eXp Realty Review (2024): Pros, Cons, & Is It Legit?

Since our mission is to arm our readers with information on the best options in the market, we reviewed eXp Realty, one of the most hyped-up brokerages around. Want to know if they live up to the buzz? What are eXp Realty's pros and cons? Dive into our detailed eXp Realty review to find out.

• What Is eXp Realty?
• How Does eXp Realty Work?
• eXp Realty Fees & Commissions
• eXp World Features & Benefits
• Is eXp Realty Legit?
• Should You Use eXp Realty?
• Final Thoughts

What Is eXp Realty?

eXp Realty is a cloud-based real estate brokerage established in 2009 by the founder and current CEO, Glenn Sanford. Like many great founders, Glenn’s decision to create a virtual brokerage was fueled by crisis. The former real estate team leader at Keller Williams established the cloud-based brokerage following the 2008 housing market crash, which left him deep in overhead costs and losses.

This strategic move proved pivotal as eXp Realty expanded to 11 states within its second year. Its virtual model gained further prominence during the COVID-19 pandemic, showcasing the efficiency of operating without a physical location.

Now a subsidiary of eXp World Holdings and publicly traded on the NASDAQ stock exchange as EXPI, eXp Realt has a presence in all 50 US states and over 20 other countries, including Canada, Australia, and France. Its global scalability accrues eXp realtors worldwide an opportunity to benefit from the real estate market regardless of location. The cloud-based model also earns them significant cost savings and larger profit margins by eliminating costs associated with brick-and-mortar offices.

Today, eXp Realty has its headquarters in Bellingham, Washington, but is remote for its agents. It has over 85,000 and boasts recognition as one of the world’s fastest-growing real estate brokerages. Notably, it secured the 2023 Realty Bravo Growth Award and several other honors for leadership in agent count and transaction sides, marking the second consecutive year of this achievement. Glassdoor also recognized the brokerage as one of the Best Places to Work in 2022. Read on to learn about eXp Realty in detail.

Interested in Joining the Largest National Investor-Friendly Realty Organization? Get Started Here!

How Does eXp Realty Work?

eXp Realty is breaking the mold as a fully virtual brokerage, meaning no traditional brick-and-mortar offices for eXp realtors, home buyers, or sellers. So, how does its unconventional setup work? The real estate company equips every eXp agent with a suite of exclusive software and tools they rely on as their workplaces. These tools include eXp World, a virtual work campus, and a marketing and branding center, complete with a library of marketing materials they can use to enhance lead generation when investing in strategies like wholesaling or house flipping.

But the perks aren’t one-sided. Homebuyers and sellers also get to use the eXp Realty platform. Homebuyers in the countries where the real estate company has a presence can utilize its search function and the plethora of filters available to them to find their dream homes. eXp Realty further streamlines their home hunting experience by connecting them with local eXp Realty agents who can offer expert advice, market insights, and guidance throughout their property searching process.

Listing on eXp opens doors to free home valuation estimates, allowing them to quickly determine their property’s market value. Sellers can also effortlessly connect with local agents on the platform, tapping into available marketing support. eXp Realty further sweetens things for them with ExpressOffers, a program granting sellers access to institutional buyers who buy properties in cash and are willing to skip home staging. The best part is that eXp Realty is free for buyers and sellers!

Read Also: How To Find Cash Buyers For Real Estate & Build Your List

eXp Realty Fees & Commissions

eXp Realty offers a significant edge in brokerage fees and commissions. As noted, the platform is entirely free for buyers and sellers. What about agents? The initial startup fee for eXp Realty agents is $149, and before you exclaim “expensive,” note this cost includes the first month’s cloud brokerage fee (usually $85) and up to 1,000 business cards. The startup fee and the ongoing monthly cloud brokerage fee unlock an agent’s access to:

• Lots of training materials by top realtors and investors worldwide
• Over 200 brokers and eXp staff work full-time to ensure agents have the support they need
• The over 85,000 experienced agents who are part of eXp
• A mentorship program by a local managing broker
• A tech stack featuring CRM, a personal lead generation website, and even a transaction management system
• Partner vendors like Virbella
• Sponsor support

What about commissions? eXp Realty, LLC is generous and offers agents an 80/20 commission split. Even better? The split is uniform across all eXp Realty agents and isn’t permanent—agents only pay the 20% commission to eXp until they hit the company’s required $16,000 annual cap.

That means you get to keep 100% of your commissions for the rest of the year once you cap. However, note that you’ll incur the following additional costs:

• A $250 transaction fee for the subsequent 20 transactions, after which the transaction fee drops to $75
• A $25 broker review fee which covers the costs of ensuring all your contracts are rock solid
• The errors and omissions (E&O) insurance fee is $40 per transaction. It covers risk management and caps at $500 annually

eXp Realty Commission Split Example

Imagine you close a deal with a $10,000 commission. Under the 80/20 split, you'd keep 80%, which is $8,000, and the brokerage takes 20%, which is $2,000.Now, let's say you've hit your $16,000 annual cap. In this scenario, for the same $10,000 commission, you get to keep the full 100%, so you take home $10,000.

