Rocket's deal to buy Redfin would consolidate home listings and mortgage lending in one shop

Updated Mon, Mar 10, 2025, 8:58 AM 2 min read

Real estate, mortgage, and idiosyncratic concern steadfast Rocket Companies said it would bargain online brokerage Redfin successful a $1.75 cardinal deal, the latest consolidation successful the residential existent property concern amid 1 of the slowest periods for location income successful 3 decades.

The woody would harvester Rocket, a large owe provider, with Redfin’s online location listings concern and brokerage of much than 2,200 agents. House hunters searching Redfin’s database oregon moving with a Redfin cause could yet beryllium referred to Rocket for a owe oregon rubric services.

"Rocket and Redfin person a unified imaginativeness of a amended mode to bargain and merchantability homes," Varun Krishna, main enforcement serviceman of Rocket, said successful a statement. "Together, we volition amended the acquisition by connecting traditionally disparate steps of the hunt and financing process with starring exertion that removes friction, reduces costs and increases worth to American homebuyers."

Detroit-based Rocket’s all-stock connection values Redfin shares astatine $12.50, much than treble their Friday closing terms of $5.82. Redfin shareholders tin swap each of their shares for 0.7926 shares of Rocket stock. The woody is expected to adjacent successful the 2nd oregon 3rd 4th of 2025.

Redfin (RDFN) banal surged 76% to $10.30 connected Monday aft the woody was announced. Rocket (RKT) shares fell much than 14% to $13.50.

Rocket grew its gross successful 2024 by 34% to $5.1 billion, but it inactive trails the company's roar years. In 2020, Rocket had gross of implicit $15.7 billion.

Read more: Rocket Mortgage reappraisal 2025

Redfin, based successful Seattle, was founded successful 2004 successful the aboriginal days of online existent property listings and went nationalist successful 2017. Its shares surged during the pandemic homebuying spree of 2020 and 2021, but it has struggled since owe rates spiked successful 2022 and location income fell to immoderate of the lowest levels successful decades. Prior to the woody with Rocket, its banal had mislaid much than 90% of its worth from its 2021 peak.

Mortgage lenders, brokers, and different housing-focused companies person been combining or, successful immoderate cases, shutting down wholly successful caller years amid a prolonged slump successful location income stemming from precocious rates and near-record prices. Brokerage Compass agreed to bargain Christie’s International Real Estate successful a $444 cardinal woody past year.

Publicly traded Guild Mortgage acquired six lenders betwixt 2021 and 2024, portion Columbus, Ohio-based Go Mortgage completed a operation with Portland, Ore.’s ​​Pacific Residential Mortgage successful January.

EasyKnock, a institution that offered to bargain homes and lease them backmost to their erstwhile owners, unopen down successful December.