Reali, a real estate platform that replaces traditional real estate transaction fees with a flat fee model, today announced that it has raised a $20 million Series B funding round led by Zeev Ventures, with participation from Signia Venture Partners and other investors. This round brings Reali’s total funding to $30 million.
The basic idea behind Reali is to do away with the current agent-centric commission model and replace it was a technology platform and agents that are paid a flat fee per transaction. To do this more efficiently in the future, Reali is looking to machine learning and artificial intelligence.
“We are fusing AI with human intelligence and optimized workflows around buyer and seller journeys — all towards a superior customer experience for real estate transactions that also result in significant savings for buyers and sellers,” Reali CEO and founder Amit Haller told me.
It’s no suprise then that much of the new funding will go toward expanding the company’s expertise in this area. In addition, the service is also looking at expanding its service geographically. Currently, it’s only available in the Bay Area and Sacramento. Reali now wants to add Southern California to this list. “We are in the process of recruiting and training a team of Reali Experts and on-the-ground Brand Ambassadors, and we expect to begin servicing buyers and sellers later this summer,” said Haller. “We will be covering all of California this year, followed by out-of-state markets.”
So far, Reali says, the platform has processed “hundreds of millions of dollars in homes bought and sold.” The company boasts that its agents are far more efficient than other brokers on a per-transaction basis and that they have a Net Promotor Score of 85.2. The company’s app has only been downloaded 30,000 times since January 2017, though that number doesn’t mean much given that the service is only available in a very limited area.