Hi Everybody,
First of all the name EXIT repels clients like a bug spray
(associates with get out, leave, fu** off etc)and that I learned from experience.

A year ago I was a brand new agent, and Exit realty offered very attractive conditions ( no monthly fees, free desk, pay only when you make a sale, etc.) so I joined them, and now I realize that was the biggest mistake of my career!

Their conditions can only attract new agents and agents who know will not sell. All the other agents in my office suck big time, nobody has listings and they don't sell either, most other exit offices are the same only worry about recruiting other agents because this is what the broker encourages the most, who in their turn also never produce (the famous exit residual system) so there is really no one to learn from.

They make us pay $350/year to Exit International (?!)
Charge 30% + $300 per transaction and bring in the no name trainers to give us lame-[censored] training sessions about how to recruit other agents and MAKE us take them for a fee of $300-$700 per session.
And the most fun part is how they created a freaking personality cult around the guy who "invented exit'' and praise him like god.

My bottom line is: the exit formula is invented to manipulate brokers and agents, but the only people who really make money are the bunch of crooks at the top, ITS JUST ANOTHER PYRAMID
If you want to stay in business, its better to join a no name broker than Exit

All Hail Exit Realty. Sorry I just think it's funny when a corporation worships their leader or founder. My wife worked for Appleone employment agency and they worship their founder Bernie like a god also.

With an attitude like that, I'm not sure you're cut out for this business my friend. You seem to have gone over the edge a bit with your first post on this board. You might want to try you're luck as a bouncer at a country western bar or something like that, which might be better suited for your personality.

With that said, I never did quite understand the "EXIT" name either... rather strange if you ask me.

I think they do that 'worship the owner like a god' thing at Tarbell, or they did years ago when i started with them......

I started out with Tarbell as well, but I never got that vibe about anybody in the Tarbell Family. If anything, there was a lot of respect toward the family, but no worship.

Tarbell is a great place to learn the business, but I've found that most successful new agents generally move on to greener pastures after a while.

[quote=Spicoli]


First of all, I don`t appreciate low life bloggers like you judging about my character. I`ve been in sales for 11 years and have a degree in marketing

I said what i said so other agents don`t fall for that pyramid of deception called exit realty, that could cost them a career
Second, I was actually doing pretty well for my first year(11 listings and 5 sales)and I left when the environment became too slow and uncompetitive for me and I started to undrestand their whole concept. Now, that I`m with another broker, I`m doing even better.

Yes i found the Tarbell training was great but after that there wasnt much in the way of support, again not sure what its like now though....

Low life? You sound pretty tough for a Canadian.

I think you have proven my point sir... good luck to ya.

Bulino,

What is the annual fee for??

And, how much did you make in residuals during your time?

Best of luck in your new brokerage.

It`s just a fee, never really understood what is was for
I didn`t care about residuals that`s why I was the top agent in the office

/threadhijack/

Yeah, I still have a couple of friends that are very successful agents, that have decided to stay with Tarbell over the years, and will probably retire there. Most of us moved on, but I guess some people hate change and are afraid of the unknown. Those few friends that stayed, are still big hitters, so I guess I can't argue with it. It's the ol' If it ain't broke... don't fix it" mentality I guess.

Nothing personal to anyone, I consider low life bloggers the scandalous personalities who get personal, racial, and start stupid arguments for no apparent reason in blogs an forums such as our friend

They were too restrictive at that time when it came to commercial RE, seemed to have too many rules on that front

Hmmm, this has been an entertaining day for me all the way around! LOL

The drama!

Bulino,

Let me rephrase . . I'm sure you heard folks bragging about their residuals. How much did anyone get? As I calculate it, the amounts should be pretty small.

I personally don`t know any agents who made any money in residuals whatsoever. How can you earn residuals from agents simply do not sell

True.

You talked about the cult of personality around Steve Morris.

I assume there wasn't a statue of him in the office for sacrifices. I've seen some of the literature. Does look a bit over the top. What did you see?

Good morning everyone,

I respect your opinions and your right to voice them. I would, however, like to present some facts.
1. There are thousands of associates across North America regularly receiving Residuals from EXIT Realty Corp. International.
2. EXIT is NOT a pyramid company - residuals are paid out on a single level only.
3. EXIT is certainly not a cult. Mr. Morris' Formula is indeed revolutionizing the real estate industry. Among those whose personal and professional lives have been positively impacted by their association with EXIT Realty, including myself, he is much admired.

Please take the time to visit www.exitrealty.com to learn more.

Bulino - best of luck in your real estate career.

The Team at EXIT Realty

Boy that was a canned response...... Suprise,suprise!

Look most people do not know that new brokerage startups have a higher failure rate than 1st year agents.

There are many ways to run a business in real estate to make money. I personally know some friends that all they do is invest period. I know some companies that run people mills to get the fat 50/50 splits. Then there are the Exit ones where the more you signed up the better. Some agents are simply better at recruiting than selling so Exit is a good fit for them.

lol this is the funniest post. it goes perfectly with Exit agents i have met and their "leadership". what a joke

Enter realty would sound much more like something!

