Are you curious about the eXp Realty commission split and other fees associated with becoming an eXp Realty agent, broker, or team leader?
In this post, I share in-depth all the costs and opportunities associated with when you join eXp Realty.
The commission split and fees I discuss in this article are exactly what I and every other eXp agent pay to the company.
If you would rather watch or listen to this content, check out the video or podcast below!
All Things Equal
The first thing to note about eXp Realty is that all agent’s commission splits are the same across the board. No agents receive exclusive deals, unlike many other real estate brokerages. All agents at eXp Realty pay the same commission split and fees regardless of tenure, transaction volume, etc.
This equal treatment embodies eXp Realty’s core value of transparency and ensures that all agents have the same opportunity to succeed.
eXp Realty Commission Split
All agents at eXp Realty receive an 80/20 commission split. This split caps at $16,000 gross commission paid into the company. When real estate agents earn $80,000 in gross commissions in a single year, they will pay 20 percent to eXp Realty.
That is a total of $16,000. $80,000 x 20 percent. Once an agent reaches their commission cap, that agent will receive 100 percent of their commission minus a capped transaction fee, risk management fee, and broker fee for the remainder of the year.
One thing to point out when talking about eXp Realty’s commission split is revenue share. Revenue share is an opportunity for real estate agents to earn an additional income stream for helping to bring on other agents into the brokerage.
Revenue sharing is paid from eXp Realty’s side of the commission split, the 20 percent, and doesn’t cost agents anything extra. eXp Realty pays out 50 percent of the 20 percent every month to agents (the other 50 percent goes to paying eXp Realty’s overhead and profit).
For more information, check out my in-depth review of eXp Realty’s revenue share.
eXp Realty Fees
eXp Realty fees consist of monthly and transaction fees. I’ll cover each in more detail below.
eXp Realty does not charge desk, royalty, or franchise fees. Also, there are no minimum production or attraction requirements. So long as you stay current on your $85 monthly fee and all state licensing requirements, you can remain licensed at eXp Realty.
eXp Realty Monthly Fees
When you join eXp Realty, you’ll pay $149 for your first month of onboarding. After that, eXp Realty charges an $85 monthly fee. This cloud brokerage fee covers using kvCORE, Skyslope, Marketing Center, Workplace, and complete access to training and support.
kvCORE is eXp Realty’s lead generation and website solution for real estate agents. Outside of eXp, access to this system runs over $500 per month. This alone makes the $85 per month worth it. For more information, check out my Complete kvCORE Guide
eXp Realty Transaction Fees
After a real estate agent reaches their commission cap, they go to 100 percent and only pay $250 per transaction. If an agent pays $5000 in transaction fees after capping, they will move to a $75 transaction fee for the remainder of the anniversary year.
For example, you sell 60 homes in one year with an average commission of $6,000 per transaction. Here is how your eXp Realty commission split would work out:
- Transactions 1-14 would be on an 80/20 split with NO transaction fee.
- Transactions 15-34 would be on a 100/0 split with a $250 transaction fee.
Transactions 35-60 would be on a 100/0 split with a $75 transaction fee.
To explain, you would cap on your 14th transaction ($6,000 x 14 transactions = $84,000). Transactions 15-34 would be $250 for each transaction, totaling $5,000. Transactions 35-60 would be at $75 for each transaction.
Risk Management Fee (Errors & Omissions)
Many real estate agents are familiar with the term “errors and omissions.” At eXp Realty, we call this the risk management fee. The risk management fee varies by country, but it is $40 for each transaction in the US.
Once a real estate agent hits $500 in risk management fees paid for the year, the agent will no longer pay risk management fees for the remainder of the anniversary year.
Real Estate Broker Review Fee
All US agents pay a $25 real estate broker review fee per transaction. This fee does not cap. For agents in Canada, this fee is $29 per transaction.
