By his own admittance, Compass CEO Robert Reffkin is no stranger to predicting big things for his eight-year-old company.
“You know that I always think the next year is going to be our best year yet,” Reffkin wrote in an email obtained by Inman sent to the company’s employees and agents.
“Of course, each new year at Compass actually has been our best year yet,” Reffkin added. “But I’ve got an especially good feeling about this year.”
Reffkin, like most CEOs, is bullish on his own company heading into the new year, on the heels of a year that saw the resilient housing market stay strong despite the ongoing global pandemic. But the reasons Reffkin is so bullish aren’t specific to Compass, and signal a strong year for real estate overall.
Citing data from The Federal Reserve and Morgan Stanley, Reffkin writes that economic growth could be in the 4 percent to 5 percent range. He’s also predicting a double-digit increase in home sales and an 8 percent gain in average price nationally, citing data from both the Mortgage Bankers Association, Bank of America and the National Association of Realtors.
Mortgage rates, will also remain historically low, Reffkin said, citing data from NAR.
“If these analysts are even half right, it’s shaping up to be a great year for you, your business, and your clients,” Reffkin said.
Specific to Compass, Reffkin added that 2021 is likely to be a “transformational and historic year” for Compass. According to reports, the company is likely to go public in 2021.
Despite all the constant noise surrounding Compass’ growth and public ambitions, Reffkin re-affirmed that Compass’ commitment is to provide agents with “everything they need to succeed and realize their entrepreneurial potential.”
The company’s belief, according to Reffkin, is that focusing on the needs of its agents, is actually the best way for the company to meet the needs of its clients.
“Our ambition is to solve as many problems for you as you solve for your clients,” Reffkin said. “We believe that if we invest in building everything you need — technology, services, support, culture, community — your entrepreneurialism will power the future of real estate. And we’ll all be better off because of it.”
Compass will face a number of challenges as it looks towards its best year ever, according to a number of analysts that spoke with Inman in December. The company will need to navigate a successful public offering all while retaining the agents it recruiting and delivering on its big technology promises.