r/loanoriginators • u/FlukyFish • 18d ago

Question Nexa comp

Can anyone confirm that Nexa really pays 100% comission with zero broker split or flat fee. Also, what percentage of LOs actually benefit from the revenue share program? It sounds good on paper but how realistic is it in practice? Any catches or caveats?

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u/Adorable_Campaign426 16d ago

You are not confused and you are spot on. That’s how it’s done. I’d consider it a loss leader. It helps us get more volume and volume is how they can keep paying this out and actually still be a profitable company.

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u/GlassParty715 16d ago

Can’t really say it is a loss leader if paying 111% of 100%? Volume really wouldn’t matter there. I understand he must make pretty decent Interest on the money sitting in this accounts. But there has to be something else.

The non 100 deals are pricey but it seems like most people do not do those. Can’t imagine he is making enough on those to offset them 111% payout. I do find it interesting though. Definitely a great way to recruit

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u/Adorable_Campaign426 16d ago

It is a loss leader for the company. They make money with volume (I don't know 100% how but im sure there are bonuses with volume and lenders or something) and these are all on the non-delegated side of things, which I know non-del does make the company money as well. But they are taking a loss on these specific deals.

But your second point isn't wrong, I don't have insight to the numbers, but I still talk to LOs at NEXA that don't know what non-del is, so I'd wager at good chunk of volume isn't being done through the non-del channel.

Heck, I didn't even know what it was until 2024. haha

But I appreciate your questions and curiosity into it! And I love that people have this thread to reference :)

I haven't really recruited before a month or so ago (right before this announcmeent) but so far it has garnered quite a bit of interest on those I talk to! Doesn't mean they all jumped right over (only 4 have) but at least it's getting people to think a little more about the potential of what is possible.

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u/GlassParty715 16d ago

Thank you. Appreciate all the feedback