REX Real Estate Exchange, the first full-service real estate agency that does not use the MLS, today announced that it has secured $15 million in Series B funding. To date, the company has raised over $30 million, mostly from a string of existing private marquee investors including Scott McNealy, co-founder and former chief executive officer, Sun Microsystems; Dick Schulze, founder, Best Buy; Gordon Segal, founder, Crate and Barrel; Amit Singhal, former senior vice president of search, Google; Jack Greenberg, former chief executive officer, McDonalds; and advisory board members.
REX has created an innovative technology platform that replaces the conventional real estate model, effectively providing a digital alternative in the sale of a home. The company is a fully licensed brokerage and charges only a 2 percent flat fee—in contrast to the industry’s five to six percent fee—dramatically lowering the cost of home-selling by leveraging big data, AI, and machine learning. REX seeks to provide a better experience for buyers and sellers—all while avoiding costs associated with the MLS.
“Our all-star investors and world class management team are deeply committed to improving the real estate industry,” said Jack Ryan, co-founder and chief executive officer, REX Real Estate. “We are proud to have built a service that puts massive amounts of money back into the pockets of the consumer.”
Since inception in 2015, REX has beaten every goal communicated to investors, including listing its 500th home last month. In 2017, REX experienced 300 percent year over year growth rates in the company’s service areas of Southern California and New York, is on the path to list $1 billion in homes, and has rapid nationwide expansion plans for 2018.
“Jack and his team at REX are redefining how consumers are buying and selling homes,” said Jack Greenberg, investor and former chief executive officer, McDonalds. “We’re excited to back the company as they continue to transform the real estate industry.”
REX plans to use the financing to fund market roll-out data, accelerate platform automation, and continue nationwide expansion.