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Which Real Estate Services Stock is a Better Investment? -Breaking

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© Reuters. RE/MAX and Realogy: Which real estate services stock is better?

The real estate industry will continue to benefit from the increasing demand for homes in a low-interest rate environment. Established real estate service companies RE/MAX, (RMAX), and Realogy (RLGY), should continue to thrive for the foreseeable. What stock do you think is the best buy? Learn more. RE/MAX Holdings, Inc., (RMAX), operates worldwide as a franchisor for real estate brokerage and mortgage services. Three segments make up the Denver-based company: Real Estate, Mortgage and Marketing Funds. Realogy Holdings Corp., (RLGY), provides residential real-estate services through its subsidiaries. Realogy Franchise Group is (NASDAQ:), Realogy Brokerage Group, and Realogy Title Group are its three main segments. RLGY has its headquarters in Madison (N.J.).

In the last year, there has been an increase in demand for real-estate services due to low interest rates and people’s desire to live in better areas. Additionally, travel restrictions on 33 countries are being lifted for visitors who have not been vaccinated. As a result, foreign wealthy buyers will be more likely to visit the United States luxury housing market, which can generate additional sales in excess of 10 billion dollars. SpendEdge reported that real estate agents will see a 4.8% increase in their market by 2024. Both RMAX as well RLGY will benefit.

RMAX shares are up 0.9%, but RLGY’s have delivered negative returns. However, RLGY’s 41.7% gains over the past year are significantly higher than RMAX’s 0.5% returns. Moreover, RLGY is the clear winner with 37% gains versus RMAX’s negative returns in terms of year-to-date performance.

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