How Much do Real Estate Agents Make in New York

If you’re considering a career in real estate in New York, you probably have one big question on your mind: How much do real estate agents make in NY?

Unlike traditional salary-based jobs, where income is predictable and structured, real estate is a commission-based industry, meaning income varies widely from one agent to another. This guide will walk you through the factors affecting real estate income, typical commission splits, average salaries, and tips for maximizing your income potential.

So, if you’re ready, let’s explore what determines how much you can make as a real estate agent in New York!

Real Estate Agent Salaries in New York State

When it comes to real estate agent salaries in New York, there’s no single answer. The average annual salary for a New York real estate agent is around $90,773, according to figures from ZipRecruiter for October 2024, which translates to about $43.64 per hour. This can, however, vary significantly depending on where you work in the state, how much time you put into the job, and the number of successful deals you close.

However, New York City agents typically earn higher wages due to the city’s strong housing demand and high property values, with salaries ranging from $120,000 to $125,000 annually for luxury agents.

Ready to get licensed? The first step is completing New York’s required real estate courses, including a 77-hour salesperson course. MLS Campus Real Estate School provides a state-approved pre-license course that will prepare you for the state exam and jumpstart your real estate career.

To find out more about getting licensed, follow the link to our step-by-step guide on How to Get a Real Estate License in NY.

Real Estate Agent Salaries in New York: Earning Potential by Location, Skill, and Experience

New York offers substantial earning opportunities for real estate agents, with pay influenced by factors like location, skill level, and experience. Here’s a comprehensive look at salaries across various cities in New York, potential roles in real estate, and the influence of knowledge and skill on earnings.

Average Salary for a Real Estate Agent in New York

• Annual Salary: $90,773
• Monthly Pay: $7,564
• Weekly Pay: $1,745
• Hourly Wage: $43.64

While the average real estate agent in New York earns around $90,773 annually, salaries can vary significantly across the state. ZipRecruiter reports that most agents earn between $65,600 and $109,400.

However, top agents can make as much as $140,583 annually, reflecting experience and skill advancement benefits.

Real Estate Agents in NYC vs. Other Parts of New York

Real estate agents in New York City, specifically within the five boroughs, tend to make more than those in other parts of the state, thanks to NYC’s competitive housing market and high property values.

According to estimates from Indeed.com, an NYC-based real estate agent brings home around $120,000 a year on average. This figure can be even higher for luxury agents specializing in high-end properties; ZipRecruiter puts the average annual salary for NYC luxury real estate agents at around $125,683.

While these figures might make real estate sound lucrative, it’s important to remember that the numbers can vary. Income depends on market conditions, property types, and commission rates, which we’ll cover. Keep reading to find out more!

Best Cities for Real Estate Agents in New York

Some of New York’s leading cities for real estate agents offer diverse opportunities:

New York City: Known for its fast-paced market, high-end listings, and dense population, NYC provides ample opportunities for real estate agents specializing in luxury and high-demand urban real estate.

Buffalo: With ongoing economic revitalization, Buffalo offers affordable housing and a stable market for first-time buyers, which can provide steady commissions for agents focused on residential and investment properties.

Rochester: Rochester is an affordable market with solid educational institutions and a stable job market. It is a favorable city for agents focusing on families and young professionals.

Albany: With its government-driven economy, Albany’s stable market provides a reliable base for agents catering to professionals and state employees.

Highest Paying Cities for Real Estate Agents in New York

Agents seeking higher earnings should consider the location factor. Stamford, for instance, tops the list of the highest-paying cities for real estate agents in New York, with an average salary of $108,249—around 19.3% above the state average.

Other high-paying cities include Kensington and Bay Ridge, where average salaries are around $102,185 and $99,718, respectively, surpassing the New York state average. Other cities, such as Glendale, Flushing, and Bay Shore, offer wages in the $97,000 to $98,000 range, with slight differences. These cities generally demonstrate a trend where agents can improve earnings by moving to higher-paying areas.

