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edfin, a Seattle-based real estate brokerage, recently laid off employees, affecting less than 100 roles. The company stated that they need less support and managerial staff as more agents transition to Redfin Next, their new compensation model for agents. This model eliminates salaries and has been expanding to more cities.

    Redfin's Concierge service, which helps homeowners improve their homes before putting them on the market, was also affected by the layoffs. Support and sales managers within the real estate brokerage were impacted. However, some affected employees were offered jobs as agents.

    According to a spokesperson, as Redfin hires more Redfin Next agents and their current agents become more entrepreneurial and self-sufficient, they need less support and managerial staff. Additionally, Redfin is decentralizing operations for their Concierge service.

    In response to a housing market slowdown in 2022, Redfin laid off staff and discontinued their iBuying program. They also laid off 4% of their workforce, which is approximately 201 employees, in April 2023.

    Despite these changes, Redfin's second quarter revenue was $295.2 million, up 7% year-over-year, while net losses were $27.9 million, slightly higher than the year-ago period. The real estate industry is experiencing changes, including a substantial shift in the agent commission structure from the National Association of Realtors settlement.

    Redfin's shares rose this week after a report showed that sales of existing homes increased by 0.6% month-over-month in July. Despite mortgage rates dropping to a 15-month low recently, home sales have not increased significantly due to record-high home prices and a continued housing shortage in the market.