exp-realty-stock

eXp Realty Stock – Everything You Need to Know (2021)

eXp Realty is a residential real estate brokerage under the parent company eXp World Holdings. eXp World Holdings is a publicly-traded company on the NASDAQ stock exchange under the ticker symbol “EXPI.” Any investor can purchase and sell eXp Realty common stock through their current investment brokerage.

eXp Realty became a publicly traded company in 2013. By 2018, eXp was up-listed to the NASDAQ.

One of the many unique benefits of being an eXp Realty agent or real estate broker is acquiring stock in three different ways while selling real estate as you normally would.

eXp Realty Stock Program Explained

Sustainable Equity Plan

With eXp Realty’s Sustainable Equity Plan, real estate agents are awarded stock shares for completing specific tasks within the company. Agents receive shares of stock whenever they:

  • Close your first home each year with eXp Realty – $200 worth of EXPI stock
  • Fully cap each year – $400 worth of EXPI stock
  • *Sponsor a real estate agent and that agent closes their first home with eXp Realty (one-time only) – $400 worth of EXPI stock

Once earned, these awards have a three-year vesting period.

*Note: To vest for the sponsor equity award, both you and the agent sponsored must remain with eXp Realty at the time of vesting.

ICON Agent Award Program

eXp Realty Icon Agent Award Trophies

eXp Realty agents who sell real estate at a high level, either by transaction count or gross commission income, are eligible to receive the ICON Agent Award each year. This award pays out up to $16,000 in EXPI stock back to the agent receiving the award.

Check out my post for the full details and eligibility requirements for the eXp Realty ICON Agent Award Program.

Agent Equity Program

Another way eXp Realty agents can participate in stock ownership is to opt-in to the “Agent Equity Program.” This program allows eXp Realty to withhold 5% of the commission from an agent’s transaction and purchase EXPI stock at a 10% discount.

The share price is determined by the closing market value of the last trading day of EXPI stock for the month. This day is also the issuance date.

Agents can Opt-In or Out at any time they wish to participate or not in this program by completing the Opt-In/Opt-Out Form.

Selling Your eXp Realty Stock

Someone counting dollar bills

Upon vesting, shares of EXPI stock can be transferred to another brokerage account or sold through the agent’s Shareworks account (Before November 1st, 2019 Broadridge holds agent shares).

Access to Shareworks is through the eXp Enterprise system.

Process and Fees

EXPI stock acquired after November 1st, 2019, can be sold via Shareworks through the online portal in eXp Enterprise.

EXPI shares of stock sold through Shareworks will have a $.03/share commission fee associated with it. Additionally, there is a $20 wire fee. There are no other fees if completing this transfer/sale via the internet.

EXPI stock acquired before November 1st, 2019, can be sold via Broadridge by contacting Shareholder Support at 1-800-586-1585.

Shares acquired before November 2017 are considered “restricted stock” and require a $50 restriction removal fee before sale/transfer. I’m not aware of any other fees to sell/transfer stock acquired through Broadridge.

Additional Companies Owned By eXp World Holdings

Showcase IDX – Showcase IDX is a platform that connects real estate websites to your local MLS. This connection allows the website to display local listings. Showcase IDX is considered the leader in the real estate industry due to its modern and stylish interface and robust features.

SUCCESS Enterprises – In 2020 eXp World Holdings purchased SUCCESS Enterprises. SUCCESS is a leading personal development company that was established in 1897 and features SUCCESS magazine, SUCCESS.com, SUCCESS Newsletters, podcasts, digital training courses, and affiliate social media accounts.

Virbela – Virbela creates virtual office environments for companies around the globe. Virbela is what powers eXp World. Many other companies also use Virbela’s virtual offices, including PricewaterhouseCoopers, MIT Sloan School of Management, and computing company HTC.

eXp Commercial – In 2020, eXp World Holdings created an entirely separate commercial brokerage rather than lump it into eXp Realty. Today eXp Commercial is home to agents all across the US and soon, international. See my article that talks more about eXp Commercial here.

Stock Split

On February 16th, 2021 eXp World Holdings completed a 2-for-1 stock split. This means that anyone who held shares of EXPI prior to February 16th now had double shares but at half the price.

The reason why companies typically complete a stock split is to make the shares more affordable. Investors don’t have to purchase as many fractions of a share and can purchase whole shares instead.

