What if I told you that there was a roadmap that informed Realtors and brokers of the latest 2022 trends like what a typical Realtor makes, where those earnings came from, what splits they’re paid, what expenses they’re seeing, what technologies they’re using, and so much more?
There is, it’s the 2022 National Association of Realtors Member Profile and they’ve lost their damn minds and discounted it this year to just over $14 (I swear we’ve paid $150, so that’s a pretty sweet deal).
The Member Profile is a well known tool that leaders use to gauge their own experiences, but more importantly, it’s data that anyone recruiting agents memorizes each year. So if you plan on ever growing, this report is your baseline.
Here are the report’s highlights, according to NAR:
Business Characteristics of REALTORS®
- 67% of REALTORS® were licensed sales agents
- 21% held broker licenses
- 14% held broker associate licenses
- The typical REALTOR® had 8 years of experience, the same as last year.
- 79% of REALTORS® were very certain they will remain active as a real estate professional for the next two years.
Business Activity of REALTORS®
- At 57%, lack of inventory remains the most important factor limiting potential clients from making a purchase.
- Most REALTORS® worked 35 hours per week in 2021, the same as last year.
- The typical REALTOR® earned 16% of their business from repeat clients and customers, and 20% through referrals from past clients and customers.
- The typical property manager managed 41 properties in 2021, slightly up from 39 properties in 2020.
Income and Expenses of REALTORS®
- In 2020, 36% of REALTORS® were compensated under a fixed commission split (under 100%), 20% with a graduated commission split (increases with productivity), and 18% with a capped commission split (rises to 100% after a predetermined threshold).
- REALTORS® with 16 years or more experience had a median gross income of $85,000—up from $75,000 in 2020—compared to REALTORS® with 2 years or less experience that had a median gross income of $8,800—an increase from $8,500 in 2020.
- The largest expense category for most REALTORS® was vehicle expenses, which was $1,460.
Office and Firm Affiliation of REALTORS®
- 54% of REALTORS® are affiliated with an independent company.
- 87% of members are independent contractors at their firms.
- The median tenure for REALTORS® with their current firm was five years, the same as last year.
- 31% of REALTORS® worked for a firm that was bought or merged in the past two years.
Technology and REALTORS®
- 96% of REALTORS® reported using a smartphone nearly every day.
- 68% of REALTORS® reported having a website for business use.
- For professional use, REALTORS® were typically most active on Facebook, LinkedIn, and Instagram
- REALTORS® most often communicate with clients via text messaging (94%), telephone (92%), and email (90%).
Demographic Characteristics of REALTORS®
- The typical REALTOR® was a 56-year-old white female who attended college and was a homeowner.
- 66% of all REALTORS® were female, up slightly from 65% last year.
- The majority of REALTORS®—84%—own their primary residence and 37% own a secondary property.
Download the full report here.