So you're thinking about joining one of Canada's most exciting and fastest growing brokerages? We're here to break down the Real Brokerage model, stock awards, and benefits we've seen from being at this brokerage since we joined in Q4 2021.  real brokerage

The leadership team with the Real Estate Partners has met with the CEO of REAL BROKERAGE INC Tamir Poleg numerous times about systems, ways to improve and build the brokerage, future plans, and much more, in every one of those meetings not only was Tamir responsive and engaged, but we also were given the opportunity to speak with other leaders at Real Brokerage so we could speak first hand to people overseeing different divisions. 

How to Join Real Broker in Canada With Us

If you're ready to join Real, you've landed at the right spot. Simply visit the Real Estate Partners and Dusko Sremac's  page to learn more about Real Brokerage or click the I'm ready to join button below  to get the process started right away! Our team will support you with getting onboarded to the brokerage or call 403-988-0033 to reach us directly. 

What are the fees at Real Broker in Canada? 

When it comes to brokerage fees, there are many different models that an agent can explore, but very few have a model that can replicate what Real Brokerage does. Below are the individual agent splits as well as the option for those looking to join a team, or bring their team to Real Brokerage. 

Agent Splits at Real Broker in Canada

  • 85/15 commission split
  • $12,000 annual cap, then 100% split
  • No monthly fees
  • $249 sign-up fee 
  • $275/transaction fee after cap,
  • $125/lease transaction fee after cap
  • $1,200 annual brokerage and risk management fee, paid from first three trades/anniversary year ($400/transaction)

Team splits at Real broker in Canada

  • 85/15 commission split
  • $12K team leader annual cap, $6k team member annual cap, then 100% split
  • No monthly fee
  • $249 sign-up fee
  • Team leader qualifications of $5M or 25 transactions in prior 12 months
  • $275/transaction fee after cap, $125/lease transaction fee after cap
  • $1,200 annual brokerage and risk management fee, paid from first three
    trades/anniversary year ($400/transaction)
  • Minimum 25% team member split to leader* 

 Post cap - 100% commission, $250/ transaction fee on up to 3 personal sales deals per year

Why this model is great for those looking to be on a team, or grow a team ? Often new agents biggest struggles with getting into the industry and why we see such a high failure rate is the upfront costs associated with become a real estate agent. While there are many other factors to being a great and successful Calgary REALTOR® (good training, lead generation, etc) many new agents don't realize that it could be months before their first pay check arrives, while they've been steadily pumping out thousands of dollars to their brokerage, licensing and board fees + startup costs. With Real Brokerage there are  no monthly fees, this allows agents to truly focus on building their skills and knowledge on important matters (Communities, Construction, Liabilities, Resale, etc) without bearing the burden of upfront brokerage fees. 

Real Broker Revenue Sharing Model

At Real Broker in Canada, you can earn up to a 5% revenue share (based on an agents annual cap) on agents that you attract to the brokerage, up to $4,000, this would be agents who fall under your first tier (Tier 1) referred agents. On agents that are brought to the brokerage, by someone you brought to the brokerage, you can earn 4% of the agents GCI% up to their annual cap to a maximum of $3,200, and this continues all the way down through five tiers. 

 

REFERRAL

BONUS GCI%

NUMBER OF TIER 1

REQUIRED TO UNLOCK TIER

MAX/AGENT

PER YEAR

Tier 1 5% up to annual cap 1 + producing agent $4000
Tier 2 4% up to annual cap 10 + producing agent $3200
Tier 3 3% up to annual cap 15 + producing agent $2400
Tier 4 2% up to annual cap 20 + producing agent $1600
Tier 5 1% up to annual cap 25 + producing agent $800

As one of the top recruiting teams to Real Broker in Canada, we know the value in being with a brokerage that allows you to grow your team internally and externally. This model allows for deeper collaboration with local agents and teams, as well as real estate agents across the rest of Canada and the US. 

Agent Stock Purchase Plan for Real Brokerage

Agents at the Real Brokerage are afforded the opportunity to invest back into the business. Real is publicly trading as The Real Brokerage Inc. (TSXV: REAX) (NASDAQ: REAX).
Real has three stock plans for agents: agent stock purchase; capping & attracting stock awards; and Elite Agent stock awards.

BEFORE CAP  5% paid out in stock per transaction |  25% additional shares one year after the transaction at no cost to agent

AFTER CAP 10% paid out in stock per transaction up to $15k annually 50% additional shares one year after the transaction at no cost to agent

To give perspective, REAX was trading at $.61 on July 16th 2021 (before it had a great run and shot up) if you had purchased stock from January - July up to the $15k max, and you averaged $.75 per share average purchase price, you would have 11,250 shares + your one year bonus of 50% in shares this would leave you with 16,875 shares in July 2022 on a stock that is presently trading around $2 per share.

