35 Jaw-Dropping US Real Estate Statistics [2023]: How Many Realtors Are In The US

Industry Statistics

Real estate research summary. Real estate is a major part of almost every American’s life, whether you’re a buyer, seller, or agent. Since the Housing Market Crash of 2008, it seems real estate prices have rebounded to the point of climbing higher than they’ve ever been. In fact, in many locations around the U.S., the COVID-19 pandemic has only served to further increase prices.

If you’re curious how many real estate agents in the U.S., among other things, you’re in luck. We’ve gathered all the essential facts about the U.S. real estate industry, and according to our extensive research:

There are over 1.53 million realtors operating in the US as of February 2023.
The full stock of U.S. housing is worth roughly $43.4 trillion.
From January 2022 to January 2023, overall home prices across the U.S. have increased by 5.5%.
Currently, 97% of home buyers search for their homes online.
The market size of the Real Estate Sales Brokerage industry in the U.S. is $222.3 billion in 2023.
There are 143.8 million housing units across the U.S.

For further analysis, we broke down the data in the following ways:
Housing Market | Agent | Trends and Predictions | Home Buyer
97% of home buyers search for their homes online

General real estate industry statistics

Owning a home through real estate has always been a major part of the “American Dream.” However, lately, it seems housing prices have outpaced the incomes of most Americans. With that in mind, where is real estate today? Here are the insights our research uncovered:

There were 5.95 million homes sold in the U.S. in 2022

Which has risen steadily since 2011, when home sales were only 4.57 million per year. Sales are expected to increase again in 2023.
San Francisco, California, has the highest median selling price for U.S. real estate, at $1.36 million.

San Francisco also has the highest average 5% down payment, at $68,000. In part, these numbers have surpassed other cities because San Francisco still has a neutral market instead of a buyer’s market.

Manhattan, New York, has the most expensive cost per square foot in the U.S., at $1,400 per square foot.

While Manhattan’s spot as one of the most expensive cities in the U.S. may not be surprising, the buyer’s market here is actually starting to impact prices. For example, while the median listing price in 2020 was $1.6 million, the median selling price was only $950,000.

Most expensive cities by cost per square foot

City	Median Selling Price	Median Listing Price	Average Price per Square Foot
San Francisco, CA	$1.36M	$1.3M	$1,100
Manhattan, NY	$950K	$1.6	$1,400
San Jose, CA	$983K	$925K	$610
Bethesda, MD	$848K	$1.2	$500
Brooklyn, NY	$799K	$730K	$720
Los Angeles, CA	$760K	$860K	$550
Boston, MA	$692K	$770K	$760
Oakland, CA	$757K	$690K	$525
Seattle, WA	$751K	$690K	$520
Honolulu, HI	$610K	$625K	$700

Houston, Texas, currently has one of the best and most popular real estate markets, with a healthy median listing price of $342,000.

Unlike Austin, which has seen massive price increases within the past few years (as the 6th fastest-growing city in the U.S.), Houston, Texas still remains as one of the most affordable real estate markets in the US.

Washington State has the most competitive real estate market, with 44.74% of homes selling above their listing price.

Further, an average of 68 homes are sold per month here only two weeks after they’ve been listed. Much of this growth can be attributed to large tech companies offering jobs, such as Microsoft.

Most competitive real estate markets by state

State	% of Homes Sold Above Listing Price	Ave. Homes Sold in Less Than 2 Weeks per Month	Ave. Monthly Supply of Homes
Washington	44.74%	68	1.27
Nebraska	38.80%	68	1.13
Kansas	27.16%	55	0.00
Oregon	38.87%	56	1.71
Utah	40.67%	50	1.50
Minnesota	41.87%	48	1.73
Indiana	25.24%	65	1.23
Idaho	29.51%	59	1.30
Colorado	34.46%	55	1.94
Virginia	37.34%	45	1.57

The market size of the Real Estate Sales Brokerage industry in the U.S. is $222.3 billion as of 2023.

However, the industry has a relatively small growth rate of 0.4%. In fact, the market size of the industry has actually declined faster than the economy overall.
2020 saw a huge shortage of the new home supply, with the cumulative shortage reaching over 5 million.

