RE/MAX #1 in Market Share
March 2010 | posted by:

By Deborah Ball Kearns, RE/MAX Times Online Associate Editor

RE/MAX has gained No. 1 market share in Minneapolis/St. Paul, Minn., beating out longtime competitors Edina Realty and Coldwell Banker Burnet.

After 15 years of continuous market growth, RE/MAX clinched the top spot despite being outnumbered in agent count by Edina and Coldwell Banker, which both saw drastic declines in their sales volumes and had several office closings in the past year. According to RE/MAX North Central, about 1,200 agents in 45 offices closed transactions in 2009 in the 13-county Twin Cities region. That's compared to Edina's more than 2,000 agents and Coldwell Banker's 1,700-plus agents.

RE/MAX Associates in the Twin Cities also had the highest number of closed transaction sides per agent with 14.83 sides. Edina's agents had just 10.04 with Coldwell Banker Burnet trailing even further behind with 8.73.

"Not only have we achieved No. 1 market share, but our Sales Associates also have the highest productivity of any major Twin Cities real estate organization," says David Linger, RE/MAX North Central Regional Director and Executive Vice President. "We're proud of this accomplishment; the RE/MAX brand is stronger than ever and has the best Broker/Owners and Sales Associates in the business."

A good portion of the network's success in the Twin Cities can be credited to how RE/MAX has responded to distressed properties.

"RE/MAX agents and Broker/Owners have adapted to the market changes faster and more effectively than our competition," says Greg Cecchettini, Director of Franchise Development for RE/MAX North Central. "The fact that RE/MAX agents make up over 60 percent of all the Certified Distressed Properties Experts in the U.S. is a testament to that."

Several area Broker/Owners and Sales Associates agree. Pat Von Mosch, Co-Broker/Owner of RE/MAX Associates Plus, says her agents didn't waste any time diving into the changing market and tackling Short Sales and REOs head-on. The result: More closed transactions and higher consumer confidence in the RE/MAX brand, she says.

"Other companies in our area - such as Keller Williams - focus on recruiting a lot of agents," Von Mosch says. "But at RE/MAX, we focus on agent quality over quantity. Our Associates sell more because they're more experienced and established, and they understood that they needed to adapt to our market to stay in business."

The rise to the top provides even more ammunition for Sales Associates when they go on listing presentations and meet with buyers, says Team Leader Ryan O'Neill, who helms the state's top RE/MAX team. A big part of the reason RE/MAX has been so prolific in the region is due to how well everyone - from the regional staff down to licensed assistants - has adapted and responded to the changed market, O'Neill says.

"The biggest lesson the market taught all of us was to diversify and learn different aspects of the business by getting education, such as the Certified Distressed Property Expert, and being more creative with our marketing to speak to homeowners in distress," says the Hall of Fame and Chairman's Club member with RE/MAX Advantage Plus in Lakeville.

"Being No. 1 in market share validates RE/MAX with even more consumers.

We're including this in our weekly radio show, listing presentations, buyer packages and just about anywhere we can reach consumers. We want clients to know that RE/MAX has a brand and agents they can trust, and the firepower to help them buy or sell."

With the network's education focus, support for teams, RE/MAX should widen its market share in the Twin Cities, says Jason Stockwell, who leads a top-producing team with RE/MAX Results in Edina.

"The work ethic and perseverance of RE/MAX agents set us apart," Stockwell says. "You can't stick your head in the sand and hope things blow over. A RE/MAX agent goes to work and doesn't buy into the doom and gloom. There's business out there, so there's no time to complain."