Real Estate Broker
Nature of the Work
One of the most complex and significant financial
events in peoples’ lives is the purchase or sale of a home or investment
property. Because of this complexity and significance, people typically seek the
help of real estate brokers and sales agents when buying or selling real estate.
Real estate brokers and sales agents have a thorough knowledge
of the real
estate market in their communities. They know which neighborhoods will best fit
clients’ needs and budgets. They are familiar with local zoning and tax laws and
know where to obtain financing. Agents and brokers also act as intermediaries in
price negotiations between buyers and sellers.
Work environment.
Advances in telecommunications and the ability to
retrieve data about properties over the Internet allow many real estate brokers
and sales agents to work out of their homes instead of real estate offices. Even
with this convenience, workers spend much of their time away from their
desks—showing properties to customers, analyzing properties for sale, meeting
with prospective clients, or researching the real estate market.
Agents and brokers often work more than a standard 40-hour week. They usually
work evenings and weekends and are usually on call to respond to the needs of
clients. Although the hours are long and frequently irregular, most agents and
brokers have the freedom to determine their own schedule. They can arrange their
work so that they have time off when they want it. Business usually is slower
during the winter season.
Training, Other Qualifications, and Advancement
In every State and the District of Columbia, real
estate brokers and sales agents must be licensed. Prospective agents must be
high school graduates, be at least 18 years old, and pass a written test.
Education and training. Agents and brokers must be high school graduates. In
fact, as real estate transactions have become more legally complex, many firms
have turned to college graduates to fill positions. A large number of agents and
brokers have some college training. College courses in real estate, finance,
business administration, statistics, economics, law, and English are helpful.
For those who intend to start their own company, business courses such as
marketing and accounting are as important as courses in real estate or finance.
Employment
In 2006, real estate brokers and sales agents held
about 564,000 jobs; real estate sales agents held approximately 77 percent of
these jobs.
Many real estate brokers and sales agents worked part
time, combining their real estate activities with other careers. About 61
percent real estate brokers and sales agents were self-employed. Real estate is
sold in all areas, but employment is concentrated in large urban areas and in
rapidly growing communities.
Job Outlook
Average employment growth is expected because of the
increasing housing needs of a growing population, as well as the perception that
real estate is a good investment. Beginning agents and brokers face competition
from their well-established, more experienced counterparts.
Projections Data
Projections data from the National Employment Matrix
Occupational title SOC Code Employment, 2006 Projected
employment,
2016 Change, 2006-16 Detailed statistics
Number Percent
Real estate brokers and sales agents
41-9020 564,000 624,000 60,000 11 PDF zipped XLS
Real estate brokers
41-9021 131,000 146,000 15,000 11 PDF zipped XLS
Real estate sales agents
41-9022 432,000 478,000 46,000 11 PDF zipped XLS
NOTE: Data in this table are rounded. See the
discussion of the employment projections table in the Handbook introductory
chapter on Occupational Information Included in the Handbook.
Earnings
The median annual earnings, including commissions, of
salaried real estate sales agents were $39,760 in May 2006. The middle 50
percent earned between $26,790 and $65,270 a year. The lowest 10 percent earned
less than $20,170, and the highest 10 percent earned more than $111,500. Median
annual earnings in the industries employing the largest number of real estate
sales agents in May 2006 were:
Residential building construction $53,390
Land subdivision 49,230
Offices of real estate agents and brokers 39,930
Activities related to real estate 36,510
Lessors of real estate 32,580
Median annual earnings, including commissions, of salaried real estate brokers
were $60,790 in May 2006. The middle 50 percent earned between $37,800 and
$102,180 a year. Median annual earnings in the industries employing the largest
number of real estate brokers in May 2006 were:
Offices of real estate agents and brokers $64,350
Lessors of real estate 61,030
Activities related to real estate 48,250
sources
Suggested citation: Bureau of Labor Statistics, U.S.
Department of Labor, Occupational Outlook Handbook, 2008-09 Edition, Real Estate
Brokers and Sales Agents, on the Internet at http://www.bls.gov/oco/ocos120.htm
(visited May 27, 2008).