Don't you ever wonder what drives people to join forums and on their first post slander their prior company? Something else going on here with this guy. Certainly more to the story..

On Exit; I've worked with them for 2 years. Yes, I get residuals routinely as does anyone else who sponsors anyone who closes deals..$300 annually and no desk fees with 70% commision to begin with is nothing to sneeze at; potential for >commision with sale volume and 10% residuals from sales of anyone you sponser..I am very happy to take that.
There is a $295 Charge per transaction to the buyer/seller; not the agent.
I like the company; I like my broker; I like the agents I work with..they are all real people without inflated egos.

EXIT is no different than any other corporation. In real estate it all comes down to how your broker\owner runs your office. The productivity of the office is based solely on the agents skills and the brokers ability to keep overhead in check with incoming revenue.

I disagree Paul, Exit is very similar to what the poster stated. I appreciate your viewpoint but unless you have worked there then you know not of what you speak IMHO. The company rally, recruiting and training seminars all resemble a cult like atmosphere centered around the leader himself. Kinda creepy actually, the look on the faces of some of the top executives when Steve speaks, more then simple repect......awestruck is how I would describe it. Anyway, to each his own. I went to RE/MAX 7 years ago and have never looked back. But this post sure brought back some strange memories lol.

My advice is to get REO listings. To do so you need the REO Asset Managers emails. I am gathering a list of REO Asset Managers emails. EDITED: Removed request for information. Please read the forum for contact information, do NOT ask for it in postings!

joe what does your post have to do with this thread? Not only are you in the wrong thread, but in the wrong section of the forum.

I have said in an earlier thread about EXIT that I consider their name to be their biggest problem. While they like to promote it as "safe passage" I think most people see it as an emergency exit (as in "get the hell out").

Having watched a few of the EXIT agencies that participate in the two Multiple Listing Services that I belong to, my observation is that they spend more (both time and money) on recruiting more agents then they do on listing and selling properties.

They came and went in my market, lasted maybe 2 years, never saw their listings in the MLS or signs in front of houses driving around.

Connect Realty is now trying to enter our market, good luck to them, similar strategy.

Keller Williams seems to be hanging on, lots of agents, but only a few list the bulk of their business.

I'm a 10 yr. real estate agent who runs her own show independantly. I've studied every single large brokerage and am a former REMAX'er.

1. Any great agent will succeed no matter what the brokerage. I have successful friends in REMAX, Century, Coldwell, blah, blah, blah. They would be great anywhere and anyone who blames their brokerage because they couldn't succeed does not take 100% responsibility for themselves at all.

2. All brokerages will tell you they are the best.

3. Steve Morris is a very aggressive former REMAX Broker and his style of speaking definitely is not for everyone. There is a bit of worship there but no more than Lineger (spelling?) and his REMAX, Proctor or Richard Robbins and all his fans.

4. The name is very odd but nobody knew what Google or YouTube was ten years ago either. In Canada, we have Royal LePage. What the hell is a Royal LePage?

4. I love the fact that a Century 21 Broker is on this forum making comments about EXIT. What a surprise that another broker is making comments about other brokerages? Who woulda' thunk it?

What does C21 offer Agents who bring in other successful Agents and help build the brokerage? Nothing. That part of EXIT is a great idea and should at least be acknowledged.

5. "ITS JUST ANOTHER PYRAMID". I know a Realtor in another city who has brought 15 Realtors to his brokerage, helps train them and is making great residuals. He ain't at the top of anything.

6. Commenting without knowledge is ignorance at it's best.

7. We do not have any EXIT Brokerages in our city but I find the concept interesting.

KM

How do you know that Bulino is a C21 agent? He might be, but nobody was pumping up C21 at the expense of Exit. The only C21 agent making comments was Staggart, and he seemed to be only asking questions.

Exit is a stupid name, IMNSHO. Another gimmick.

Some RE agents seem to be just like the MLM crowd when it comes to wanting fast and easy money for little or nothing. My brother-in-law has a new mlm pitch every few months, it's annoying and designed to separate me from my treasure, period. And Realtors fall for the easy money schemes too.
Guess what Exit agents. Your not going to make it on residuals alone, there's no easy money.
Agents come and go so often because they find out with a quickness that RE is not easy money, then they get tied up in lead generation company contracts, every seminar and new coach that comes along and they too are designed to separate us from our money.

Rant Over
Okeydoka

Okeydoka,

The fact that you edited your post already means you are commenting without fully understanding the thread.

Where did I say Bulinio is a Century 21 Agent??? I did not. I was talking about Taggart and he is a Century 21 BROKER. And because C21 does not offer any significant (if at all) Brokerage-building bonus he obviously would not like the idea.

Other than that, I agree with your post as it applies to all agents. Real estate, the entire industry itself, is built on the salespeople. Without them, the brokerage is nothing regardless of how much training they offer.

We could argue till we're all blue in the face about which brokerage is better, which has better training etc...etc...but the fact of the matter is that salespeople make the brokerage and many exploit their salestaff relentlessly.

It's a tough business.