Though the variation in salaries across these top cities is minimal—around 12% between Stamford and Bellmore—relocating could provide a more favorable income-cost balance, especially in areas with lower living expenses.

Choosing the Best City or Region: Factors to Consider

When choosing the best location as a real estate agent, consider these elements:

Market Health and Demand: Cities like NYC have high turnover and demand across various property types, but competition is intense. Like Albany, smaller cities with stable markets offer steady work with less pressure.

Potential Commissions vs. Cost of Living: While high-end markets like Manhattan offer high commissions, the cost of living is equally high. Suburbs and smaller cities offer a balance between income potential and affordability, which may be a better choice for those looking for lower expenses.

Specialization and Career Focus: Different cities support various specializations. Urban areas are better for high-end properties, while rural and suburban areas are ideal for family homes and investment properties.

Professional Development Opportunities: Cities with robust real estate organizations, like NYC, provide extensive training, networking, and certification opportunities. For agents seeking growth, being close to these resources is an advantage.

Lifestyle and Work-Life Balance: The pace of urban areas is faster but can lead to quicker sales cycles and higher commissions. In contrast, rural regions offer a quieter lifestyle but might have slower property turnover. Balance professional goals with personal preferences for an ideal fit.

Ultimately, New York State offers a range of markets, from high-paced urban areas to relaxed rural settings, each with unique advantages. Agents should evaluate market demand, earning potential, and lifestyle fit to decide where to build their careers. Regardless of location, success in real estate depends on strategic networking, market knowledge, and personal dedication, which can lead to a rewarding career across New York’s diverse landscapes.

Best Counties for Real Estate Agents

Some New York counties are particularly promising due to their demographics, growth potential, and proximity to larger markets:

• Westchester County: Just north of NYC, it offers a mix of suburban appeal and access to luxury real estate, ideal for agents specializing in high-end properties or suburban family homes.
• Suffolk County: Situated on Long Island, it is known for scenic beaches and a strong tourist market, perfect for agents interested in vacation homes and beach properties.
• Orange County: Its affordability and growing job market attract families and first-time homebuyers, allowing agents to develop stable relationships in a rising market.

Top Regions for Real Estate Agents

New York’s regional real estate markets also offer unique opportunities based on geography and lifestyle:

• Hudson Valley: With charming towns and scenic views, Hudson Valley appeals to clients looking for suburban and rural properties, allowing agents to work with a mix of historic homes and new builds.
• Long Island: From the luxurious Hamptons to vibrant suburban communities, Long Island offers high-demand beach and waterfront properties.
• Finger Lakes: Known for lakeside living and wine tourism, the Finger Lakes region attracts both year-round residents and vacationers.

Best Paying Real Estate Agent Roles in New York

Some specialized real estate roles pay substantially more than the typical real estate agent position. For example, according to ZipRecruiter figures, a Per Diem Commercial Real Estate Broker can earn as much as $231,236 annually. In contrast, an Entry-Level Commercial Real Estate Broker might earn around $195,638 annually.

Commercial Real Estate Brokers and Vice Presidents of Real Estate earn approximately $194,398 and $182,508, respectively, reflecting the premium associated with specialized skills and leadership roles.

Additionally, Real Estate Officers—who generally oversee property acquisitions and management—earn around $115,689, which is also above the average for agents in the field.

The Impact of Skill and Experience on Salary

The wide salary range seen among New York real estate agents highlights how advancing experience and skill level can drive income growth. Those with solid negotiation, property valuation, and client management skills will likely progress into high-paying roles. Similarly, real estate agents with several years of experience may benefit from specializing in commercial or luxury real estate, which can significantly boost earning potential.

