ASX-listed ‘commission-free’ online real estate company, buyMyplace, has achieved a record quarter in revenue, gross profits and listings, with revenue growth up 44% on the previous quarter.
buyMyplace, which enables home buyers to list and sell their properties online without having to pay commission to real estate agents, has reported an increase of 22% in new listings on its platform over the final quarter of FY 2016, and gross profit growth of 31%.
Compared to Q4 FY2015, the online company has seen revenue growth of 67% and gross profit growth of 56%. Average revenue per listing is up 25% on last year and 18% on the previous quarter.
buyMyplace CEO Paul Heath said vendors have saved almost $50 million in real estate commissions as the platform continues to gain awareness amongst consumers.
“These record-breaking results show there can be no doubt that commission-free sales through buyMyplace works,” Heath said.
“We are experiencing a significant surge in interest post our successful capital raising and ASX listing earlier in the year, with leads and enquiries almost tripling on last quarter.
“These results are backed up by 37% growth in unique visitor traffic to our web site, indicating a keen interest from vendors, who have saved around $47 million in real estate commissions and fees to date by selling their property through buyMyplace.”
Unlike the traditional real estate sector, Heath said he expects buyMyplace to continue this growth trajectory – a sign that the industry has been waiting for disruption.
“Many real estate sources are reporting a low number of new listings (down 13.9% in June, nationally), but we continue to see proof the real estate industry is ripe for disruption, with our commission-free model remaining unaffected by trends in the traditional real estate sector.
“The opportunity for vendors to save around $20,000 in fees and commissions is compelling and our growth in listings is testament to that. ”
The strongest growth achieved in the last quarter was recorded in Victoria and Queensland, with Melbourne and Brisbane leading the way, according to the quarterly results.
buyMyplace has also recently announced its plan to launch mortgages through a partnership with AFG. The partnership will see buyMyplace become a credit representative of the aggregator.
“We remain committed to continually improving our product offering and seeking partners who will deliver value to our customers and shareholders. We are also continuing to see growth in July and are confident a strong growth trajectory will continue through the next financial year,” Heath said.