eXp Realty vs Sotheby’s: Which Brokerage is Best for Realtors?

Today, we’re stacking eXp Realty up against Sotheby’s International Realty, two brokerages that cater to very different agent needs (eXp Realty vs Sotheby’s). We’ll go over everything from fees and splits to the tools and support each one offers. And here’s something that’s crucial: you’ll want to think about how profitable the brokerage is because that often affects long-term agent success.

Transparency at eXp is simple; it’s all laid out in black and white. With Sotheby’s, it’s not always as straightforward, but we’ve dug deep to get the scoop. Stick with us, and you’ll get the lowdown on which of these brokerages might just give you the edge in your career. Here’s your handy dandy index:

eXp Realty vs Sotheby’s: Agent Satisfaction

When it comes to agent satisfaction, a quick look at Glassdoor reviews can give you a sense of where agents are happiest. eXp Realty shines with a solid 4.6-star rating, while Sotheby’s International Realty comes in slightly lower with 4.1 stars.

These reviews aren’t just numbers—they represent how agents feel about their support, resources, and overall experience at each brokerage. And let’s face it, happy agents tend to be more successful agents.

If you’re curious about how the top real estate firms stack up, check out our blog “12 Insider Picks for the Best Real Estate Brokerage in 2024!”. Spoiler alert: eXp Realty ranks #1 on Glassdoor.

eXp Realty vs Sotheby’s: Brokerage Profitability

Now, let’s talk about something that most agents overlook—brokerage profitability. Trust me, you care more about this than you think. A profitable brokerage is more stable and less likely to make decisions that negatively impact agents and clients.

Let’s start with Sotheby’s International Realty. As part of Anywhere Real Estate, which includes brands like Coldwell Banker, Better Homes & Gardens, and Century 21, they’ve posted 20 quarters of earnings with 12 profitable and 8 unprofitable quarters. So, they’ve had 60% profitable quarters—better than some, but still room for improvement.

On the flip side, eXp Realty’s track record is hard to beat. With 20 quarters of posted earnings, they’ve had 15 profitable quarters, giving them 75% profitable quarters.  And, by the way, when you look at all the publicly traded brokerages over the past 5 years, eXp Realty is the only profitable one.

This kind of financial stability translates into continued improvements for both agents and clients. It’s simple—when a brokerage is making money, they reinvest in their agents, offering better tools, training, and opportunities for growth. So, if you want a brokerage that’s both growing and financially stable, eXp has the upper hand here.

What does that mean for agents? It means you’re at a brokerage that’s constantly improving and innovating, making things better for you and your clients. If you want the full scoop on brokerage profitability, check out our blog “Top Real Estate Companies That Might Go Under!”.

eXp Realty vs Sotheby’s: Commission Splits

Alright, let’s get into one of the hottest topics for agents—commission splits. How much of your hard-earned commission will you actually take home, and how much is going to the brokerage? This can be a bit trickier to pin down at Sotheby’s since splits vary depending on the agent and location, just like many traditional brokerages.

When I interviewed at Sotheby’s, despite having a strong resume—including being a former California attorney and having a large sphere of influence—they offered me a 70/30 split. Yep, 70% to me, and 30% to Sotheby’s. Our research shows that their splits range from 70/30 up to 90/10, depending on the office and what deal you manage to negotiate.

Now, here’s where eXp Realty stands out: it’s transparent, and the split is the same for everyone—no negotiations, no guessing. eXp agents start at an 80/20 split and move to 100% once the 20% you’ve paid to eXp reaches $16,000 for the year. That’s called a cap.

And if you hit certain milestones after capping, eXp will actually give you back that $16,000 in company stock. So, not only do you get to keep 100% of your commissions after capping, but you can also earn more than 100% through stock opportunities. Pretty sweet, right?

Plus, with eXp, it doesn’t matter if you’re a brand-new agent or a top producer—everyone gets the same deal. There’s no behind-the-scenes haggling. You know exactly what you’re getting from day one. At Sotheby’s, capping may be available in some markets, but it varies widely, so you’ll need to check locally.

eXp Realty vs Sotheby’s: E&O Insurance

Errors and omissions (E&O) insurance is a must-have for agents, as it protects both you and your brokerage from potential legal claims. But how you pay for E&O insurance can make a big difference, and here’s where Sotheby’s and eXp Realty really diverge.