Exit is another gimmick, designed to appeal to folks who are disillusioned with the RE business because they thought it was easy money.
Your coment about me editing my post, well you're right. Anyone who edits a post is instantly wrong and discredited for doing so....... Unreal.

Also....How do you know Staggart doesn't like the Exit "idea". He might not, but how do you know that by reading the above posts? I don't know Staggart from Adam, and by reading his posts he surely doesn't need my help or advice. I'm just wondering why you would assume that, anyone who asks questions about the Exit "idea" , why do you take it as an attack , and an opportunity to attack C21?

Okeydoka - Chief Editor of my posts.

It is kind of fun to be the topic of discussion.

It is a bit odd to be the topic because you asked a few questions.

My total exposure to EXIT has been through this forum, ads in REALTOR Magazine, a couple franchise pieces I picked while in Nova Scotia and some recruiting pieces from one that opened a year ago in my area (they've really struggled).

Oddly enough, I do provide a recruiting incentive to my folks. They get $250 from each of the first two transactions made by someone we hire. We explored doing an override but my President's Club members (agents who are elected to provide input) didn't like the idea of a percent over time. They just wanted some early cash.

I guess I'll slink back to my den . .

Doesn't or didn't Keller Williams have the same kinda thing going? As in the agent that sponsors another agent into the company gets a piece of the new agents commission. I could be wrong, but I thought I heard this somewhere.

[quote=Kerriemo]I'm a 10 yr. real estate agent who runs her own show independantly. I've studied every single large brokerage and am a former REMAX'er.

1. Any great agent will succeed no matter what the brokerage. I have successful friends in REMAX, Century, Coldwell, blah, blah, blah. They would be great anywhere and anyone who blames their brokerage because they couldn't succeed does not take 100% responsibility for themselves at all.

2. All brokerages will tell you they are the best.

3. Steve Morris is a very aggressive former REMAX Broker and his style of speaking definitely is not for everyone. There is a bit of worship there but no more than Lineger (spelling?) and his REMAX, Proctor or Richard Robbins and all his fans.

4. The name is very odd but nobody knew what Google or YouTube was ten years ago either. In Canada, we have Royal LePage. What the hell is a Royal LePage?

4. I love the fact that a Century 21 Broker is on this forum making comments about EXIT. What a surprise that another broker is making comments about other brokerages? Who woulda' thunk it?

What does C21 offer Agents who bring in other successful Agents and help build the brokerage? Nothing. That part of EXIT is a great idea and should at least be acknowledged.

5. "ITS JUST ANOTHER PYRAMID". I know a Realtor in another city who has brought 15 Realtors to his brokerage, helps train them and is making great residuals. He ain't at the top of anything.

6. Commenting without knowledge is ignorance at it's best.

7. We do not have any EXIT Brokerages in our city but I find the concept interesting.

KM
[/quo
Wow, How can you not know what Royal LePage stands for? FYI it is the combined names of Royal Trust and A.E Lepage wich merged in the mid eighties. I do not recall anybody putting Exit down for the sake of their brokerage. Commenting without knowledge....hmmm did you state you once worked their.....no you didn't so take your own advice. I have for over a year and have been at RE/MAX for seven. It is not a good company based on my own time there as well as private converstations I have had with the former V.P. of marketing here in Ontario (supposed). These conversations were private and took place while he was still in the employ of Exit. My comments ARE based on my experiences with the company and their executives during my time there, what past experience do yours come from?

Nice sense of humour, 'Chad'. I was joking about Royal LePage, hence the 'Google' and 'YouTube' comments. Thanks for the real estate history lesson. I think you got my point.

As for commenting without knowledge, that was directed at people who hadn't read the posts clearly. I stated right from the beginning that I was not an EXIT realtor.

Stating that EXIT is 'kinda' creepy' would classify as 'putting down the brokerage' though, doncha' think, 'Chad'?

Good grief, chill out. Go to the Bookshelf Cafe, have a drink and relax.

Making comments about Century 21 not offering a bonus is hardly attacking it. You'd know if I was attacking it, my friend. It just didn't surprise me that one broker was questioning another, that's all. Not surprising.

Again, I'm not an EXIT Realtor so I'm not going to spend too much time defending it. I just don't think it's a bad idea. In fact, I think it's a great one.

Sorry Steve, but why on earth would someone want $250.00 up front instead of a percentage over time (like the 10% EXIT offers as long as the realtor stays with the company?) Hmmmm...not sure I believe that one, Stephen. Not one single realtor that I know would agree to that if they had any sense of numbers whatsoever.

KM

PS-The only brokerages I really dislike are discount..... of course.

XO

By the way, my C21 comment was directed at Okey, the post-editing machine, not you Chad.

What the heck does post editing have to do with anything? I often edit my post multiple times due to a typo or two that I missed or my desire to rephrase something.

i edit quite often due to the fact that i need what i type to make sense to others and not just me:-)

I also edit frequently because some folks take issue to misspellings and typos. LOL

I really don't care about that stuff much on message boards, because it's not supposed to be formal correspondence. I only pick on the grammar of people who are jerks. LOL

I'm not looking for a real estate company. Been there, done that for years.

But a great conversation. Thanks all and I hope you all have an outstanding year.

