laska Business’ annual list of Top 49ers features local companies that generate billions of dollars in revenue, employ thousands of workers, and contribute significantly to the community. Inevitably, some businesses barely miss the ranks, even after making the list in previous years. One such company is Keller Williams (ranked 49 in 2019) which achieved outstanding productivity and growth in 2020 and is a company to watch in the future—and this year is being recognized as the ‘50th 49er’.
“We are honored,” says CEO/Team Leader Joshua Nelson, reacting to receiving this year’s special designation. “We have 392 associates in Alaska, and it’s a testament to the work they have put in and the amazing businesses they have built.”
Keller Williams Realty Alaska Group is the state’s leading residential real estate firm based on agent count, market share, and sales volume. The company has fifteen employees in Alaska and offices in Anchorage, Eagle River, Wasilla, Fairbanks, and Soldotna to serve the needs of home buyers and sellers. Some of its locations are “mega agent” offices that independent contractors with a large team have opted to broker out of their own building—and may even have associates throughout the country. Keller Williams Realty Alaska Group also has independent affiliates in Juneau and Ketchikan to further expand its reach in Alaska. “We’re working on having multiple locations to create a solid statewide infrastructure,” Nelson says.
Keller Williams Realty Alaska Group is part of Keller Williams Realty Inc., an Austin, Texas-based technology and international real estate franchise. Founded in 1983 by Gary Keller and Joe Williams, the company has expanded from a single location in Austin to approximately 950 offices and 180,000 associates worldwide. Each Keller Williams office is independently owned and operated, making it a business entity unto itself.
Incidentally, in Alaska, a real estate salesperson is legally known as a licensee. However, the industry-accepted term for a real estate salesperson is “agent,” although this word carries legal implications. This article uses agent as a general reference.
Since then, the real estate market has ebbed and flowed with the ups and downs of Alaska’s economy. But over the past five years, the company’s real estate associates have produced impressive revenue:
- $38,841,462 in 2020
- $33,222,455 in 2019
- $34,840,420 in 2018
- $35,007,889 in 2017
- $34,000,000 in 2016
Nelson attributes this robust performance, in part, to the associates’ training, vigilance, and adaptability. He explains: “One of the things we teach at Keller Williams is always preparing for market shifts and understand that on a downhill side there’s an opportunity to tighten your belt and on an upshift there’s an opportunity to gain market share. We’re coaching the business owners to always be ready and always be looking at their leading indicators.”
So far this year, business is booming for Keller Williams Realty Alaska Group. “From January to July, our business is up 41 percent from last year,” says Operating Principal Barbara Huntley. “We have an increase in volume of 23.81 and 20.4 for units percentage. Part of that is the fact that prices have gone up.”
She adds: “From January to the end of July, we had just over $1 billion in sales volume and gross commissions just under $30 million for year to date. That will put us on pace to smash our $38 million revenue.”
Keller Williams Realty Alaska Group is an ardent supporter of worthy causes that enhance the communities it serves. This year, the company participated in its annual day of giving: RED Day, which stands for renew, energize, and donate. On this global day of service—held on the second Thursday of May—Keller Williams agents and associates worldwide take off work to perform various service projects in the community.
Keller Williams Realty Alaska Group
But the volunteers’ most ambitious project was rehabbing the gazebo at the Pioneer Home in Palmer. They completely gutted the gazebo, added new windows, and painted the fireplace to make it more enjoyable for the community. Keller Williams associates raised more than $12,000 to provide the materials to renovate the gazebo, along with contributing their time. Although RED Day is designed to be a one-day event, Keller Williams’ work on the service projects began long before then. “We have a culture committee, and they have put in countless hours into these projects,” Nelson says.
Nelson says Keller Williams Realty Alaska Group has always coached its agents to deal with serious clients. But the current real estate market has created a unique opportunity for agents to further refine their processes. “We swiftly entered a fast market where agents and buyers had to be much more willing to say yes than before,” he says.
The market also forced real estate agents to become proficient at doing virtual showings. A considerable number of homes were sold last year via FaceTime and Zoom, and now agents are comfortable with using these tools. “That won’t go away; we’re definitely a tech-driven world,” Nelson says.
The company’s agents—and buyers—have had to adjust to a fast-and-furious real estate market. Historically low interest rates, tremendous demand, and an incredibly low inventory all converged to create a seller’s market. Multiple offers, price wars, and fast-moving sales have become the norm. Mid-level priced homes went to being snapped up in days to hours. “We’ve seen people get really creative: buyers paying sellers’ closing costs and waiving inspections,” Nelson says. “We don’t condone that, but we’ve seen them do it.”
Keller Williams Realty Alaska Group
Keller Williams Realty Alaska Group also extended greater flexibility and sensitivity to help clients deal with the challenges of the unprecedented pandemic. “Unfortunately, we’re living in a time where everything can be politicized,” he says. “Our clients’ comfort comes first.”
The company also initiated practices to enhance safety, including providing clients with masks and hand sanitizer. It also implemented social distancing measures by limiting the number of people allowed at open houses because of COVID-19.
The company also attributes its success to its practice of having world-renowned business training and helping people build amazing lives. It has focused on teaching realtors to be business- and relationship-based. Being an entrepreneur comes first, but being purposeful comes next, Nelson says.
He explains: “At Keller Williams, we truly want our people to come in and build an amazing life and build a business that has value. We’re not going to be measured by how much money we make at the end of the day. We’re going to be measured by the lives that we change and the leaders that we grow.”
That philosophy has served the company well, translating into a variety of awards over the years. Its team members have earned various accolades for their stellar work performance, from local awards from the Anchorage Board of Realtors to national honors for growth and leadership. “Our leadership team was 3rd place in the nation for growth for the first quarter of this year with KWRI’s Bet on Red campaign,” Nelson says.
Nelson is excited about the success that Keller Williams Realty Alaska Group is experiencing and where the company is heading. “As the industry keeps changing and Keller Williams keeps looking to unapologetically protect the consumers and professionals, we’re looking forward to growth opportunities,” he says.