Real estate M&A shifts to local as national firms slow acquisitions

"At RTC Consulting, we expect to see one to two additional large-scale acquisitions this year involving national real estate organizations. Incumbents of all models remain under pressure to grow while simultaneously rebuilding operating margins. While organic growth continues to be a core component of brokerage strategy, acquisitions often provide a fasterand in many cases more cost-effectivepath to scale. Compass is likely to adopt a more measured approach to acquisitions in the near term, given the significant integration work already underway."

"Berkshire Hathaway may also re-enter the acquisition market if housing transaction volumes continue to improve meaningfully. Any such activity is expected to be disciplined and conservative, a posture shared by other national organizations such as United Real Estate and Peerage Realty Partners. At the local level, however, transaction activity among brokerage firms and teams has picked up noticeably compared to prior years."

"In-market combinations are particularly attractive, as they often involve principals who already know one another and have a clear understanding of cultural compatibility, leadership styles and operational fitfactors that materially reduce integration risk. Keller Williams, supported by Stone Point's capital investment, is expected to become more aggressive in facilitating growth through mergers and acquisitions, particularly at the Market Center level. This added financial backing positions the organization to be a more active participant in consolidation efforts."

One to two additional large-scale acquisitions are likely in 2026 among national real estate organizations. Incumbents across business models face pressure to grow while rebuilding operating margins. Organic growth remains a core brokerage strategy, but acquisitions often offer faster and more cost-effective scaling. Compass will likely take a measured acquisition approach due to ongoing integration work, remaining selective on opportunities and valuations. Berkshire Hathaway could re-enter acquisitions if housing transaction volumes improve, with activity expected to be disciplined. Local transactions and in-market combinations have increased, reducing integration risk. Stone Point's capital enables Keller Williams to pursue Market Center level consolidation more aggressively.

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