REAL vs. eXp Realty vs. LPT Realty Cost & Fees: In-Depth Comparison

Jun 12

Cloud brokerages are rapidly gaining popularity in the real estate industry due to their lower fees, advanced technology, and additional income streams. The three largest cloud brokerages today are eXp Realty, REAL Broker, and LPT Realty. This article provides a detailed comparison of the costs and fees associated with these brokerages, and runs through various production scenarios to determine which brokerage is the most cost-effective depending on your production level.

REAL, eXp Realty, and LPT Realty are three popular real estate brokerages that offer unique commission structures and fee systems. According to Real Trends, these brokerages are among the top 10 largest brokerages in the US.

REAL Broker Cost & Fees

Sign-up Fee: $249 one-time fee
Commission Split: 85/15 split with a $12,000 annual cap
Transaction Fee: $30 BEOP fee per transaction (covers E&O Insurance)
Annual Fee: $750, deducted in three installments of $250 from your first three transactions each year
Post-Cap Fee: $285 per transaction after capping; drops to $129 after achieving Elite Agent status
Optional Services: Chime (now Lofty) for $40/month
Stock Awards: Up to $24,000 in free stock for earning the Elite Agent Award, which includes a $16,000 production award and an $8,000 cultural award for training or community service

eXp Realty Cost & Fees

Sign-up Fee: $149 one-time fee
Commission Split: 80/20 split with a $16,000 annual cap
Transaction Fee: $250 per transaction after capping; reduced to $75 after achieving Elite Agent status
Monthly Fee: $85 cloud brokerage fee
Transaction Review Fee: $25 per transaction
Risk Management Fee: $40 per transaction, capped at $500/year
Stock Awards: Up to $16,000 in free stock through the Icon Agent Award, divided into production, cultural, and event attendance awards

LPT Realty Cost & Fees

Commission Split: 80/20 split with a $15,000 annual cap
Transaction Fee: $195 per transaction
Annual Fee: $500, deducted from the first deal each year
Stock Awards: 1,400 shares for the Gold Badge (15 homes/year) and 3,150 shares for the Black Badge (35 homes/year)

Note: LPT Realty offers two paths: the Business Builder plan ($500 per transaction, $5,000 cap, no revenue share or most stock awards) and the RevShare Partner plan (80/20 split, $15,000 cap, similar to REAL and eXp). This comparison focuses on the RevShare Partner plan. Currently, LPT is not listed on any stock exchange, so stock values are estimated using REAL Broker’s stock price of $1.42.

Cost & Fee Comparison Scenarios

Scenario One: 7 Transactions Per Year

For newer agents closing enough transactions to fully cap at each brokerage (7 transactions per year):

eXp Realty: $17,475
LPT Realty: $16,467
REAL Broker: $13,440

Conclusion: REAL Broker is $4,035 cheaper than eXp Realty and $3,027 cheaper than LPT Realty.

Scenario Three: 30 Transactions Per Year

For agents closing 30 transactions per year:

eXp Realty: $7,495 (including up to $16,000 stock award)
LPT Realty: $18,964 (including $1,988 stock award)
REAL Broker: $0 (net positive $3,627 including up to $24,000 stock award)

Conclusion: REAL Broker is $11,122 cheaper than eXp Realty and $22,591 cheaper than LPT Realty.

Scenario Two: 15 Transactions Per Year

For agents closing 15 transactions per year, capping at each brokerage:

eXp Realty: $19,895
LPT Realty: $16,039 (including $1,988 stock award)
REAL Broker: $15,960

Conclusion: REAL Broker remains the most affordable option.

Scenario Four: 40 Transactions Per Year

For agents closing 40 transactions per year:

eXp Realty: $8,495
LPT Realty: $16,441 (including $4,473 stock award for Black Badge)
REAL Broker: $0 (net positive $2,037)

Conclusion: REAL Broker remains the most cost-effective option.

Conclusion

When comparing the costs and fees of REAL Broker vs. eXp Realty vs. LPT Realty, it is essential to consider all fees, stock awards, and caps for your specific production scenario. In nearly all scenarios, REAL Broker is the most affordable, and it is the only brokerage where agents can be net positive at the end of the year due to the $24,000 stock award.

While higher costs can sometimes be justified by additional value, agents must decide if the extra expenses at eXp Realty or LPT Realty are worth it compared to the savings and benefits at REAL Broker.

For a deeper understanding of the additional value REAL Broker provides, explore these related articles:

If you’re deciding which cloud brokerage to join, I chose REAL Broker not only for the savings but also for the culture, community, technology and core values that align with mine. To learn more about REAL Broker, schedule a 1-on-1 video call with me to discuss your business and see if REAL is right for you. Choose a date and time that works for you from my calendar by clicking the button below.

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