When I was looking at Sotheby’s, they quoted me a hefty $2,200 due upfront every year before I even closed a deal. That’s a big chunk of cash to shell out, especially if you’re just starting out or haven’t closed any transactions yet.

At eXp Realty, it’s a whole different ball game. Agents don’t pay for E&O insurance until they actually close deals, which means you’re only paying once you’ve earned money. And even then, it’s just $60 per deal. The best part? eXp caps the E&O fees at $750 per year. So, after you’ve paid that $750, you’re done for the year—no more E&O fees, no matter how many deals you close. That’s a solid $1,450 savings over Sotheby’s, and you only pay it if you’re making money. Definitely a much better deal for your wallet!

eXp Realty vs Sotheby’s: Fees

Let’s talk about fees—because no one wants to see their hard-earned commission eaten up by surprise charges.

At eXp Realty, there’s an easy-to-manage $85 monthly fee, and there’s a $25 transaction fee per deal until you hit your cap. Super straightforward.

Sotheby’s? It’s a bit more complex. While they don’t have a direct transaction fee, they do charge a 6% royalty fee on every transaction. Honestly, this feels just like a transaction fee because it comes straight out of your commission every time you close a deal.

Plus, at most offices, there’s also around $150 – $190 monthly fee, so that’s nearly double what eXp agents pay just to keep the lights on.

When you stack up the numbers, eXp’s simpler fee structure ends up being a lot more cost-effective, especially when you start closing more deals. Sotheby’s royalty fee can really add up over time and take a bigger bite out of your earnings.

eXp Realty vs Sotheby’s: Training and Support

Whether you’re a seasoned pro or just starting out, having the right training and support can make all the difference in your career. And this is where eXp Realty really stands out. They’ve got over 50 live training sessions every week, plus a whole library of on-demand courses. New agents can jump into a “Fast Start” program to start earning fast, while more experienced agents can level up with advanced training like the “Kick Start” program.

On top of that, sponsors (like us at Smart Agent Alliance) add even more training and mentorship to the mix. And, if you ever run into a snag, eXp offers 24/7 support with 2,000 full-time staff members ready to help out. It’s hard to beat that level of accessibility and resources.

Now, let’s talk about Sotheby’s. Unfortunately, the experience there varies—a lot. When I interviewed at Sotheby’s, I was basically told to go buy my own $2,200 course for training. There was no training in place, so what you get in terms of training depends heavily on your local office broker.

And what about agent support? There’s hit or miss support based on your office broker’s availability. That can leave you hanging if you need quick help before a client meeting or during a deal.  Not ideal.

At eXp, you’ll never be left waiting for your broker to be free. Their support system is built for agents, with experts on call whenever you need them. It’s the kind of setup that allows agents to thrive with confidence, knowing that help is always available.

eXp Realty vs Sotheby’s: Technology and Resources

When it comes to tech, eXp Realty is a standout. They’ve taken the real estate world into the digital age with their fully virtual brokerage. Agents can access everything they need—training, support, collaboration, and even client meetings—in eXp World, their unique metaverse-style platform. No brick-and-mortar office is needed because eXp’s virtual setup is that effective. Want the full scoop? Check out our blog on eXp World!

Beyond that, eXp provides agents with a personal IDX website, a powerful CRM, a marketing center loaded with customizable templates, single property websites, social media content, and much more. And eXp is constantly improving, adding new tools and resources to keep agents ahead of the curve.

Now, Sotheby’s isn’t exactly known for its cutting-edge tech. While it doesn’t have the fancy virtual platforms like eXp, it does offer global marketing for high-end home sellers through their established international presence.

That’s great for agents working with luxury properties, but here’s the kicker—eXp Luxury offers the same level of global exposure for your listings at a fraction of the cost to the agent. That means eXp agents can market luxury properties worldwide while keeping more of their commissions in their pockets.

So, if you’re tech-savvy or just appreciate having the best tools at your fingertips, eXp Realty is the clear winner. And even in the luxury space, eXp matches up with Sotheby’s global marketing power while being easier on your wallet.

Why Sotheby’s May Be Best for You

Alright, let’s be real—if you’re someone who thrives in a traditional office setting with that classic face-to-face interaction, then Sotheby’s might be the better fit.

