REAL Broker Explained 2024
About REAL Broker
REAL Broker is a cloud-based brokerage with next-gen technology and resources for its real estate agents.
Being cloud-based gives its agents many advantages over traditional brokerages including reduced fees and caps, excellent training from agents around North America, cutting-edge technology and tools, excellent support, a supportive and active community, and multiple streams of income!
Benefits Of a Cloud Brokerage VS Franchise Brokerage
Because REAL Broker is cloud-based, this has dramatically reduced its cost compared to a traditional franchise brokerage. THIS is why REAL has been able to provide so much more value to its agents and charge so much less the most other brokerages.
With a traditional franchise-based brokerage the company hires regional managers to go out and sell franchises to brokers who want to open up an office. Those brokers then rent out an office space, buys office equipment, hire an office manager who then hires staff, and recruit real estate agents to the office.
So when you pay a split to a franchise brokerage, that money is going towards:
The office manager’s salary
The rent on the office space
The cost of staffing the office
The cost of the office equipment
The cut your broker takes of all revenue
The franchise fees and splits your broker pays
The regional manager who found your broker
And the company itself
As you can see, this model is very expensive and is why many franchise brokerages have no choice but to charge their agents large caps of $20k, $40k or even $50k+ a year AND an abundance of fees on top of that.
In comparison, REAL Broker is cloud-based, and dramatically reduced their business expenses allowing them to charge real estate agents less and to provide them with more value!
At REAL Broker, the agent works DIRECTLY for the company!
NO office manager’s expenses
NO office space rents
NO staffing cost
NO office equipment cost
NO franchise fees
NO regional manager
About REAL Broker’s Technology
One of the biggest benefits of joining REAL Broker is access to its agent technology! Being cloud-based, REAL relies on its technology heavily and they have put a lot of energy and resources into making sure it’s some of the best in the industry!
Here is a brief overview of some of the impactful pieces of technology agents at REAL Broker get access to!
REAL Broker Agent App
The one piece of technology REAL Broker provides to its agents which I personally use the most is going to be the agent app! This app has become a pivotal part of my business and something I look at almost daily!
Here is a quick breakdown of it’s features I most use.
Agent Production
The very first page of the app clearly displays your entire yearly business. Including how many closed transactions, gross commission, net commission after your cap, and your progress toward your cap. In addition to that, you can pull up these numbers for past years as well as download your stats in spreadsheets.
If you talk to any real estate coach, the first thing they will tell you is you have to know your numbers! And at REAL, they make it incredibly easy to see your numbers clearly displayed so you know where you are at with your quarterly or yearly business goals.
Agent Transactions
The app also allows you to look at ANY transaction you currently have under contract or previously had. In the transaction, you can see a checklist showing the progress of the transactions, all the details of the transactions including commissions and closing date, all the contact information of all parties including co-op agent and titles company, whether the contract has been approved by your broker and a running chat log with your broker about each transaction.
THIS has been a game-changer for my business! I used to have to write all this information down myself but now if I need to get a hold of a co-op agent in a pinch, I can find their contact info here! If I forget the closing date or what my commission will be, I can find it here! If I have a question about a particular transaction, I can chat with my broker about that transaction here!
Agent Support
Another useful feature of the agent app is access to support! There are several ways for you to get support using the app depending on what you need. First, you can directly call REALs support call center from the app and talk to a real human being ASAP! If a matter is not that urgent, you can also email support through the app. If you have a question pertaining to your local state, the app provides your broker’s phone number and email address so you can call, text, or email them directly! Finally, each file has a chat feature built into it so that you or your broker and message each other about that specific file and have a record of your communication.
Revenue Share
The app also makes it very easy to track your downline and any income you make from revenue share. The app clearly displays on the first page how big your downline is, how many tiers of revenue share you have unlocked, and how much money you have made from revenue share during this capping cycle. You can also view every single agent in your downline going down all 5 tiers and see their direct contact information as well as view all 5 tiers of agents above you and their contact information as well.
The app also shows you all of your past revenue share payments, your next payment as well as specifically who in your downline closed a transaction during that cycle and specifically how much revenue share you made off of those closings.
