a record $86.6 million in cash and short-term investments. Agent count reached approximately 35,350, up 26% year-over-year, and exceeded 36,000 as of the call date. Closed transactions increased 27% to a record 62,380. Ancillary revenue from Real Wallet, One Real Title, and One Real Mortgage grew a combined 28% year-over-year to $4.2 million. Gross margin, however, declined to 8.3% from 8.9% due to a mix shift towards post-cap agents. The company reported an operating loss of $7 million, primarily due to $11.6 million in acquisition-related costs for the pending RE/MAX transaction. The market is primarily focused on the impending RE/MAX merger, including the security holder vote scheduled for August 14 and the expected closing in the second half of 2026, along with the realization of projected cost synergies. Investors are also closely watching the company's continued organic agent growth, the rollout and impact of new technology like HeyLeo 2.0 on agent productivity, and the growth trajectory and attach rates of its high-margin ancillary services.

Revenue Segments And Estimated Mix: Brokerage Services — Mix: ~99.4%; Source: Q2 2026 transcript (calculated: $700.6M total - $4.2M ancillary); Trend: Main revenue driver, grew 30% YoY in Q2 2026
Ancillary Services (Real Wallet, One Real Title, One Real Mortgage) — Mix: ~0.6%; Source: Q2 2026 transcript ($4.2M out of $700.6M); Trend: Grew 28% YoY in Q2 2026; Real Wallet +140%, Title +29%, Mortgage +10%
Product Brands: HeyLeo
Leo 2.0
Real Wallet
One Real Title
One Real Mortgage
reZEN
Real Originate

Bull / Bear Details

The Real Brokerage (REAX) presents a compelling long opportunity, driven by its consistent market share gains, robust agent growth, and significant advancements

No data for this section.

Bull / Bear Case

Bear Case: The residential real estate market remains near historically low transaction levels, impacted by elevated interest rates and affordability challenges, creating ongoing headwinds for revenue growth, particularly with a weaker Canadian market where average transactions per agent were down 9%. While the RE/MAX merger offers significant potential, it also introduces substantial integration complexities and execution risks, including combining two companies with different business models and cultures, which could lead to operational challenges, potential agent or franchise owner churn, and difficulties in fully realizing projected synergies. REAX experienced a year-over-year decline in gross margin due to a higher mix of post-cap agents, indicating potential pressure on profitability as top agents reach their caps. Additionally, the broader industry faces ongoing regulatory scrutiny, including the NAR settlement, which could reshape commission structures and impact agent compensation models.
Bull Case: The Real Brokerage Inc. (REAX) presents a compelling long opportunity driven by its aggressive leverage of AI, both internally for operational efficiency and externally through HeyLeo 2.0, which is already generating revenue for agents by nurturing dormant leads. This advanced technology platform enhances agent productivity and strengthens operating leverage. Despite a historically challenging housing market, REAX continues to demonstrate exceptional organic growth, significantly outpacing industry transaction volumes, with agent count exceeding 36,000, up 26% year-over-year. The pending RE/MAX merger, expected to close in H2 2026, is a pivotal event, combining an iconic brand with Real's modern technology, projected to yield at least $30 million in cost synergies within three years and offering substantial opportunities for revenue synergies and deleveraging post-closing. Ancillary services, particularly mortgage, are also showing strong momentum for future revenue growth.
More Compelling & Why: Bull. The market's strong positive reaction, with REAX significantly outperforming SPY post-earnings (23.70% vs. 0.42% initially, and 12.15% vs. 0.40% subsequently), indicates investor confidence in the company's strategic direction. While the current P/S ratio of 3.5x is above the industry average, the strongest argument for the bull case is the transformative RE/MAX merger, projected to yield at least $30 million in cost synergies, combined with robust agent growth and the revenue-generating potential of AI tools like HeyLeo 2.0. My view would flip if the RE/MAX integration faces significant delays or operational hurdles, leading to agent churn or a failure to realize projected synergies, or if agent growth decelerates sharply.

