Trying to capture hard numbers on an average real estate agent’s salary is like nailing Jell-O to a wall: messy and imprecise. Salaries depend on local markets, brokerage splits, individual effort, and experience. But here at The Close, we developed a salary database tool that gives a unique insight into real estate agent salaries in each state—and we bet the results will surprise you.
Real Estate Agent Salary Defined
While we do use the term salaries, agents are typically independent contractors. So, a real estate salary is really your gross commission income (GCI), or how much you take home through your real estate transaction commissions. Remember, these are averages (and before taxes because, with effort and time, there is no limit to your take-home pay).
According to our proprietary salary database tool, the nationwide average for a real estate salary is:
$90,506
And the top six states might just surprise you! Check it out while we pack our bags and move to Kansas.
How Much Do Real Estate Agents Make in My State?
A note on the methodology behind The Close’s proprietary real estate agent salary information: Our salary database is supported by data from numerous sources, including Indeed, ZipRecruiter, Salary.com, Glassdoor, and the National Association of Realtors (NAR).
Keep in mind that these are general averages that regularly change and depend on local markets, individual effort, broker splits, and agent experience. Despite their dynamism, these numbers offer a good idea of an average real estate agent’s salary, state by state.
| State | Average Salary | State | Average Salary |
|---|---|---|---|
| Alabama | $98,150.25 | Montana | $71,901.00 |
| Alaska | $76,242.50 | Nebraska | $88,701.25 |
| Arizona | $102,698.75 | Nevada | $99,894.75 |
| Arkansas | $89,801.25 | New Hampshire | $79,094.75 |
| California | $106,957.00 | New Jersey | $100,636.25 |
| Colorado | $94,182.25 | New Mexico | $86,782.50 |
| Connecticut | $96,033.25 | New York | $99,324.00 |
| Delaware | $80,745.50 | North Carolina | $94,772.25 |
| Florida | $91,246.50 | North Dakota | $76,281.00 |
| Georgia | $93,606.25 | Ohio | $86,996.25 |
| Hawaii | $85,583.00 | Oklahoma | $95,972.00 |
| Idaho | $93,483.50 | Oregon | $92,119.25 |
| Illinois | $95,723.75 | Pennsylvania | $92,305.25 |
| Indiana | $91,126.50 | Rhode Island | $78,612.50 |
| Iowa | $95,278.25 | South Carolina | $93,062.75 |
| Kansas | $108,620.25 | South Dakota | $75,619.00 |
| Kentucky | $83,031.00 | Tennessee | $91,706.50 |
| Louisiana | $87,993.25 | Texas | $92,151.00 |
| Maine | $102,254.75 | Utah | $88,176.00 |
| Maryland | $102,167.00 | Vermont | $81,044.00 |
| Massachusetts | $94,691.00 | Virginia | $101,339.75 |
| Michigan | $86,831.50 | Washington | $100,118.50 |
| Minnesota | $95,679.50 | West Virginia | $71,983.00 |
| Mississippi | $80,879.50 | Wisconsin | $84,161.75 |
| Missouri | $95,388.50 | Wyoming | $74,134.75 |
The Average Real Estate Broker Salary for Every State
Why Real Estate Salaries Vary
The average real estate salary may have surprised you—after all, Alabama and New York are neck and neck. When looking at the earnings of a real estate agent, there are plenty of reasons why they might be higher (Maine?) … or lower than you’d expect:
How to Increase Your Real Estate Agent Salary
While you can’t control how many years you’ve been in the business or the amount of competition in your area, you can always level up and increase your salary, even if you’re a brand-new agent. You’re not locked into a salary determined by corporate role banding. You have unlimited potential. The Close has the tools and strategy guides you need to plan, start, and scale your business.
Real Estate Agent Salary FAQs
What is the difference between a real estate agent & a broker?
A real estate agent is licensed to represent buyers and sellers in real estate transactions. They are often referred to as “salespeople” by their state licensing entity, but some states make it a little more confusing by referring to every licensed agent as a “broker” (North Carolina, Illinois, Washington, Colorado, and Indiana—you’re the drama).
Agents (even those who are called “brokers”) must work under the supervision of an employing broker (also called a supervising broker, managing broker, or broker-in-charge).
What’s an average Realtor salary?
You’re wondering, “How much do real estate agents make?” So what’s the difference between a real estate agent and a Realtor? A Realtor is a professional who is a dues-paying member of the National Association of Realtors (NAR). They could be an agent, managing broker, real estate developer, home inspector, or none of the above. So a Realtor’s salary will vary even more than a salesperson’s. NAR is the nation’s largest trade association and was founded in 1908. Interestingly, the term Realtor is a registered trademark. File that away for your next trivia night. For more trivia, check out our real estate statistics article!
What makes up a real estate agent’s salary?
Real estate agents make their money from commissions on properties sold. So we’re not talking about a “salary,” per se, but the total take-home that a real estate agent makes in a year through commissions.
Typically, the seller of a property pays the entire commission, which is generally 6% (although that’s a percentage that can be negotiated). It’s then split evenly into “sides” between the buyer’s agent and listing agent.
| Property Sale Price | 6% Commission | 3% Side |
|---|---|---|
| $100,000 | $6,000 | $3,000 |
| $250,000 | $15,000 | $7,500 |
| $500,000 | $30,000 | $15,000 |
| $1,000,000 | $60,000 | $30,000 |
| $2,000,000 | $120,000 | $60,000 |
A real estate agent then splits their commission with their broker. A typical “split” is 75-25, which means the broker gets 25% of the commission. Newer agents who need more guidance and mentoring could see a split of 50-50. On the other hand, an agent who’s already hit their cap for the year in terms of what they pay into the brokerage might not have to share any of their commission.
| Sale Price | Agent’s Side (3%) | Agent Take-home After 75-25 Broker Split |
|---|---|---|
| $100,000 | $3,000 | $2,250 |
| $250,000 | $7,500 | $5,625 |
| $500,000 | $15,000 | $11,250 |
| $1,000,000 | $30,000 | $22,500 |
| $2,000,000 | $60,000 | $45,000 |
Remember, Uncle Sam has to get his cut. Because agents are independent contractors, they are responsible for paying their taxes, so this is another variable that would come out of the total gross commission amount.
Bringing It All Together
We might not have nailed the Jell-O to the wall, but we offer a pretty good idea of each state’s average real estate agent salary. While these numbers are constantly twisting and changing in the winds of our stormy real estate market, at the end of the day, real estate agents have a big influence over their take-home pay. Put in that hard work, lean on us for strategy and advice, and you’ll outperform your state’s average salary in no time. How do these numbers reflect your experience? Have comments or questions? Leave us a comment below!
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