RE Zen
RE Zen is your desktop dashboard where you can find all the same information as the app, plus more. Here you can see all of your production numbers from real estate sales, stocks you have earned, revenue share and downline information, and more.
Your dashboard is also where you create a transaction, enter the details and upload your contract for your broker to review. Just like the app, you can see a checklist of the progress of the transaction, and all pertinent information and have a chat log with your broker for each transaction.
In the RE Zen dashboard, you can also manage your team, get access to marketing material, find links to other resources, and much more.
Workplace
Workplace is how you access the REAL Broker community! Workplace was created by Facebook so it looks like their platform BUT only people in your organization have access to it. So you won’t find vacation photos or political posts here, just REAL agents masterminding and sharing information.
In Workplace you’ll find different groups where you can ask questions or share knowledge around specific topics, you’ll find a group for each individual state for state-specific matters.
All of the training is also live-streamed into Workplace. REAL typically has 20-30 live training sessions a week hosted by its agents which you can access here as well as multiple “masterminds” a week. Masterminds are open to anyone, typically between 10-50 agents hopping on a Zoom call and talking about specific topics. Anything from social media to running teams to YouTube like the mastermind I host. These can be a great way to ask questions, meet other agents, and learn.
Workplace also has a messaging feature so after a mastermind mind or class you can message other agents you met and start networking. You’ll also find an exclusive REAL Broker referral group within the workplace which you can use as part of your lead generation strategy.
Chime
REAL Broker has a partnership with Chime, which in my opinion is one of the most powerful CRMs and Websites out there for real estate agents. Typically to have access to Chime, it starts at $500 a month. With REAL’s partnership, REAL agents get access to its full set of tools and CRM for only $40 a month!
What Chime does best is automation! For example, when a lead registers on your website, of course, Chime can set them up on an email property alert for similar homes but their AI chatbot will start texting the lead and having a conversation with them. This chatbot can get more clarification on what they are looking for, their timeline, if they are pre-approved or not, and even look at your calendar and schedule a showing with the lead based on your availability!
REAL Academy
REAL Academy is where we house all of our training for our agents. Currently, we have over 170+ online classes exclusively for REAL agents. You can also access 20-30 live streams a week here as well as access REAL’s masterminds focused on anything from video & social media to running teams to the mastermind I host focused on YouTube. These masterminds typically have 20-50 agents hopping on a zoom call and discussing a certain topic and are open to all REAL agents.
You can also access REAL’s exclusive coaching programs through the REAL academy as well.
Multiple Streams Of Income
One of the unique advantages of being an agent at REAL Broker, is your buisness now has the potential for multiple streams of income in addition to your real estate commisions. The two main additional streams are the free stock you receive from REAL for hitting certain milestones and Revenue Share for helping the company grow.
Free Stock In REAL Brokerage, Inc.
RELABroker offers it’s agents 4 ways to earn completly free stock in the company. They do this because they want the company to be owned by the agents working here and believe this will have a big impact on the culture of the company. All the free stock does have a 3 year vesting period before you are awarded it. In the industry we call this “golden handcuffs” and it has a big impact on agent retetion.
1. The first way Is simply by capping. Currently when you cap at REAL, they award you 250 shares of stock in the company. As of the time of this writing, that stock is worth $1.32 a share, so that works out to $330 in free stock. The amount of free stock the give agents for capping will be adjusted as the value of the stock goes up and also as the number of agents in the company goes up.
2. The second way is by helping grow the company. If you bring an agent into the company, when they close their first transaction, REAL will give you 125 shares of stock in the company. This is in addition to any Revenue Share they will give you for that agent.
3. REAL also has a stock purchase program where you can buy stock directly out of your commisions and receive free bonus stock for doing this. As of this writing, you can receive up to 30% free stock for opting into this program. This percentage will also be adjusted down the road as the company grows.
4. The final and biggest way you can earn free stock is by hitting their Elite Agent Award. You hit this by capping and then paying $6,000 in “post cap transaction fees”. So that works out 21 transactions after you cap if your a solo agent. If you have a team, part of your team mebebers transaction fees also count towrds your $6,000. For hitting Elite Agent they give you up to $24,000 in free stock in the company!
