eXp Realty all about incentives. eXp highlights & combines best of agents and best of technology.
Foundation of eXp Realty’s Business Model
According to Mike delPrete, a well-known, well-trusted global expert in real estate, eXp Realty’s business AND growth model is based upon three key elements:
- High commission splits that are favorable to agents
- An online-only ecosystem with no physical offices/branches that translates into low overhead expenses
- A full-bodied, multi-level marketing system designed to encourage grassroots recruitment efforts of agents
Due to these three pivotal underpinnings, eXp’s business and growth model has resulted in three key categories:
- Agent growth that is, according to REAL Trends 500, unprecedented with over 57,000 agents
- Agent commissions that are “very high,” according to delPrete
- Annual transactions in 2020 of more than 240,000, the third highest among all brokers
eXp’s Model Pinned to Agents and Agent Count
According to delPrete, “Technology doesn’t sell houses, agents do.”
DelPrete believes that eXp Realty’s success as a publicly-traded company and for agents is based upon two core principles…agent recruiting and agent compensation.
Specifics of How eXp Realty Incentives Build Agent Wealth via Commission Splits
From the get-go, eXp Realty offers agents a commission split of 80% to agents and 20% to eXp. You read that correctly…80% to agents and 20% to eXp.
Once agents have paid eXp $16,000 via commission splits of 20%, agents take 100% of the commission while agents give eXp $250/transaction. Again, after eXp earns $16,000 from your commission splits of 20%/transaction, you earn 100% of each commission while you offer eXp $250/transaction.
Then, after agents close 20 transactions, agents earn 100% of each commission and agents offer eXp only $75/transaction. Yes…you’ve read all of these specifics about transaction commissions correctly.
- 80% – 20% agent commission/eXp Realty from the get-go
- After eXp receives $16,000, agents earn 100% of each commission and agents pay eXp $250/transaction
- After agents close 20 transactions, agents earn 100% of each commission and agents pay eXp $75/transaction
DelPrete was correct. Agents working with eXp Realty earn “very high” commissions.
For more information about eXp Realty’s incentives, click
https://www.thewoodshedd.com/posts/2021-07-09-highconviction/
Thanks to Mike delPrete and eXp Realty.
