Agents working under the banner of The Real Brokerage can now extend mortgage services to their clients as a result of the company’s acquisition of LemonBrew Lending.

Join industry visionaries Pete Flint, Spencer Rascoff, Ryan Serhant and more at Inman Connect New York, Jan. 24-26. Punch your ticket to the future by joining the smartest people in real estate at this must-attend event. Register here.

Agents working under the banner of The Real Brokerage (Real) can now extend mortgage services to their clients as a result of the company’s acquisition of LemonBrew Lending (LemonBrew), a single division of the multi-tiered, technology-forward home lending and related services company LemonBrew Technologies.

The acquisition intends to broaden the services agents provide their respective markets, Real said in Monday’s announcement.

“LemonBrew will play a meaningful role in achieving our vision to reimagine what homebuying can be,” said Chairman and CEO of Real Tamir Poleg in the press statement. “With LemonBrew’s current mortgage capabilities and future lending potential, we can now layer in another key building block to our consumer-facing strategy and take a significant stride towards developing a frictionless homebuying experience.”

Real will acquire 100 percent of the issued and outstanding equity interests of LemonBrew Lending for $1,250,000 —  $800,000 of which is cash. The remaining $450,000 will be in stock, priced by the five-day volume weighted average trading price of Real’s common shares on the NASDAQ immediately before the closing of the acquisition.

LemonBrew does business in 20 states including California, Texas and Florida. Twenty-five employees including CEO Samir Dedhia will join Real.

“The company currently operates as a mortgage brokerage,” according to the release. “Additionally, LemonBrew is licensed as a lender in certain states, positioning Real with the option to expand its mortgage platform as long-term strategic needs for the business evolve.”

Capturing revenue beyond the real estate commission is a long-proven tactic for large and growing real estate brokerages, many of which have embedded lending, title and insurance divisions.

LemonBrew’s modern marketing motif runs contrary to blue blood, bank lending appeals and thus overlaps with Real’s approach to working with agents and its customers.

In 2020, LemonBrew presented a lead-gen and qualification solution for agents, using a matchmaking tactic to pair aspiring buyers and sellers with agents, as well as scoring leads.

The company drastically shifted a few months later when SD Capital Funding, then a major Quicken loans partner, merged to launch LemonBrew Lending. Title and insurance services soon followed, and the company’s website communicates nothing related to its previous agent-facing services.

LemonBrew delved deeper into digital home closing when it linked up with closing software and title company Qualia, also in 2020.

“Real’s technological vision for the future of integrated homebuying is what drew us to the platform,” said Dedhia. “This industry is ripe for disruption, and together we can make a huge impact.”

Real furthered its commitment to equipping its agents for the modern market when it announced the continuation of its enterprise relationship with CRM and marketing software provider Chime.

All points of the deal have been approved by Real’s board, subject to customary closing conditions including regulatory approvals. The transaction is expected to close in the fourth quarter of 2022, according the release.

Email Craig Rowe

Show Comments Hide Comments

Comments

Sign up for Inman’s Morning Headlines
What you need to know to start your day with all the latest industry developments
By submitting your email address, you agree to receive marketing emails from Inman.
Success!
Thank you for subscribing to Morning Headlines.
Back to top
Only 3 days left to register for Inman Connect Las Vegas before prices go up! Don't miss the premier event for real estate pros.Register Now ×
Limited Time Offer: Get 1 year of Inman Select for $199SUBSCRIBE×
Log in
If you created your account with Google or Facebook
Don't have an account?
Forgot your password?
No Problem

Simply enter the email address you used to create your account and click "Reset Password". You will receive additional instructions via email.

Forgot your username? If so please contact customer support at (510) 658-9252

Password Reset Confirmation

Password Reset Instructions have been sent to

Subscribe to The Weekender
Get the week's leading headlines delivered straight to your inbox.
Top headlines from around the real estate industry. Breaking news as it happens.
15 stories covering tech, special reports, video and opinion.
Unique features from hacker profiles to portal watch and video interviews.
Unique features from hacker profiles to portal watch and video interviews.
It looks like you’re already a Select Member!
To subscribe to exclusive newsletters, visit your email preferences in the account settings.
Up-to-the-minute news and interviews in your inbox, ticket discounts for Inman events and more
1-Step CheckoutPay with a credit card
By continuing, you agree to Inman’s Terms of Use and Privacy Policy.

You will be charged . Your subscription will automatically renew for on . For more details on our payment terms and how to cancel, click here.

Interested in a group subscription?
Finish setting up your subscription
×