Maximizing Earnings in New York’s Real Estate Market

In summary, New York’s real estate market offers ample high-paying opportunities, particularly in cities like Stamford and Kensington, where average salaries exceed $100,000. Real estate agents looking to maximize earnings can achieve this by strategically choosing locations, advancing skills, and aiming for roles in commercial or senior management positions. New York’s real estate market provides a clear path toward substantial salary growth for agents committed to developing expertise and exploring location-based or role-based advancement opportunities.

Benefits of Becoming a Broker

One of the most effective ways to increase your earnings is by upgrading your license from a salesperson to a broker. Becoming a broker allows you to keep a larger share of your commissions and even bring other agents under your supervision. As a broker, you could start your own real estate office or work independently, managing your transactions and potentially earning significantly more.

1. Higher Commission Splits: By advancing to a broker’s license, you eliminate the need to share commissions with a supervising broker. This means more of each commission goes directly to you, increasing your earnings.
2. Increased Independence: Brokers can make their own decisions regarding transactions, client interactions, and property types they focus on, providing much greater control over their business.
3. Career Growth: Becoming a broker allows you to hire other agents, create a specialized team, and potentially expand into new market niches. You can grow a brand in the highly competitive New York market with your own brokerage.

To learn more about upgrading to a broker license, follow the link to our comprehensive guide on How to Become a Real Estate Broker in NY.

Ready to take your career to the next level? MLS Campus Real Estate School offers a 75-hour broker course designed to prepare you for the New York broker’s exam and give you the knowledge needed to thrive as an independent broker.

Key Factors Affecting Real Estate Agent Income in New York

Several key factors can influence your earning potential as a real estate agent in NY. These are:

• Hours Worked: Income in real estate mainly depends on how much time agents are willing to invest. Many agents who work part-time or use real estate as a side gig may not earn as much as full-time agents. Conversely, agents who dedicate more hours and consistently work can expect greater returns.
• Market Conditions: Market trends and fluctuations affect real estate earnings. During a strong seller’s market, properties often sell faster, increasing an agent’s chance to close more deals. In a slower market, however, agents may struggle to maintain a steady income, especially if properties take longer to sell or require more effort to attract buyers.
• Years of Experience: Experience significantly affects how much real estate agents make in New York. Experienced agents tend to have better connections, and with established reputations, they can often command higher commission rates or negotiate more favorable terms with their brokers. Agents with years of experience may also qualify for higher commission splits as a reward for their expertise and proven track record.
• Type of Properties Sold: Selling high-end or luxury properties offers more significant earning potential, as these properties generally yield higher commissions even if the percentage is lower. For example, a 4% commission on a $10 million property results in a $400,000 commission, whereas a 6% commission on a $500,000 property would only yield $30,000.

Average Commission for Realtors in New York

A real estate agent’s earnings are mainly derived from commissions, a percentage of each property’s sale price. A 6% commission in New York is generally standard; however, commission rates are flexible and depend on factors like market competition and property type. The average commission rate in New York is approximately 5.75%, and for luxury properties priced at $10 million or more, the commission rate can drop even lower. However, a lower rate on high-priced properties often means a more significant overall commission.

The real estate industry in New York operates in a competitive environment where agents may need to negotiate commission rates to secure clients. On average, real estate commissions in New York range between 4% and 6%.

Example: Calculating Commissions on a $1,000,000 Property

Let’s look at an example to understand this better.

Let’s say a property in New York sells for $1,000,000 with a 6% commission rate. The total commission would be $60,000.

However, not all of that money goes directly to the real estate agent. The commission typically splits between the buyer’s agent and the seller’s agent in what’s known as co-broking.
Here’s how that breaks down:

• Total Commission: $60,000 (6% of $1,000,000)
• Buyer’s Agent: $30,000
• Seller’s Agent: $30,000

However, the splits don’t end there! Each agent usually shares their commission with their brokerage, which provides supervision and resources to help agents conduct business legally and ethically.

