Real Estate Commissions Suffering In 2011
May 11th, 2011
According to a report by Inman News, not only are distressed property values hurting commissions, but they’re also taking a serious toll on the number of realtors in the country[1]. Since 2006, the national median sales price on homes has fallen to $177,000 (27%) and membership in the National Association of Realtors (NAR) has declined 21.4 percent, to 1.06 million. Not surprisingly, the downward trend in sales price has impacted commissions in the industry, and “real estate professionals are finding…[that they] work more and earn less” now than they did in the past. Despite that increase in work time, nearly half (48.3) percent of respondents reported closing less than one transaction a month in 2010.
While this is not good news for realtors, it is important to note that these numbers are based around reports from real estate agents, who are not necessarily real estate investors. Do you think that real estate investors today are struggling, or is this one of the better times to be in the business?
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[1] http://www.sfgate.com/cgi-bin/article.cgi?f=/g/a/2011/05/11/prweb8412707.DTL
May 12th, 2011 at 4:18 PM
As a funding source, the number of investors I work with has increased and they’re taking advantage of the available property on the market from coast to coast.