Key Factors5 rows

Key Factor	Why It Matters	What To Watch	What It Signals	Where/How To Track	Free Alt Data	Paid Alt Data
Final Legal and Regulatory Approvals for RE/MAX Acquisition	The completion of this transformational acquisition will create the Real RE/MAX Group, uniting an iconic brand with innovative technology, crucial for unlocking significant cost and revenue synergies, and impacting the competitive landscape.	Receipt of a final order from the Supreme Court of British Columbia and satisfaction of any other remaining closing conditions. The transaction is expected to close in the second half of 2026, potentially within two weeks of August 14, 2026.	Receipt of the final court order and announcement of transaction completion is a strong bullish signal. Any unexpected delays or failure to satisfy remaining conditions would be a bearish signal.	Company press releases, SEC filings (Form 6-K for Real, Form 8-K for RE/MAX), Canadian securities regulators (SEDAR+).	Real Estate industry news outlets (e.g., Inman News, HousingWire), financial news wires.	Legal intelligence platforms for court filings.
HeyLeo 2.0 Full Rollout and Agent Adoption	HeyLeo 2.0, Real's AI relationship management platform, is designed to enhance agent productivity by leveraging AI to nurture leads and create opportunities, directly impacting agent revenue and potentially driving ancillary service adoption.	Updates on the full rollout timeline beyond the current beta phase, the number of agents actively using HeyLeo 2.0, and reported improvements in agent productivity or lead conversion.	Successful full rollout with high agent adoption and reported positive impact on agent revenue generation is a bullish signal. Delays in rollout or low agent adoption would be a bearish signal.	Company earnings calls, investor presentations, and press releases.	Social media sentiment (e.g., Reddit forums like r/realtors) regarding HeyLeo 2.0, Google Trends for 'HeyLeo' or 'Real Brokerage AI'.	Apptopia/Sensor Tower: HeyLeo app downloads/usage (if applicable), Thinknum: Mentions of 'HeyLeo' in real estate agent forums.
NAR Antitrust Settlement Final Approval Hearing	This catalyst fundamentally alters agent compensation and commission structures, impacting the profitability and operational strategies of all residential brokerages, including the combined Real RE/MAX Group.	The outcome of the final approval hearing for the NAR antitrust settlement (Tuccori case) scheduled for November 2, 2026.	Final approval of the settlement with clear, manageable terms that allow for adaptation and competitive advantage for tech-enabled brokerages is a bullish signal. Unexpectedly harsh terms or further uncertainty could be a bearish signal.	Court documents, legal news outlets, National Association of Realtors (NAR) official statements, industry publications like Inman News and HousingWire.	Google Trends for 'NAR settlement impact,' legal news aggregators.	Legal intelligence platforms, industry analyst reports.
Total Agent Count Growth	Agent growth is a primary indicator of Real's ability to attract productive real estate professionals and gain market share, even in challenging housing markets.	The company's reported total agent count, specifically looking for continued growth beyond the 36,000 agents reported as of early Q3 2026.	Agent count consistently exceeding 36,000 and maintaining strong organic growth is a bullish signal. A deceleration in agent growth or a decline would be a bearish signal.	Company earnings reports and conference calls (next expected in November for Q3 results).	Industry reports on agent movement, LinkedIn job postings for Real Brokerage agents.	Thinknum: Agent headcount growth for REAX.
One Real Mortgage Ancillary Revenue Growth	Ancillary services, particularly mortgage, represent high-margin revenue streams that contribute to improved profitability and customer lifetime value. Management expects momentum to manifest in revenue later this year or early 2027.	The reported year-over-year growth rate for One Real Mortgage revenue in Q3 2026 and Q4 2026 earnings reports.	Year-over-year mortgage revenue growth accelerating significantly from Q2's 10% and showing a 'step function change' is a bullish signal. Continued slow growth or deceleration would be a bearish signal.	Company earnings reports and conference calls (next expected in November for Q3 results).	Industry reports on mortgage origination volumes, Freddie Mac Primary Mortgage Market Survey for interest rates (indirectly impacts demand).	Consumer card data (for mortgage-related spending), Real estate transaction data providers.