Commission Splits: Understanding Your Take-Home Pay

Commission splits are essential to understanding real estate income, especially for new agents. Typically, commissions are split in two main ways:

• Buyer and Seller Agent Split: As seen in our example, the total commission splits between the agent representing the buyer and the agent representing the seller.
• Salesperson and Broker Split: After the buyer’s and seller’s agents receive their share, they often split it further with their brokerage.

Buyer Agent/Seller Agent Split

The buyer and seller agent split usually depends on the terms agreed upon by both agents. In most cases, it’s an even 50/50 split, but this can vary based on the circumstances.

For example, the split might differ if a buyer agent has negotiated a larger share. In general, though, both agents in a transaction aim to receive a fair share based on the work they’ve contributed.

Salesperson/Broker Split

For new agents, working as a licensed salesperson under a broker’s supervision is required in New York. Brokers play an essential role by ensuring agents conduct business lawfully, and as a result, brokers receive a portion of each agent’s commission. The typical commission split for beginner agents can be around 50/50, meaning they keep half of their commission after sharing with the broker.

Let’s revisit our example to see how this affects your earnings:

Listing Agent’s Commission: $30,000
Broker Split (50/50): Agent keeps $15,000

Want to earn these types of commissions? Start by completing the mandatory 77-hour salesperson course for real estate salespersons at MLS Campus Real Estate School!

Do real estate agents in New York earn a salary?

No, real estate agents in New York work primarily on commission, meaning that your income varies based on the deals you close. The time you put into your role will significantly affect your earning potential.

Can new agents earn high incomes right away?

While earning a good income in your first year is possible, most new agents build their network and client base over time. Starting as an agent under a supportive broker can help you kickstart your career. Here is a helpful guide on how to choose a sponsoring broker.

What steps do I need to take to get my real estate license?

Aspiring real estate agents in New York must complete a 77-hour salesperson course, pass the state exam, and be sponsored by a licensed broker. MLS Campus Real Estate School’s 77-hour salesperson course provides you with the skills, knowledge, and state exam preparation you need to become a licensed real estate salesperson in New York.

Follow the link to our comprehensive guide on How To Get Your Real Estate License In NY to learn more about the licensing requirements, education requirements, exam procedures and more.

How can I maximize my earnings as a new agent?

As a newly licensed agent, you should focus on networking, gaining experience, and building client relationships. You can join many organizations, including your local and state board of realtors in New York. Over time, consider earning your broker’s license for additional career growth.

Key Takeaways: Real Estate Agent Salaries in New York

• Average Agent Salary: The average salary for a New York real estate agent is about $90,773 annually, with NYC agents earning around $120,000. Luxury agents can make upwards of $125,000.
• Commissions Drive Earnings: Unlike traditional jobs, real estate agents earn commissions, with average commission rates of around 5.75% in New York. However, these rates are flexible, and agents can negotiate based on client needs and competition.
• Understanding Splits: Commissions are split multiple times—first between the buyer’s and seller’s agents and then between agents and their brokers. Beginner agents often work on a 50/50 split with their brokers.
• Factors Affecting Income: Key factors influencing income include hours worked, market conditions, years of experience, and property type.
• Maximizing Income: Becoming a licensed broker can increase income potential by reducing commission splits and providing greater independence.

Take Your Next Steps with MLS Campus

Real estate can be a rewarding career path, offering financial potential and flexibility. But it’s important to recognize the unique structure of commission-based income and understand how to navigate it. Real estate agent salaries in New York vary widely, and maximizing your earnings depends on how well you know and leverage factors like experience, market conditions, and commission structures.

With the right approach, hard work, and dedication, New York real estate agents can carve out successful and lucrative careers in one of the nation’s most dynamic housing markets. Whether you’re new to the field or looking to advance, real estate in New York offers a pathway to significant earning potential for those up to the challenge.

Are you ready to take the next steps in your career? Start by enrolling in the 77-hour salesperson course at MLS Campus Real Estate School and gain the foundational skills for success.