Revenue Share
The second additional stream of income agents at REAL have access to is Revenue Share! You receive revenue share on any agent you are responsible for bringing into the company and who names you as their sponser. REAL reaslied that instead of spending money on marketing to grow the company, they could instead give that same money to the agents who are helping grow the company one conversation at a time and they do this with Revenue Share.
For any agent who names you as sponser into the company, REAL will give you 5% of every commision that agent closes until they cap. This is taken from the 15% split that agent pays to REAL. So this works out to you receiving up to $4,000 a year for bring in a capping agent. This will continue as long as the agent is in the company.
But it does not stop their. The agents you directly bring in are concidered in your Tier 1. If they bring in an agent they are concidered in your Tier 2 and you can receive 4% of every commision that agent earns until they cap. If THEY bring in an agent, you will receive 3% of every commision and they will be in your Tier 3. If your Tier 3 agents bring in an agnet, you will receive 2% on them and they will be in your Tier 4 and finally if your Tier 4 agents bring in an agent, they will be in your Tier 5 and you will receive 1% of every commision they earn until they cap.
As you can imagine, revenue share can quickly become a substantial additional stream of income for your buisness.
One thing to note is that your benefits for all 5 tiers are not initally unlocked. At the start only your tier 1 benefits are unlocked. You unlock the benefits of the other tiers by having certain number of “producing agents” in your Tier 1. To be concidered a “producing agent” an agent must earn at least a $3,000 commision every 6 months.
In order to unlock your Tier 2 benefits, you need at lest 10 producing agents in your Tier 1. Then 15 producing agents to unlock your Tier 3. 20 producing agents to unlock your Tier 4. And finally 25 producing agents in your Tier 1 to unlock your Tier 5 benefits.
REAL Broker Leadership Explained
REAL Broker CEO: Tamir Poleg Biography
Tamir is the CEO and co-founder of REAL Broker, LLC. Tamir is an entrepenuer and has buisnessnessperson who has started 5 companies himself. Prior to REAL, he was the CEO of Optimum RE investments and has over 15 years in the real estate industry.
I have had the privliage of speaking to Tamir several times and is a soft spoken and kind human being. Many of the companies core-values reflect that of his own such as “work hard, be kind“. You’ll often hear him talking about “love” and has said when we talking about the companies “growth” we need to combine that with the word “caring” to make sure we are focused on taking care of our agents as we grow.
REAL Broker President: Sharran Srivatsaa Biography
Sharran is a success serial entrepenuer, keynote speaker and coach to top CEOs around the country. Sharran also host the podcast Business School. He has spent time working at Goldman Sachs, Credit Suisse and the Ritz-Carlton amongst other major national companies. One of his most recent success stories is Teles Properties where the company grew 10X in value in just 5 years under his leadership! Now that is non-compete clause with Teles Properties is over, Sharran is getting back into the real estate industry and taken over as the President of REAL Broker.
Sharran is a high energy and humble man. He often talks not just about his successes but also his failures which can often teach more valuable lessons. Sharran is clearly passionate about growing companies, customer experience and sharing his knowlege with others.
Cost Of Being A Real Estate Agent At REAL Broker, LLC
Now let’s talk about REAL Broker’s costs and fees!
At REAL Broker every individual real estate agent has an 85/15 split with a $12,000 cap, or $6,000 cap if you are on a team.
This is true no matter what state you’re in, what your production is, or how big your team is. One of the more frustrating practices you often see with franchise brokerages is the broker offering some agents “sweetheart deals“. Where brokers will give some agents lower caps or better split or give them free office space in order to join their brokerage. As an agent, this can be incredibly frustrating, and REAL does NOT have this practice. Their caps, slits, and fees are standardized across the board.
REAL Broker does have an annual fee of $750 a year, this is taken out of your first 3 transactions of your caping cycle, $250, $250, & $250. The nice thing about this fee is you ONLY pay it when you actually have money coming in!
While you are paying the 15% split towards your cap, there is no “transaction fee”. After you have fully capped and are no longer paying the 15% to REAL, there is a $285 Transaction Fee per transaction. After you hit Elite Agent (which I’ll talk about below) your transaction fee then gets reduced to $129 per transaction.
