Robert Reffkin is the founder and CEO of Compass, a real estate company, and an entrepreneur on a mission to help everyone find their place in the world. To subscribe to exclusive newsletters, visit your email preferences in the account settings. WebNotable White House Fellows. Its an industry that values longevity. Coalesce's Select Membership is no longer active. So in March, existing home sales were down 2 percent year over year, Reffkin said while noting the decline puts the market back in line with historical norms. By submitting your email address, you agree to receive marketing emails from Inman. Though a Compass franchise business would be a major shift for the brokerage, such a move isnt without precedent in the broader industry landscape. The 41-year-old cofounder and CEO has risen to prominence quickly. Prices for sales were down in March a little less than 1 percent year over year [and it was the] same in February; however, sequentially, prices are up. As of early afternoon Eastern Time, cofounder and CEO Robert Reffkin was worth more than $500 million, Forbes estimates. Reffkin, 41, owns 2.3% of Compass normal Class A stock and 100% of its Class C stock, which has 20 times the voting power of normal shares. Forgot your username? Today, Reffkin lives in New York City with his wife, Benis Reffkin, who is a business and life coach. He dubbed her the "most important person" in his life and an inspiration, in a LinkedIn post from Mother's Day 2019 that documented how she lived the American Dream. The couple have three kids together. WebCompass was founded by entrepreneurs Ori Allon, Robert Reffkin and Avi Dorfman as Urban Compass in 2012. Mr. Reffkin is a Vice President in the Principal Investment Area of Goldman Sachs & Company. CEO Robert Reffkin floated the idea of a franchise brand during an earnings call Tuesday, describing it as a more profitable method of growing the business. After graduation, Reffkin was an analyst at McKinsey & Co. for two years, then returned to Columbia for an M.B.A. He worked for two years in finance at Lazard, one as a White House Fellow in the U.S. Department of the Treasury and then moved back to New York City to work at Goldman Sachs. The round brings Compass total funding to $325 million, according to The Real Deal. The 41-year-old cofounder Top editors give you the stories you want delivered right to your inbox each weekday. Leading commentary by award-winning journalists. Compass explores possibility of franchising, company says You will receive additional instructions via email. Robert Reffkin (1979- ) - BlackPast.org Investors in the funding round included Fidelity Investments, IVP and Wellington Management, which led Compass Series D round. Subscribe to Inman Select for Breaking News and Exclusive Industry Content. In these times, double down on your skills, on your knowledge, on you. Assist Band or DJ in cueing important events (ie grand entrance, cake cutting, bouquet toss, dance, etc.) Robert Reffkin 2023 The Moguldom Nation. Compass, the tech-focused brokerage that Reffkin co-founded in 2012, raised $450 million in an initial public offering Wednesday. Founder & CEO Robert Reffkin started Compass in 2012 Compass In my continuing coverage of the countrys real estate market, I reached out to Compass Compass Founder & CEO Robert Reffkin Weighs In On Todays Reffkin said Compass website traffic increased 18 percent from the fourth quarter of 2022 to Q1 2023, and signals buyers growing commitment to navigating market challenges rather than waiting for a quote-unquote better time to buy. Though he founded two philanthropic organizations, Reffkin's generosity doesn't end there. Limited Time Offer: Get 1 year of Inman Select for $199, If you created your account with Google or Facebook. You will be charged . Reffkin started his first business when he was just 15 years old, according to an article from Columbia College Today. Reffkin was ultimately upbeat about Compass prospects, but in his companys earnings report also described 2022 as one of the worst years for the real estate market.. Here Are The Challenges Facing Incoming Qantas CEO Vanessa Hudson, I Squared Said to Acquire Australian Trailer Leaser Rentco, Taiwan Sees Accelerating Shift of Production Away From China, Corporate America Focuses on Cost Cuts and Layoffs Not Growth, Peru Inflation Falls Below 8%, Supporting Central Bank Ambitions, The Inside Story of Buffetts Big Japan Bet, Over Glasses of Coke at Four Seasons, NXP Rallies After Maker of Automotive Chips