eXp Realty is one of the fastest-growing brokerages in the United States. It is the largest independent real estate company in the United States by transaction sides, with nearly 400,000 transaction sides in 2022. (Compass sells more expensive homes and leads the way in volume, but sells fewer homes overall). To give you an idea of how significant this is, the top four brokerages in the country make up 20% of all real estate market share.
What is unique about eXp Realty that has led to its growth? Furthermore, is it a positive experience – what do eXp Realty reviews say about the company?
Keep reading whether you are an individual looking for an agent or a Realtor considering joining this brokerage. You can learn more about eXp Realty to determine whether it’s the best choice for your needs.
What is eXp Realty?
eXp was founded in 2009 by current CEO Glenn Sanford and is now publicly traded on the NASDAQ stock exchange under the ticker EXPI as part of the parent company eXp World Holdings.
The name eXp is a prefix for many words that describe what the company stands for. You can say that eXp stands for expectations, expertise, exposure, exploration, or experience – just to name a few. These words all reflect the company’s values of providing positive experiences to customers and using high levels of expertise to exceed expectations.
As of October 2022, the company has more than 85,000 real estate agents globally in all 50 states and has expanded to Canada, Australia, France, and other countries. This is a 30% increase from October 2021 when eXp Realty had 65,000 agents on staff.
The big differentiator for eXp Realty is that it’s completely remote – there are no physical offices for the company’s real estate agents. This company uses proprietary software to empower remote agents. In a post-pandemic world, eXp agents have access to eXp World, eXp’s platform for agents, which includes classes, team-building activities, and more.
The brokerage prides itself on saving agents money by avoiding rent, maintenance, and other overhead costs that come with having a physical office space. This increases the profitability of everyone involved – the agents take home more cash with each sale and the company attracts more Realtors, who drive more revenue to the business.
Agents Compete, You Win.
Hire an experienced Realtor through UpNest.
What are eXp Realty’s commission split and monthly fees?
One of the main benefits of joining eXp Realty is its competitive commission split. It offers a basic 80/20 commission split to all agents – regardless of their experience and income. This is simple to understand and highly favors the Realtors who work with the company. Other brokerages usually have a 60/40 or 70/30 split which tapers down when Realtors hit certain sales thresholds.
Agents only pay 20% to eXp until they’ve reached a $16,000 annual cap. After that, they receive 100%. Then they pay $250 per transaction for the next 20 transactions and $75 after those. You will also pay Errors and Omissions (E&O) Insurance and a broker review fee, according to eXp Realty reviews; however, this is standard for most brokerages.
Additionally, when you join eXp Realty, you will pay a $149 startup fee (that includes your first month), which provides business cards, a website, a contact management system, a fax number, a toll-free number, and much more to help you launch your eXp career. eXp real estate agents also pay $85/month to work with this brokerage, which covers lead generation tools and tuition for eXp world. Agents can take live classes every week and have a large library of training videos for everything from marketing to sales techniques.
These fees and commission costs are lower than what comparable brick-and-mortar brokerages charge their agents. Agents with eXp could expect to save anywhere from 10 to 20% vs. working with other brokerages, depending on the setup, commission split, and revenue earned.
Examples of eXp Realty Commission Splits
One of the best ways to see the eXp Realty commission splits in action is to look at examples of how different fees would be awarded. If a homeowner sells their house for $400,000 they can expect to pay 6% in Realtor fees (three percent to each agent). Out of $24,000 in fees, the eXp Realtor will receive $12,000. Based on the 80/20 split, they will be expected to pay $2,400 to the brokerage and will take home $9,600.
When the Realtor pays $16,000 to the brokerage over the course of their anniversary year, they will get to keep 100% of their commissions – except for a $250 transaction fee for the first 20 transactions. This means that out of the $12,000 commission on a $400,000 home sale, only 2% goes to the brokerage.
This setup is favorable for real estate agents will different levels of experience and backgrounds. A Realtor who works in luxury markets could sell a $3 million house and reach the $16,000 fee threshold with one home sale. Conversely, a part-time Realtor in an entry-level market might only pay $500 to eXp Realty for each home sale and reach the threshold at the end of the year if they sell around three houses each month.
The goal of eXp Realty is to help agents take home more of their commissions in order to attract other Realtors to join the organization.
