Technology Spotlight: An Interview with RealReports

As part of Beaumont Bailey’s mission to connect founders, innovators and key players that make up the fabric of our industry, our latest Technology Spotlight series highlights the successes of our incredible members and wider network. In this instalment, we speak with Zach Gorman, Co-Founder at RealReports.

Tell me a little bit about your RealReports and your role there…

I’ve spent my career working in a variety of industries including defence, music production, design, and tech. In 2017, I joined a PropTech company as Co-Founder focused on the real estate brokerage space. We developed a home buying platform akin to Zillow, but leveraging machine learning to help people find the right home faster. We also operated a full-service real estate brokerage across half a dozen markets. Our goal was to build technology to meaningfully enhance the home buying experience for both consumers and agents.

The idea for RealReports was inspired by the challenges we faced while building our first company. Namely, real estate data is notoriously fragmented, expensive, and difficult to access. This impacted our agents who regularly spent hours on property research tracking down the information they needed for clients. It also affected our ability to build technology efficiently because any time we wanted to enrich our home search platform with unique data, we were blocked by the prohibitive costs, contract terms, and negotiation cycles associated with large data providers. We realised there was a significant need for an accessible data ecosystem to support the entire industry, so we created RealReports..

You can think of RealReports as an AI-supercharged “Carfax for homes.” We aggregate data from numerous sources, currently around 30-35 and growing, and use AI to make the data easily accessible and actionable. Every RealReport includes information on permits, zoning, climate risk, rental potential, utilities, tax history, crime, demographics, points of interest, remodel potential, environmental hazards, liens, owner details, school ratings, and much more.

RealReports allows agents and clients to interact with the property data in an intuitive way. Users can ask questions to our AI copilot, Aiden, and get instant responses based on the information in the reports. We recently added the ability for Aiden to analyse and summarise property documents, like seller’s disclosures or inspection reports, which are often long and cumbersome to navigate.

Our solution not only streamlines research and diligence but also helps agents build credibility by demonstrating to buyers and sellers that they have a sophisticated, data-driven approach, with access to information that other agents don’t. This is a powerful differentiator for agents who are looking for a competitive edge during this period of increased industry scrutiny due to the recent commissions lawsuits.

We launched the MVP of RealReports in early 2023 and have been gaining significant momentum over the last eight months. Our team is incredibly excited about the future as we continue to innovate and meet the needs of the real estate industry.

Looking a little closer at the technology, what problem does RealReports solve?

Historically, real estate agents have always faced the arduous task of conducting thorough property research. Oftentimes, this involves scouring numerous sources for information, including government websites, public records, or paid portals. The reality is many agents simply don’t have the time or resources to conduct this research effectively. And when they don’t, it has significant implications for consumers.

My co-founder, James, experienced this first-hand when buying a property in California a few years back. After having their offer accepted, they were denied by 10 insurance companies due to wildfire risk. This was during a period when insurance providers had begun moving out of the state due to increased wildfire concerns, but it was information that neither James, his agent, or the seller’s side knew. There are real financial implications when it comes to having access to crucial information.

RealReports aims to solve these issues by creating a comprehensive repository of property information for every home in the United States. By providing a centralised source of truth for property data, powered by AI, we’re enabling agents to serve their clients more effectively and mitigate these pain points for themselves and ultimately, for their clients. As anyone who has been through a home buying or selling process knows, unexpected issues can arise that are both emotionally and financially taxing. By equipping agents with the right tools and information, we’re helping to minimise these challenges.

Moreover, in today’s real estate landscape, every agent needs to clearly articulate their value proposition to clients. Our tool enables agents to demonstrate their expertise and credibility right from the first meeting with a client. The real estate industry is known for being archaic and slow to adopt technology, so RealReports are a powerful signal to clients about what kind of service and expertise they can expect from their agent. In an industry where reputation and trust are everything, RealReports help agents differentiate themselves and win more deals and listings. Our technology isn’t just about providing data; it’s about empowering agents to excel in their roles, serve their clients better, and ultimately, grow their businesses.

How does your technology disrupt the industry?

Anyone familiar with real estate has come across some version of a property report. But when you dig deeper, you realise that most of these offerings are little more than MLS data on a PDF. We explicitly don’t include MLS information in RealReports. Our philosophy is that by the time you reach us, you’ve already seen the MLS data through Zillow, Redfin, or another home search website. A good way to think about it is if Zillow is the property’s brochure, then RealReports is the “Carfax” for that home. We’re the deep dive so you know everything there is possibly to know about that property and the surrounding area.

Our implementation of AI is also another major differentiator from other property report products. We pride ourselves on being at the forefront of AI technology, and unlike larger, slower-moving companies, we can swiftly integrate new AI models and features into our product. For example, we just released multimodal AI, which allows you to analyse, summarise, and answer questions about any property document (inspection report, condo docs, appraisal, seller’s disclosures, etc.) in a few seconds.

What sets us apart is our ability to harness AI in a meaningful way, not just as a gimmick. We’re constantly evolving our product to stay ahead of the curve and this agility allows us to address the needs of agents and their clients in ways that others can’t.

What is the current climate for fundraising like in the space?

The funding ecosystem is far from easy. Our recent raise was no exception. It took a tremendous amount of time and effort. However, I’m incredibly grateful for the outcome. What mattered to us above all else was finding real partners who shared our vision. In an increasingly volatile market, finding investors who truly understand your business and are willing to support you through thick and thin is crucial. We were fortunate to partner with TTV Capital, Moderne Ventures, and others who not only provided capital but also brought deep industry experience to the table. They’re not just investors; they’re partners who will grow with us and help navigate the challenges ahead.

But again, it was not a walk in the park. It took nearly a year from initial conversations to closing the round. The days of raising in two weeks are long gone, especially in early-stage venture capital. Instead, the key is to build relationships with investors and let them track your progress for a few months. I often use the analogy of “lines, not dots.” It’s about showing investors the trajectory of your business, not just individual data points. VC’s are not just investing in your idea; they’re investing in you and your team. Your ability to weather the storms and deliver on growth expectations is what truly matters.

For founders who are just starting out, I can’t stress enough the importance of practice and preparation. Seek out friendlies, practice your pitch, learn what common questions come up, get comfortable telling the story, etc. By the time you’re ready to approach your top targets, you’ll be dialled in, knowing what questions to expect and how to navigate them.

Moreover, it’s essential to understand the investor’s perspective. It’s easy to get frustrated with investor feedback that doesn’t align with your hopes and dreams. However, it’s important to remember that investors have their own pressures and goals. They’re often optimising for companies that will return part of all of the fund for their LP’s. Your job as a founder is to meet them where they are and tailor your story accordingly.

Fundraising is as much about building relationships as it is about securing capital. If you can’t speak the investor’s language and understand their perspective, you’ll struggle to build the right relationships. So, while the journey will be challenging, it’s ultimately about finding the right partners who believe in your vision and are committed to helping you succeed.

If you would like to discuss any of the topics raised in this piece or if you need support with your leadership resourcing strategy, please get in touch with Emma Callahan on: