There are tons of agents joining eXp Realty right now; in fact, over 1,000 agents per week! But there are also a lot of agents who are leaving eXp because of various reasons. I know many of these agents myself, and I understand the reasons they have moved on.
There’s no such thing as a brokerage–or a company–with a 100% retention rate. In fact, most real estate brokerages have an attrition rate between 75% and 90%. It’s just not realistic to expect that everyone who joins eXp Realty is going to stick around.
If you are considering joining eXp Realty or are already involved in it, you may wonder why so many people are leaving. Well, I’ve got the top reasons that I’ve encountered right here.
1. Agents Go Out of Business
By recent statistics, around 87% of real estate agents fail in the first three years. It’s a lot harder to be a real estate agent than most people realize when they first decide to join the real estate business.
Most realty brokerages have support programs designed to help agents succeed, but not every agent can make it work. Every agent must understand that they are a business owner. This means business planning, forecasting, budgeting, and going out to execute plans every day. Unfortunately, many agents fail to realize this until it’s too late. Leaving eXp could be the only option at that point.
2. Agents Get Overwhelmed
Starting any new business is hard. Those first few weeks of getting the hang of things can be overwhelming and confusing. eXp Realty is a fully online brokerage, which means that it’s going to take a little more time to master the workflow.
Mastering a new method is especially difficult for agents who are already used to a different format. If they know how to do paperwork and get stuff done in a physical environment, the necessity of moving completely online may be more than they want to deal with.
New agents often get frustrated by trying to figure out all the tools that eXp has to offer. They get confused about how to use Skyslope for their documentation. Or they can’t find the training videos that eXp offers daily for further education. Maybe they don’t understand how to get connected on eXp World. I could go on for days with examples on this….
With so many programs, it’s hard for new agents to find the right path to success. If they don’t want to work with the virtual environment and the lack of personal, immediate connection with other agents, they will fail.
3. Agents Get Recruited to Another Brokerage
Agents at eXp Realty can make a lot of money, but that doesn’t mean that every agent will like the eXp model best. They may not really make the most money, either. In some cases, an agent may hear about another brokerage that fits better with what they want.
For example, eXp works on a commission split model. Agents start out with an 80/20 commission split (80% goes to the agent, 20% goes to eXp). Once agents reach their $16,000 cap, they start earning 100% commission. However, some agents don’t fit well within the split model. A flat fee model, where agents pay a certain amount no matter what they sell, is a lot more appealing and beneficial to some agents.
eXp does offer other revenue streams, including revenue share, stock earning opportunities, and affiliate partners. For some agents, though, the extra revenue just isn’t enough. Some agents have a business model and a production rate that work a lot better with a flat fee rather than a commission split. For them, another brokerage model just makes more sense.
4. Agents Are Oversold on eXp
A lot of agents at eXp Realty are excited about the benefits of eXp and try to convince others to join them. They have a legitimate reason for doing so–eXp does have great benefits for agents who want to put the work in to succeed.
However, if non-producing agents are coming to eXp, expecting eXp to give them some kind of boost in productivity, they are going to be disappointed. If they bring the work ethic of a non-producing agent to eXp, they will still be a non-producing agent.
eXp has a lot of great tools. These tools can really help good agents grow and expand. But if agents come in just expecting those tools to solve their problems, it’s not going to work. They will still end up with no production and have to leave the brokerage.
There are two basic revenue sources at eXp–selling homes or recruiting agents. If an agent doesn’t want to put in the work to do either one, their stock in the company and overall revenue will not expand.
Why Agents Leave eXp Realty
In the end, success at eXp has a lot more to do with who you are as a person. If you’re an agent who loves selling homes and wants to work in the business with more revenue options and high-tech tools, eXp is a great option.
It’s important to realize that eXp really is just a brokerage. There are a lot of things it does differently, but at the end of the day, it still needs that revenue from producing agents if it’s going to succeed. Without agents willing to do their best, eXp, like any other brokerage, will fall apart.
Whether you’re interested in starting with eXp, already involved, or devoted to another brokerage, this is the key thing to remember: you make your business what it is. If you don’t put in the effort to learn your trade and do it well, you will fail no matter what brokerage you join, and leaving eXp may end up as your only option.
If you’re interested in joining eXp with a partner who will support and guide you the whole way, consider reaching out to me. I offer new agents free lead generation services when they partner with me in joining eXp. Just don’t forget that when you join, do it for you. Make the choice to join a company you’re passionate about working with. If you can do that, your success is pretty much guaranteed.