KM

I worked as the Regional Director for Exit for over a year and attended several regional training events. I also worked for an Exit broker and owned my own Exit franchise.

IMHO, Exit "had" incredible possibilities, but here are some major flaws;
1. Each state is regionally owned. There is no real over sight or direction from corporate to the regional owners and there are only a couple of regional owners that were real estate agents/brokers.
2. It is ingrained (spelling) in the agents/brokers to recruit other agents. Other agents from different companies become very defensive from Exit agents because they get pummelled from all directions to join Exit.
3. Exit brokers and agents start competiting for the same agents, and this gets really ugly.
4. With a new company like Exit, you only get newer agents. These agents have no business and therefore....no residuals to pay sponsors.
5. Most offices do not have top producers.....(some do, but as a majority, most offices have alot of agents and no listings/sales.)
6. I was selling franchises to my area and the number 1 complaint is the name...I have had several people say that they would buy a franchise but could not get past the name.
7. Their training is good, but there is a major issue. The brokers and agents have to pay big money to get the corporate trainers to come to the office. It is a minimum of $500 per person.
8. Their residual program is much better than KW but the broker does not tell you that the average agent closes 3 deals a year. This will take a long time for someone to earn the residuals Exit preaches.

There are several others but on a minor scale. With that said, there are major problems with other companies, I just happen to know quie a bit about Exit.

Maldune ---

Are you serious about the average of 3 deals an agent per year? Ouch.

I just looked our local EXIT franchise. They have 8 agents. Year to date they've closed 12 sides of business. That would be 1.5 sides so far this year. Pretty consistent with what you are saying.

I'd be bankrupt at that level . . we do about 15 an agent on average. My goal is to raise that to 18.

I've observed similar results from the offices in my area. Pretty sub-par IMO.


Just a personal opinion: I've always hated the name "Exit Realty".

It sounds like someone wanting to commit suicide to me.

several broker friends of mine have told me that for the revolving door type of companies that 2-3 sides per year is the norm and also they dont expect to have teh same agent there in 3 years. they will either move on to another broker or be out of the business. sure there are agents who hang on longer, but for a revolving company, that is what some that i know use to project figures.

I started with them a little over a month ago as a newbie. I am very disappointed with this office and have a broker interview tomorrow. The broker got me very pumped up at the initial interview but now does not deliver in the least. They are very focused on the residual's. I don't know if it is the company or the broker, what I do know is I am parting way's with them in a hurry.

I dunno Steve. Your agents are doing 15 a year right now??

Hmmmmm.......

Kerriemo --

I pay very close attention to per-person productivity. I don't measure it annually. I do it monthly. For instance, to hit 18 sides a year, we need to hit 1.5 sides per month per person.

So far this year, we are a bit off. Weather was very harsh this Spring and the national news made buyers a bit jittery. But, we are over 1 side per person per month. Last month we were 1.3 and this month we should be closer to 1.45 per person.

Out of curiosity I took a quick look at a couple EXIT agenies in one of my ML Services. Last 12 months one of the agencies was averaging 5 transactions per agent; the other 7. Not a particularly high productivity in my view. As has already been said they seem to spend more time recruiting agents than they do listing and selling real estate.

i dont work for exit, but i must say that if you pull averages you must take into consideration the office manager and broker.

for example... some managers will send licences back to the commission if they are a non producing agent so that they can keep office stats up.

some managers are "nice" (<not sure if that is the right word) and keep non producing people in the office.

just making the point that it is possible to have a very productive office that has many non producers around.

There was an office in my region that had 75 agents....that seems like a very impressive number of agents.

However, after having many conversations with the broker I found out that their average number of closings per agent were around 3 or 4 a year, as I had mentioned. The broker told me that she would not send back any licenses because her agents could recruit other agents and that was a possible income stream to the broker.

That broker went out of business months after our conversation.

Exit is an attractive company for part time agents to work for due to it's low cost ($295/year) 1 time fee and no desk fees; with 70/30 immediate split. The % of part time agents is no doubt driving down the sales/agent ratio in some of these offices mentioned.
Agents who pay desk fees monthly which are greater than the annual fees to Exit tend to be in the field on a full time basis and therefore should be producing higher sales volume.
Everyone's got a story, but in my area my Exit office's productivity is competitive.

As well it should. Florida, parts of New York, California, Utah and some of the New England areas are doing very well....

I actually am friends with a broker/owner of an Exit franchise. He runs his brokerage exactly like any other brokerage except for the residuals. He does not push any of his agents to recruit and expects his agents to focus primarily on selling real estate and not spending their time attempting to recruit other agents. If they bring in an agent that is a bonus and if it is a good producing agent then it is a bigger bonus. If they spend their time recruiting and not producing then they will not be there long!

This was my point that it all comes down to how the broker runs his brokerage.