For eXp World Holdings and eXp Realty, this is particularly important since agents are issued shares for production and growth initiatives. Take for instance the $200 stock award agents receive for their first transaction each year. At $160/share that’s 1.25 shares. However, at $80/share that’s 2.5 shares.

Without the split, if the share price continued to increase, it could create an issue where agents wouldn’t even receive a full share when they received an award.

Company Earnings Growth

eXp World Holdings has been exponentially growing its revenue and cash flow over the years. Prior to the fourth quarter of 2019, EXPI had not had a positive net income quarter (not unusual for a new company). However, since that time EXPI has seen tremendous earnings growth.

In 2019 eXp World Holdings had a net income loss of around ten million dollars. In 2020, eXp World Holding booked a positive net income of over $30 million.

EXPI Annual Net Income

Additionally, with the addition of thousands of agents and acquisitions of multiple companies throughout the past few years, EXPI has seen substantial revenue growth. In 2018, EXPI earned revenue of just under $500 million. In 2019, that revenue nearly doubled to $979 million. Then in 2020, EXPI eclipsed the billion-dollar revenue mark and finished the year at $1.79 billion in revenue.

EXPI Dividend Stock

Currently, EXPI does not pay out a dividend to shareholders.

Let Me Know What You Think

Have you acquired shares of eXp Realty Stock since joining the company?

I’d love to hear from you in the comments below.

Also, let me know if I left anything out or if you have any further questions related to eXp Realty Stock.

Kyle Handy

Would You Like To Partner With Me?

Check out my Partner Page for details on the benefits of working with me at eXp Realty. I’ve helped hundreds of real estate agents, team leaders, & brokers all over the country, increase their business & build additional revenue streams. Together, we can make this year your best yet!

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12 Comments

  1. Thank you Kyle for such a detailed explanation of how stock is earned with EXP. This will be very useful in explaining to other agents in black and white how it works!

  2. I'm with EXP now. I LOVE the way you detailed this information. I am SO appreciative! I also just really love EXP.

  3. For 5 years I have been specializing in leasing and doing a high volume of transactions. Anywhere from 40-80 per year and in my market those commissions can sometimes even be as high as a sales commission in other areas of the country. I moved brokerages in March but the Covid shutdowns have really shown me how much I don't depend much on my brokerage to run my business as most of the resources available are much more sales focused. For this reason I've been considering eXp and I'm interested in discovering if any of these structures change when applied to a lease transaction vs a sale transaction. Would I still earn eXp stock if its a lease transaction and not a sale transaction? Is there a minimum commission that my lease transaction would need to be to earn that stock? Also, I don't currently offer property management to clients but I'm curious if there are any rules at eXp about whether or not agents can offer management services if they have earned proper certification in their state.

    1. Hey there Lindsay! I think Covid opened many agent’s eyes to the switch in priorities around an office. To answer your questions, leases are on the same split and fee structure as purchases. 80/20. Additionally, you can receive stock for completing lease transactions. Agents can NOT offer property management to clients. You can list a property for rent but cannot do the management. Brokers are allowed to be with eXp and have a property management company outside of eXp if this is something they wish to pursue. If you’re not already working with another eXp agent, I’d love to set a meeting with you. Here’s a link to my zoom calendar: https://calendly.com/kylehandy/zoomcall

  4. I’m in a team and I half capped and getting 100% commission before the team split. Can I still get the $400 when I reach 16,000 full cap?

  5. I think a lot of agents are going to be very disappointed after all the 'hype' ends and they see they're making 'diddly squat at EXP Realty

    1. Hi NJ. I appreciate your comment. I’m a little curious what your insightful analysis is based off? Or is it just more FUD that many outside of eXp try so hard to spread? (FUD = Fear, Uncertainty, & Doubt).

  6. Kyle, Thanks for spelling it all out.

    One question? Vesting

    When I ICON award stock every year for three years, then on the fourth year I do not ICON award is all my stock vested?

    Or just the first year ICON stock is vested? Then the fifth year my second year ICON stock is vested then the sixth year my third year ICON stock is vested?

    Thanks for your input!

    1. Hi Chris! Your second scenario is correct. Year 4 = Year 1 ICON stock vests. Year 5 = Year 2, and Year 6 = Year 3. You bet!

  7. Hi Kyle,

    This is a great explanation – thanks for sharing this.

    I have questions around how this applies if I’ve already capped at my current brokerage. Would the $400 of stock be awarded if EXP is honoring my current cap status?

    Happy to set up a quick Zoom with you!

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