Unidentified Analyst: Hi, everyone. This is . Thank you for taking my questions and great to be in the campus. To start had one on commercial, I was wondering if you can provide an update on your efforts to expand into commercial real estate, and more specifically, roughly how many agents are focused on commercial and how do you see that business evolving over the coming years.
Jeff Whiteside: Yes. So I believe we’ve got similar number of agents as we had towards the end of Q3 around 1,000 agents on the commercial side. What we expect is the commercial — the commercial universe of agents is substantially smaller than the residential agents and we still have fairly low competitive caps in that space, meaning that we’re 20,000 caps versus 16,000 caps but in comparison to a lot of firms that are still 50/50 and no cap we represent a really great place to — for commercial agents to move their license. So we do expect that over time, we’ll become a larger and larger commercial firm. But I think that in the context of a larger enterprise, it will still be a fairly small number relative to potential or for net income and revenue growth.
What we have done is we built out the entire commercial infrastructure, meaning that we have commercial brokerage in most the U.S. States presently. We’ve actually started a referral brokerage, where agents can — if they’re not in active production, they can actually move their license to the referral brokerage, which is actually housed underneath the commercial brokerage and there’s some technical MLS and NAR reasons. They’re not members of NAR, so they don’t have the $1,000 plus you could need to stand there. They’re not typically members of the MLSs per se, so there’s no MLS 2. So it’s less expensive for an agent to hang their license there, but they can still refer out real estate transactions. So we’re building out this extra layer. And we’re looking at other things that, that layer can be supportive of the overall brokerage.
Unidentified Analyst: Got it. That’s a helpful update. Thank you for that. And just had a quick one on international. Any markets in particular or the initial traction has been stronger than expected and you’re most optimistic about over the near term?
Glenn Sanford: Jeff mentioned previously South Africa. That’s a fairly new country for us. We’re over 1,000 agents now in South Africa. And these are a much more professional agent base than is in other countries like, I’ll use India and Mexico, where we have a similar number of agents, but real estate is not well organized there from a professional standards perspective. So we’re pretty optimistic about South Africa. So we’ve got — the three countries that are at or near profitable would be U.K., Australia and South Africa. And then we’re continuing to work on the other countries. We’re getting more mature in India. We’re getting more mature in Mexico. And I say that because in both of those markets, there wasn’t — there isn’t a lot of infrastructure for organized real estate. And so we’re having to bring kind of infrastructure to an industry that in a lot of the country doesn’t have much in the way of standards of practice.
Unidentified Analyst: Got it. Thank you, Glenn and Jeff, I’ll jump back in the queue. That’s it for me.
Denise Garcia: Great. Thanks, Matt. Now I’ll move over to Slido, and we’ll take some questions from the audience for you, Glenn and Jeff. I’ll take the first one. Of the $13.7 million international segment EBITDA loss, how much is the result of new country opening costs versus subscale operations?
Glenn Sanford: Good question.
