Understanding the Commission Split

What Is a Commission Split?

A commission split is the percentage of gross commission income (GCI) that a real estate agent shares with a broker in exchange for liability coverage, transaction management, and back-office support.

At many traditional real estate companies, the split usually starts near 70/30 and adjusts as production grows, meaning the broker keeps 30 percent of the check until the agent qualifies for a different tier.

Real Broker's Standard Commission Structure

At Real Broker, the standard split is 85/15.

Every agent keeps 85% of each commission, while 15% flows to the broker until the agent reaches the company cap.

The annual cap is $12,000 for solo agents and team leaders, and $6,000 for team members.

When an agent reaches the cap, the brokerage stops collecting its 15 percent for the rest of that anniversary year. 

How Real’s Split Compares to Other Real Estate Companies

Real’s 85/15 split with a $12,000 cap sets a high take-home benchmark, but it is not the only modern plan worth knowing.

eXp Realty starts agents at an 80/20 split and raises its cap to $16,000, so an agent must pay $4,000 more to reach 100 percent payout; after capping, eXp adds a $250 transaction fee for the next 20 closings, then $75 thereafter, which narrows the net on high-volume production. 

Keller Williams remains anchored to its traditional 64/30/6 structure. 64% to the agent, 30% to the market center, until a variable cap that often lands between $18,000 and $25,000, and 6% to KWRI, which stops at $3,000. Add the typical $85 monthly tech bill, and Keller Williams can keep a larger share of commission and pay for longer before an agent reaches full payout compared with Real’s flat $12,000 cap and zero monthly fees. 

Compass negotiates splits case-by-case, though industry surveys place the average around 80/20 with no cap at all; the brokerage instead offers marketing advances and higher splits to top producers, then recoups costs through service fees or reduced revenue share.

For agents who value a quick path to 100 percent and predictable costs, Real’s capped model can produce a lower total cost of production than Compass’s uncapped percentage. 

Caps, Fees, and Incentives

Commission Cap Explained

Capping at Real occurs when an agent’s cumulative 15% company dollar equals $12,000, or $6,000 for a capped team member, within a single anniversary year.

From that moment until the anniversary resets, the agent keeps the entire commission on every transaction.

The cap for agents is straightforward, transparent, and identical whether the deal size is $200,000 or $2 million, so agents can forecast earnings with confidence.

Monthly and Transaction Fees

Real charges no monthly fee.

Instead, every transaction includes a $40 Compliance and Broker Review fee that covers broker review and E&O insurance, plus a $285 transaction fee once the agent has capped.

Agents who achieve Elite Agent status see that the transaction fee drops to $129 for the balance of the year.

A $750 annual brokerage fee is collected from the first three transactions each anniversary year, $250 on each of those closings, so there is never a surprise invoice. 

Build Wealth With the Revenue Share Program

Real’s revenue share program pays from the broker’s 15%, not the agent’s 85%.

The structure has five tiers that distribute up to $4,000 per year for each Tier 1 referral, $3,200 for Tier 2, $2,400 for Tier 3, $1,600 for Tier 4, and $800 for Tier 5.

Unlocking deeper tiers requires a modest count of producing agents on Tier 1, so the program allows agents to build wealth by attracting talent and supporting production rather than by selling franchise territories. 

Stock Incentive Program

Real Broker supplements commission and pays with equity programs.

Agents may elect to convert up to 10% of post-cap commission into company stock at a 20% discount, creating an immediate gain.

Agents who hit Elite Agent status, by paying $6,000 in post-cap transaction fees or closing $500,000 in GCI with 10 high-value transactions, receive a $16,000 stock award that vests over three years, aligning agent and broker goals. 

Example of a Commission Breakdown

Imagine a $500,000 sale at a 3% commission rate.

The transaction produces $15,000 in GCI.

Before capping, Real retains 15%, or $2,250, and the agent keeps $12,750.

The Compliance and Broker Review fee adds $40; the transaction fee is presently $285 because the agent has not capped, and $250 of the annual brokerage fee is collected if this is one of the first three closings of the anniversary year.

Net agent earnings on that deal equal roughly $12,175.

After the agent caps, Real takes no split, so the same sale yields close to $14,675 after subtracting only the fixed fees. 

Benefits of the Real Broker Model

No Desk Fees or Franchise Fees

Real eliminates desk fees, franchise royalties, and other expenses that traditionally reduce an agent’s payout.