There are a number of brokers who as a simple matter of office policy will pay a bonus (sometimes as a lump sum, other times as a percent of the new agent's business) to an agent for recruiting additional, sometines even specific, agents. It doesn't have to be a structured program such as EXIT.

i have many a friends who work at exit. one is a manager. he came from remax with a rather large team. personally, at a 70/30 split you would be paying 30k to the broker on 100k GCI where as many of hte remax offices around here you are at 15-17k annually to the broker on an accrued 70/30 split until your "debt" is payed.

i actually had a talk with Jennifer Allen recently on brokerages and she "enlightened" me on her views. for me, at hte end of the day i want to make the most money. i was entertaining the thought of moving to remax as i thought it might increase the number of calls from adds as the name brand might be a bit more "recognized". however business comes in very steadily and goes out the same way. also after consulting a broker friend of mine who has hung his license in the largest local brokerage plus remax and now he is his own entity(broker), i have asked him his thoughts as well. one of hte reasons he opened his own shop is because a lot of the business he has is exp or wtdrn so being with a large name increases the chances that the seller had a bad experience with an agent with the same company. at the end of hte conversation and hte end of the day, i came to the conclusion that it really is me! same conclusion that i have always had, but i questioned myself for a brief moment(about a week or so).

that all ties into the name exit. does it really matter. i know that when i am on the phone and set up an appointment, most of hte time the seller forgets my name and almost always forgets the brokerage name.

i am sure there is a schmucko (big name>>) remax, c21, coldwell banker office around somewhere just like there is a crappy exit. at the end of hte day it comes down the the individual running hte shop.

Finally some great comments. The thread starter sounded like he was paid by some large brokerage to post that crap.

An Exit opened in my town last year, it was an indy office that went with the Exit franchise. The regional reps called every agent in town with less than 2 years in the business and invited them to lunch. I went, listened to the schpiel, but decided against it. 95% if the pitch was about residuals, not about what tools Exit had to make me successful.

Although no one has mentioned it that I have seen, the signs for Exit are, well, ugly. Every time I drive by one, or see one of their billboards, I think "who picked THOSE?" Bad colors, too busy, and just unattractive.

I have a friend that works there, she isn't happy, but it has more to do with the office than Exit. The brokers/owners have been in RE for a long time, everyone else is newer or part time, and there isn't support from above for the agents. Training is not emphasized.

Every time I see an Exit agent at a training or MLS meeting, I get to hear an Exit pitch. When I dropped an offer at Exit last week, there was an envelope waiting for me. A pitch for Exit. Obviously there is emphasis on recruiting, too.

Don't they know that it IS NOT ethical to be soliciting the Licensees of other Brokers. I get these Mass Mailings a couple times each year from EXIT. We don't have one of their Franchises within 50 miles of me; but I can't wait for when we do as there will be plenty of Grievances filed immediately. If that is the way they conduct business BEFORE arriving in an area, I can just imagine how they will be embraced after they have been here for 15 or 20 minutes.

I didn't know that.

I see on the Code of Ethics where it's unethical to solicit clients, but not licensees...

It is not a violation of the Code of Ethics to solicit other agents.

It can be tacky sometimes . .

Ditto.

However, I noticed at my local board of Realtors, they warned about trying to recruit agents at the board's trainings and events. I even think they had a sign up about it. They did not say what the repercussions would be if you were caught.

If agents just placed that recruiting energy into their RE business, they wouldn't need to focus on profit sharing, etc...

"If agents just placed that recruiting energy into their RE business, they wouldn't need to focus on profit sharing, etc..."

How true JoeyBagadonuts. BTW, that's a funny name.


Okeydoka

Same here. Wrote an offer on one of their listings & received a sales pitch on the "EXIT system" from the listing agent. Now I get vm's and e-mails asking me to come to lunch at least weekly. The local office here does almost NO business (been here 3 years) and has been a revolving door for agents.

Are you on the Do Not Call list?

Doesn't matter if they are calling a business number. Plus, if you've done business with them and gave out your number, you've established a "business relationship" which gives them the right to call you without breaking the DNC law. Exit is not my cup of tea. Keller Williams also has a similar setup (but they seem to focus on training so you actually do make money).

i could work at any brokerage that i want and sell homes!!!!!!!!!!!!!!!

i would be successfull if i were at any brokerage out there!!!!!!!!!!!!!!!!!

i work at a brokerage that lets me keep all of my commission in exchange for a monthly fee!!!!!!!!!!!!!!!!!!!!!

the only difference between where i work and exit is the fact that i would be on a 70/30 split at exit (so my bottom line is affected)!!!!!!!!!!!!!!!!!!!

if anyone ever blames a broker for their failing it is due to a lack of personal accountability.

True, but if you are on the DNC, you can always tell them that and that you are not interested.

I think some firms are using 800 numbers not only to capture the caller's number but also to establish that there is a "business relationship" since you called them.

Might be true. Just because you call a person/firm does not mean that you have established a business relationship with said person/firm.

Yep, I'm on the DNC list but I guess since I "did business" with them it doesn't matter. I just hit delete. Not trying to P.O. anyone local by saying "stop &$#*ing calling me"- they think they're trying to "save" me.

The business relationship is over after 6 months unless you tell them to stop calling and then it is over immediately.