From 2012 to 2013, there were actually up to 500,000 extra new homes. However, growing demand and other circumstances have caused that number to plummet to less than 5 million. While the number of homes being built has started to increase in 2021, there are still 5.24 million fewer housing starts than household formations.
REITs (Real Estate Investment Trusts) own roughly $3.5 trillion in gross real estate assets.

It can be hard to wrap your head around just how huge REITs are in the U.S. For example, U.S. REITs contributed 2.6 million full-time jobs worth of money to the economy in 2019 alone.

Housing market statistics

The real estate housing market is highly competitive, expensive, and there are significant shortages in the U.S. right now. Of course, this isn’t the case everywhere. All of that still affects the housing market and makes it more difficult for new buyers to purchase homes. Here are the facts:

There are 143.8 million housing units in the U.S. as of 2022

While this might seem like a big number, the number of housing units has actually remained very stagnant, only growing by just over 7% since 2010. On the contrary, growth between 1980 and 1990 was over double that, at 18%.

This is an increase 3 million from 2020, when the total housing stocking amounted to 140.8 million housing units.
The average down payment for a home in 2023 is $24,100.

This might seem like a lot, but it is, in fact, a small percentage of the average home cost (over $250,000). In fact, the average down payment in the country is equal to only around 13% of the borrower’s loan value.

This is especially significant when considering the fact that most banks require a 20% down payment to remove mortgage insurance from the purchase.
As of Q3 2022, the median home price in the U.S. was $392,000.

That’s a 8.9% increase when compared to the housing prices a in 2021. Further, the median price has more than tripled since 1999, when it was only $111,000.
As of May 2023, the median cost of a new home in the U.S. is $436,800.

That’s more than double the cost of a new home in 2000, when the median price was $207,000. However, prices for new homes actually decreased slightly between 2021-2022.
In the U.S., it takes an average of 56 days to close a loan on a home purchase.

This includes steps like finding an agent, receiving a mortgage pre-approval, making offers, inspections, final mortgage approval, appraisals, and more. This number also doesn’t include the average four and a half months it takes to shop for the right home.
As of 2023, there are roughly 16 million vacant houses in the U.S.

While this number was down from 17 million in 2019, it’s still shocking considering the over 580,000 homeless population across the country.

Median home price by state

State	Median Home Price
Hawaii	$615.3K
California	$505K
Massachusetts	$381.6K
Colorado	$343.3K
Washington	$339K
New Jersey	$335.6K
Maryland	$314.8K
New York	$313.7K
Oregon	$312.2K
Utah	$279.1K
Connecticut	$275.4K
Virginia	$273.1K
Alaska	$270.4K
Nevada	$267.9K
Rhode Island	$261.9K
New Hampshire	$261.7K
Delaware	$251.1K
Montana	$230.6K
Vermont	$227.7K
Arizona	$225.5K
Minnesota	$223.9K
Wyoming	$220.5K
Florida	$215.3K
Idaho	$212.3K
Illinois	$194.5K
North Dakota	$193.9K
Maine	$190.4K
Wisconsin	$180.6K
Pennsylvania	$180.2K
Georgia	$176K
Texas	$172.5K
North Carolina	$172.5K
New Mexico	$171.4K
Tennessee	$167.2K
South Dakota	$167.1K
Louisiana	$163.1K
South Carolina	$162.3K
Missouri	$157.2K
Nebraska	$155.8K
Michigan	$154.9K
Kansas	$151.9K
Iowa	$147.8K
Ohio	$145.7K
Alabama	$142.7K
Indiana	$141.7K
Kentucky	$141K
Oklahoma	$136.8K
Arkansas	$127.8K
West Virginia	$119.6K
Mississippi	$119K

Real estate agent statistics

Real estate agents play a crucial role in the process of buying or selling a home. In fact, the vast majority of Americans rely on agents for their home buying or selling process. According to our research:

There are roughly 1.46 million real estate agents operating in the U.S.

That’s a 29% increase from 2012 when there were around 1 million agents. There are also 106,548 real estate brokerage firms currently operating in the U.S.
Currently, Pennsylvania is the #1 state for real estate agents.

While Other states like New York outmatch Pennsylvania in average annual salary, it makes up for it in a lower cost of living and other factors. The average annual salary for a real estate agent in PA is a healthy $96,244. Plus, there are currently a whopping 1,743 real estate jobs currently available in the state, which is higher than any other state.
The average commission for a real estate agent is 6% of a home’s sales price.

