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Real Estate Brokerage EBITDA Index Unveiled by AccountTECH for May 2025

Steady Financial Condition of American Brokerage Firms Persists in Face of Market Obstacles

Real Estate Brokerage EBITDA Index Revealed by AccountTECH in May 2025
Real Estate Brokerage EBITDA Index Revealed by AccountTECH in May 2025

Real Estate Brokerage EBITDA Index Unveiled by AccountTECH for May 2025

In the ever-evolving real estate market, the importance of financial health and adaptability cannot be overstated. This month, AccountTECH, a leading provider of financial data and analytics in the real estate industry, has released its Real Estate Brokerage Financial Health Index for May 2025.

According to the latest index, the EBITDA margin for May 2025 stands at 3.4962%. While this figure is solid, it is slightly below the seasonal norm and 6% lower than the May 2024 index. However, it is worth noting that this month's EBITDA margin represents the highest of the past 12 months, surpassing the May 2022 index by 62%.

The AccountTECH EBITDA Margin Index tracks earnings before interest, taxes, depreciation, and amortization (EBITDA) as a percentage of revenue for qualified U.S. real estate brokerages. To be included, brokerages must demonstrate consistent GAAP-compliant financial reporting and span a wide range of sizes and affiliations, including both independent firms and national franchises.

This month, Rational Aktiengesellschaft showed an impressive EBITDA margin of 30.04%, the highest among brokerages in the past five years. 3M Company and Micron Technology followed closely with EBITDA margins of 25.05% and approximately 23.7%, respectively.

Mark Blagden, CEO of AccountTECH, attributes the improved EBITDA margin in May 2025 to more disciplined financial management across the industry. Blagden further emphasises that real estate brokerages are adapting to new market conditions by tightening operations, managing agent splits, and improving cost controls.

The AccountTECH Real Estate Brokerage Financial Health Index Series provides monthly benchmarks across key financial indicators, including EBITDA margin, gross profit margin, and labor cost. For inquiries about the index or AccountTECH's products, please contact Theresa Hurt at [email protected] or (978) 710-0071.

AccountTECH's flagship product, darwin.Cloud, offers advanced analytics and automation for real estate professionals, helping them make informed decisions and stay ahead in the competitive market.

Month-by-month performance this year shows a steady climb from winter lows, with EBITDA margins in the residential real estate industry being highly seasonal, with May typically one of the stronger months for profitability. However, the lowest margins are typically observed in the winter months.

Considering only firms with positive EBITDA for the period, the EBITDA index is 5.9121%. Brokerages operating at a loss in May 2025 reported an average EBITDA margin of -5.0003%.

For media inquiries, please contact Rizza Batol at [email protected] or (978) 710-0071. AccountTECH offers one of the most comprehensive and trusted datasets in the real estate industry with three decades of specialized accounting focus. The company's commitment to providing accurate and reliable data makes it an invaluable resource for industry professionals.

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