Real Estate Team vs Solo Agent: Which Path is Right for You? (2025 Guide)

Should you join a real estate team or go solo? After 13 years in Los Angeles real estate—seven as a solo agent, then building my own team—here's the truth: it's not about commission splits, it's about choosing the fastest path to your goals.

Most agents get this decision wrong. They focus on percentages instead of systems, worry about "losing independence" instead of gaining support. Following recent NAR settlement changes, this choice has become critical for survival in competitive markets like Los Angeles and San Gabriel Valley.

The Fundamental Difference: Systems vs Starting from Scratch

Teams provide proven systems, ongoing support, and shared resources that solo agents must build independently. This distinction determines whether you'll close your first transaction in months or struggle for years.

When I was drowning as a solo agent in year seven—more leads than I could handle, clients getting poor service, working 70-hour weeks—I realized I could either turn away business or build a team. The same decision-making framework that led me from solo to team leader applies to every agent facing this choice today.

Team vs Solo: The Real Performance Gap

Team Agent Advantages:

• Immediate access to proven lead generation systems

• Daily coaching and accountability structures

• Integrated CRM, AI tools, and marketing automation

• Transaction coordinators handling paperwork

• Database access (we maintain 14,000+ active leads)

• Peer learning accelerating skill development

Solo Agent Reality:

• 87% quit within first 3 years

• Average 8-18 months to first closing

• Spend 60%+ time on non-revenue activities

• Technology costs: $2,000-5,000+ monthly for equivalent tools

• Must build lead generation from zero

As Brandon, one of our agents, shared: "My first firm lacked the support, technology, and growth focus I needed to succeed." He left real estate for a year before finding the right team environment, then achieved more success in months than his entire first attempt.

The Hidden Costs of Going Solo

Most agents underestimate solo practice expenses:

Annual Investment Required:

• Technology stack: $12,000-30,000

• Support staff: $15,000-45,000

• Professional development: $8,000-32,000

• Marketing and business: $7,000-19,000

Total: $42,000-126,000 annually for equivalent team support.

Compare this to team commission sharing that includes all these elements plus lead generation and ongoing coaching.

Los Angeles Market Realities: Why Location Matters

In LA and San Gabriel Valley markets, complexity demands either significant individual expertise or team support:

• 40,000+ licensed agents creating intense competition

• Cultural diversity requiring broader market knowledge

• Price ranges from $500K starter homes to $50M+ luxury estates

• High cost of living demands consistent income

• Technology adoption essential for competitiveness

When to Choose Each Path

Choose a Team If:

• You're new to real estate or struggling for traction

• You value systematic approaches over trial-and-error

• You want predictable lead access and opportunities

• You thrive in collaborative, accountable environments

• You prefer focusing on selling rather than building systems

Choose Solo If:

• You have established systems and client databases

• You can invest $50K+ annually in equivalent support

• You prefer complete control over business decisions

• You have strong self-discipline and accountability habits

• You're financially stable enough for income variability

Team Selection Scorecard

When evaluating teams, score each area (5 points max):

• Leadership Quality: Team leader actively producing? Clear track record? Invests in development?

• Systems and Support: Proven lead generation? Advanced technology? Daily coaching?

• Culture and Environment: Collaborative atmosphere? Ethical practices? Agent retention?

• Opportunity and Growth: Quality leads? Career advancement? Fair commission structure?

• 90-100 points: Exceptional opportunity 75-89 points: Strong consideration
  Below 75 points: Keep looking

Success Stories: Why Systems Matter

Pam's Transformation: After 20 years in banking, joined our team while working part-time. Three months later went full-time. First-year production: $8 million. "The amount of money I made in May was literally my yearly salary."

Jason's Breakthrough: Frustrated with previous team's "wait your turn" mentality. Within 48 hours of joining us, had full database access. Two months: first two listings. Four months: multiple closings.

The Commission Reality

Team Structure: 50/50 to 70/30 splits including technology, leads, coaching, administrative support

Solo Structure: Keep 85-95% but pay all expenses

Real Example:

• Solo: $500K production at 90% = $450K gross, minus $50K+ expenses = $400K net

• Team: $750K production at 65% = $487K gross, expenses included = $487K net

The math often favors teams for agents who leverage support systems effectively.

Making Your Decision

Success in real estate comes down to having conversations with prospects, providing value to clients, and building referral relationships. The question isn't which path is "better"—it's which gives you the highest probability of building your desired career in LA's competitive market.

Ready to explore your options? Whether you choose team or solo path, make the decision that aligns with your current situation, resources, and goals. The right choice accelerates your success when you understand what each path truly requires.

The Borges Real Estate Team serves Los Angeles and San Gabriel Valley agents through systematic approaches, proven processes, and collaborative growth culture. Contact us to explore which path best fits your real estate career goals.

About the Author

Justin Borges is the Team Leader of The Borges Real Estate Team at eXp Realty and widely recognized as the best real estate team to join in Pasadena, CA. With over a decade of experience and $200M+ in sales, Justin built the team to give agents the mentorship, accountability, and tech he never had starting out. His mission is to help new and experienced agents fast-track success, build sustainable six-figure businesses, and thrive in a culture built on collaboration and growth.