Marked 'Very Important' because the game is literally unplayable.
The lag in realms with only 1 player signed in has gone from bad (periodically blocks wont break, things stop moving, then catch up), to unplayable-- animations not playing at all, entities jitter around instead of walk.
No-one can get anything done on our realm-- a PAID FOR service, and I can't seem to get any support or help, either.
It isn't our internet, let us make that abundantly clear. Several different people with varying levels of excellent down/up speeds all get the same result across several gaming rigs. It isn't my computer. I have a brand new MSI that came out just this year, and it does not come near touching my specs.
It is only Minecraft that does this-- online AND offline-- but it's worst on realms, utterly unplayable. I tried to search for this issue here and all I got was topics from 2015 which was unhelpful though I am aware that at least part of the lag is likely due to the autosave function, and now seeing that it is possibly tied to multiplayer being enabled?
Unfortunately disabling that just isn't an option. What I want out of this game most of all is a realm that I can share with my friends and family, so I very much hope that this is being worked on in some capacity.
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I can confirm this bug still exists on Minecraft v1.12.0 on Windows 10. When more than one person joins the realm, the tick rate of the server drastically slows to a point where I once waited more than a minute to absorb an experience orb. Block updates take 2 seconds or more depending on the lag, which tends to increase with more people and decrease with less.
The game is UNPLAYABLE in this state. I'm paying for the capability of playing with 10 friends, and the Realms server struggles to handle 2 or 3 players.
This issue is not resolved after closing/reopening the realm. We've also troubleshooted our local networks and have ruled them out as the cause of the issue. Also, geographically speaking, we're all within a 500 miles radius on the east coast of the US, so not something that the Realms server shouldn't be able to handle.

I recorded a video of the issue. This shows how its intermittent, but very noticeable and drastically reduces the quality of gameplay.
https://www.youtube.com/watch?v=KLZ0vRa_pps&feature=youtu.be
When hosting the same world locally on my PC instead of Realms, the issue is much less severe. I have gigabit internet and my PC is using an nVidia 1080Ti to run the game, so this makes me think that not enough resources are being allocated to running the Realm when hosted by Microsoft.
Please fix this!!!

I have the same issue, across all consoles/platforms on 1.12.1

Thank you for your report!
We're tracking this issue as REALMS-1887, so this ticket is being resolved and linked as a duplicate.
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