Gives Rosy Forecast, IBM to Pause Hiring for Jobs That AI Could Do, Airbuss Newest A321 Jet Running Late as Delays Become New Norm, India Startup Byjus Seeks to Reassure Workers After Office Raid, Biden, Marcos Reaffirm Ironclad Alliance as Tensions With China Grow, Republican Party Has a Future Beyond Trump, Youngkin Says, First Republic Sale Fills Bankers With Relief and Worry, Morgan Stanley Plans 3,000 More Job Cuts as Dealmaking Slumps, FIFA Threatens to Pull Broadcast of Womens World Cup in Europe, MGM Resorts Tops Estimates, Cites Gains in Vegas and Macau, JPMorgan Jumped On First Republic's Exploding Manhole Cover, More Companies Head to Space, But No One Can Agree on the Rules Up There, Why Chinese Banks Arent Worried About Depositors Fleeing, The Boring Old Box Truck Gets the Tesla Treatment, E. Jean Carroll Testifies TrumpCritic Conway Encouraged Her Lawsuit, Trump Is Denied Mistrial Over Unfair Rulings in E. Jean Carroll Case, State Street CEO: Divestment Will Slow Clean Energy Transition, Brookfield Eyes Green Steel for Multibillion New Transition Fund, Germany Sets the New Standard for Cheap, National Mass Transit, Chinas Now Spurning Ugliest Buildings That Symbolized Its Meteoric Rise, Broke Chinese Gen Zs Turn Factory Town into Top Tourist Spot, Nigerias SEC Plans to Allow Asset-Backed Tokens But Not Crypto, Bitcoin Sags After its Longest Streak of Monthly Gains Since 2021, Bitcoin on Course for Longest Streak of Monthly Gains Since 2021. (Courtesy Still, even with sparse details, the news is a major announcement. In a surprise twist, Compass CEO Robert Reffkin revealed Tuesday that his company is exploring the possibility of franchising as it works toward profitability. Investors seem bullish on real estate technology, spendingalmost $6 billionon it in the first three quarters of 2017, compared to $3.2 billion during the same period in 2016, according to RE:Tech data. Robert Reffkin may soon be the youngest Black billionaire in the US after taking his real-estate startup Compass public on Thursday. Sign up for Individual Select membership today. CEO Robert Reffkin floated the idea of a franchise brand during an earnings call Tuesday, describing it as a 'more profitable' method of growing the business. Read more: Compass is gearing up for an ambitious $10 billion IPO. There seems to be a problem with your Inman Select Membership. As you mentioned, Boise, Idaho, Las Vegas [and] Phoenix, theyre getting hit the hardest.. Robert Reffkin is also Compass founder. Don't miss the premier event for real estate pros. After covering the national trends, Reffkin acknowledged the impact of the markets greatest challenges is different from market to market, with pandemic boomtowns experiencing major busts in buyer demand and temporarily-abandoned urban markets experiencing stratospheric for-sale and rental price growth as employers reverse course on remote working. Are you prioritizing your cable entertainment bill over protecting and investing in your family? User promo code onward25 during checkout to save 25% on your Inman Select Membership. This is New York: Robert Reffkin, Embracing the Entrepreneurial Inman has reached out to Compass for more details and will update this story with any information the company provides. Lael Brainard. 15 stories covering tech, special reports, video and opinion. Self-made millionaire and Compass CEO Robert Reffkin uses simple tests when making decisions about who to hire and who to let go during job interviews. WebAbout the Instructor As the CEO and founder of Compass, Robert Reffkin has used modern technology to revolutionize the real estate industry in the U.S. Now hes demystifying the ins and outs of the American home-buying process and sharing tools that will help you buy or sell a home with confidence. In a response to a question from a Wall Street analyst, he said that franchising is definitely a more profitable way to grow. Though he said the company is exploring the option, he provided few details on how it might work instead saying only that we would not do that in a way that would impair the experience for our existing agents in any way.. Rents are actually flat year over year.. In a LinkedIn post Thursday after his company went public on the New York Stock Exchange, Reffkin said, "I started Compass because of my mom, Ruth, a single mom who embodies the entrepreneurial spirit.". In 2005, he was a White House fellow under the George W. Bush administration, where he served as the special assistant to the Secretary of the