Re/Max has withdrawn from its strategic referral alliance with Redfin after only two months.

In March, the companies announced the alliance for Redfin offices in Canada (currently in Toronto and Vancouver) and the U.S.  Under the arrangement, in areas where Redfin does not have offices, Redfin referred customers to approved Partner Agents at other brokerages, including participating Re/Max agents. When the customer closed on a home purchase or sale, Redfin received a referral fee.

But in a statement, Redfin says: “At issue between Re/Max and Redfin has been Redfin Direct, the new service we’re piloting in Boston for Redfin’s listing customers to get offers from unrepresented buyers. We had briefed Re/Max on the technology prior to announcing the partnership, but Re/Max became concerned that Redfin Direct would undermine the standing of North American buyers’ agents.

“Redfin understands this concern, as we employ thousands of licensed professionals and believe the vast majority of homebuyers need professional advice and will happily pay for it. But 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’ favour.”

Re/Max said in a statement: “Re/Max strongly believes the role of a real estate agent in the homebuying and selling process is more important than ever. Consumers faced with the largest, most complex financial transaction of their lives should have a knowledgeable professional to guide and advise them. We believe real estate agents provide this essential service to a successful buying and selling experience.

“Given Redfin’s recent announcement regarding a program that would encourage buyers not to use agents on listings where the seller is represented by Redfin, we cannot continue with an official, corporate-level relationship at this time. We have begun the process of dissolving our exclusive referral agreement with them beginning today.”

Redfin says it “can now enroll partner agents from other brokerages to serve visitors in the U.S. and Canada.”


  1. There is something definitely wrong with the Cdn real estate system when Buyer Realtors only get paid when a buyer closes a deal. What other licensed professional works for nothing…on spec.
    Redefining the system should include retainer fees for buyer Realtors.

  2. The Real Estate industry via CREA & OREA need to make it known to all that “” is the most effective marketing opportunity to sell your home! Nothing else comes close….for now~ is to go to place for buyers to shop! WAKE UP CREA spend wisely the dollars in the advertising budget~ I do not give a rats behind about the bikers! We are educated, trained, licensed & regulated! We are a Buyer or a Sellers BEST Choice…………Where is our leadership. Douglas Paul United Realty Services Inc

  3. This Redfin Direct initiative is just another proptech service bearing down on the realtor profession like Zillow et al. Despite Re/Max’s size, and others like it, the traditional realtor industry will collapse and make way for the consumer-to-consumer online direct services, EXACTLY the same as the naysayer travel agents that were mostly wiped out by online services … 5 years will see a significant upset … 10 years will see a paradigm shift … research blockchain.

    • What has it been 30 years hearing the same story. A Paradigm shift is coming to an industry where failure supports the entire structure. The result it has never come.

      Re/max started as a way for successful highly skilled high volume sales reps to run their own personal brokerage by circumventing all the multitude of rules and regulations that dictate how a brokerage must operate.

      30 years later you no longer need to circumvent any rules or regs because you can run your own Brokerage under the Brokerage franchise agreements of existing Brokerages.

      The Paradigm Shift you cite will not be Zillow or Redfin because the cost to sell a home today is ZERO. There is literally no viable are debatable reason to pay even a dime to sell your home. But guess what Sellers have never paid. House Lookers have never paid. Nosy Neighbours have never paid. 10s of thousands of families get driven around on FREE home tours every day in Canada and because they don’t buy a home they pay nothing.

      So ask yourself how is Zillow or Redfin going to make a single dollar in that world.

      There are 130,000 Realtors in Canada and approximately another 30,000 sales reps who refuse to license the realtor trademark. That means there is ONLY downward pressure on commissions.

      It is illegal for Zillow to earn money off a listing other than commission in Canada and ONLY if Zillow becomes a brokerage can they be paid anything including Lead Generation Fees. PropTech fails ( I mean you gotta luv Redfin’s CEO admitting he does not know how Redfin will actually generate profits but he hopes to discover the magic elixer) because they do not realize they must follow the same rules and regs every brokerage in the country must follow.

      PropTech relies on ignorance of the consumer to get away with earning revenues they are not legally entitled to earn. None have succeeded other than generate debt through IPOs.

    • I never understood why any kind of new technology would disrupt of damage the realtors life. A realtor is paid for experience, time and advice, not for using different tools.
      At the end of the day all those new ideas, websites, Ibuyers they are doing nothing more than supporting a FSBO transaction. But you know what? You can sell your home privately without any of them (or with), the difference is in the amount of money you will net at the end of the day.

  4. Redfin’s claimed mission is “…to redefine real estate in consumers’ favour.”. C’mon…the number one underlying—and unstated—mission is to make lots of money by way of secondary mission number two as stated above. Every business associated with the real estate sales industry looks to feed off of the buying and selling of real estate. That’s what I did when I was a Realtor. My number one concern was making a living by way of helping my clients. I was not prepared to do it for nothing. Neither is anyone else, including Redfin.

    I just love mission statements.

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