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The new Choosing a Career in Real Estate: A Perspective on Gender, Race, and Ethnicity report compares the income, business activity, and demographic characteristics of each race and ethnicity. While White and Caucasian members make up the majority of NAR real estate agents at 74 percent, Hispanic, Latino, Mexican, and Puerto Rican members make up the second largest ethnic group at 13 percent. It is also the fastest growing ethnic group. According to the 2017 Member Profile, 15 percent of members that were 39 years and younger identified as Hispanic and Latino, up from just nine percent in 2015.
Income
Hispanic and Latino members had the greatest share that work exclusively in residential real estate at 71 percent. Twenty-seven percent work in both residential and commercial real estate, while only two percent work solely in commercial. Of the members that exclusively work in residential real estate, 62 percent receive 75 to 100 percent of their income from residential business activity (62 percent for all residential specialists). Of the members that work in residential and commercial real estate, 54 percent receive 75 to 100 percent of their income from residential business activity (53 percent for all specialists of both). Forty-four percent receive one to 25 percent of their income from commercial business activity (43 percent for all specialists of both).
Hispanic and Latino residential-only specialists had a median gross income of $41,700 in 2016 compared to all residential specialists at $48,300. Thirty-nine percent of Hispanic and Latino members had a median gross income of less than $24,999 in 2016. This is likely due to the influx of many young, new Hispanic and Latino members to the industry.
Business Activity
Twenty-eight percent of Hispanic and Latino residential-only specialists had between one and five residential transactions in 2016. Nineteen percent had 21 or more transactions, the same as Asian and Pacific Islander members. Hispanic and Latino residential-only specialists had the second highest median number of annual transactions at six in 2016, following White and Caucasian members at eight. Hispanic and Latino members had the third highest residential sales transaction volume at $1,400,000 in 2016. Thirty-two percent of this group sold between $1 and $5 million in sales transaction volume last year (34 percent for all residential specialists)—and 13 percent sold $5 million or more (16 percent for all residential specialists).
Hispanic and Latino residential-only specialists had a median dollar value of residential sales transactions at $257,400 ($280,300 for all residential specialists). Sixty percent of Hispanic and Latino residential-only specialists sold homes in areas where the typical sales price was $200,000 to $499,999 in 2016 (57 percent for all residential specialists).
Demographics
Hispanic and Latino residential-only specialists had a median of 10 years of experience and 22 percent have between 11 and 15 years. Eight percent have 26 years or more of experience. Fifty-two percent of Hispanic and Latino residential-only specialists surveyed are between the ages of 49 years old and younger compared to 36 percent of all residential specialists.
Fifteen percent of Hispanic and Latino residential-only specialists work 60 hours or more, just above the 14 percent for all residential specialists. Forty-seven percent of the group work in suburban areas and 35 percent in urban or central city areas. Seventy-four percent are sales agents, the largest share of all ethnicities. Hispanic and Latino members are the most likely to have some college or an associate’s degree.