By Phillip Johnson
First off, the very best explanation of the eXp Model is here…
First a quick bio…
I’ve lived in several areas of the Triangle, Cary(child and later as an adult), “Inside the Beltline” Raleigh, Durham, North Raleigh and currently reside in Wake Forest, so I’d consider myself a Triangle area expert. I now have 2 adult kids Tyler and Jessica and a wonderful wife of 30 years Carol. I attended Wake Tech(robotics) and NC State University(Business) before starting a local handmade high-end furniture manufacturing company called Kingston – Hull Mfg in the late 80’s. KHM produced fine mahogany/cherry custom pencil post beds, dining room tables, mirrors, bookshelves, hall tables and other fine furnishings for 8 years. KHM had established over 140 retail accounts (not counting designers) throughout NC, SC, and VA. Once imports hit the market it became too hard to compete with the type of product we were making so I adapted to less handcrafted pieces to using lasers and veneers. In 1993 I sold my company and decided to pursue another career.
I first earned my General Contractor license and was thinking of going in that direction but I already had older siblings selling real estate and they talked me into selling real estate. I have been a Raleigh Realtor® since 1995. I was a RE/MAX(with the same brokerage) agent for almost 20 years before joining eXp Realty in February 2017. I earned RE/MAX International “Hall of Fame” while winning many prestigious professional awards most EVERY YEAR. During my career, I’ve been considered to TOP 2% Realtor® in the Triangle Market. During my career, I’ve sold well over 500 homes and over $150 million in volume.
So why I joined eXp Realty?
My story is simple…I was attracted to eXp Realty on a fluke conversation because I had to be present at a showing and Matt Rahn had just joined himself. I asked him…what is eXp Realty? Over the last 20 years…Many, Many, Many, times I’ve been “recruited” by other brokerages and brokers. First, I always enjoyed my BIC’s and owners at RE/MAX so that made it extremely hard for them to sway me. I’ve been asked to open a KW office in my past. I’ve been offered a chance to purchase a RE/MAX franchise(in a different area). I’ve been offered partnership opportunities and considered opening up my own brokerage on numerous occasions during the past 20 years, especially when the market crashed in 2008. Why leave RE/MAX for a company that had NO BRAND NAME, NO AGENTS, NO LISTINGS and NO LOCAL BIC?
I tell you all this because eXp Realty was a no-brainer for me. I remember the Keller Williams jokes at the “water cooler” back in the day when they were getting started. It happened…don’t deny it. I remember the “join our family” and earn a nice chunk of residual “profit center share” income down the road. I did the math and it wasn’t worth leaving what I had built at RE/MAX United to go to another brand. NOBODY is making jokes about KW at the water coolers anymore!
First, it was Century 21 and ERA, then RE/MAX came along (when I started most RE/MAX offices wouldn’t let you work there without several years of experience), then there comes along Keller Williams, the new real estate disruptor/monster. KW created a great company through innovation, training and fair commission splits.
All these models were “disruptors” in the real estate industry and it was almost ALWAYS based on agent compensation. Now disruptors are coming AFTER YOUR WALLET! Much like Redfin in trying to be today’s “disruptors” with salaried employees and reduced commissions or ibuyer programs/companies shaking things up. Many “old Models” (Large Brick and Mortars) are having to sell mortgages, title, etc and other services to remain profitable because they have to “give the farm” to their MOST PRODUCTIVE AGENTS and their OVERHEAD is over the top.
That’s not TODAYS BUSINESS MODEL. Netflix is…Amazon is…eBay is…Uber is…on and on…it’s basic math. I’m not saying some agents don’t need offices or storefronts. I’m saying large corporate brokerage brick and mortars have to rethink their models as their huge overheads are coming out of YOUR pocket. Finding office space is simple if that’s what you need and eXp also has a program with Regus office.
Make no mistake, in 5 years our industry will look MUCH different. For many agents commission rates are starting to go down on the listing side and will only go down more as technology advances. The eXp model is perfect for any market condition. No model is bulletproof but bloated brick and mortar models with most of them not(or little) making a profit from their top producers are most vulnerable when markets go down. eXp Realty model is flexible, nimble and in the long run, when you look at the additional revenue streams more conducive to the type of industry we’re in. In my opinion, it’s literally the perfect model for any real estate agent.
Sorry for this being a long-winded explanation but I wanted to paint a clear picture of my logic and point of reference…so…why eXp Realty?
I joined eXp Realty without hesitation because this model is the direction the industry is heading. I literally heard the plan from my sponsor for about 10 minutes went back to my home and researched it and knew almost immediately what I was going to do.
Here are the six reasons(1,2,3 are a tie) in order I joined…
Multiple revenue streams help Realtors® potentially stabilize their lives. Multiple revenue streams help protect agents from sickness, injuries or cushions them from crashes or market fluctuations, but most importantly retirement. Just like any industry or profession, you’re going to have producers and some that struggle so much they leave the industry especially when the market tanks, then new agent are added! This model is design for GOOD AND BAD TIMES!!
eXp Realty policies prohibit us from posting our income on the internet so all I’ll say is hear I’m extremely grateful to be part of eXp Realty. I’ll gladly discuss this in more detail and explain how it works if you contact me.