Treasury,John Snow. The technology was mostly marketing tools, she said. Backed by babysitting and bar mitzvah money, the young founder started a DJ company called "Rude Boy Productions" that brought in a total of $100,000 by the time he graduated from high school, the article said. His father was an African American man from Louisiana, who already had two children, and shortly after Reffkin was born abandoned him and his mother. If so please contact customer support at (510) 658-9252, Password Reset Instructions have been sent to. You will receive additional instructions via email. Thank you for subscribing to Morning Headlines. Since its founding, Compass has managed to grow into the largest company of its kind even while maintaining a centralized ownership structure. Reffkin left his banking career to start up Compass with the tech entrepreneur Ori Allon. California-based luxury brokerage The Agency also runs a franchise business. During his latest CNBC appearance, Compass CEO Robert Reffkin outlined the catch-22 of higher mortgage rates and why early pandemic boomtowns are facing a devastating bust. Sign up for Individual Select membership today. Compass has persuaded investors that it can reshape the home-buying process through technology. Real estate is uniquely positioned to be a leader in diversity, Reffkin said in a recent Forbes guest post: Compasssaid the latest funding round will be used to expand to 10 new cities within two years and invest in new research and development. From growing up in Berkeley, CA with a single mom, to becoming a White House fellow and rising through the ranks at Goldman Sachs before launching Compass, here are some things to know about the up-and-coming executive. Reffkin In September, U.K.-based Purplebricks another investor-backed, low-fee brokerage launched a U.S. operation after raising $60 million from investors. One person said he's lacked experience in almost everything he's ever done but that's part of what makes him an "extraordinary person. Compass will have an international presence within 18 months, Reffkin said in June. CNBC Your subscription will automatically renew for on . We pored over its 261-page S-1 filing and came away with 5 key revelations. The Journey Was the Exciting Part | Columbia College Today Simply enter the email address you used to create your account and click "Reset Password". Breaking news as it happens. Get your ticket now for the best price. NYC-based firms raised close to $900 million during the same period, up from $300 million last year, The Real Deal reported: A few weeks after Redfins IPO, San Francisco-basedHomelight, which uses data to connect buyers with agents, raised $40 million in a Series B led by Menlo Ventures. WebLine up and cue Bride, Groom and Wedding party for Grand Entrance. Markets never sleep, and neither does Bloomberg. Were the number one brokerage firm in the country, and we can see that buyers have accepted these mortgage rates as a new normal. I think part of whats hitting the pandemic boom markets is CEOs across the country asking their employees to come back to work, he said. The second is a 501c3 non-profit called America Needs You, which according to its website, "fights for economic mobility for ambitious, first-generation college students.". 62 percent of Realtors nationwide are female. But it was a real estate startup that vaulted him to the ranks of the ultrarich. Compass has also faced increased competition lately from companies, such as Side which provide back-office support for agents who want to operate their own brands. Robert Reffkins mother was disowned by her parents when she had a mixed-race baby. Real estate is the first career for just. Affordability is a real issue on the sales side, and if you combine that with a lack of inventory, its driving people to the rental market, he said. A Compass foray into franchising would upend the status quo, potentially allowing the company to expand its brand more quickly and nimbly. Robert Reffkin - Wikipedia Live market coverage co-anchored from Hong Kong and New York. Just last month, Oakland, Calif.