Key Reported Metrics, Reratings Triggers & Results3 rows

Adjusted EBITDA is a crucial profitability metric, demonstrating the company's operational efficiency and ability to expand margins, particularly as it integrat

Upcoming print · 2026-10-29

Key reported metrics
Metric	Last period	Why it matters
Adjusted EBITDA	38%	Adjusted EBITDA is a crucial profitability metric, demonstrating the company's operational efficiency and ability to expand margins, particularly as it integrates RE/MAX and aims for significant cost synergies.
Agent Count	26%	Agent Count is a key operational metric reflecting the company's ability to attract and retain productive real estate professionals, which directly drives transaction volumes and future revenue potential.
Consolidated Revenue	30%	Consolidated Revenue is a primary indicator of the company's overall growth and market share expansion, especially in a challenging housing market. Investors will watch for continued strong top-line performance.

Key Questions

Will the Real Brokerage Inc. successfully close its acquisition of RE/MAX Holdings in the second half of 2026, and will initial integration updates provide clea

Will the Real Brokerage Inc. successfully close its acquisition of RE/MAX Holdings in the second half of 2026, and will initial integration updates provide clear evidence of progress towards the projected $30 million in cost synergies?

Question 2: Can The Real Brokerage Inc. sustain its robust agent growth and demonstrate strong adoption and tangible productivity enhancements from the full rollout of its HeyLeo 2.0 AI platform, thereby reinforcing its differentiated value proposition?
Question 3: Will Real Brokerage Inc. accelerate the revenue contribution from its high-margin ancillary services, particularly One Real Mortgage, to mitigate the impact of persistent macroeconomic headwinds and a challenging housing market on overall profitability?

Earnings Transcript SummaryTable

2026-08-06 · 2026Q2 Earnings Call

3 Things Management Is Most Focused On	Call Takeaway & Tone	Prior Quarter'S Y/Y Growth By Segment	3 Things Analysts Most Pressed On (And Mgmt Responses)	Revenue Segments
3 Things Management Is Most Focused On1. Successful Integration of RE/MAX Transaction: Management is highly focused on the pending RE/MAX transaction, with a security holder vote scheduled for August 14. They believe the combination will create a stronger, more profitable company by merging RE/MAX's brand and agents with Real's AI-enabled technology and economic model, targeting $30 million in cost synergies within 3 years. Jenna Rozenblat is leading the integration efforts. 2. Agent Growth and Productivity: Despite a challenging housing market, Real continues to attract and retain productive agents, with agent count up 26% year-over-year to 35,350. Management emphasizes providing better technology, economics, and support to help agents run their businesses more efficiently and profitably. 3. Technology Innovation, particularly AI (HeyLeo 2.0): Management is focused on rolling out new technology like HeyLeo 2.0, their AI relationship management platform. This platform, now in beta with CRM integrations, aims to enhance agent productivity by helping them activate, engage, and nurture leads, ultimately generating revenue for agents and improving client experience. They are also leveraging AI internally for operational efficiencies.	Call Takeaway & ToneThe overall takeaway from the call is that The Real Brokerage continues to demonstrate significant growth and improved profitability, gaining market share despite a challenging housing market. The pending RE/MAX merger is a pivotal event, expected to create a more robust and efficient combined entity through technology and brand synergies. Management is highly optimistic about agent growth, the impact of AI-driven tools like HeyLeo 2.0 on agent productivity, and the long-term potential of ancillary services. The tone of the call was confident and optimistic, with management emphasizing their ability to control innovation and execution regardless of macro-economic conditions, though they acknowledged near-term gross margin pressures.	Prior Quarter'S Y/Y Growth By SegmentIn Q1 2026, consolidated revenue grew 25% year-over-year. Ancillary revenue (combined) grew 20% year-over-year. Within ancillary, Wallet revenue grew 100% year-over-year, Title revenue grew 20% year-over-year, and Mortgage revenue grew 5% year-over-year. This indicates an acceleration in consolidated revenue, combined ancillary revenue, Wallet revenue, Title revenue, and Mortgage revenue growth in Q2 2026 compared to Q1 2026.	3 Things Analysts Most Pressed On (And Mgmt Responses)1. Agent Recruiting Pipeline and RE/MAX Merger Impact: Analysts inquired about the agent recruiting pipeline and whether the pending RE/MAX merger was positively or negatively impacting it. Management (Tamir Poleg) responded that Q2 saw robust agent adds, and the pipeline is stronger, with the RE/MAX announcement providing 'tailwinds' for agents considering joining Real. They are focused on attracting agents from outside the combined Real/RE/MAX group. 2. Acceleration of Ancillary Solutions Growth: Analysts pressed on when the high-margin ancillary businesses (Title and Mortgage) might see a 'step function change' in growth. Management (Tamir Poleg) indicated strong momentum on the mortgage side, expecting better revenue results later in 2026 or early 2027. For title, which grew 29% Y/Y, they noted high attach rates in JVs and expect HeyLeo 2.0, with integrated mortgage and title flows, to further boost ancillary revenue long-term. 3. Gross Margin Trends and Headcount Efficiency: Analysts asked about the year-over-year gross margin trend for the back half of the year and the strategy around future headcount, especially post-RE/MAX merger. Management (Ravi Jani) explained that Q3 gross margin is expected to be lower Y/Y but with less decline than Q2 due to fee model changes and ancillary business pickup, with Q4 expected to be relatively flat. Regarding headcount, Q2's lower efficiency was due to converting contract roles to full-time employees (P&L neutral), and post-merger, they plan to bring Real's efficiency to RE/MAX for overall cost savings.	Revenue SegmentsConsolidated revenue increased 30% year-over-year to $700.6 million. Ancillary revenue (from Real Wallet, One Real Title, and One Real Mortgage) grew a combined 28% year-over-year to $4.2 million. Specifically, Wallet revenue grew 140%, Title revenue grew 29%, and Mortgage revenue grew 10%.