The Real Estate Partners Take: This vessel should be utilized with money that you can afford to lose, while we're major believers in this company, the stock market can be unpredictable and gains aren't guaranteed. However, if you do have money to invest it's a good opportunity. If the stock were to not make any significant changes from the $2 per share, you'd still have the opportunity to earn 50% in free shares up to the $15,000 max, this results in $7,500 worth of shares being granted. 

How agent stock purchasing works

● Real Brokerage Inc purchases the shares on your behalf, based on the closing price on the last trading day of the month in which the transaction occurred.
● You can track your holdings easily using an account with ShareWorks by Morgan Stanley that Real creates for you.
● Your vested shares will remain available to you in your Shareworks account as long as you are in good standing with the Real.

After one year from purchasing shares through your commissions, Real Brokerage Inc will grant you your additional shares. The grants for these shares are 25% additional shares before you cap, and 50% after you cap. 

All shares in the stock purchase plan are Restricted Stock Units or RSUs (see glossary below) with a 12 month holding period prior to trading on the public market. Agents must remain in good standing with Real to receive the additional grants.

If you prefer shares that are not subject to a holding period, you may purchase them on the open market, but that option does not provide the opportunity to earn the additional grants from Real.

*All shares are Restricted Stock Units (RSUs) with a 12 month waiting period prior to trading on the public market. Agent must be in good standing to receive bonus.

Elite Agent Stock Award

Reserved for only the best of the best, agents who achieve exceptional sales volume and embody the core cultural values of Real are offered the opportunity to
earn Elite Agent status. One of the following production benchmarks need to be met:

● Pay the full annual cap AND generate $9k in post cap transaction fees OR
● At least 10 completed transactions with a sold price over $1M each

After an agent has made these benchmarks in production, all within an agent’s anniversary year, they will be eligible for the Elite Agent award and will be awarded $16,000 in stock. In addition, the transaction fee decreases to $100/transaction! 

Once an Elite Agent reaches the production, they also become eligible for a cultural benchmark award of an additional $8,000 in RSUs vesting. The cultural benchmark is defined as giving back to the entire agent population by teaching monthly topics at the Real Academy.

REAL BROKER TRAINING & EDUCATION

Daily live training and education with proven top brokers, agents, and industry influencers Annual Real Broker Summit where you can meet and network with other industry leaders as well as  local events featuring top panelists and other guest speakers. 

484 Live classes and mastermind discussions held in 2021

160 On-demand classes added to the knowledge Library in 2021

In our experience one of the most valuable ways to grow your business has been learning from others, and within your typical brokerage there's typically not a lot of agents willing to 'lift the hood' and share the recipe for their success, at Real the culture is much different, agents are even incentivized with culture stock awards to give back and support other agents, the collaboration is something other brokerages should aspire for. 

Pros and cons of Real Brokerage

PRO - Cost and Money Savings

Why is Real able to make a model like this work for such a low cost compared to many other brokerages while still offering so much? Quite simply it's the virtual brokerage model and direct to agent offering that makes this space work. You'll still have access to some of the best brokers in Canada, with tons of online channels and resources to leverage, but you won't have a traditional office space (unless you get your own like we did) - Consider this, other major brokerages, typically have a head office with regional managers that have to appeal to sometimes hundreds of independent franchises, who all have franchise owners (sometimes multiple owners) and a good portion of your brokerages fees (or you're sometimes charged 1-5% marketing fees per deal) are going to growing that brokerages brand / name, that most agents wont benefit from. How many times have you seen a "big name" brokerage advertising online to go to their website, how many leads has or will that brokerage provided to you? Simply put, it's not a system that is in your control and can be stripped or modified without notice, ask any brokerage you join how many leads they provide their agents, and ask agents how much business their brokerage has provided them. 

The ad campaigns ran by brokerage XYZ on bus benches / tv is only going to help with brand recognition, for us as a team, who spend tens of thousands of dollars a month on advertising want to control and measure our investment into our lead generation / brand recognition this isn't a major benefit to us.

