Real Brokerage and eXp Realty: Key Differences and Insights
Real estate brokerage firms are not made equal. Some stick to the traditional brick-and-mortar model, while newer ones prefer a desk-less virtual-based approach. Additionally, the issue of commission splits, fees, revenue share, and bonuses is a never-ending topic of discussion among industry professionals.
Firms employ various techniques and strategies to attract agents. This is the case at eXp Realty and the Real Brokerage. One is a traditional brokerage firm with a modern twist, while the other is a virtual firm affording agents unlimited flexibility.
Real estate agents must decide which approach best addresses their unique professional needs.
We have compiled a detailed comparison examination of the two firms to help you make an informed decision for the benefit of your business trajectory.
Quick Overview:
Real Brokerage
Real Brokerage is a fairly new brokerage firm. Starting in 2014, Real Brokerage focuses on a modern approach, leveraging technology and simplicity to provide a seamless experience for its agents and clients.
eXp Realty
eXp Realty is a cloud-based brokerage founded in 2009. eXp Realty is well renowned for its innovative approach and immense growth as a result of its agent-first approach. Members get the opportunity to diversify their income streams through stock options, referrals, and more.
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Real Brokerage vs eXp Realty: Key Differences
Apart from the main difference between the two, where Real Brokerage is more of a brick-and-mortar firm, and eXp Realty is cloud-based, the two have other distinct features, including:
1. Company History
The Real Brokerage
The Real Brokerage was founded in 2014 by Tamir Poleg, Gal Weiss, and Yuval Niv. Its headquarters is in New York City with a presence in 50 states and 4 Canadian Provinces.
The Real Brokerage has over 20,000 licensed real estate agents actively transacting across multiple locations in North America.
eXp Realty
eXp Realty has been in th industry much longer, boasting over 86,000 agents in over 24 countries, including North America, United Kingdom, Australia, South Africa, India, Mexico, and Portugal.
As a cloud-based firm, eXp Realty’s focus is not on physical offices. However, their headquarters are in Bellingham, Washington.
2. Company Culture
The Real Brokerage
Real Brokerage is centred on creating a modern environment for real estate agents to thrive independently. The firm offers cutting-edge technology and resources to support agents in their career progressions. Agents are empowered to run their businesses as they best see fit.
eXp Realty
At eXp Realty, collaboration is encouraged to foster growth and mutually beneficial relationships between agents. Programs such as the eXp Referral Division rely solely on one’s network to generate referral income. As such, virtual networking events, mentorship, and collaboration are encouraged, fostering a sense of community.
3. Financial Set-Up
Agents looking to join brokerages are keen on topics such as commission splits and revenue share, and for good reason. Commission splits percentages and annual fees directly affect your take-home revenue.
Here’s a quick overview of Real vs eXp Realty’s approach to financials:
The Real Brokerage
The Real Brokerage has an 85/15 commission split, which is much lower than most traditional franchise brokerages with a 12K annual cap, after which the agent gets to keep 100% of their commissions.
The brokerage charges a $285 fee per transaction once agents cap and a $175 per lease after capping. Other fees include a relatively low joining fee of $249 and a $750 brokerage fee paid from the first three transactions per anniversary year.
You can learn more about the Real Brokerage fees and revenue share on their website.
eXp Realty
eXp Realty offers an 80/20 commission split where the brokerage keeps 20% of revenue until the agent caps at $16,000.
As a virtual brokerage, eXp Realty does not charge traditional fees such as a desk fee. Agents, however, pay a $85 broker review fee per transaction.
The main difference between Real Brokerage and eXp Realty 2024 is their revenue share and stock options. Real Brokerage does not offer stock options or bonuses to its agents. On the other hand, eXp Realty is well known for its revenue share model and stock options for all its agents.
Here’s an exhaustive breakdown of the benefits of joining eXp Realty, including an overview of their revenue share and stock options.
4. Training, Support, and Technology
Both companies offer different training options, especially in the digital space. Here’s how the two compare:
The Real Brokerage
As a firm operating with a modernised traditional brokerage model, The Real Brokerage fosters agents’ success and growth. As such, agents receive technological support and training resources, including CRM systems and marketing tools.
eXp Realty
On the other hand, eXp Realty offers an extensive digital space for agents to sharpen their skills continuously. The eXp University is a virtual training centre focusing solely on ensuring that eXp members get the best access to tools and resources for success.
The firm also holds extensive webinars and workshops while fostering a culture of collaboration and mentorship for knowledge sharing.
5. Potential For Growth
Every agent’s goal is to scale their business and boost their revenues. When choosing a brokerage partner, it is crucial to factor in the potential for growth to safeguard your career’s interests.
Both Real Brokerage and eXp Realty offer a pathway to growth.
The Real Brokerage
The Real Brokerage is a relatively young firm compared to industry giants like Keller Williams. The brokerage is still on a growth trajectory, focusing on efforts to attract tech-savvy agents by leveraging modern tools to streamline operations.
The Real Brokerage promises a future of growth as it establishes its market presence and continuously streamlines its tech-driven approach.
eXp Realty
eXp Realty has been on an impressive upward trajectory since its inception, expanding globally with a futuristic approach that eliminates traditional barriers to collaboration.
With its virtual-based model, eXp Realty offers agents immense opportunities for growth. For instance, the referral division at eXp Commercial offers agents a chance to collaborate with international members and generate income without ever leaving their state.
Real Brokerage vs eXp Realty – Which One Is Right For You?
The choice of a brokerage partner is very personal. Your personal and professional needs are unique to you. This guide is meant to offer a general overview of eXp Realty vs Real Brokerage.
- If you prefer a traditional brokerage experience, flexibility, and technology-driven approaches, the Real Brokerage may be a good fit.
- If you prefer a cloud-based model with comprehensive virtual training and collaborations and a generous commission split, stock ownership options, and revenue-sharing opportunities, eXp Realty is the best fit for you.
Both brokerages have their unique strengths and offerings. The right choice largely depends on your current needs and future goals. Consider crucial factors such as flexibility, commission splits, fees, and growth opportunities to determine which choice best suits your career needs.
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