Transcript TidbitsTable

2026-08-06

About Expanding Eligible Market	About Competition	About The Broader Industry	Where Things Are Headed	Updates On Theme	Broader Themes Emerging	Bullish-Leaning Quotes (Short)	Bearish-Leaning Quotes (Short)	Hiring
About Expanding Eligible MarketThe pending RE/MAX transaction is expected to expand the eligible market by combining Real's modern AI-enabled technology platform and differentiated economic model with RE/MAX's iconic global brand, highly productive agents, and franchise owners with deep local market expertise. The company continues to experience organic growth, with agent count exceeding 36,000, up 26% year-over-year. Ancillary revenue from Real Wallet, One Real Title, and One Real Mortgage grew a combined 28% year-over-year, with mortgage momentum expected to manifest in revenue later this year or early 2027. HeyLeo, the AI relationship management platform, is broadening its MLS coverage to nearly 90% of U.S. transactions and all of Canada, and is being integrated with mortgage and title flows to offer solutions to agents' clients. The RE/MAX merger is anticipated to strengthen the value proposition for franchise owners by providing access to a modern technology platform, AI capabilities, and a broader suite of services, including ancillary services and Real's revenue share model.	About CompetitionReal continues to take market share and grow at a significant rate despite a challenging housing market. The company is focused on attracting agents from other brokerages, outside of the combined Real RE/MAX group, while protecting the existing RE/MAX network. The integration of Real's technology platform is expected to simplify the brokerage technology stack for RE/MAX franchise owners, potentially replacing multiple third-party vendors for CRMs, AI tools, and communication platforms, thereby reducing complexity and cost, and widening the competitive advantage through operational efficiency and integrated experience.	About The Broader IndustryThe broader housing market remains challenging, described as one of the most difficult in years, with transaction levels near historically low levels. The U.S. market has been running nearly 20% below its typical 5.2 million existing home sales, at around 4 million for the past three years. The Canadian market has been notably weaker than the U.S., with average transactions per agent down 9%. Despite these headwinds, Real has shown consistent growth by taking market share. The company's strategy is not dependent on a real estate boom, but rather on continued execution and expanding market share regardless of macro environment.	Where Things Are HeadedThe security holder vote on the RE/MAX transaction is scheduled for August 14, with completion expected in the second half of 2026, assuming approvals and satisfaction of closing conditions. The combined entity aims to be a stronger, more profitable company, with an estimated $30 million of cost synergies within three years of closing, considered a floor, not a ceiling. Following closing, the priority is debt repayment and deleveraging. For the stand-alone Real business, Q3 is expected to follow normal seasonal patterns with sequential declines in revenue and adjusted EBITDA, and lower gross margin year-over-year. The company plans to provide a combined company baseline and preliminary 2027 guidance in November, assuming the merger closes. Mortgage revenue momentum is anticipated to show better results later this year or early 2027. Real plans to implement its efficiency strategies within RE/MAX post-merger.	