Commission Split and Fees Example
In the example above, where an agent does 60 transactions. Their total eXp Realty Commission Split paid for the year would equal:
- $16,000 – Commission Cap
- $5,000 – $250 Transaction Fees
- $1,875 – $75 Transaction Fees
- $500 – Risk Management Fees
- $1,500 – Broker Review Fees
- $24,875 – Total eXp Realty Fees
How would you like to earn $16,000 of those fees back? Read below about the ICON agent award program and see how you can do that when joining eXp Realty.
eXp Realty Mentor Fees
Agents who’ve completed less than three transactions in their current market will be enrolled in eXp Realty’s mentor program. Agents in the mentor program are assigned a certified mentor who will help assist with the agent’s first three transactions at eXp Realty.
Mentees pay an additional 20 percent split on these first three transactions, which pays the mentor and mentor program (which consists of additional training modules for the mentee).
Once the mentee closes three transactions with eXp Realty, they graduate from the mentor program and are not subject to the additional 20 percent split.
eXp Realty Personal Deals
At eXp Realty, agents can complete three personal transactions per year without paying the 20 percent split to eXp Realty.
Agents are only responsible for paying a $250 transaction fee, a $40 risk management fee, and a $25 broker review fee for the personal deal.
A personal transaction consists of only the deals for which the eXp Realty agent is personally on the contract.
eXp Realty Seller Fees
eXp Realty does not charge any additional fees to clients. Agents can determine their commission rate and any additional fees to their clients. However, the rate and fees charged to the client are then split with eXp Realty at the typical commission split.
If an agent wishes to discount their commission rate and that agent has not reached their commission cap, the minimum transaction split to eXp Realty is $500. Therefore, an agent can reduce their commission ultimately to $0 to the client. Still, the agent would be responsible for paying eXp Realty $500 for that transaction, plus the broker review and risk management fee.
ICON Agent Program
As agents at eXp Realty, we can earn our $16,000 cap back each year in the form of eXp Realty stock. You can qualify for the ICON Agent Program in two ways, based on your production at eXp Realty. Please note that it’s one or the other, not both. Additionally, you need to satisfy the cultural requirement explained below.
Cap Plus $5,000 in Capped Status Transaction Fees
The first way is “$16,000 paid in company cap plus capped status transactions in the same anniversary year resulting in capped status transaction fees of not less than $5,000.”
$500,000 Annual Gross Commission Income Plus ICON Qualifying Fee
The second way you could qualify to become an ICON agent is by achieving an “Annual gross commission income of $500,000 or more with a minimum of 10 closed transactions and payment of an “ICON Qualifying Fee.” This fee equals $5,000 less capped transaction fees paid during the same anniversary year.
For more information, check out my in-depth post on the ICON program at eXp Realty.
Team Leader Fees at eXp Realty
If you’re a team leader, you have a few options for structuring your team at eXp Realty. These options include a self-organized, standard, or mega-ICON team.
A self-organized team is the least formal team structure at eXp Realty. You provide a team roster to eXp Realty, and any agents, including yourself, can market as the team. Each agent has a $16,000 commission cap and pays their individual $85 monthly fee. You can share commissions per transaction on any deal that warrants it.
A standard team is more formalized than a self-organized team at eXp Realty. A team agreement is required. Additionally, the team leader must meet a production requirement of $6,000,000 in gross commission income from the previous year.
This team allows team agents to receive a half-cap of $8,000 instead of the normal $16,000 cap. However, note that the team agent must split 25% of each closed transaction with the team leader.
Mega ICON Team
A Mega ICON team is a team that has ten or more agents who all receive a quarter cap of $4,000. The Mega ICON team leader is responsible for a minimum of $56,000 of company dollars to be paid into the company by the end of the year. ($4,000 x 10 agents + $16,000 for their cap).
For more information, check out my detailed post on the different eXp Realty team structures.
Wrapping Things Up
In conclusion, the eXp Realty Commission Split is very generous compared to most brokerages. Especially when considering the ICON Agent Program, eXp Realty is unique. Combine this with all the tools and training that eXp Realty provides to real estate agents, and you get an excellent opportunity to grow your career in real estate.
Do you have any questions related to eXp Realty’s Commission Split? Put them in the comments below, and I will happily answer them!
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