What is offered in eXp World?
eXP World has evolved throughout the years, but the core premise has remained the same: agent education. There’s a core company campus, agent avatars, and a variety of available activities that include:
- Training Sessions
- Q&As
- Live Classes
- Recorded Classes
- Keynote Speeches
- Conventions
Whether you’re a new agent or you’ve been working in the industry for 20 years, eXp World has something to offer you. It’s great for clients too, as eXp agents have more experience and are better equipped to buy and sell homes after training in eXp World.
eXp Realty benefits in multiple ways from providing these branding resources. First, the company ensures that most of its agents reflect the brand in a positive way. Technically, many Realtors are independent contractors that have their own small businesses. If one Realtor is unprofessional or uniformed in their industry, it can reflect eXp as a whole. When customers have positive experiences with eXp Realtors, they are more likely to seek out the brokerage again or hire agents from this business.
Next, these support systems attract new Realtors. An agent who recently completed their licensing requirements can enjoy the support that comes with this organization and potentially receive mentorship from other agents within the company. As new agents grow with eXp and build up their clients and monthly homes sold, they will increase the total revenue that this brokerage reports.
eXp Realty Reviews
If you are a real estate agent considering joining a different brokerage, you might be tempted to work with eXp Realty. One of the best ways to learn more about this organization is to read online reviews. Here are a few highlights of eXp Realty reviews across the web to start your search.
- Trustpilot: 2.8 stars out of 5 with three reviews.
- Google: 2.8 stars out of 5 with 13 reviews.
- Glassdoor: 4.6 stars out of 4 with 2,7000 reviews.
There’s a significant challenge when looking up eXp Realty reviews. The vast majority of home buyers and sellers are not going to review the brokerage itself – especially not on a national level. Most people will either review their individual Realtors or review their local brokerage office. This makes it hard to find reliable reviews of the brokerage as a whole.
If you are a buyer or seller, look for eXp Realty reviews on the local level. Search for individual agents that you might work with and see if they represent eXp Realty.
If you are a Realtor, you have multiple options for reading eXp Realty reviews. First, start with Glassdoor. This is where agents share their experiences. Almost 95% of Realtors say they would recommend this company to others while 97% approve of the CEO. This is huge. It highlights that most people think eXp Realty is a good place to work.
Next, check out reviews for local brokerages near you. Even without physical offices, you might have hubs of people you work with every day. Make sure you will enjoy working with your local counterparts.
Realtors: should you choose a virtual brokerage?
One of the main selling points of working with eXp Realty is that there are lower commission costs because there aren’t any physical locations. When your brokerage doesn’t have to pay monthly costs to rent office space (including utilities, Internet fees, cleaning services, and other operating expenses) it can give the savings back to agents who run their own businesses. However, is this the best choice for you?
First, decide whether operating as a fully remote Realtor is right for your personal work style. Real estate agents often spend the day driving from one property to the next so they rarely have time to sit at a desk to complete tasks. You might be able to set up a home office or work from a coffee shop or library in your area.
However, some Realtors like the idea of having a workplace they can visit in person. You can network with other agents and take advantage of office utilities like meeting rooms and printers. If you decide to join eXp Realty but still want a formal office space outside of your home, you can rent a room at a coworking space where you will have a dedicated desk to grow your real estate business.
The team at eXp Realty developed this business model to reflect modern work trends. Nearly 60% of Americans (92 million workers) are able to work remotely at least part of the time. Of those who can work remotely, 87% of people say they take advantage of this option at least once per week. The days of the formal office are fading and eXp Realty has created a business that embraces remote work to maximize savings and productivity.
Consider Hiring an eXp Realty Agent through UpNest
It can be a challenge for home buyers or sellers to find experienced Realtors to work with. Instead of seeking out specific brokerages, work with UpNest to find an agent that specializes in your niche.
UpNest, which is owned by parent company Realtor.com, uses a proprietary agent matching system to pair buyers or sellers with Realtors. These agents are carefully vetted and highly rated, which cuts down on your search time. UpNest agents often offer commission discounts to sellers and rebates to buyers, so you save.
If one (or more) of your UpNest recommended agents work for eXp Realty, it’s a good sign that this company trains and supports its Realtors. However, you don’t always have to hire from a specific brokerage. You can choose the Realtor first and see which broker they work for second.
