In the latest episode of the RealTrending podcast, host Tracey Velt engages in a conversation with Michael Valdes, the newly appointed CEO of LPT Realty, focusing on the company's strategic expansion, innovative Agent Choice model, and the significant role of artificial intelligence (AI) in transforming real estate workflows.
Valdes, who joined LPT in July 2023 after a successful tenure as chief growth officer at eXp Realty, shared insights into his previous experience, elaborating on his contributions to the growth of eXp from approximately 20,000 agents to a remarkable 90,000 within a span of less than three years. This expansion covered three to 24 countries and was driven by a clear vision for agent support and development. "It was meeting LPT International CEO Robert Palmer, understanding what the LPT platform was, and really knowing that I could give more to agents with this platform," Valdes stated during the discussion.
One of the focal points of the conversation was LPT's unique Agent Choice model, which offers agents flexibility in how they structure their commissions. Valdes explained the two models available: the first allows agents to receive 100% commission with a nominal $500 transaction fee for up to 10 transactions, after which they are fully capped. The alternative is an 80/20 model that has a $15,000 cap, enabling agents to attract and build an organisation. "We don’t charge an agent anything until they close their first sale," he added, highlighting a pivotal aspect of LPT's agent-first approach.
Turning to growth strategies, Valdes detailed how LPT prioritises consistent expansion alongside daily operational tasks. He emphasised the importance of a shared understanding of the overarching vision within the company. "We are in the game to build the largest real estate company in our industry. We also want to be the greatest training facility of our industry," he noted, pointing out the intrinsic values that contribute to the company's mission.
As the conversation progressed, the topic shifted towards emerging trends within the real estate sector. Valdes observed ongoing consolidation within the industry and suggested that this trend is likely to persist, with independent agents seeking affiliations with established brands. "Everyone is trying to figure out our industry," he remarked, suggesting a complex landscape for agents navigating these changes.
Valdes also outlined the future expectations for real estate agents, underscoring the necessity for them to clearly articulate their value. He stressed that agents must embrace their roles as entrepreneurs, indicating, "You are the CEO of your own company, and unless you know what your mission statement is, you’re not going to survive." Additionally, he acknowledged the significant influence of technology. "Technology is here to stay. It’s efficient in what we are doing and tasks that we do," he affirmed, marking a shift in the operational dynamics of the real estate industry.
The discussion on technology further emphasised the evolving nature of the real estate profession, driven increasingly by innovations such as artificial intelligence, which is reshaping workflows and operational efficiencies. As the industry continues to adapt to these changes, companies like LPT Realty are positioning themselves to harness these advancements while supporting their agents in a competitive marketplace.
Source: Noah Wire Services