Pro - No hidden fees
Often when we interview new agents the discussion about other brokerages centers around their base monthly fees, but agents are often surprised to learn that there are many hidden and expensive fees including franchise fees, regional fees, advertising fees, technology fees, and while some brokerages may offer lower upfront costs (monthly) with splits introduced they'll typically package this with a monthly fee as well, and while $100 per month for one fee may not seem like much, this plus a 1%, fee, and more can really add up. 
Very few brokerages will also allow you to essentially be there for free, with Real Brokerage and the stock awards + revenue share, it doesn't take a lot of effort for a motivated agent to attract and grow their downline, this can result in not only having your fees covered, but can also result in having a new passive income source. 
Con - NO physical Office space

That's right, unless you lease or own your own space, you will be working from home. This might not be that important to many though as working from home has become pretty common, at our office The REP CALGARY HOMES HQ - we have multiple open office spaces and they're rarely used, agents are busy on the road most of the time and the office is usually just a pit stop for printing and grabbing marketing material / signage. 

CON - brand recognition 

Being new to the scene, REAL definitely doesn't have the same recognition as other older brokerages that have been around for ages.

Our take: Brand recognition is becoming a thing of the past, very rarely do our clients ask the difference between our new brokerage and where we were before (RE/MAX) our business has only grown since the move to Real Brokerage. Take this into consideration, as one of the top real estate teams in Calgary we don't rely on the brokerage for a large portion of our business operations, we do our own marketing, our social posts, create our own content, write blogs like these, create marketing material for buyers and sellers, employ more staff, have our own office, we train our new agents thoroughly, and provide ongoing continuous training for all of our agents, spend tens of thousands of dollars monthly on lead generation, and take on the expenses of client gifts, hiring full time staff videographers, contract out photographers, professional measurement companies, the list goes on and on. These are all expenses, tasks, and people we as a team (company) take on to support our 20+ real estate agents, and we can confidently say these expenses are a lot more than what many brokerages as a whole take on. 

Ask yourself this - When a client lists their home with a well known brokerage, but the agent on the listing doesn't put together any marketing material, doesn't take photos, etc will the brand itself get the home sold for the highest price possible? How many brokerages would provide these services, and if so, at what cost? The fact is, in most situations the agent is responsible for marketing the home not the brokerage, who you work with definitely matters. 

Most people start with their purchases online, gone are the days where signs in the ground outsell anything else, you need to have an honest conversation about where you're going and also ask yourself... Will clients hire me solely because of the brand I am with, or the value I offer? For us it's pretty clear, we've grown as a company under Real Brokerage, and we've grown as a team, this is because we are a business that puts in incredible amounts of effort every single day, and we're able to reinvest even more into our company, brand, clients, agents, at Real. It's very easy for our clients to recognize the value WE bring as a team under our brokerage. 

Final thoughts - One of our primary needs for a brokerage is not the brand, it's the individuals who run it and how passionate they are about the future of the company, and more importantly the brokers who pick up our calls at all hours to consult on complicated situations. That is not something that is tied individually to any brand but should be a huge factor in determining which brokerage you will align yourself with.

PRO - Technology 

It is quite common in today's market for brokerages to provide some form of CMS (Contact Management System) / CRM and IDX website, REAL is one of the only companies to not only do this, but to offer one of the best solutions for agents through CHIME technologies. This platform is exceptional, and is offered for only $25 per month.

Real broker is also filled with other great tech options for agents including BOLT, workplace, and we've been first hand apart of the development with the tech team to create new systems and technology offered for teams / agents within the brokerage. 

PRO - real brokerage does not allow you to give away, promote, or entice people to join under you 

This may seem like a confusing 'pro' for newer agents, but if you've been on the other end of multiple recruiting calls from other brokerages, you'll know exactly why this matters. The approach at Real is simple. Attract organically.

The revenue share model can become quite lucrative, with an open ended first line you could have an income of $80,000 per year JUST by bringing 20 agents to Real Brokerage. That means if you brought 4 agents per year for five years to the brokerage, and all those agents capped, you would generate $4,000 X 20 - better yet, if that group of 20 were to each attract just one person under them, you'd unlock your 2nd tier downline and be eligible for 10X (Or more) $3,200 - and it continues from there, one person alone could attract a team of 10+ that you bring to the brokerage and yet you could benefit hugely from it. 

What you don't want though is the focus of your company to become about recruiting, we're still in real estate and that should be the forefront and core focus of our business and operations, the revenue share + stocks are just incredibly high value added bonuses. 

Want More Information About The Real Brokerage in Canada? 

Partner with one of the biggest teams at Real Brokerage the Real Estate Partners fill out the form below to get our entire Real Broker information package or visit JoinReal.ca to get started today.  

Fill out the form below our post to get your copy of the Real Brokerage Attraction Package to find out more about this game changing, forwarding thinking brokerage that gives back to its agents and creates an opportunity for you to not only excel in real estate, but earn passive income by growing the model and brand you call home. 


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