They’ve got physical offices where you can soak in that luxury vibe, and if you need the structure of an office broker pushing you to meet deadlines, Sotheby’s delivers. For agents who prefer having that in-person accountability, Sotheby’s could feel like home.

However, if you’re just looking for out of your home office space, eXp Realty does provide FREE access to the 4000 Regus office business lounges around the world.

But that won’t be enough if you’re someone who likes being part of a more structured environment, where you need a local broker nearby for your daily motivation and productivity.  In that case, eXp Realty’s virtual freedom might not be for you.

Not everyone thrives in a completely independent, online space. So, if you know you need someone to keep you on track, Sotheby’s is probably a better match for your style.

eXp’s Exclusive Resources

Beyond all the usual perks, eXp Realty brings some truly standout features that most other brokerages just can’t match. If you work in the luxury market, eXp’s Luxury Division gives your high-end listings global exposure, putting them in front of the right audience worldwide.

They’ve also got a team called Revenos, whose whole job is to find and deliver quality leads straight to eXp agents—pretty awesome, right?

Their Referral tool makes sending referrals to other agents a breeze, and for those who want to focus solely on referrals, eXp’s Referral Division helps cut costs while keeping you in the business.

And let’s not forget Revenue Share, where you can earn extra income by simply recommending agents to join eXp. That income doesn’t just stop when you retire and it’s willable, meaning it keeps coming even after you’re gone. It’s a win all around!

That’s a Wrap

Choosing between eXp Realty and Sotheby’s comes down to what you value most as an agent. eXp offers transparency with an 80/20 commission split, low fees, 24/7 support, cutting-edge tech, and global marketing through eXp Luxury—all without the hefty royalty fees that Sotheby’s agents face.

Meanwhile, Sotheby’s provides physical office spaces and global marketing, but with fewer training and support resources, and more costly fees. If you thrive in a traditional office and value in-person accountability, Sotheby’s may suit you. But if you prefer flexibility, higher commission potential, and modern tools, eXp Realty has the edge.

Join our FREE Team at eXp Realty

Join the leading force in real estate with eXp Realty – the only profitable publicly traded brokerage over the past five years and holds the prestigious title of the best brokerage to work for. The benefits of eXp Realty are unmatched and will truly exceed your expectations!

When you join us at Smart Agent Alliance, you’ll also be part of the Wolf Pack at eXp Realty.  Together we are one big team and we provide more FREE value than you’ll get anywhere else in the real estate business.

What’s included? Access our exclusive SAA Vault Assets to enhance your business efficiency, attend weekly team video calls filled with invaluable insights and top agent strategies, and receive the Social Agent Academy Program and Investor Army Courses – a combined value of over $1,500 – absolutely free. And that’s just the beginning! Explore more about our robust team benefits.

Don’t let this opportunity pass you by. Transform your real estate career, maximize your income, and secure your future. Contact us now to schedule a video consultation or email us at team@SmartAgentAlliance.com. We’re here to ensure your success.

 

Frequently Asked Questions

How happy are Sotheby’s vs. eXp Realty agents?

On Glassdoor.com, where agents anonymously rank their brokerage, eXp Realty shines with a solid 4.6-star rating, while Sotheby’s International Realty comes in lower with 4.1 stars. For all the legwork comparing all the big real estate firms, check out “12 Insider Picks for the Best Real Estate Brokerage in 2024!”.

How profitable is Sotheby’s vs. eXp Realty?

Sotheby’s International Realty is part of Anywhere Real Estate, which includes brands like Coldwell Banker, Better Homes & Gardens, and Century 21. Anywhere posted 20 quarters of earnings with 60% profitable quarters. eXp Realty has posted 20 quarters of earnings with 75% profitable quarters. For more on brokerage profitability, check out “Top Real Estate Companies That Might Go Under!”.

What makes eXp Realty different?

Besides top agent pay, low fees, extensive training, and state-of-the-art technology, eXp has a Luxury Division offering global marketing,  a dedicated team called Revenos providing quality leads to agents, a Referral tool making referrals to other agents a breeze, a Referral Division cutting agent costs for referral only business and Revenue Share opportunities providing additional agent income possibilities that continue after retirement and is willable.