Updates On ThemeResidential	Broader Themes EmergingAI and Automation: The company is aggressively leveraging AI not only in agent-facing products like HeyLeo but also internally to transform its own operations. An in-house AI automation team has automated hundreds of workflows, saving thousands of hours of manual work, which helps maintain a lean operating cost structure and allows employees to focus on value-creating activities. AI is becoming fundamental to how the company builds software, serves agents, and operates, aiming to improve customer experience, strengthen operating leverage, and widen competitive advantage.	Bullish-Leaning Quotes (Short)Despite one of the most challenging housing markets in years, we again delivered significant growth, improved core profitability and further strengthened our balance sheet. Revenue increased 30% to more than $700 million. Adjusted EBITDA increased 38% to $27.6 million. We ended the quarter with record cash and short-term investments of $86.6 million. our agent count has already exceeded 36,000. we remain confident in our ability to achieve approximately $30 million of cost synergies within 3 years of closing. Leo is generating revenue for the agents. the immediate or short-term feedback was better than we expected, to be honest. we've grown organically primarily by taking market share, attracting productive agents somewhere between $5,000 and $10,000 per year for the past 3 years, while increasing ancillary adoption and expanding margins as we scale.	Bearish-Leaning Quotes (Short)Despite one of the most challenging housing markets in years housing market that remains near historically low transaction levels. The year-over-year decline was primarily a mix effect. operating loss of $7 million in the second quarter compared with operating income of $1.7 million in the second quarter of 2025. The Canadian market does -- has been weaker than the U.S. in Canada, our average transactions per agent was actually down 9%. In a typical year, the U.S. sees about 5.2 million existing home sales. We've been running nearly 20% below that, around 4 million for the past 3 years.	HiringThe company converted a number of contract roles, primarily state brokers and compliance specialists, to full-time employees. This conversion was P&L neutral and did not significantly impact operating costs or leverage, but it did modestly lower the headcount efficiency ratio. This shift was driven by increased demand for these resources as the company grew, aiming for better commitment, connection, and service delivery to agents. The company also built an in-house AI automation team focused on rethinking workflows across departments, which has automated hundreds of tasks and saved thousands of hours of manual work, allowing employees to focus on higher-value activities.

NotesTable

Date	Comment	Comment Type	Comment Sentiment	Link	Price Reaction
2026-08-06	The Real Brokerage's Q2 2026 earnings, featuring 30% revenue growth and 38% Adjusted EBITDA increase, coupled with robust agent additions and HeyLeo 2.0's positive beta launch, were met with strong market approval. The stock surged 23.70% (outperforming SPY), reflecting optimism about the RE/MAX merger's overwhelming securityholder approval and future synergies, despite a reported GAAP net loss due to acquisition costs.	Earnings Transcript	Positive		+23.70% (vs SPY: +23.28%)

Upcoming EventsTable

Catalyst ID	Estimated Timing	Estimated Date Start	Estimated Date End	Catalyst	Why It Matters	Ticker Or Theme Specific	Transcript Date	Source Type
REAX_383eab9d	in September	2026-09-01	2026-09-30	Implementation of fee model changes.	These changes are expected to moderate the year-over-year decline in gross profit margin in Q3 and result in a relatively flat gross profit margin year-over-year in Q4.	Ticker	2026-08-06	earnings_transcript