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Fathom Holdings Achieves Strong Results in Q3 2025

Fathom Holdings Inc. (Nasdaq: FTHM) has unveiled its third quarter results for 2025, showcasing impressive growth even in a challenging housing market. The company reported a significant 38% year-over-year increase in total revenue, reaching $115.3 million, compared to $83.7 million the previous year. Fathom, a technology-driven real estate services platform, integrates residential brokerage, mortgage, title, and SaaS offerings, positioning itself well in the market.

CEO Marco Fregenal highlighted the company's strong performance, noting a 23% increase in transactions alongside a 24% growth in agent count, showing that Fathom is not only retaining but also attracting talent. The results mark a pivotal moment for the company, especially considering that it achieved adjusted EBITDA profitability for the second consecutive quarter. "In the third quarter, we continued to build on the momentum achieved in the first half of the year," said Fregenal, emphasizing the strategic initiatives that have propelled their growth, despite market challenges.

Among the highlights of the quarter was a 29% year-over-year growth in title revenue, underscoring the strength of Fathom's ancillary businesses. The company is also seeing strong traction with its flagship program, Elevate, which has brought on board over 165 agents and aims to enhance agents' productivity and profitability.

Operational Milestones

Operationally, Fathom's real estate agent network expanded to approximately 15,371 licensed agents, up from roughly 12,383 a year ago. The company recorded approximately 11,479 real estate transactions in Q3 2025, a 23% increase from 9,331 transactions for the same quarter in 2024. This growth can be traced back to the strategic acquisition of My Home Group last November, which has significantly contributed to the surge in transactions.

Fathom has also undertaken strategic expansion initiatives; for example, Verus Title expanded into Arizona and Alabama, increasing its reach to 34 states and D.C. Furthermore, the company's recent acquisition of START Real Estate will enhance its first-time homebuyer model, allowing Fathom to tap into a historically underserved segment of the housing market.

Financial Overview

In terms of financial viability, the company reported a gross profit of $9.6 million, a 39.1% increase from $6.9 million a year earlier. Despite recording a net loss of $4.4 million for the quarter, a marked improvement from an $8.1 million loss in Q3 2024, the company remains committed to executing its strategic vision which includes increasing attachment rates in mortgage and title businesses.

Fathom's mission is clear: driving agent success, unlocking new revenue streams, and capitalizing on improving housing market conditions. The overall growth trajectory reflects confidence in Fathom's business model and technological capabilities, which are designed to meet the evolving needs of buyers and sellers in a competitive landscape.

Looking ahead, Fathom plans to focus on several key areas including enhancing its technology offerings, forging strategic partnerships, and expanding its operational footprint. The company aims to operate in as many as fifteen states by the end of next year, signaling a robust commitment to growth and adaptation in the real estate sector.

In conclusion, as Fathom Holdings navigates through a dynamic market environment, its significant revenue growth, commitment to technology, and strategic initiatives suggest that the company is well poised for a successful future in the real estate services industry.