Fathom Holdings Acquires START Real Estate to Expand First-Time Homebuyer Program Nationwide
Rhea-AI Summary
Fathom Holdings (Nasdaq: FTHM) acquired START Real Estate on Oct. 16, 2025 to scale a first-time homebuyer program nationwide.
START Real Estate is headquartered in Colorado, recently expanded into Utah, and has 70 agents expected to close ~400 transactions in 2025 with a mortgage attach rate exceeding 70%. Fathom plans to combine START's model with its intelliAgent platform, integrated mortgage and title services, and the Elevate agent plan to drive transaction volume, agent productivity, and higher-margin recurring revenue across Fathom's ~15,000 agents in 43 states and D.C.
Positive
- 70 agents added from START Real Estate
- Expected ~400 transactions from START agents in 2025
- Mortgage attach rate exceeding 70% at START Real Estate
- Integration with intelliAgent, mortgage and title to enable recurring, higher-margin revenue
- Access to Fathom's ~15,000-agent national footprint (43 states + D.C.)
Negative
- None.
News Market Reaction
On the day this news was published, FTHM gained 2.92%, reflecting a moderate positive market reaction. Argus tracked a peak move of +6.1% during that session. Argus tracked a trough of -14.9% from its starting point during tracking. Our momentum scanner triggered 7 alerts that day, indicating moderate trading interest and price volatility. This price movement added approximately $2M to the company's valuation, bringing the market cap to $55M at that time.
Data tracked by StockTitan Argus on the day of publication.
Headquartered in
We expect that combining START Real Estate's first-time buyer program with Fathom's proprietary intelliAgent platform, integrated mortgage and title businesses, and national footprint, will scale the first-time buyer program to new markets across the country. In addition, a significant percentage of START Real Estate agents are expected to join Fathom's Elevate plan, further driving transaction growth, agent productivity, and higher-margin recurring revenue opportunities.
"After helping thousands first time home buyers in
Marco Fregenal, CEO of Fathom Holdings, commented: "START Real Estate's strong transaction growth, remarkable mortgage attach rate, and dedicated team of 70 agents are a perfect fit with our strategy of expanding agent and transaction volume while driving higher margins through ancillary services. With many of START Real Estate's agents expected to join Elevate, this acquisition not only enhances our ability to serve a critical segment of the market, but also strengthens our platform with new recurring, high-margin opportunities that support long-term profitable growth."
With nearly 15,000 agents across 43 states and D.C., Fathom is uniquely positioned to integrate START Real Estate's first-time buyer program into its national platform, broadening access to homeownership while creating new revenue streams through mortgage, title, and technology services.
About Fathom Holdings Inc.
Fathom Holdings Inc. is a national, technology-driven, real estate services platform integrating residential brokerage, mortgage, title, and SaaS offerings to brokerages and agents by leveraging its proprietary cloud-based software, intelliAgent. The Company's brands include Fathom Realty, Encompass Lending, intelliAgent, LiveBy, Real Results, Verus Title, and Cornerstone. For more information, visit www.FathomInc.com.
Cautionary Note Concerning Forward-Looking Statements
This press release contains "forward-looking statements" that involve risks and uncertainties which we expect will or may occur in the future and may impact our business, financial condition and results of operations. Forward-looking statements are subject to numerous conditions, many of which are beyond the control of the Company, including risks associated with general economic conditions, including rising interest rates; the Company's ability to generate positive operational cash flow; risks associated with the Company's ability to continue achieving significant growth; the Company's ability to continue its growth trajectory while achieving profitability over time; risks related to ongoing and future litigation; and other risks as set forth in the Risk Factors section of the Company's most recent Form 10-K as filed with the SEC and supplemented from time to time in other Company filings made with the SEC. Copies of the Company's Form 10-K and other SEC filings are available on the SEC's website, www.sec.gov. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release except as required by law.
Investor Contact:
Matt Glover and Clay Liolios
Gateway Group, Inc.
949-574-3860
FTHM@gateway-grp.com
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SOURCE Fathom Holdings Inc.
FAQ
What did Fathom Holdings (FTHM) announce on October 16, 2025?
How many agents did START Real Estate contribute to Fathom's platform in the FTHM acquisition?
What transaction and mortgage metrics did Fathom cite for START Real Estate in the FTHM deal?
How will the START Real Estate acquisition affect Fathom's revenue opportunities (FTHM)?
Will START Real Estate agents join Fathom's Elevate plan after the FTHM acquisition?
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