The industry-shaking deal by Compass to acquire Anywhere officially closed today, creating a $10 billion brokerage behemoth that is likely to shift the power balance in real estate both short- and long-term, and shifts ongoing debates around listing transparency significantly more weighty.
In a regulatory filing today, Compass said that the merger—first announced back in September—was officially closed, in what company executives called a “new chapter” for the around 330,000 agents affiliated with the combined brokerages and brands.
“Our collective vision is to become the best in the world at empowering real estate professionals with everything they need to realize their entrepreneurial potential,” said Compass CEO Robert Reffkin in a statement. Reffkin will continue to lead the combined companies, with Compass previously saying that Anywhere brands would be preserved.
The deal had been challenged by federal lawmakers and stockholders, but that seemingly was not enough to delay or derail the merger, which is somewhat unprecedented in recent history. After the deal closed, Bloomberg News, citing unnamed sources, reported that Department of Justice (DOJ) staff in the antitrust division had recommended an “in-depth investigation” into the merger, but that a lawyer representing Compass “successfully” lobbied senior DOJ officials who overruled these concerns.
That included bypassing Assistant Attorney General Gail Slater, who oversees the DOJ Antitrust Division, according to Bloomberg. Compass declined to comment on the report.
What is next for Compass seems likely to have a major impact on anyone practicing real estate. The company is embroiled in at least two lawsuits over its “3-Phase Marketing Strategy,” which includes private listing elements, with Reffkin lobbying to transform how MLSs and real estate more broadly treats listings held back from the MLS (or consumer-facing websites).
Taking the stand in federal court this past November during Compass’s lawsuit against Zillow (which has sought to ban Compass listings that are marketed in a limited fashion), Reffkin said he believes that MLSs are a monopoly and sharply criticized the National Association of Realtors® (NAR) for policies like Clear Cooperation.
Reffkin has also seemed willing to push forward with this private listing strategy, with critics claiming that Compass’s end-goal is to control enough market share to force consumers to work with its agents. Compass has denied this, noting that the vast majority of its private listings end up on the MLS and that sellers are the ones making the decision to use private networks.
It remains unclear how Compass will implement these strategies within the Anywhere brands and brokerages. @properties, which Compass acquired in late 2024, has utilized similar marketing plans with private networks.
In emailed comments to RISMedia, Dan Duffy, chief executive officer of United Real Estate, commented, “The U.S. residential real estate market, specifically the technology and brokerage services segments, are extremely fragmented and competitive and will remain so post the Compass/Anywhere merger. The pressure to excel and innovate that is being exerted by Compass, real estate technology companies, portals and market conditions continues to raise the bar for all market participants. The merger is a win for the buying and selling public and will accelerate the professionalism of our industry. Those that can will become better. Those that can’t will exit the industry.”
Duffy added, “The public will enjoy better, more elegantly and efficiently delivered services from the massive number of options they have when buying or selling homes in the U.S. We welcome strong competitors. They make us better. Bring it!”
On LinkedIn, NextHome CEO James Dwiggins wrote that he believed Compass has “started a game of chess.”
“You will see other major companies merge and acquire one another to build what I believe will be 3 or 4 major companies that control 60-70% of residential real estate in the U.S,” he claimed.
Dwiggins also said he believes that NAR will “bend to the will of Compass influence” and Clear Cooperation “will go away.” NAR last year reaffirmed the policy, making a small but significant exception for private listings after Compass lobbied for the policy to be removed or remade.
David Eskander, a broker with Corcoran based in New York City, wrote on LinkedIn that he was looking forward to the “next chapter” with Compass.
“I believe that this will only expand and enhance our service offering while unlocking critical data and insight to best serve our clients. Onwards and upwards!” he said.
Editor’s note: this story was updated at 1:59 p.m. eastern time with new information first reported by Bloomberg News.
