Real Estate Overview

Dated: January 15 2019

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Overview of the Real Estate Market

NAR Membership Statistics

Members to date: 1,368,530 as of November 2018

Number of local associations: 1,165 as of January 2018

Source: Monthly Membership Report and NAR Membership Statistics, 1908-present

REALTOR® Demographics

  • 65% percent of REALTORS® are licensed as sales agents, 21% hold broker licenses, and 15% hold broker associate licenses.
  • The typical REALTOR® is a 54-year-old white female who attended college and is a homeowner.
  • 63% of all REALTORS® are female, and the median age of all REALTORS® is 54.
  • Real-estate experience of all REALTORS® (median): 10 years
  • Median tenure at present firm (all REALTORS®): 4 years
  • Most REALTORS® worked 40 hours per week in 2017.
  • The median gross income of REALTORS® was $39,800 in 2017, a decrease from $42,500 in 2016.
  • Median number of transaction sides in 2017:
    • Residential sides for all REALTORS®: 11
    • Residential sides for residential specialists only: 12
    • Residential sides for commercial specialists only: 4
    • Commercial sides for commercial specialists only: 6
  • Formal education of REALTORS®:
    • Some college: 30%
    • Bachelor's degree: 30%
    • Graduate degree and above: 13%
    • Associate degree: 13%
    • Some graduate school: 6%
    • High-school graduate: 8%
  • REALTOR® affiliation with firms:
    • Independent contractor: 86%
    • Employee: 5%
    • Other: 9%

Source: 2018 National Association of REALTORS® Member Profile

Statistics on REALTORS® and Technology

  • 27% of agents and 21% of brokers spent between $501 and $2,000 on technology in the last 12 months.
  • The top three tools that respondents plan on purchasing or replacing in the next year are an iPad (16%), Smartphone (15%), or digital camera (12%).
  • The most frequently used operating system is Windows 7 (38%).
  • The most popular smartphones are iPhone (52%), Android OS (45%), and Blackberry (3%).
  • 91% of REALTORS® use social media to some extent.
  • The top places where REALTORS® place their listings are realtor.com®, Zillow, and Trulia.

Source: 2013-2014 REALTOR® Technology Survey

Home Buyer Statistics

  • First-Time vs. Repeat Buyers: 
    • First-time buyers: 33%
    • Median age of first-time buyers: 32
    • Median age of repeat buyers: 55
    • Median household income of first-time buyers: $75,000
    • Median household income of repeat buyers: $100,000
  • The typical home purchased was 1,900 square feet in size, was built in 1991, and had three bedrooms and two bathrooms.
  • Among those who financed their home purchase, buyers typically financed 90% of the home price.
  • 87% of buyers purchased their home through a real estate agent or broker—a share that has steadily increased from 69 percent in 2001.
  • Buyers who would use their agent again or recommend their agent to others: 74%
  • Where buyers found the home they purchased: 
    • Internet: 50%
    • Real estate agent: 28%
    • Yard sign/open house sign: 7%
    • Friend, relative or neighbor: 7%
    • Home builder or their agent: 5%
    • Directly from sellers/Knew the sellers: 2%
    • Print newspaper advertisement: 1%

Source: 2018 National Association of REALTORS® Profile of Home Buyers and Sellers

  • 78% of home buyers surveyed in NAR’s 2013 Community Preference Survey responded that neighborhood quality is more important than the size of the home.  57% would forego a home with a larger yard in favor of a shorter commute.
  • NAR’s 2013 Profile of Buyers’ Home Feature Preferences found that the feature that had the highest dollar value buyers were willing to pay more for was a waterfront property.  53% of home buyers undertook a home improvement project within 3 months of buying, typically spending $4,550 in improvement projects.
Where Buyers Found the Home They Purchased

Home Seller Statistics

  • The typical home seller in 2017 was 55 years of age, had a median household income of $98,800, and lived in their home for 9 years.
  • 91% of sellers were assisted by a real estate agent when selling their home.
  • Recent sellers typically sold their homes for 99% of the listing price, and 23% reported reducing the asking price at least once.
  • The typical home sold was on the market for 3 weeks.
  • 39% of sellers who used a real estate agent found their agents through a referral by friends or family, and 24% used the agent they previously worked with to buy or sell a home.
  • Sellers who definitely would use same agent again: 69%

Source: 2018 National Association of REALTORS® Profile of Home Buyers and Sellers

For Sale By Owner (FSBO) Statistics

  • FSBOs accounted for 7% of home sales in 2017. The typical FSBO home sold for $200,000 compared to $265,500 for agent-assisted home sales.
  • FSBO methods used to market home: 
    • Yard sign: 22%
    • Friends, relatives, or neighbors: 18%
    • Online classified advertisements: 6%
    • Open house: 10%
    • For-sale-by-owner websites: 5%
    • Social networking websites (e.g. Facebook, Twitter, etc.): 12%
    • Multiple Listing Service (MLS) website: 4%
    • Print newspaper advertisement: 2%
    • Direct mail (flyers, postcards, etc.): 2%
    • Video: 1%
    • None: Did not actively market home: 49%
  • Most difficult tasks for FSBO sellers: 
    • Getting the right price: 17%
    • Understanding and performing paperwork: 12%
    • Selling within the planned length of time: 5%
    • Preparing/fixing up home for sale: 8%
    • Having enough time to devote to all aspects of the sale: 3%

Source: 2018 National Association of REALTORS® Profile of Home Buyers and Sellers

Other Recommโ€‹ended Sources for Data on Real Estate:

The Economists’ Outlook blog provides insight into NAR Research’s reports and analyzes how various economic indicators affect the real estate market.

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Barry & Kim, Hoey Team ๐Ÿ€ 239RealEstateDeals.Com LLC โ˜˜

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