-basedRoofstock, a platform for buying and selling rental properties, raised a $35 million Series C round.. Now her son is the CEO of Compass, a New York real estate tech startup that just scored a $1.8 billion valuation. Wes Moore. It looks like youre already a Select Member! Compass Cofounder Robert Reffkin Is Worth $500 Million Last updated: Sep 27, 2022 5 min read Robert Reffkins story is about dreaming big, making an impact, and finding a place to call home. Learn more about Robert's entrepreneurial pursuits and insights into the Please update your billing information to reactivate your membership. Its 2020 by 2020 plan, shared at a companywide meeting in New York on Oct. 24, means expansion to Seattle, San Diego, Phoenix, Dallas, Austin, Houston, Atlanta, Charlotte, Philadelphia and Chicago. He has said he hopes one day to run for office. In total, Compass brought in $1.11 billion in revenue and suffered a net loss of $158 million during the fourth quarter of 2022. Some of the most talented and successful agents Ive met are those whove seen the industry through multiple housing downturns and can leverage that experience, Reffkin wrote. Now her son is the CEO of Compass, a New York real estate tech startup that just scored a $1.8 billion valuation. Reffkin then referenced a recent Redfin report about pandemic boomtowns and repeated the story of a Boise-based Redfin agent who noted a precipitous drop in homebuying demand after Silicon Valley Banks March failure. Top headlines from around the real estate industry. With all that capital raised, all signs are pointing to that direction, said Ashkan Zandieh, founder of property data startup Falkon and research company RE:Tech., Vera Nelson,a California real-estate agentof 17 years, left Coldwell Banker for Compass in 2015. Stay up to date with what you want to know. Reffkin made the comments during his companys earnings call. During his Thursday appearance on CNBCs Squawk on the Street, Compass CEO Robert Reffkin gave a cautiously optimistic assessment of the real estate market as the industry continues to wade through inflation, rising mortgage rates, and the return to a more normal sales pace. Nelson left less than a year later and returned to Coldwell. Back in 2020, for instance, Chicago-based brokerage @properties launched its own franchise brand. To subscribe to exclusive newsletters, visit your email preferences in the account settings. Track your investments 24 hours a day, around the clock from around the world. Nine years after its founding, real estate brokerage Compass went public on Thursday, minting a huge windfall for the companys investors and employees. Join us Aug. 8-10 at Inman Connect Las Vegas to lean into the shift and learn from the best. Compass CEO: Buyers will deal with higher rates. Compass is gearing up for an ambitious $10 billion IPO. How Robert Reffkin went from being a C-average student to the Agents see a 25 percent increase in earnings during their first year, Compass has said. There seems to be a problem with your Inman Select Membership. However, would-be homesellers havent been able to make that same mental shift. Robert Reffkin Please update your billing information to reactivate your membership. Open Houses: The More You Go He stands to receive another 14.9 million shares in coming years contingent on WebNov 09, 2017. What Drives the Success of Robert Reffkin, Who Took Compass Robert Reffkin grew up in Berkeley, CA, with his mom, who is now a Compass agent. By clicking Sign up, you agree to receive marketing emails from Insider It lures the industrys top talent with lavish signing bonuses and specializesin high-margin, luxury homes in upscale, coastal markets. Get your ticket now for the best price. He then rose through the ranks at Goldman Sachs, eventually becoming the chief of staff for Gary Cohn, the former president and chief operating officer of Goldman. Live from New York and Hong Kong, bringing you the essential stories from the close of the U.S. markets to the open of trading across Asia. He is running 50 marathons to raise $1 million for youth education nonprofits. As of Please contact the parent account holder or Inman customer service @ 1-800-775-4662 customerservice@inman.com. If you have a three percent mortgage rate, you consider that a financial asset and you dont want to lose it.. But he left the storied Wall Street firm in 2012 to start his company. Emigrating from Israel at age 7, his mother Ruth Reffkin, after having her son, was disowned by her family after learning that their grandson was of African American descent. 11 tools for neophytes, 23 video content ideas real estate agents can't afford to miss, New-home sales soar to 1-year high in March as purchases leap 9.6%. Compass dashboard shows neighborhood real estate data and a Pinterest-like app for organizing home listings. Simply enter the email address you used to create your account and click "Reset Password". Redfin another venture-backed tech brokerage isnow worth $2.05 billion following its successful public offering. His father,a San Francisco jazz musician with a drug problem, left the family when Reffkin was a toddler, according to a 2013Fast Companyreport. 