The Real Brokerage (REAX 2.54%), a tech company that provides digital tools for real estate agents to conduct their business, was a standout stock on Tuesday. After the company announced the release of a new product, investors bid its stock up by almost 3% that trading session. The S&P 500 index, meanwhile, only increased by 0.3% on the day.
A new source of capital
Well before market open, The Real Brokerage announced the release of its Real Wallet Capital product. This provides its property agent clients with a quick way to secure working capital and is embedded in the Real Wallet finance ecosystem within the company's reZEN platform.
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In its press release trumpeting the new offering, The Real Brokerage quoted CEO Tamir Poleg as saying that Real Wallet Capital "brings embedded finance to the real estate industry for the first time, giving eligible agents same-day access to the funds they need when they need them, without the headaches of traditional lending."
The company added that the new product will initially be rolled out in 28 states and the District of Columbia. It did not identify those states but did say Real Wallet Capital is to be made available nationally within months.
Strengthening the platform
The Real Brokerage didn't provide any estimates for how the new functionality might affect its fundamentals. Regardless, it makes its platform that much more sticky and could be quite the enticement on its own if proven to be an effective means of capital sourcing for clients.