Remember, hitting the annual cap means you keep 100% of your commissions for the rest of the year, with only a $250 transaction fee for the following 20 transactions and a $75 after the 20 transactions. You also have to cover broker and risk management fees for each transaction you close on.

While these additional fees (transaction, broker, and risk management) take away from your commissions, note that most brokerages offer permanent 60/40 and 70/30 commission split programs. That means you never get to keep 100% of your commissions at any time. Additionally, eXp Realty provides multiple programs that an agent can leverage to recoup these fees and become an owner (shareholder) in their brokerage. These include:

The EXPI Stock Awards Plan

As noted earlier, eXp Realty is a publicly traded company on NASDAQ. While this means anyone (including an average Joe) can become a shareholder in the company, the brokerage offers several programs that allow its agents to become shareholders and recover the portion of their commissions spent on the above fees.

The EXPi stock awards plan is one such program. Under this program, agents get up to $200 worth of free EXPI stock if they successfully close their first transaction each year. They also get an additional $400 worth of stock if they hit or exceed the $16,000 annual cap, and can earn another $400 worth of EXPI stock if an agent they introduce (refer) to eXp Realty sells their first home.

But note these stocks have a 3-year vesting period, meaning you can only trade them after three years of accumulation. Additionally, the agents you introduce to the platform must remain with the brokerage for three years.

Agent Stock Purchase Plan

The Agent Stock purchase plan is yet another program that real estate agents on eXp Realty can leverage to recoup their commission split and transaction costs and become shareholders in the brokerage. It’s more of an agent equity program where they get a 10% discount on EXPI stock if they commit to withholding 5% of the commissions they generate from each transaction.

These shares have no vesting period, so agents can opt in or out whenever. However, note that the number of shares they get and the price per stock depend on the closing market value of the last trading day of EXPI shares on NASDAQ that month.

ICON Agent Stock Award

The ICON agent stock award is ultimately the best way for an agent to recoup their commission split. Agents who qualify for the award often get their $16,000 annual commission split back in the form of EXPI stocks. To be eligible for the ICON agent award program, an agent must hit their annual commission cap ($16,000) and sell twenty more properties within their anniversary year.

Agents also qualify for this program if they generate an annual $500,000 in gross commissions (GCI), close a minimum of ten transactions, and clear the ICON qualifying fee.

Get Started: Partner with Real Estate Skills & eXp Realty

eXp World Features & Benefits

As noted in the “How does eXp realty work” section, eXp operates in a virtual work environment akin to "The SIMs" known as eXp World. So, how does this virtual work campus work? It’s a fully immersive 3D environment similar to a video game.

It includes meeting rooms, staff department offices, classrooms, and customizable eXp agent offices (Team suites). There’s even a soccer field and beach for recreation.

Agents navigate this environment using avatars that they can customize to mirror their real-life appearance. These avatars allow them to move freely throughout the campus and even converse with other active avatars via their computer microphones.

Despite being a virtual world, agents can take breaks by walking, swimming on the beach, or playing soccer. Beyond the immersive experience, eXp World offers the following benefits:

• No commute or overhead costs: eXp World is an entirely virtual work campus where agents can set up and personalize their offices. It eliminates commute and the traditional costs associated with maintaining physical offices.
• Seamless access to customer support:eXp World has virtual staff department offices like accounting, tech support, and brokerage operations. If an agent needs assistance they can guide their avatar to the relevant department office, take a virtual ticket, and they’ll be automatically connected with an eXp staff member for real-time assistance!
• Educational training: In eXp World, you'll find virtual classrooms and auditoriums where avatars of renowned real estate educators, such as Brad Anderson, the creator of Zillow Academy, conduct over 60 hours of live training sessions every week.ICON agents, national coaches, and real estate masterminds frequently contribute to these engaging classes. If you miss a live session or only log onto the platform part-time, eXp World offers eXp University, where you can access and stream recorded, on-demand training sessions at your convenience.
• Convenience: There’s a mobile app version of ExP world, meaning you can access all the features it offers even while on the go.

Pros of eXp Realty

Here are the perks you’ll enjoy as a real estate agent on eXp Realty:

• A fully virtual real estate brokerage: eXp Realty is a fully remote real estate brokerage that helps eliminate all the costs of running a traditional brokerage. Consequently, the company can offer larger and fair commission splits. The virtual nature of their operations also allows more agents to join and enjoy the perks of working with the brokerage regardless of location.
• Innovative work environment: eXp Realty isn’t just the first entirely virtual real estate brokerage; it also offers one of the most immersive virtual work environments, eXp World. The work campus is easy to navigate and revolutionizes real-time access to customer support and educational resources.
• Fantastic earning opportunities: Besides larger commission splits, eXp Realty offers a range of earning opportunities that agents can leverage to increase their earnings and become owners in their brokerage. For instance, the EXPI stock awards program rewards agents with generous shares for closing on deals, hitting their annual cap, and even bringing others on board. On the other hand, the ICON Agent program enables them to recoup a year’s worth of commission split. Yet, these are only two of its revenue-sharing programs.
• Fair commission splits and fees: Unlike many brokerages that provide permanent 60/40 or 70/30 commission split programs, eXp Realty stands out with an 80/20 split, and it's not even a permanent arrangement. Once an agent achieves their cap, the transaction fee decreases to $75. Moreover, the risk management and broker review fees are notably reasonable compared to the average fees imposed by traditional brokerages. Even the monthly tech-stack fee is quite worth it as it offers access to 80+ hours of live and recorded training weekly, collaboration and networking opportunities with the over 85,000 agents on the platform, CRM tools like KvCore, and even a lead-generation-ready website.
• Free for buyers and sellers: eXp Realty is free for property buyers and sellers, allowing them to leverage expert insights and enjoy highly accurate market trends information without spending a penny. Sellers even get free property valuation estimates and access to a selling program that connects them to quality buyers and prospects who don’t care for home staging.