Therefore, if a house is sold for $250,000, a real estate agent could stand to make $15,000 or so off of the sale. Remember that this figure applies to both the buyer’s and seller’s agent.
87% of real estate agents fail within the first five years.

Many see the opportunity of being able to make tons of money on a home sale and want to get in on the action, but being an agent isn’t that simple. In fact, the sheer number of realtors in the U.S. can make it difficult for many to find leads.
75% of home buyers work with the first agent they contact.

While another 15% go with the second choice, meaning that a realtor’s first interview is incredibly important. Additionally, 33% of buyers will choose to work with a realtor they’ve worked with in the past.

Real estate industry trends and predictions

Real estate has been growing more expensive for a while now, but will this trend continue? After all, the industry has continued its growth even through the COVID-19 Pandemic. Well, according to our research:

From May 2020 to May 2021, overall home prices across the U.S. increased by 13.2%.

And that’s just the overall numbers, as many popular destinations have seen record price increases. For instance, Austin, Texas experienced a 30.5% increase, Phoenix, Arizona a 23.5% increase, and Salt Lake City, Utah a 20.6% increase. Believe it or not, an Austin home worth $300,000 in May 2020 would now be worth $574,000 in 2023.
On average, homes appreciate by 3.5% to 3.8% per year.

Which is in stark contrast to the over 13% experienced within the past year. For reference on how big this boom really is, the Great Recession of 2008 saw an appreciation of -12.7%. [20]
The growth of housing prices is expected to slow to 4.4% in 2022.

Experts predict that the growth of housing prices will stabilize and become more normal in 2022. Fortunately, experts also predict that the market is unlikely to crash.
From 2016 to 2026, the U.S. real estate industry is expected to have a CAGR of 7%.

This is similar to the overall global forecast of 8%, meaning that countries around the world (including the U.S.) should see growth in the real estate industry.

Home buyer statistics

Real estate changes are always on buyer’s minds, and with everything that’s happened since 2020, you might be wondering how buyers have reacted. After all, many young Americans are still relying on apartments, and certainly, the state of the market isn’t helping with this issue. Here are the facts:

Millennials (22-40) are the largest generation buying homes, making up 37% of the market.

Older millennials in particular (those aged 31-40) make up the largest generation of homebuyers at 23%. However, Boomers and Gen X still make up a considerable amount of the market as well, at 18% and 24%, respectively. This means that overall, older generations still have considerable sway over the market.
The average home buyer will visit ten homes before they find “the one.”

And this process usually spans over an equal number of weeks. Though, it is important to note that the amount of homes buyers look at can vary drastically.
81% of Millennials between 22-38 found a home on a mobile app.

While that number is only 54% for Boomers who are 73 and older, however, what’s interesting is that older generations report higher levels of satisfaction with internet home-buying services. 72% of those 73 and older were satisfied, while, at most, only 60% of those 38 or younger were satisfied.
The average American spends 16.4% of their income on housing.

Which is high for the decade but historically low. In general, it’s recommended not to spend more than 30% of your income on housing expenses.
As of 2021, 88% of buyers use real estate agents or brokers.

Which is a considerable increase from 2001, when only 69% of buyers used real estate agents or brokers to purchase their homes.
Overall, the average income of first-time homebuyers is $67,342 per year.

However, this number is a bit skewed, considering the fact that at least half of first-time homebuyers make less than $60,000 annually.

Real estate industry FAQ

How many real estate agents are in the U.S. in 2023?

There are over 1.53 million real estate agents operating in the US as of February 2023. These agents either work independently or at one of the over 106,000 real estate brokerage firms across the United States.

Real estate tends to be a very attractive job, due to the high average salary of over $90,000 per year. However, 87% of real estate agents fail, so it’s crucial to understand the market, network, and build your skills.
How much is the real estate industry worth?

The U.S. real estate industry is worth $222.3 billion. This is not to be confused with the value of homes or commercial properties, as the industry represents real estate agents, brokers, and others in the business of buying and selling homes.

The value of the actual property is much higher. For instance, all of the commercial properties in the U.S. are estimated to be worth $16 trillion, while the full stock of housing is worth roughly $43.4 trillion.
Is the real estate industry growing?

