Fathom Holdings is deepening its Western presence and doubling down on first-time homebuyers with its acquisition of Colorado-based START Real Estate.
The deal adds 70 agents and a first-time buyer program that recently entered Utah, bolstering Fathom's network following its purchases of Arizona's My Home Group and Texas-based
"START Real Estate's growth and high mortgage attach rate are a perfect fit with our strategy to increase agent productivity and margins," said CEO Marco Fregenal.
Fathom, headquartered in North Carolina, chose START specifically for its first-time homebuyer program. START, which recently expanded to Utah, has a proven model for guiding first-time buyers through the homeownership process, the release said.
Fathom expects the first-time buyer program to expand to new markets across the country, aided by its proprietary intelliAgent platform, integrated mortgage and title businesses.
Fathom's roughly 15,000 agents operate in 43 states and Washington D.C. START's 70 agents are expected to close about 400 transactions this year with a mortgage attach rate of more than 70%.
A significant number of START agents are also expected to join Fathom's Elevate coaching program, a concierge-level service. Launched in April, the program is designed to help real estate agents scale through marketing, lead generation, transaction support and recruiting assistance, the company said in an earlier release.
"With many of START Real Estate's agents expected to join Elevate, this acquisition not only enhances our ability to serve a critical segment of the market, but also strengthens our platform with new recurring, high-margin opportunities that support long-term profitable growth," Fregenal said.