I will say, from my personal experience that Keller Williams and Exit...are agencies I would not want to affiliate with simply because the few times I talked/interveiwed with them (and I am talking a few offices each) they were definately on the recruiting front when it came to my questions about training and whatnot...it just wasn't appealing to me at all, and the fact that they both pushed a 70/30 split to me as a new agent it REALLY felt like they were simply trying to get me on board as opposed to telling me what else made them appealing. They're not for me, but honestly, I can only see somone who was serious about working in RE as a PART-TIME agent or somone who was retired and simply wanted a way to make a chunk of cash occassionally...because honsetly, it seemed like MLM to me each time I went to see what was what with these two...

If they offer you a free lunch and you have time, GO FOR IT. Tell them what you want. The broker will then call and schedule a lunch or dinner. Attend that as well, its good stuff.

I had 3 dinners with drinks paid for from Exit. Im not opposed to them, I just do not agree with their plan. I want to sell Real Estate, not recruit agents. But hey, Im available for some free food and beers. Eventually they will stop calling.

Why is Exit your exit from the industry.

From what I have heard, you can recruit if you want- then if you do you make MORE money from that recruit( out of the brokers pocket not the agent) you can sell RE like any other company, you get a % of what your Sponsors make for retirement, your family gets a % if you pass away. I don't see clearly why this would be YOUR EXiT from the business? I don't care if they call, the agents in my area don't call other agents all the time, your area must be desperate!!

KW has a three year period to become vested in the residuals program, what is Exits vesting period?

There is no waiting period before you qualify for residuals. You can join Exit and bring someone with you. As their sponsor you receive 10% of the gross total commision of their deals immediately. You immediately get the 70/30 split on any of your own deals. Split increases as your net commisions increase. No monthly desk fees.
After a year you must have 4 closed deals to be considered active; it you don't they consider you "retired" and you only get 7% of the gross commisions from those you sponsor.
PM me if you want to know more-I can sponsor you at any Exit office!

Stew thanks for the reply. I am trying thought to learn of any vesting period with Exit. If an agent joins an Exit office, then sponsors an agent or two and then decides to leave exit do the residuals continue after the sponsoring agent leaves Exit?

fact is that most agents in the business are pretty non producing. fact is that if you recruit 10 new agents only one of them will be an agent after 1 year. fact is that most producing agnents wont leave their current broker because htey are producing and have no reason to leave. i honestly dont thinki that what exit has is good or bad. i just dont really care about what other agents produce or dont produce and to spend any time recruting for me would be a waste of my time as i only want to focus on selling real estate as opposed to selling why my company is better than another company.

also you mentioned that you split increases as your net increases. actually you made a slight mistake in how you worded that. in actuallity, your split increases as your gross commissions increase. once you bring in a total of 100k in gross commissions you go to a 90/10 split. fact is that very few agents make 100k a year so the majority of exit agents would be at a 70/30 split. if you bring in 100k and pay out 30k before going to a 90/10 split you are paying quite a bit of money to your broker. 30k to be exact and that is before you continue to pay your broker another 10% on your deals. so for an agent making 200k gross annual commission he woudl be paying out a total of 40k a year. the highest remax office that i know in the area goes at 17k annually then you are at a 99/1 split so your total annual commission paid to the broker would be under 20k and you would be at the same 200k gross commissions. a 70/30 split really does not seem very competitive for a producing agent in my opinion.

Agent split is 70/30 until total commisions hit 100K, your are correct. There is not another 10% paid to broker; his % is deducte from the 30%.
What are the monthly desk fees for ReMax agents? I understand they vary based upon how much $ you pay up front when you join. Is that correct?
Exit has no desk fees or start up fees.

MRMDB: in response to your ? once you leave exit you do not receive sponser income unless you "retire" from real estate and then you receive 7%.
Anyone else affliated with Exit feel free to join in here..I am not their national spokesperson; just an agent that works with them with a positive experince in my 2 years of affliation with them..
I certainly welcome other comments.......

actually i was not clear. when i referenced paying another 10% i meant that after you bring in 100k gci you then go to a 90/10 split therefore making 10% go to your broker even after paying him $30,000.00 Thirty Thousand Dollars for your initial 100k gci earned.

just for the recod, i am not a remax agent. i have recently interviewed 4 different remax brokers.

sorry, got to go to a buyer appt at my office right now. i will elaborate on this one later, but i will say that the numbers came out to be less for me to pay to be at remax than exit.

remax offices that i checked out were

950 monthly
1100 monthly
1350 monthly
1450 monthly

all would work you on a 70/30 accrued split if you choose to do that... what that means is.... month 1,2 and 3 of the year say you make nothing. your monthly fee still builds up, but you dont have to pay it. you close 4 10k commission in month 4 of the year and pay 30% out of that until remax would get the total annual bill for the year. so by my example remax would have gotten 12,000 dollars from you on month 4 of the year. assuming that you are on the 1100 monthly plan you would then owe another 1200 dollars to finish up your payments for the year. say that month 5 of the year you close another deal and bring in another 10k in commission. you would not pay the full 30% or 3,000 dollars because you only owe 1,200 dollars to make your full annual payment to remax.


the most expensive remax office that i found was 1450 a month so that being said, so assuming all things are the same, you would pay out a total of 17,400 to work for them over the course of the year. if you brought in 100k gci at both places you would have walked away with more money working at the 1,450 monthly office.

we pay fees everywhere we go, it is either in the front or the rear of the deal. most of the time you pay less if you pay it in the front because there is less risk for the broker.



all that being said, i dont think that exit is a bad place. i just dont like the commission splits. they are more of a modern 50/50 shop imo since 50/50 shops are not as competitive in the current market for the longevity of the agent (<once again my opinion).