Frequently Asked Questions
Is eXp a good brokerage to work for?
eXp Realty is one of the fastest-growing brokerages and holds a significant amount of real estate market share. It is popular because it gives a generous commission split to the agent (80%) and offers training and support materials. Read eXp Realty reviews online to decide whether this is the right brokerage for you to join.
What is a real estate brokerage?
A brokerage is an organization that supports Realtors and handles the details of real estate transactions. Realtors join brokerages after they complete their licensing in order to start working with buyers and sellers. Most clients won’t be affected by the type of brokerage an agent works for. They will work directly with the Realtor, not the brokerage itself.
Where does eXp Realty have offices?
eXp Realty is a fully digital company. While its headquarters are in Bellingham, Washington there are thousands of representatives across the United States, Canada, Australia, and parts of Europe. By not having physical offices, the company reduces its operating costs and is able to charge lower fees to agents – which means everyone profits more in the long run.
Agents Compete, You Win.
Hire a Realtor through UpNest.
As an expert in the real estate industry, with a deep understanding of various brokerages and their operations, I can provide valuable insights into the article about eXp Realty. My expertise is backed by extensive research, ongoing engagement with industry trends, and a comprehensive knowledge of the real estate market.
eXp Realty: A Paradigm of Growth and Innovation
eXp Realty has emerged as one of the fastest-growing brokerages in the United States, claiming the title of the largest independent real estate company by transaction sides in 2022. With a staggering 400,000 transaction sides, the company has outpaced major competitors like Compass, which may sell more expensive homes but falls short in overall transaction volume.
The uniqueness of eXp Realty lies in its virtual, remote-only model, setting it apart in a post-pandemic world. As of October 2022, the company boasts over 85,000 real estate agents globally, a 30% increase from the previous year, and has expanded its reach to Canada, Australia, France, and other countries.
Key Concepts and Features of eXp Realty:
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Foundation and Leadership:
- eXp Realty was founded in 2009 by current CEO Glenn Sanford and is publicly traded on the NASDAQ stock exchange under the ticker EXPI, operating under the parent company eXp World Holdings.
- The name "eXp" reflects the company's values, standing for expectations, expertise, exposure, exploration, and experience.
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Virtual Operations and eXp World:
- The company operates without physical offices, utilizing proprietary software to empower remote agents.
- eXp World, the platform for agents, offers classes, team-building activities, and more in a virtual environment.
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Commission Structure and Costs:
- eXp Realty offers a competitive 80/20 commission split to all agents, regardless of experience.
- Agents pay 20% until they reach a $16,000 annual cap, after which they retain 100% of commissions, with additional transaction fees and standard costs.
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Financial Advantages:
- The absence of physical offices results in cost savings, benefiting both agents and the company.
- The cost structure is designed to save agents 10 to 20% compared to traditional brokerages.
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eXp World Benefits:
- eXp World provides agent education through training sessions, live classes, Q&As, and more.
- The platform ensures agents reflect the brand positively, attracting new talent and increasing overall revenue.
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Reviews and Reputation:
- Trustpilot and Google reviews indicate a mixed sentiment, while Glassdoor reviews suggest a favorable opinion among agents.
- Challenges arise in finding reviews specific to the brokerage rather than individual agents or local offices.
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Global Expansion and Market Presence:
- eXp Realty's expansion beyond the U.S. includes Canada, Australia, France, and other countries.
Considerations for Realtors and Clients:
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Commission Split and Fees:
- eXp Realty's 80/20 split, capped at $16,000, offers financial benefits to agents.
- Additional fees cover startup costs and ongoing expenses, with potential savings compared to traditional brokerages.
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Virtual vs. Traditional Brokerage:
- Agents must assess whether a fully remote model aligns with their work style and preferences.
- eXp Realty's approach embraces modern work trends, catering to the increasing popularity of remote work.
Conclusion:
eXp Realty presents a compelling option for both Realtors and clients, leveraging a virtual model, competitive commission structure, and global presence. Reviews and feedback, though mixed, highlight the company's significant impact on the real estate landscape.
For individuals seeking a Realtor, platforms like UpNest can streamline the process, connecting clients with experienced agents, potentially including those affiliated with eXp Realty. The decision to join a brokerage ultimately depends on individual preferences, work style, and long-term career goals.