The real estate industry is growing, but still saying rather stagnant. The industry’s growth is only expected to increase 0.6% in 2023.

However, the actual value of properties did raise rapidly from 2021 to 2022, at a rate of 14.8%. For context, the average yearly price increases aren’t typically higher than 3.8%.
Is real estate a concentrated industry?

No, the real estate industry is not concentrated. For the most part, the real estate industry is diverse and specific to local areas. Of course, there are markets with higher concentrations than others, but no broad conclusions can be made.

Though, it is worth noting that REITs benefit from concentration in the real estate market and are often omitted from industry concentration studies. This could have an impact on the perceived concentration of certain areas.
Is it hard to be successful in real estate?

Yes, it is hard to be successful in real estate. 87% of real estate agents fail within their first five years of working, which is no small number.

Real estate agents make their money when a house sells, so they need to close on homes to get a paycheck. This requires finding clients who are either buying or selling a home and convincing them to work with you – no small task when you’re competing with the 1.46 million other real estate agents working in the U.S.

To do this, not only do you have to find clients who don’t have realtors yet, but you also have to try to find them before other real estate agents can.

This is important because if you can get a strong initial interview with a home buyer, your chances are good that they’ll choose you, as 75% of buyers choose to work with the first real estate agent they meet with.

If you can build a good client base and stay in the industry for a significant amount of time, you’ll have a higher chance of being successful, as it should get easier to find clients since you’ll have more recommendations from happy home buyers and sellers.

Plus, if your past clients decide to move again, you have a one in three chance that they’ll choose to work with you again.
Why do most realtors fail?

Most realtors fail because they aren’t able to put in the work it takes to be successful, they don’t know how to market well, or their interpersonal skills are lacking.

Often real estate is touted as a great side gig, and while it can offer a significant amount of flexibility, it still takes a significant amount of time, energy, and money to get yourself off the ground.

Many people don’t realize how much work it takes or aren’t ready to hold on through poor real estate markets, so they quickly fail. Others don’t have enough money set aside to help them get going or to get them through the leaner times, so they have to find another line of work to pay the bills.

In addition to this, many realtors fail because they don’t know how to effectively market themselves or the house they’re selling. If they can’t market themselves, they won’t find clients and won’t be successful.

If they can’t market the house accurately, they’ll either not be able to sell it or sell it for far too little, shorting themselves and the seller and damaging their reputation.

The third reason why many realtors fail is that they haven’t honed their interpersonal skills. It takes excellent communication, negotiation, and all-around people skills to be a successful realtor, and if you don’t have those, you’re less likely to be able to successfully attract clients, retain them, or even make sales.
What is the highest-paying job in real estate?

The highest-paying job in real estate is that of a mortgage loan officer. These professionals are the ones who help homebuyers find and get approved for loans that will allow them to buy a house.

Instead of working for a bank or a mortgage company, mortgage loan officers usually work independently, shopping for loan options on behalf of the buyer. You’ll need several state and national licenses to become a mortgage loan officer, but the average salary of $152,639 makes that work worth it.

Other high-paying real estate jobs include:
- Real Estate Attorney
- Compliance Specialist
- Realtor
- Real Estate Broker
- Property Accountant
- Real Estate Investment Consultant
- Real Estate Appraiser

Conclusion

Despite an overall price hike of over 15% since 2021, it seems the real estate market still remains stable. In fact, things are expected to continue stabilizing. That’s good news for millennials, who now make up 37% of the real estate market.

However, the COVID-19 Pandemic has also had a significant effect on the market, with the inventory of new homes reaching a shortage of over 5 million.

On top of that, many traditionally competitive markets, such as Manhattan or Los Angeles, have now become buyers markets, while states like Nebraska, Kansas, Texas, and Idaho are seeing considerable influxes of buyers. Austin alone saw a 30.5% increase in prices in 2022.

This shift of people moving away from the largest cities in the U.S. is partially connected to remote working, but it’s uncertain whether or not the trend will last.

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Industry Statistics

Author

Jack Flynn

Jack Flynn is a writer for Zippia. In his professional career he’s written over 100 research papers, articles and blog posts. Some of his most popular published works include his writing about economic terms and research into job classifications. Jack received his BS from Hampshire College.

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