I do see your point. Looks like a productive agent achieving 100K in commisions may in fact pay less to affliate with remax v exit for the year.
This disparity no doubt continues to feed the trend of more part time or comparatively lower producing agents staying with exit where they "pay as they go" and will at least not lose $.
Whereas more produdctive agents most likely will me more attracted to the remax model... unless they enjoy recruiting and sponsoring and all..
I subscribe to the concept that so many others have previously commented..the broker's capabilities are more significant than the chain's name.

I do not want to be affiliated with any company that spends more effort emphasizing recruitment than enhancing your business.

The name "exit" just screams run.

[quote=BWilliamson]I do not want to be affiliated with any company that spends more effort emphasizing recruitment than enhancing your business.
[/quote]

So that means what? You are only interested in working by yourself as a solo practioner?

Nothing at all wrong with being a solo practioner. A few people find that they really enjoy the independence. However, I would suggest that unless you are a solo practioner, you ARE associated with a company that needs to grow in order to reach a point of profitability.

I cannot think of a single successful company in any industry that did not achieve that success through growing their salesforce.

The notion that the only path to success is for the solo practioner to sell more is ... silly!

Just like Century 21 has franchises... so does Exit. Maybe your franchise sucks? I'm with Exit in Myrtle Beach and that commission split / fees do not match up (except for the international dues). My Exit actually has different commission split plans and fees you can choose from. I wouldn't work anywhere else as we were voted "Best of the Beach" last year and it was proven in the MLS that our agents get more for our sellers. Also, the lead generation program that we have is unheard of. It's great!

As far as having unexperienced agents - Not true. My franchise doesn't take just anyone and we've had a lot of agents from other companies here come over.

I think before you go trashing Exit Realty you should research further. Each company is not a fit for everyone. If Century 21 worked for me I would be over at Century 21. But, just because it doesn't work for me I'm not going to trash it as it may work for someone else

Is there anyone out there who works with Exit Realy now and is giving up a slice of their commission to another agent who recruited them there? I was wondering if that is something that bothers you or not. I mean it seems to me that in a short time, you would get sick of giving up your commission for really nothing.

Exit is region and broker driven. If the regional owner of the state is strong and spends advertising dollars it will help attract strong future broker/owners.

If the regional owner is non existant and spends nothing on the region, it will attract weaker brokers or maybe a strong broker but the agents will not see or understand the potential of Exit.

Former Exit Regional Director. If you have questions, just ask. I was involved with Exit on the Regional level and RE/MAX on the broker level.

Both are great companies. Different strokes for different folks.

Hi everyone,

I'm enjoying this thread. Please allow me to address this comment:

Is there anyone out there who works with Exit Realy now and is giving up a slice of their commission to another agent who recruited them there? I was wondering if that is something that bothers you or not. I mean it seems to me that in a short time, you would get sick of giving up your commission for really nothing.

The FAQs on our website were updated with this information today:

Q - Does the sponsor bonus come out of the sponsor or recruit's commission?
A - No, the sponsor bonuses are paid by EXIT Realty Corp. International to the agent who sponsored the recruit as a thank you for helping to grow the business. The amount of the sponsor bonus is equivalent to 10% of the gross closed commission of the recruit's transaction, but it is paid by EXIT's Head Office, not by the brokerage and not by the agent.

Q - Let me make sure I understand - does the person who sponsored me into EXIT get some of my commission?
A - NO. When you join EXIT, you let us know who is responsible for introducing you to the company. From that point forward, our centralized computer system, MEMO, keeps track of the transactions you close and then EXIT International pays residual income in the form of a bonus equivalent to 10% of your gross closed commission to your sponsor. You are paid your commission as usual by your office; EXIT's Head Office looks after the payment of all sponsor bonuses.

I'd be happy to clarify any other questions. Keep up the lively debate!

Susan

Susan,

i have a friend who manages an Exit brokerage. personally, i have nothing for or against Exit. the only thing that i dont understand is why i would want to be on an 70/30 split. if i were to go to exit, i would go in on my own and want to be at an 80/20 split and not have a sponsor.

if i walk in the door and ask to sign up, who would be my sponsor? i dont really care about growing anyones business except for my own as we are independent contractors. i would not want to recruit people either as i can make more money selling re than i could from recruiting a non producer. most producers that i know, who i would make money off would nto leave their brokerage because they have thier own successfull gameplan already in place. that leaves new agents and non producers to recruit. sure from time to time there will be large agents who make the move. a guy i know in my area worked out of a large national brand and his office shut down. when his office shut down he moved to Exit. if his office did not shut down, i would bet that he would not have made the move. a guy who carries 40 listings does not go to an office because someone asked him to go so that he can make more than 100%.

like i said, i am not for or against Exit. i dont think that exit is your way in or out of the business. i think that each agent is responsible for their own success or failure. we are independent contractors and it is our business to close deals.

if exit did not pay out the 10% from thier pocket, they could put that into the agents pocket that closed the deal.

so in a sense, the recruit does pay their sponsor 10% indirectly. you can say htat it comes from the broker, but where did the broker get the 10%.