15 stories covering tech, special reports, video and opinion. Those close to him have said he has talked about someday running for public office, such as mayor of New York City. Nobody wants to give up their home in which they locked in [lower rates] years ago., The fundamental issue is that 30 percent of homeowners are locked in mortgage rates at three percent or below, he added. Compass Inc. Chief Executive Officer Robert Reffkin started his career working in the inner sanctums of American power, from McKinsey & Co. to the White House to Goldman Sachs Group Inc. Theres a lot of pent-up demand.. If so please contact customer support at (510) 658-9252, Password Reset Instructions have been sent to. At best, agents who wanted more control could form teams, but they couldnt actually own their own businesses in the same way a franchisee at another company might. Reffkin said during Tuesdays earnings call that he expects to be free cash flow positive in the second quarter of 2023, and overall for the year, and that he is prepared to do more cost cutting if necessary. Robert Reffkin Gets Real At Annual Compass REtreat: 'Hope Is A tireless entrepreneur, she spent most of her career as a real estate agent. Reffkin took Compass public Thursday, making him one of just 8 Black billionaires in the US. Sign up for notifications from Insider! Compass CEO Robert Reffkin said Floridas residential market, especially along the west coast, has seen sustained buyer demand despite the For more details on our payment terms and how to cancel, click here. Bloomberg Daybreak Asia. Reffkin grew up in Berkeley, CA, as an only child with a single mom, who is now a real estate agent for Compass. Agents who speak different languages and can relate to diverse clientele will become increasingly important. I think people have realized is not about productivity, its about connectivity, and leaders have an obligation to develop their people and its harder to develop people virtually than in person.. You will be charged . Government of New York City He dubbed her the "most important person" in his life and an inspiration, in a LinkedIn post from Mother's Day 2019 that documented how she lived the American Dream. Allon was a Director of Engineering at Twitter, and previously founded companies acquired by Twitter and Google. Coalesce's Select Membership is no longer active. It would also make Compass look more like its older rivals; firms, such as RE/MAX and brands under parent company Anywhere have long operated franchises. Attend Inman Connect Las Vegas to gain takeaways to achieve success in 2023. Smart Policies are as low as $30 a month, No Medical Exam Required The Tulip Coastal Occasions Compass, Inc It looks like youre already a Select Member! ", His former boss, Cohn, said Reffkin just has an "aura of confidence.". We would not franchise within the same geographies of our own operations, he added. Robert Reffkins mother was disowned by her parents when she had a mixed-race baby. His mother was Israeli and his father was Unique features from hacker profiles to portal watch and video interviews. Although existing-home sales and median home prices experienced single-digit declines in March, Reffkin said affordability continues to be an issue as homebuyers attempt to solve the age-old debate between buying and renting. The Fellows - White House Fellows Foundation and Association Sellers? Breaking news as it happens. Amy Robert Reffkin (1979- ) Online real estate entrepreneur Robert Reffkin was born June 7, 1979, in Berkeley, California. Meanwhile, others may be pushed back into the rental market for the time being. Robert Reffkin. Even his running hobby is helping others. At Compass' annual REtreat in Atlanta, CEO Robert Reffkin used his keynote to give an honest and intimate review of his company's post-IPO performance Reffkins mother raised him alone: He got a scholarship to a prestigious San Francisco prep school, graduated from Columbia University in two years, was hired as the youngest McKinsey analyst in the firms history, and eventually became chief of staff to Goldman Sachs COO Gary Cohn.. Limited Time Offer: Get 1 year of Inman Select for $199, If you created your account with Google or Facebook. Top headlines from around the real estate