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How Much Does A Real Estate Agent Make?

So that is always the big question: Do Real Estate Agents Make a Lot of Money?


Well, that is a complicated question, because there are so many variables. Probably the most important factors are drive and determination.

Most real estate agents are commission-based agents. That means that they earn most (or all) of their income when they sell or help a buyer buy a house. When a person sells a house with the help of a real estate agent, the seller typically pays a 5-7% commission on the sales price of the home. The commission is then split between the selling agent and the buying agent. So, if the commission is 6%, each side gets a 3% commission. When selling a house for $250,000, each agent can expect to earn $7,500. Of course, all of this negotiable.

Of course, the commission may be split among more than just the buyer and seller agents. Then, their broker may also earn a piece of the commission, and that varies with the brokerage. Real estate agents also need to pay for their own expenses, such as gas and advertising expenses. So, the agent may get $5,000 in that transaction, maybe more, maybe less.

On average, members of the National Association of REALTORS© complete 12 transactions each year. If the average real estate agent earns $5,000 per transaction (after expenses), they would net $60,000 annually. However, these real estate agents have an average of 10 years of experience. Newer real estate agents will likely sell fewer houses and have lower incomes.


Earnings of a Real Estate Agent Compared

Average Real Estate Agent Pay vs. Other Best Jobs

Evaluating if Real Estate is a good career has many variables to consider.

US News reports that Real Estate Agents rank #5 in Best Sales and Marketing Jobs. Jobs are ranked according to their ability to offer an elusive mix of factors. (

Real Estate Careers rank high for several facts:


Overall, the scorecard looks pretty good! 

Real Estate Agents Job Satisfaction and Job Market

Since the average American works well into their 60s, it should be important that workers have a job that's enjoyable and a career that's fulfilling. A job with a low stress level, good work-life balance and solid prospects to improve, get promoted and earn a higher salary would make many employees happy. Here's how Real Estate Agents job satisfaction is rated in terms of upward mobility, stress level and flexibility.


Upward Mobility -- Opportunities for advancements and salary --          Above Average


Stress Level -- Work environment and complexities of the job's responsibilities  -- Average


Flexibility -- Alternative working schedule and work life balance              -- Above Average



Job Market for Real Estate Agents is good-- and varied. At any one time there might be positions that have a range of $100,000, some part time, with many different areas of focus.  (

Up Next:

How do Real Estate Agents Get Paid?

Or, skip ahead: 

How to Become a Real Estate Agent

Is Real Estate a Good Career?

How Much Does a Real Estate Agent Make?

How do Real Estate Agents Get Paid?

Choosing a School to Get a Real Estate License

How Long Does It Take to Get Your Real Estate License?

How Much Does It Cost for a Real Estate School?

Discounts Available for Veterans and Others.

A Career in Real Estate: How to Become A Success

How to Successfully Market Yourself as a REALTOR®

Can You Sell Real Estate Part Time?

Can Real Estate Agents Work From Home?

What Does a Real Estate Agent Do?

What Skills Make A Great Real Estate Agent?

Who Makes Great Real Estate Agents

What Can You Do with a Real Estate License?

How much do real estate agents make
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