Susan,

I understand the concept better than most and sold franchises for them, worked with them as an agent and had a franchise. Here is one of the biggest problems with Exit, besides the name...you would be suprised how many people hate the name.

The biggest problem is this;
You have been talking to your friend, lets say Mary with XYZ Reatly about coming over to Exit so you can get the 10% residual. Mary finally says ok, I'll meet your broker. You talk to your broker and say Mary wants to talk to you about coming over. Your broker says what is Marys last name you say Mary Jones...Your broker says I have been talking to Mary or been mailing her or whatever for months, if she comes we will split the 5% residual. That happens all the time and I found that agents are fighting with their brokers for the 10% residuals.

i know plenty of Exit agents that split and each take 5% of a certain agent that they both sponsor.

could an agent come in and say....hey mr. broker, i would like to sponsor myself and make 70/30 then get a 10% residual from my sponsor (myself) to make my actual cut of the pie 80%?

really, what if an agent walks in off of the street with no sponsor.

An agent cannot sponsor themself. If an agent walked in with no sponsor the broker gets the sponsorship.

The critical issue is not who gets this or that override.

The key question is what the company does to help its agents get business.

I would suggest a variation on an old adage: "10% of nothing is nothing."

I notice even Zorich agrees that the name is a prolem.

Aye it is. I had several people tell me that they would of bought a franchise but could not get past the name.

I don't understand why everyone thinks the name is bad. It's brilliant. Everyone knows it and everywhere you go there is an "Exit" sign. People remember it. Don't you want to be remembered?

You may be right I have never seen an "EXIT" listing in my area.

name is kind of irrelevant....it comes down to the split and what the agent does to bring in business...


if i go to --name.your.favorite.brokerage--- and do nothing i will fail.....

if i go to ---name.the.worst.brokeage.you.can.think.of--- and i bust my rear there is no way that i can fail.....



saying "Don't you want to be remembered?" has nothing to do with me if it is the brokerage name that the person remembers, because when they call the office my paycheck depends on them remembering not the brokers name----but my name....

i do want to be remembered...

The name stinks but has the potential to be marketed as a strong brand. There is two ways to make sure your advertising/brand is remembered. First a real catchy ad that everyone brags about and second a horrible ad that everyon talks about because of how bad it was. If you want an example of the second check out sales genie's Super Bowl commercial. It was plastered all over the net as the all time worst Super Bowl commercial. However, Sales Genie had server melting traffic for months and double the number of users of their service.

I really do not see any problem with gaining residuals for recruiting and if I was recruited it would not bother me to know that someone was earning these residuals.

I think the argument is getting silly and it is time to let this thread die.

EXIT would like you to think the message is "safe passage" but I think most people see it as an emergency escape. That is the problem with the name.

I've never thought of the word EXIT as anything other than "a way out."

Fire Exit, Emergency Exit - those have the added "fear factor" to it...but most Exit signs simply indicate the way out.

I still think it's a dumb name for a real estate franchise, but hey. LOL

You know what regardless of what we think the proof is they are making alot of money with there business model so on some level the concept is working in the marketplace.

This is the funniest real estate franchise I have ever seen. I have seen many come and go.

There are some really funny moments with their founder, it does seem like cult worship.

http://www.metacafe.com/watch/1202803/exit_realty/

This is a video clip of their seminars. I think they charge $600-$1000 per agent to go? Can someone confirm that price? The training seminars usually just sell more of their training products and talks about recruiting.

Here Steve Morris talks about black-smithing in a very vague kind of way. The Hammer sometimes is ball pin some times is not, sometimes you need oil, sometimes you need water. And that means residuals, he implies. Very strange seminar, IMHO.

[url=http://www.metacafe.com/watch/1202809/exit_realty/]http://www.metacafe.com/watch/1202809/exit_realty/[/url]

This is absolutely funny too. Apparently Exit Realty only has 17000 or so agents but claims to have close to a quarter million agents.

Thier conventions cost $495 I believe, at least thats what it cost me to go when I was with them. That did not include anything, just the fee to attend.

They had 50,000 +/- when I was there. I do know this little secret that they do not like to share, but its the same at Re/max. Exit boasts 50,000+ agents and Re/max boasts 120,000+ agents. However, when an agent(s) leave they do not subtract from these numbers.

I was wrong the fee is $695 per person...

Yep, you got it! And this is the bottomline. I have worked with 2 or 3 of their local agents and they're just hardworking stiffs like the rest of us. So long as the individuals I deal with are honest and ethical in their dealings, they can work for any company and think/do as they choose.

I wouldn't have picked that name for a company, but maybe on some level it's supposed to reach people who are wanting a quick exit from the home they currently own - who knows.