Cons of eXp Realty

Here are some disadvantages of the brokerage based on eXp real estate reviews from its user base:

• Requires some tech savvy: While eXp Realty’s virtual nature no doubt brings innovation to the real estate industry, it requires any interested agent, buyer, and seller to be tech savvy. Users with minimal tech knowledge may struggle to set up tools like KvCORE CRM and Skyslope transaction management tools and even access the many outstanding features it offers through eXp World.
• No admin: While eXp has a team of staff to help agents, you’ll have to do most of the work yourself since eXp staff is only for when you need customer support. That means managing your leads, transactions, accounting, and daily real estate operations. Alternatively, you may hire someone to handle the heavy lifting, but that would come with overhead costs.
• Overbearing and misinforming agents: Although eXp Realty’s agent referral program is among its most attractive revenue-sharing programs, some agents entirely focus on trying to recruit others just to earn the stock rewards. This business model can sometimes be perceived as overly promotional, potentially contributing to a misrepresentation of eXp Realty as an MLM.
• No physical location: If you fancy reporting to a physical workplace every morning, then eXp Realty won’t work for you since the platform is fully virtual.
• Unfit mentor pairing: New eXp Realty agents are often assigned a local mentor to help guide them through their first three transactions. Unfortunately, the matching program carries the drawback of the mentor getting a share of the agent’s commission. Moreover, there’s the risk of getting matched with one you may not get along with.
• Poor support for ex-agents: While agents can leave eXp Realty at any time, low star ratings and eXp real estate reviews by ex-agents suggest the company doesn’t offer proper support when one decides to quit.

Read Also: How To Unlock Success With A Real Estate Mentor

Is eXp Realty Legit?

Is eXp Realty a good company? Should you join eXp Realty? In a word, yes. In other words, eXp Realty is a legitimate brokerage with a track record since 2010 and physical offices in Bellingham, Washington. Furthermore, its reach extends globally, with agents across all US states and countries like Canada and Australia.

Additionally, partnerships with industry figures like Zillow’s Academy founder, Brad Anderson, further reinforce its standing. Numerous accolades, including a Glassdoor Best Workplace award and two consecutive Realty Bravo awards, underscore eXp Realty’s legitimacy.

So, is eXp a good brokerage? Yes. The only distinctive factor is their virtual business model.

Should You Use eXp Realty?

eXp Realty does have its cons, but we’d recommend joining the platform. As a fully remote brokerage, the company eliminates costs associated with a brick-and-mortar brokerage, such as desk, franchise, and royalty fees. eXp Realty’s virtual nature also allows the company to offer its agents fair commission splits and even give them back through revenue-sharing programs.

And although there’s an ongoing monthly fee, it’s one worth paying as it accrues you access to quite an excellent real estate tech stack, which includes a free, lead generation-ready website, a transaction management system, and a cutting-edge CRM, all tools that you’d have to incur high costs for every month.

Additionally, the monthly fee gets you 80+ hours of great training and resources, collaboration and networking opportunities with over 80,000 agents worldwide, and access to all of eXp’s sponsors and partner companies, such as Virbella.

However, before you jump on board, evaluate your real estate setup and determine if working with a fully remote brokerage is right for you.

Read Also: 10 Best Real Estate Agent Software: Leads, Listing, & More

Final Thoughts

eXp Realty stands out as a pioneering virtual real estate brokerage. They embraced remote work long before it became a trend in various industries. Beyond its innovative approach, the brokerage sets itself apart with unique benefits, including stock options and revenue-sharing opportunities not offered by other brokerages.

It enhances the daily workflow of its agents by providing access to cutting-edge technology. In essence, eXp is an excellent choice for new and experienced agents seeking to make the most out of their trade.

Looking to start your career in real estate investing? Contact Real Estate Skills today and let our team of experts guide you on your path to becoming a successful real estate investor. Whether you're a seasoned pro or just starting, we offer personalized strategies and support to help you achieve your goals.

*Disclosure: Real Estate Skills is not responsible for the information provided by eXp Realty or on its respective website. eXp Realty is an independent company which provides real estate services to investors. Real Estate Skills trains on using eXp Realty and the benefits of using the service but is not responsible for the content it provides.