Is EXP Realty a Pyramid Scheme?

You may or may not already know that Exp Realty offers a revenue share program to its agents. Meaning that whenever an Exp Realty agent sponsors a new agent to join, whenever that agent makes a sale, the sponsoring agent will earn a small piece of that commission through revenue share. And that sponsored agent can also sponsor their own agents and the cycle repeats on and on and on.

However many agents not familiar with Exp Realty automatically think of this model as a pyramid scheme, MLM, or just a recruiting brokerage. However, let’s dissect this further. If you’re already an agent. Ask yourself the following questions:

-Does your current broker request that you help recruit other agents to join your brokerage?
-When that agent joins, how much do you get compensated for the referral?
-How much do you get compensated whenever your sponsored agent makes a sale?
-How much does the broker/brokerage get every time that agent makes a sale, in splits or fees for every transaction?

So is this fair to you as an agent who brought over a new agent? What Exp Realty has done, is essentially reward agents for growing their brokerage. Something that did not happen before the creation of Exp Realty. When Exp Realty created this model, it really disrupted the traditional real estate, brokerage model. Today there are many other brokerages that have duplicated and implemented a similar model to award agents. 

As far as is Exp Realty a recruiting brokerage. Yes, just like many of the other major brokerages. A brokerage is nothing without its agents! Exp Realty realized this, and their brokerage model is created to help benefit their agents. Exp Realty isn’t an MLM type of business, agents are not chasing clients or other agents to make propositions about buying a set of knives, private label goods, a vacuum, or anything like that. Exp Realty agents are just like any other agent, we sell real estate with the exception of having the ability to earn income through other avenues because our brokerage model empowers agents. If you are unclear or have further questions, feel free to reach out to me. 

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