eXp Revenue Share Explained: Why It Sucks

[@CallumMoorekw]

I'm eXp Realty hopefully for life and I enjoyed the breakdown! Thanks!

[@blakeboudier8837]

im sorry

[@caterpillar_properties]

How can I get/download a copy of this excel sheet?

[@ellimanrentals]

Your explanation really sucks dude! You're missing the boat on so many things here, especially when comparing it to Exit.

[@dolinskirealestategroup3194]

Thanks for the feedback. I'm always trying to improve my videos. For the sake of making this a productive thread for other real estate agents who might stumble on this video (which is the goal - to help agents), elaborate further and try form a logical counter argument.

[@ellimanrentals]

@@dolinskirealestategroup3194 Sure...and for the record, I'm not trying to be combative. Just spitting your words back at you. And totally agree that a healthy debate for the purposes of bringing value to people from different perspectives is very important. So first off let me disclose that I'm an organizational leader at EXP Realty. I run my own group and have close to 100 agents under me. Revenue share at EXP is the best thing to happen to the real estate agent community, ever. It's helping agents become millionaires and gives them actual ownership in a firm that's growing like any other major tech company. If the point of your video is to convey to the public that Exit realty is better than EXP or if that specifically Exit's recruitment model is better than EXP Rev share model then I would say that you're wrong on both accounts. You did a great job of somewhat explaining the Rev Share model but then you assigned a totally arbitrary number to the probability that the best-case scenario would happen and then randomly assigned a better probability to the Exit model which makes your whole argument flawed since it's based on a total assumption. Forget for a second the best-case scenario and let's talk about it in a conservative, more realistic way. If an agent is netting me $1000 per year in income then in theory all I really need to do is to bring over 10 people, who over time bring in 10 of their own. If that happens, that's over 6 figures per year in passive income. This happens pretty regularly. But the fact is that it doesn't end there. Eventually, if you're spending time recruiting you can stop and it continues to grow. You can sit on the beach for the rest of your life and continue to make more and more money year after year. Recruiting isin't easy, but let's take another factor into account. In the changing world, we live in EXP is growing faster than any company out there to bringing agents over to a cutting edge firm like EXP is far easier than an older model like Exit. So when assigning probability you have to take these factors into account. There are other factors that we can go into but for now, that's a lot to type. Happy to continue this debate.

[@dolinskirealestategroup3194]

You're absolutely right. I demonstrate that there are cases where eXp is clearly the winner. The main goal of the video was two things: 1. To raise awareness around the eXp model and the downside risk (great upside with greater income variability) 2. Give people an additional way to think about the model(s). ie: thinking in relative results rather than absolutes. The arbitrary numbers are those of my opinion. And, the results will be greatly influenced by the probability of success that an agent comes up with. I share a bearish assessment. You share a bullish assessment. So, it makes sense why you would choose eXp. At the end of the day, a real estate agent needs to run through a model like this and then assign the probability they feel is right. I mentioned in the video that we really need to look at probabilities achieving these results so that we can compare the two models. It's a mistakes to automatically assume eXp is the best simply because of absolute values. So, it will boil down to an individual agent's belief on probabilities.

[@ellimanrentals]

@@dolinskirealestategroup3194 I thought i had responded to this...not sure if it was earased...but like I said, you're missing the boat on a lot of things when talking about EXP Rev share. If you're serious about the recruiting space you need to consider having a conversation with me.

[@blakeboudier8837]

EXP is not a good company if you want to sell real estate. They are more concerned with their agents recruiting than they are selling homes.

[@danielitingen8054]

That's interesting...we're set to close 100 deals this year and doubling that next year, so..........

[@TheGoswitzTeamRealtors]

@@danielitingen8054 Also eXp is the #1 independent brokerage for # of transactions completed. Over 350k closed properties.

[@danielitingen8054]

@@TheGoswitzTeamRealtors Yup, it's all BS coming from people who have no clue what they're talking about which is the status quo of our business in general. A bunch of people who do zero business and spend most of their time talking about how terrible other firms are

[@TheGoswitzTeamRealtors]

​@@danielitingen8054 Agreed!

[@livingincentralalabama]

Hey Alex! Would you mind emailing me the spreadsheet that you made for the comparison? Super helpful!

[@themassengillfamily8145]

Could you email me your spreadsheet?