Name: This Company Calls Itself the ‘Amazon of Real Estate’
Uploaded: 2017-07-28
Duration: 3 min 48 s
Description: Redfin stock is now trading on Nasdaq.

Glen, this is a special day for Redfin. Why is going public so important? Well if you wanna build a great, enduring company, you gotta go into the public markets. It gives you currency to buy other companies. It gives the employees liquidity. It's the best place to raise capital right now, so we knew we wanted to be a big, independent thing. And this is just where those companies live. Well you sure raised capital today. You raised almost $ 180 million. What do you do with that money for Redfin? Now we're trying to make money, so I don't think we're gonna spend it all in one place. Lots of investors on the road, We're asking us to invest more in growth, but the company's already doing just fine. So I think we're gonna save that for a rainy day, incase there's a strategic acquisition we wanna make, incase there's something we wanna do, that really requires a big check. So Redfin's revenue have been growing, but not so much with profits. When is the company going to be profitable? I think it's a year or two out, but we've been steadily increasing our revenues and minimizing our cost, so we're on a good track. Glenn, a few days before this IPO, the co- founder and former CEO of Redfin Yes, yes said he might file a lawsuit over a patent application. Why is this happening now? Well, I think when you go public, lots of people realize that the company has plenty of money, so in these events, you're gonna have lawsuits. It's not that unusual. David's a good person. He's just trying to figure out what's fair. So what are you gonna tell investors about this issue and the possibility of a lawsuit? Well, we've already told them. We filed an amendment to the S- 1 Just disclosing that everybody who bought the stock last night already knew about it. We wanted to be completely above board, and we have been. So Red Fin describes itself as a technology powered real estate corporation. How are you using technology to change the way that people are buying and selling homes. We should start with the website, we invented map based search. That means people come to our website, they see listings first. They get the most accurate estimate on the value of their home. But then when they start working with one of our agents, that's where the real magic happens. You can schedule a tour at the click of a button, getting it instantly confirmed, just like ordering a Lyft or an Uber and get into a house. We can generate the offer using our technology. We can compare pricing guidance using our technology. Everything that we do to automate the process just makes it so much less expensive, we can deliver better service and save people thousands of dollars in fees, that's why the world is beating a path to our door. You probably hear this all, Over time, that most people know the name Zillow. But they're not as familiar with Redfin. Yeah. What are you gonna do to change that? People knew about IBM before they knew about Apple. Sometimes it takes a little longer for better to win. So we've been patient about this. We don't need to take the world by storm. We just need to make our customers happy. And when we do that The word spreads. It's so coincidental that both Zillow and Redfin are from Seattle. You're just within a few blocks of each other, you're both in this real estate, online business. What would you say is the key difference though? The key difference is that we're a real estate broker. So Zillow is a great website for real estate search. But then they connect you with a traditional agent at a traditional fee. And instead we're like the Amazon of real estate. Instead of being the Google of real estate, we're the Amazon which means that not only do we have a site to search for listings, but we deliver the whole freaking service. Two, three years from now What would Redfin look like? Well in two years we're not only gonna be doing the real estate transaction, we're also gonna be loaning the money. We're gonna vertically integrate the whole thing so that we can have a digital closing. It's gonna be amazing. [ BLANK_AUDIO ]