Florida Realtors economist: NAR’s latest Florida Realtors Member Profile looks beyond 2020 home sales and prices, providing a closer look at the Realtors who made it happen. It provides details such as the state’s Realtor demographics, businesses and community commitment.
ORLANDO, Fla – The 2020 real estate story – the pause and fall of sales due to COVID-19 followed by a surprising bounce-back to some of the strongest sales on record – has been told time and time again.
But what is known about those behind the scenes – the agents, brokers and appraisers – supporting the narrative? The National Association of Realtors® (NAR) conducted the 2021 Member Profile Florida Realtors® Report to shed light on the professionals that made it happen.
Who are you?
- 65% of Realtors® said they were female compared to only 33% male; 2% preferred not to say
- The median age among Florida’s Realtors is 55 years old, and 64% are married
- 69% are white, 20% are Hispanic/Latino, 7% are Black/African American, and 2% are Asian/Pacific Islander
- 76% were born in the U.S. and 24% were born outside the U.S.
- 79% are sales agents, 10% are broker associates, 11% are brokers, and 1% are appraisers
- For nearly three in four (74%) Florida Realtors members, real estate is their only occupation
COVID-19 instigated change
COVID-19 impacted nearly every aspect of life in 2020, and for real estate professionals, it was no different. Real estate was deemed an essential service. Precautions were taken and technology became commonplace. The market saw fewer open houses and more virtual tours; more electronic paperwork and less in-person signings.
Many people who suddenly found themselves newly unemployed saw a clear opportunity to make a career change. As a result, new real estate licensees and Florida Realtors’ membership surged. One in five (21%) respondents indicated they had one year of experience or less, up from 18% last year. Conversely, some experienced professionals determined it would be a good time to retire.
Business now and ahead
New sales agents adapted talents gleaned from careers in management, sales, business, finance and retail. Their entry divided the real estate pot and the gross income of members in 2020 was $33,750, down slightly from $35,000 the year before. However, there was higher total dollar volume in 2020 compared to 2019.
Yet, one number doesn’t capture each individual. The distinction between new and experienced agents is evident as professionals are grouped by their years in the business.
Agents with two years or less experience averaged an income of $8,200 compared to their more experienced peers who earned $62,500. Why? The typical new residential agent reported two transactions, while agents in experience brackets greater than three years had between 10 and 12 transactions.
Income potential varies when considering agents versus brokers too. The median gross income for sales agents was $26,250, while brokers/broker associates typically made $73,080.
No matter their designation, all Realtors cited “lack of inventory” as the most difficult obstacle. Inventory continued plunging through the year and bidding wars occurred in many areas of the state. This tight supply connects to the second highest struggle for their clients, “difficulty in finding the right property.”
Despite the challenges, four in five Realtors are “very certain” they will be active real estate professionals in two years, and an additional 14% are “somewhat certain” they will.
Care about community
Realtors are invested in their local areas – where they live, shop, work and play. Further, they believe in and support the American dream of homeownership. It’s no surprise that 77% own their primary residence.
Actions speak even louder about their commitment to community. There are plenty of opportunities to step up, with events like Clean Up Florida Waters, and members did just that, with 56% of Realtors volunteering in their community. Of all Realtors in Florida, 13% are veterans who have served our country and 1% are active-duty service members. Most (93%) of Realtors in Florida are registered to vote.
Take a minute to recognize who you are and pat yourself on the back. Realtors connect people to housing and although you are not the headline, behind each market stat is a person like you.
Erica Plemmons is a Florida Realtors economist and Director of Housing Statistics
© 2021 Florida Realtors®
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Author: kerrys