How Much Does A Real Estate Agent Make?

Just for curiosity purposes, you might be wondering how much your real estate agent earns. Well, you are not alone. Many people have frequently asked about what an average real estate agent makes annually and we understand they have different reasons for this. For some people, they want to know whether the earnings are worth it before getting into the business. for others, they want to know the much a real estate agent makes for the purposes of killing their curiosity or for comparison purposes.

Real Estate Agent

What drives one to become a real estate agent?

Various people go into this business for various reasons. However, some of the most common ones include:

  • Motivation to learn more
  • To make money
  • Some people look for the glamour, challenges and the excitement that comes with being in the real estate business.
  • Some people go into this business in order to help others achieve their dreams.

How much does a real estate agent make?

Regardless of what inspires you to get into the real estate business, the bottom line remains that in your first year; you will earn much less as compared to the experienced ones in the field. This is because most first year struggles to learn how the business runs and may have challenges building clients. As time goes by, the first years continue to rely on the clients who trust them. In addition to that, the first years may get a few referrals to keep them going as their earnings go up.

According to multiple sources like, average real estate agents receive median salaries of up to $36,000. However, the case is different for top producer agents because they earn more from their work. On the other hand, agents who sell fewer homes within a certain period tend to earn much lower salaries.

Some of the factors that play a part in the much a real estate agent earns include:

  • The position of the agent
  • The much the agent sales and the transactions that they successfully complete
  • The experience that the agent has

How is real estate commissions paid?

The real estate business is one that hugely depends on commissions. Most agents earn according to their listing agreement. This is apart from the broker agreements that give the agent a share of the profits made. Commissions constitute the major part of the listing agreement and the much an agent will make will depend on what the client offers to pay. In that case, it would be very difficult for new agents to make any significant amount in the business unless one makes an effort to sell more. On the other hand, top producer real estate agents earn more. They make over $100,000 annually while for mega stars, they can make double the amount annually.


If you are eager to know the much your real estate agent earns, you can tell that by looking at factors such as one’s experience in the field, one’s position and how well one can sell properties at a given time. This way, you can estimate the agent’s worth.