Real also charges a $30 per transaction BEOP fee. This stands for Broker Review, E&O Insurance, & Processing. This is on every transaction, regardless of whether you are paying a cap or not.
REAL also has 1 time “Sign Up Fee” of $249 to cover the cost of getting creating your accounts and getting you into the systems.
10 Transactions
Let’s say you close 10 deals a year at an average price point of $400,000 and an average commission of 3% which is $12,000.
REAL would take 15% of each $12,000 commission which is $1,800 and leaving you with $10,200 per transaction. At this rate, it would take you 7 transactions cap and you would have paid the $30 BEOP fee on those 7 transactions which is another $210. You would not have any transaction fees on those 7 transactions.
As a BONUS, when you cap REAL gives you free stock in the company. As of this writing, they are giving away 250 shares of REAL Brokerage Ing. stock for capping and currently, this stock is worth $1.32 a piece. This stock bonus is currently worth $330. The amount of free stock they give for capping will be adjusted as the agent count of the company goes up and as the value of the stock goes up.
For the remaining 3 transactions you do NOT pay the 15% split to REAL but do pay a $285 transaction fee which adds up to $855 plus the $30 BEOP fee per transaction which adds up to $90.
You will also pay your $750 annual fee. This get’s taken out of your first 3 transactions, $250, $250, $250.
So 10 transactions, you would receive $120,000 in gross commission and pay:
–$750 Annual Fee
–$12,000 Cap
–$855 in Transaction Fees
–$300 in BEOP Fees
+$330 in Free Stock
TOTAL COST: -$13,575
NET COMMISSION: +$106,425
20 Transactions
For the second scenario, let’s say you close 20 transactions, again at an average price of $400,000 and 3% commission which is $12,000.
Like scenario 1, it would take 7 transactions to the cap, and it would cost you $12,000 + $210 in BEOP fees. And you would receive a free stock bonus, currently, it’s 250 shares of REAL Brokerage Inc. Stock.
For the remaining 13 transactions you would pay the $285 transaction fee + $30 BEOP fee per transaction. This totals $4,095.
So for 20 transactions, you would receive $240,000 in gross commission and pay:
–$750 Annual Fee
–$12,000 Cap
–$4,095 in Transaction Fees
–$600 in BEOP Fees
+$330 in Free Stock
TOTAL COST: -$17,115
NET COMMISSION: +$222,885
30 Transactions
For this one, let’s say you close 30 transactions a year, again at an average price of $400,000 and 3% commission which is $12,000. Closing 30 transactions will also more than qualify you for the Elite Agent and up to $24,000 in free stock!
So again, you will pay a $750 annual fee, a $12,00 cap on your first 7 transactions, and a $30 BEOP fee on all 30 transactions which adds up to $900.
You will then pay a $285 transaction fee after you cap UNTIL you hit elite agent. In order to hit Elite Agent you need to pay “$6,000 In Post Cap Transaction Fees“. After you elite agent, the transaction fee drops to $129 per transaction.
So that is 21 transactions AFTER you cap in order to hit elite agent. Which adds up to $5,985 in post-cap transaction fees. And that is 28 transactions total to hit Elite Agent.
And that leaves 2 transactions after hitting Elite Agent which you will pay $129 transaction fee which is a total of $258
When you do hit Elite Agent, REAL Broker will also give you up to $24,000 in free stock in the company!
So for 30 transactions, you would receive $360,000 in gross commission and pay:
–$750 Annual Fee
–$12,000 Cap
–$6,243 in Transaction Fees
–$900 in BEOP Fees
+$330 in Free Stock
+$24,000 in Elite Agent Stock
TOTAL COST: +$4,437
NET COMMISSION: +$364,437
So as you can see, with 30 transactions, you’ll hit Elite Agent and it effectively will not cost you anything to sell those homes and you will actually be a net positive of $4,437 when you factor in the free stock.
REAL Broker Reviews
Next Steps With REAL Broker
Pick a date & time for a REAL Broker video Consultation with Me, Malcolm Lawson, to see if REAL is a good fit for you.
