‘Playmakers’: The ‘curse’ that spurred LPT’s rapid growth
Watch the conversation as CEO Robert Palmer explains how LPT Realty was able to "hyperscale," and what he believes will be the model of the future.
Editor's note: The Playmakers podcast explores the biggest shifts in real estate with those who are shaping the industry's future. Check out our top takeaways and watch the latest episode from host Andrew Flachner, co-founder of RealScout.
The views, thoughts and opinions expressed in the Playmakers podcast belong solely to the podcast creators and guests.
On this episode of the Playmakers podcast, LPT Realty Founder and CEO Robert Palmer makes bold predictions about the real estate industry — which he believes will soon be led by single-entity national brokerages.
"There's real power in having a unified brokerage that's one entity, not a disconnected group of franchises," said Palmer, whose firm plans to go public soon and recently snapped up three large teams that previously operated within franchise models.
The 'construct of the future': Over the next decade, Palmer believes teams will become the industry's dominant players — and he says LPT is equipped to help them succeed.
"The real estate team is the construct of the future," Palmer said, "and it takes a platform like ours to power real estate teams at the highest level."
How LPT grew quickly: When LPT launched in August 2022, about 1,000 agents signed up within 24 hours — and "we weren't set up for that," Palmer admits. The company had to initiate a two-month freeze so it could build the systems needed to scale fast.
"At the time, it felt like a curse," Palmer said, but "in the end it was amazing, because it challenged us to build more durable systems — then ultimately led to that ability to hyperscale."
A 'brokerage for life' vision: After studying various brokerage models, Palmer decided to "give agents a choice" instead of picking just one.
"No matter where you see yourself in this industry — if it's as a solo agent who needs a transaction-fee model or a team leader who needs a cap model — we're going to serve you at the highest level," Palmer said, adding that LPT's "brokerage for life flywheel" means agents "don't have to change brokerages to unlock new opportunities" as their goals shift.
Built to scale: That approach, which Palmer says helps with agent attraction and retention, is key to LPT's growth strategy. "Our goal is to get to hundreds of thousands of agents. We built a model from day one that could scale to that size."
'Boomsday is coming': "A lot of people are doomsday preppers. We're 'boomsday' preppers at LPT, because we believe the boom is coming," Palmer said.
Home sales over the past couple of years have been stuck under 30-year lows — but that just means "there's a million people who should have bought or sold a home" and instead "kicked the can down the road."
"Keep doing the work," he urged, "because when boomsday comes, the prepared agents will win."
What successful agents should be doing: Agents need to hold "more open houses," Palmer said, adding that LPT's internal data indicates traditional tactics like open houses and print collateral still lead to success.
Why? "Every open house you have, it's an opportunity to meet every neighbor, put a piece of printed collateral in every neighbor's hands, send out direct mail to the area to let the neighbors know you're going to be there. You own that neighborhood during that open house."
The common team leader mistake: Palmer believes team leaders should prioritize growing their agent count and recognizing what team member's individual goals are. Focusing on getting agents to double or triple their production won't succeed if they're satisfied with their current workloads.
"Not every agent wants to do 50 deals a year," he said. "If you do want to grow, you need to add more agents to your team."
Another mistake? 'Handcuffing' agents to ancillary services: While many residential brokerages are looking to add revenue streams, Palmer, who has a background as a mortgage broker, believes it's best for agents to work with local mortgage and title service providers instead of feeling bound to their firm's ancillary services.
"When you try to take away that local decision, you actually handcuff your agents," he said. "I want them to go find the best local providers, because I know that's what makes them more successful."