On a single home sale, real estate agents are likely to make around 3% of the home’s value. But you might also be wondering how this translates into annual income and hourly wage? Here is some data to consider. Real estate agents in Denver and Seattle make on average between $92,000-$93,000/year. However, these figures are not based on a 40-hour workweek and thus vary greatly. For both agents and brokers, annual earnings are determined by a combination of commission rate, number of clients, and total sales, minus their realty business costs.
In contrast, we’ve found the average agent will spend around 37 hours working to buy or sell a home. At 3% of the median home value, this means that Denver and Seattle real estate agents are charging $407 and $626 per hour, respectively. You might be wondering how both of these things can be true at the same time. Well, there’s a lot of inefficiency built into the system, and how much real estate agents make also depends on the fees they negotiate with real estate brokers, marketing agencies, as well as the time they put into community outreach to burnish their reputations.
TRELORA is working to disrupt this system and save homeowners a big chunk of home equity with our flat-fee real estate service. We represent buyers and sellers for only $3,000-$4,000.