A new report reveals that real estate agents are switching brokerages at an accelerated pace, reshaping the industry’s competitive landscape and pressuring firms to adopt recruitment and retention strategies.
The Agent Migration and Brokerage Model Performance Report, compiled by Recruiting Insight in collaboration with BoldTrail, found that 13% of active real estate agents changed brokerages in 2024.
The study analyzed four major MLSs that represent nearly one-third of all agents in the U.S. The 13% of agents who switched companies last year accounted for more than 129,000 home sales transactions.
“This report puts the facts on the table: agents are on the move, and you must have a clear plan to attract and retain top talent,” said Mark Johnson, a managing partner at Recruiting Insight and the author of the report. “In today’s market, a strong attraction and talent acquisition program is no longer an option, it’s survival.”
The study analyzed patterns of agent movement, brokerage performance and the impacts of various business models. It identified key factors that are driving change within the profession, and it warned brokerages that failing to address these shifting priorities could mean lost talent and market share.
Cost of agent turnover
Among the findings of the report, leadership emerged as a crucial factor. Every brokerage model — from traditional to capped revenue share — was represented among the firms with the highest gains and the most significant losses in agent counts.
Agent turnover carried significant financial implications. The 26,363 agents who switched brokerages in 2024 completed an average of 4.83 transactions each — although the top producers far exceeded that number and some closed more than 100 deals.
Tech-driven brokerages proved most successful in attracting high-performing agents. These firms reported nearly double the median sales volume compared to competitors without similar technological investments. Meanwhile, traditional firms remained competitive due to brand strength and agent loyalty.
What’s driving recruitment and turnover?
Brokerages operating under capped revenue share models saw the highest number of incoming agents. But they also faced considerable churn, indicating potential issues with onboarding, culture or support systems, according to the report.
Seasonal and regional differences also played a role. The report found that agent switching peaked in the first quarter of 2024 at the national level, but agents in Western regions were more likely to change brokerages in the fourth quarter compared to other areas.
The study also explored motivators behind agent mobility, framing them through what were labeled as the “8 Ds” — direction, de-risking, development, differentiation, dynamics, digital and data dominance, dollars and dissatisfaction.
Agents cited a lack of support, slow commission payouts and outdated technology as their top reasons for leaving a firm.
“Forget the preconceived notions about agent movement,” said Jay Teresi, vice president of back office sales and strategy at Inside Real Estate. “This report shows success boils down to leadership and a strong conviction in your value proposition. From there, it’s about solid planning and execution.”
The report also noted that brokerages must reassess their strategies to remain competitive. Recommendations include refinements to recruitment messaging, targeting the right agent profiles based on brokerage model, and addressing onboarding and retention challenges.
