eXp World (EXPI) Stephens 26th Annual Investment Conference | NASH2024 summary

Market outlook and industry trends

• 2024 U.S. housing transactions are expected to hit a low of 3.8–3.9 million, the lowest since 1995, with a predicted 10% rebound in resale and strong new construction in 2025.

• Inventory has increased up to 34% year-over-year, improving affordability and transaction counts for 2025, though still below historic averages.

• Mortgage rates are expected to remain in the mid-6% to mid-7% range, with potential for modest declines if macro conditions stabilize.

• Home prices are projected to be flat nationally, with local variations; increased inventory may soften prices.

• Political changes could ease legislative and DOJ pressures on the housing industry, potentially reducing complexity.

Industry practice and regulatory changes

• Settlement-driven changes have ended cooperative compensation via MLS, shifting negotiation responsibility to sellers and brokers.

• Custom forms and training were implemented nationwide to help agents adapt, with open-sourced contracts now widely adopted.

• Disruption from these changes was brief and localized; most agents are now well-prepared and industry practices are normalizing.

• The Clear Cooperation Policy, requiring listings to be in MLS within 24 hours of public advertising, is defended for consumer benefit; its removal could create legal and fair housing risks.

Business model, growth, and differentiation

• International expansion is a key focus, with three new countries announced and more planned for 2025; international growth is outpacing domestic.

• The company is shifting from agent count to productive agent count, emphasizing operational excellence and high-performing teams.

• Attrition is concentrated among low-producing agents, while top teams are growing and productivity per agent is rising.

• Competitive differentiation is rooted in leadership's real estate experience, agent-centric culture, and continuous innovation.