The only recurring costs are clearly disclosed per-deal charges, making splits and fees easy to explain to clients and partners and removing uncertainty from the agent’s real estate business. 

Remote Cloud-Based Brokerage

Because Real is a cloud-based brokerage, transactions flow through reZEN and Real Signature, letting agents write offers, obtain signatures, and request broker approval from any device.

The platform empowers agents to take listings and close deals without juggling multiple logins or paying for external software, which helps streamline workflow and control costs associated with every transaction. 

Training and Cutting-Edge Technology Support

Live classes run daily, and recorded sessions remain on demand, covering topics from contract law to lead generation.

The brokerage provides agents with cutting-edge technology, coaches, and state-specific compliance advisors so that a new agent can learn fundamentals while an experienced team leader fine-tunes marketing funnels. 

Collaboration and Supportive Community

The revenue share program rewards sponsors for guiding recruits, so collaboration replaces the siloed culture seen in some real estate broker offices.

Mastermind channels in reZEN allow Elite Agents and solo agents alike to trade scripts, listing templates, and best practices, creating a supportive community that empowers agents to take new risks without feeling isolated. 

Who Is the Real Broker Commission Split Best For?

New Agents vs Experienced Agents

A new agent with modest volume benefits from the absence of monthly overhead because slow months carry no desk fee.

An experienced producer who routinely exceeds $80,000 in GCI reaches the $12,000 cap quickly, converting the brokerage relationship into a flat-fee arrangement that amplifies annual payout and frees capital for marketing.

Solo Agents vs Teams

Solo agents appreciate keeping 85% of every commission from day one, while teams gain leverage from the $6,000 cap for team members.

A team leader who recruits five agents can drive group GCI past the cap for team members early in the year, then operate on flat fees that improve net margins for the entire team.

Agents Looking for Passive Income Opportunities

Real’s 5-tier revenue share program, together with its equity incentives, gives agents ways to earn beyond their own transaction count. Mentors who bring in and support new colleagues collect a slice of the broker’s split on every closing those recruits make, turning guidance into steady cash flow.

The Elite Agent stock grant adds another wealth-building lever, handing agents shares that can rise in value as the brokerage expands.

Is Real Broker Right For Your Real Estate Business?

Real Broker combines a competitive commission split, a predictable annual cap, transparent fees, and equity incentives into a brokerage model designed to let agents keep more of their money and build long-term wealth.

The cloud-based infrastructure covers broker review and E&O on every deal, so agents can focus on clients instead of paperwork.

Whether you are evaluating your first brokerage home or considering a switch after decades in the real estate industry, Real Broker’s mix of payout, technology, and community merits a close look.

FAQ’s About Real Broker Commission Splits

What happens when an agent reaches the annual cap?

The split stops as soon as the agent pays $12,000 in company dollar, or $6,000 if the agent is a capped team member, during an anniversary year.

From that closing forward, the agent keeps 100% of the commission and only pays the fixed Compliance and Broker Review fee plus the transaction fee. 

Are there any hidden franchise fees or desk fees at Real Broker?

No. Real is a cloud-based brokerage with no franchise territories, so it does not charge royalties or office rent.

Agents pay a one-time sign-up fee, the annual brokerage fee spread across the first three deals, and the per-transaction costs disclosed in writing. 

How does the revenue share program pay out?

Real allocates a portion of the broker’s 15% company dollar to five referral tiers.

Sponsors can earn up to $4,000 per year on a Tier 1 agent, with $3,200, $2,400, $1,600, and $800 available on subsequent tiers as long as production requirements are met.

Payments are deposited monthly and continue until the referred agent hits the $12,000 cap. 

What qualifies an agent for Elite Agent status?

An agent reaches Elite Agent status by paying $6,000 in post-cap transaction fees or by closing $500,000 in GCI across at least 10 transactions within an anniversary year.

Achievers receive a $16,000 stock award that vests over three years and a reduced $129 transaction fee for the rest of the cycle. 

Does Real Broker provide E&O insurance?

Yes. The $40 Compliance and Broker Review fee charged on every transaction includes professional liability, commonly called E&O, coverage, so agents do not need to purchase a separate policy. 

Join the Team

Thinking about joining Real? Connect with Chris Speicher to learn more today.