Three things to know from the new NAR member profile
By Brian Buffini, Chairman and Founder
Each year, the National Association of REALTORS® puts out a comprehensive report that provides an overview of its members, including their demographics, business practices, experience, income, and technology use. The report is based on a survey sent to the membership over the past year, with the data then analyzed and reviewed by NAR leadership. While the report is chock-full of interesting stats, there are three in particular I think are important for real estate professionals to pay particular attention to.
1. Referrals and repeat customers are still key.
The typical REALTOR® earned 28% of their business from repeat clients and 22% from referrals from past clients. That’s half of their business from repeats and referrals.
What does this mean for you? There’s a lot of chatter online about ways to engage with leads, including social media and AI. These are no doubt, important. But when you come down to it, the majority of people want to work with someone they know and trust. They don’t care how many clicks or views your posts get. They care about your professionalism and how you will serve them during a stressful, expensive time in their lives.
Some of our clients say they have even higher referral rates, while others work exclusively by referral. The bottom line is working by referral works. It did for me, it does for our Members, and if you commit to the program, it will work for you as well.
2. Almost all current real estate professionals anticipate that they will be in business two years from now.
The last few years have seen a number of agents leaving the industry. Based on NAR’s projections, membership is expected to decline by approximately 400,000 from its 2022 peak of 1.6 million to the end of 2026.
According to those surveyed, 75% are “very certain” they will remain in the market for the next two years, with another 17% reporting that they are “somewhat” certain. That’s 92% of those REALTORS.
What does this mean for you? Real estate is a great business, but it’s a tough business. Many of the agents who were in it for the easy money, when mortgage rates were low and houses were off the market in mere hours, have now headed for the exit. For those who choose to stay, the opportunities are there. That clears out the playing field for those who want to win.
Buffini & Company is committed to helping its Members end up on the winning side. We are constantly investing in new technology and training programs geared toward helping you succeed in the year ahead and beyond.
3. The median gross income reported was just over $59,000.
Among all REALTORS, the median gross income was $59,200, up slightly from $58,100 the previous year.
What does this mean for you? For agents who want to rise to the top, lead generation has to be your top priority. The best leads will be warm referrals from those who know you and trust you.
That’s the heart of our Ultimate Year in Real Estate program. The industry’s top lead-generating program, it’s designed to help you generate more referrals, leading to one extra transaction a month and earning you an average of $128,000 in additional annual income.
This program is a fun, systematic way using our proven, time-honored principles of calls, notes, and Pop-Bys as a way to help fill your pipeline throughout the year with high-value leads. Each week you’ll get a focused program with daily action steps that will inspire and keep your momentum going. You’ll also receive support through a series of weekly videos (featuring yours truly), professionally designed marketing assets, and much more.
At the end of the day, it’s good to know what’s happening in the industry, but the stats that really matter are yours. And we want to help make yours really shine! If you haven’t signed up yet for the Ultimate Year in Real Estate, do yourself a favor and check it out now. If you’ve already been working the program, congrats! I’d love to hear your success story at brianb@buffini.com.
