Redfin in the Red as losses added up last year
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What went wrong at Redfin?
Redfin launched with the goal of redefining the real estate industry, but its signature innovation may have contributed to its recent sale
The Redfin CEO’s playful demeanor and quotable banter was notably absent on the company’s fourth-quarter 2024 earnings call at the end of February. There could have been many innocuous reasons for sounding a bit deflated — not enough sleep or a bad day at work.
But in light of Redfin’s blockbuster sale to Rocket Mortgage that was announced less than two weeks later, hindsight dictates that Kelman may have known that the end of independence was coming for the company he’s run for almost 20 years.
Redfin in the Red as losses added up last year
There’d no doubt that 2024 was a tough year for Redfin. Despite recording a 7% annual increase in revenue to $1.043 billion, the company’s net loss of $164.8 million was $34 million higher than the one it recorded in 2023.
Additionally, the firm underwent a significant round of layoffs in August 2024, with further layoffs continuing into early 2025. But despite these challenges, CEO Glenn Kelman remains optimistic about the coming year.
Updated: Boston Real Estate Blog 2025
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Redfin in the Red as losses added up last year
Redfin’s second quarter wasn’t quite as terrible as the national brokerage and listings site had projected. The Seattle-based residential firm logged a net loss of $6.6 million in the second quarter of 2020 instead of the $21 to $26 million in losses it anticipated.
Redfin also reported $214 million in revenue, an 8 percent year-over-year increase. Back in May, the company projected that it would pull in between $179 million and $189 million. Redfin’s losses for the quarter hovered at $6.6 million, compared to the $12.6 million seen in the second quarter of 2019.