industry. and keeping a great relationship with Robert Reffkin grew up the child of a hardworking single mother. Compass CEO says Florida continues to be a thriving residential Compass explores possibility of franchising, company says, CEO Robert Reffkin floated the idea of a franchise brand during an earnings call Tuesday, describing it as a 'more profitable' method of growing the business, What you need to know to start your day with all the latest industry developments. The markets that are being hit most in terms of price are the pandemic boom markets, he said. Robert Reffkin and his mother Ruth Reffkin at a marathon in New Mexico. Compass has persuaded investors that it can reshape the home-buying process through technology. Don't miss the premier event for real estate pros. It employs more than 2,000 agents, who take a percentage of the selling price and gives 15 percentto 30 percentto Compass. The Silicon Valley Bank impact its been there, but much less than expected. Subscribe to Inman Select for Breaking News and Exclusive Industry Content. Get the week's leading headlines delivered straight to your inbox. Your subscription will automatically renew for on . How Robert Reffkin went from being a C-average student to the The real vision is for Compass to be everywhere.. as well as other partner offers and accept our. He was inspired to enter the world of real estate by his mother, Ruth, a longtime agent who now proudly works at Compass. Immigrants are an important and growing client base. Real Estate Tech Startup Compass Scores A The new funding is a sign that Compass is headed for a public offering, The Real Deal reported. The couple have three kids together. The real estate industry values a diverse skillset in its practitioners. Click Here to Get Smart on Protecting Your Family and Loves Ones, No Matter What Happens. Robert Reffkin wants Compass to be the Amazon of real estate The Compass CEO shared insight into his company's approach to technology and why This includes building new technology including real estate signage fueled by solar power, a targeted digital marketing tool and a customer relationship management (CRM) platform. Hes the CEO of Compass, the multibillion-dollar real estate firm he cofounded, and a celebrated entrepreneur. Winter Catalog 2023 by Graham-Faupel-Mendenhall Since his mother never married his biological father, his mother gave Reffki He's always had big ambitions for his career, sources told Insider previously. During his latest CNBC appearance, Compass CEO Robert Reffkin outlined the catch-22 of higher mortgage rates and why early pandemic boomtowns are facing a devastating bust. Not everyone is convinced, but the firm said Wednesday that it isnow valued at $1.8 billion after its latest cash infusion a $100 million Series E round that will be spent on a geographic expansion. Compass recruited her with promises of transformative technology and generous commissions, Bloomberg reported. After graduating in two years from Columbia, he began his career on Wall Street. Leading commentary by award-winning journalists. He then became the youngest business analyst ever hired at McKinsey & Company where he spent two years before returning to his alma mater to get his MBA and then going back to Wall Street as an associate at Lazard. The company says the technology will makereal-estate agents more productive and more profitable. User promo code onward25 during checkout to save 25% on your Inman Select Membership. Reffkins stake valued at $472 million after share sale, Critics say real estate brokerage needs to justify valuation, Rivians Troubles Dont End at a 93% Wipeout, Buffett Will Beat theMarket asRecession Looms, Investors Say, First Republics Jumbo Mortgages Brought On Banks Failure, Asia Stocks Set for Mixed Start as Treasuries Drop: Markets Wrap. Join us Aug. 8-10 at Inman Connect Las Vegas to lean into the shift and learn from the best. Not so much, During his latest CNBC appearance, Compass CEO Robert Reffkin outlined the catch-22 of higher mortgage rates and why early pandemic boomtowns are facing a devastating bust, What you need to know to start your day with all the latest industry developments. All Rights Reserved. The 5-year-old company reported $62.6 million in 2017 revenue. By submitting your email address, you agree to receive marketing emails from Inman. Get the week's leading headlines delivered straight to your inbox. Today, Reffkin lives in New York City with his wife, Benis Reffkin, who is a business and life coach.
