Looking for a new career? Now might be the time to consider the real estate field.
According to the 2014 National Association of Realtors® Member Profile income is up and there are more new and younger members of the Association.
The survey's results are representative of the nation's Realtors®; members of NAR account for about half of the approximately 2 million active real estate licensees in the U.S.
Lawrence Yun , NAR chief economist, said recovery in the housing market since the downturn continues to improve the earnings of real estate professionals. "Fueled mostly by rising home sales and prices, the median gross income of a Realtor® increased to $47,700 in 2013 from $43,500 in 2012, marking a 9.6 percent rise and a sharp gain from $34,900 in 2011," he said. "Although the median number of transactions or commercial deals remained unchanged from last year at 12, this marked a continued return to pre-recession levels after bottoming out at seven transactions in 2008.
There are two sides to every real estate transaction — one each for the seller and the buyer. As expected, median gross income and number of transactions generally increases with experience. Last year, NAR members in business for more than 16 years earned $70,200 and made 15 transactions. On the contrary, those with three-to-five years earned less than half that amount ($30,100) and had 10 transactions. Incomes also varied by license type, as members licensed as brokers earned $66,300 in 2013, while the median earnings for sales agents increased $1,000 from the previous year to $35,000.
Last year also brought an influx of new and younger members to NAR. Years of experience in real estate decreased to 12 years from 13 years in 2012; the typical tenure at a firm decreased to six years from seven years; and the age of members decreased to 56 years from 57 years. Three percent of all Realtors ® are under 30 years of age, 16 percent are between ages 30 and 44, and 24 percent are 65 and older.
The typical NAR member works 40 hours per week. Women represent 57 percent of all members, accounting for 53 percent of brokers and 62 percent of sales agents. More than three-quarters of all Realtors® cite real estate as their only occupation, and 82 percent (up two percent from last year) are certain they will remain in the business for at least two more years. This share is higher than the previous two years, indicating the optimism that's seen in today's market.
The 2014 National Association of Realtors® Member Profile is based on a survey of 95,340 members, which generated 6,462 usable responses, representing an adjusted response rate of 6.8 percent. Survey responses were weighted to be representative of state-level NAR membership. Income and transaction data are for 2013, while other data represent member characteristics in early 2014. The study can be ordered by calling 800-874-6500, or online at www.realtor.org/prodser.nsf/Research. The profile costs $14.95 for NAR members and $149.95 for nonmembers.
Source: National Association of Realtors®
Illinois real estate career and licensing information is available at Your House Academy.
Posted on Wed, May 21, 2014
by Mike Fair filed under