Some Spokane real estate agents are leaving behind the copier rooms and cubicles typically found at traditional real estate brokerages for a different kind of firm — one that exists entirely in the cloud.

Cloud-based brokerages, such as The Real Brokerage Inc., which operates as Real Broker LLC based in Toronto and New York City; Bellingham, Washington-based eXp Realty; and Houston-based Epique Inc., which does business as Epique Realty, are redefining how some agents and agencies conduct business in the market.

Spokane-based husband-and-wife team Craig and Marla Hudkins, who have about two decades of combined experience, joined Real Broker following stints at traditional brokerage companies 4 Degrees and Keller Williams.

Some of the incentives for joining the Real Broker platform more than 1 1/2 years ago, Craig Hudkins says, include lower fees and “caps,” a large agent network, revenue sharing, and a variety of learning tools for agents.

A real estate commission cap, or capping, is the maximum amount of money a real estate agent pays to their brokerage in a given year before earning 100% of their commission.

“What I would attribute to (Real Broker) is that they’ve given us tools to use in a rapidly declining market,” says Craig Hudkins. “And they offer a health care plan that plugs into a national network that gives discounts, stock purchase and bonuses, and revenue share.”

Compared to cloud-based brokerages, Marla Hudkins explains that traditional brick-and-mortar brokerages have larger yearly caps and typically include franchise fees, office rent, and other overhead costs — expenses that she says can be passed along to agents.

“At every brokerage (we’ve been at) the cap is different, but on average about $21,000,” Marla Hudkins says. “(At Real Broker), we use the cap to buy stock. We’re getting something back for paying our cap. Before, that cap would just go straight to the brokerage.”

For instance, Real Broker’s cap is $12,000 per year, which is split between the brokerage and the agent. The real estate agent keeps 85% of the commission, while the brokerage receives 15% until the cap is reached. The real estate platform also has no monthly fees for agents.

Additionally, she says, agents at Real Broker receive stock bonuses for milestones and can invest part of each commission check into revenue shares.

“(Real Broker) gives us shares for different milestones,” Craig Hudkins says. “So we build up a ton of stock in the company.”

Cloud-based brokerage platforms also are appealing to some agents that are seeking access to new technology. At Real Broker, Marla touts the appeal of the platform's artificial intelligence-powered agent portal, that gives agents access to transaction tools, education opportunities, and a network of over 30,000 peers.

Education, she emphasizes, is important for agents. At Real Brokerage, for example, agents can attend frequent online training sessions, live-video events, and in-person conferences that take place throughout the country. Agents also can participate in activities in real time or access a library of recorded classes, she says.

“Pre-COVID, we had really good weekly meetings, training programs, and a little bit of mentorship,” she says of her previous experience at a traditional brokerage company. “And then a lot of that kind of went away and fizzled out, which in turn, meant that our resources were going away. We were paying the same cap, but there was no more training.”

Alyssa Curnutt, a Spokane-based Real Broker agent, previously switched to the cloud-based platform in 2022 when the company had 8,000 members. It has grown to about 30,000 agents in its network now, she says.

“I was seeing respected agents that were known nationally move to (Real Broker) and I got curious,” Curnutt says of her decision to join the company. “Financial transparency was a major factor. I was paying $22,500. At (Real Broker), the cap is $12,000, and once you hit it, you only pay a $285 transaction fee. It’s a true cap. I can log in anytime and see exactly where every dollar goes.”

Curnutt, who has nearly 30,000 followers on the social media platform Instagram, hosts events for Real Broker agents in the area at Spokane Valley-based venue The Hive. She recently hosted a Further Together event for the brokerage at The Davenport Hotel, which attracted about 100 attendees.

Although Real Broker is a cloud-based company, Curnutt says the connection to other agents is invaluable.

As previously reported by the Journal, multiple Spokane-based agencies have joined cloud-based brokerages in an emerging trend in recent years. For instance, Spokane-based Haven Real Estate Group joined Epique Realty in April 2024. 

“There are so many things that would cost us literally hundreds of thousands of dollars to try to implement or match,” Haven Real Estate co-founder Robert Henry previously told the Journal. “How could we not provide those tools to our agents?”

Additionally, two Spokane-based brokerage groups, Synergy Properties LLC and 4 Degrees Real Estate, have joined cloud-based eXp Realty within the last two years.

“We were starting to see costs rise for technology,” 4 Degrees co-owner Jordan Tampien told the Journal in March. “We had to decide whether to join a larger firm. This partnership would give our agents access to cutting-edge technology … and long-term financial benefits.”