2012 MEMBER PROFILE- CALIFORNIA REPORT. Business Characteristics of CA Members

2012 MEMBER PROFILE- CALIFORNIA REPORT

Business Characteristics of CA Members


SOURCE: CALIFORNIA ASSOCIATION OF REALTORS®

All REALTORS® Broker Owners* Manager* Sales Agent0

5

10

15

20

25

30

35

40

11

35

13

1011

25

18

9

CA

US

Years in Business By Function

*Non-selling


REALTORS® BY TYPE OF LICENSE(Percent of Respondents)

Broker Broker As-sociate

Sales Agent Appraiser Other0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

26%

12%

65%

0% 0%


Secondary Business Specialty of REALTORS®(Percent of Respondents)

None/NothingCommercial property

managementCommercial brokerage

RelocationOther

CounselingResidential brokerage

Land developmentResidential property

managementAuction

InternationalResidential appraisal

Commercial appraisal0 5 10 15 20 25 30 35 40

29%16%

11%11%

10%10%

9%6%

4%3%

2%1%

0%


Primary Business Specialty of Sales Agents(Percentage Distribution)

Residential Bro-kerage 86%

Residential brokerageCommercial brokerageLand/DevelopmentRelocationCounselingAppraisingProperty managementInternationalOther

Business Characteristics of CA MembersPercent of Income from Real Estate Specialty

Percentage Distribution

ALL REALTORS®0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

13%

42%46%

Less than 50% of Income

50% to less than 100% of Income

100% of Income

Business Characteristics of CA MembersREALTOR’S® Firm Web Presence

(Percentage Distribution)

Firm has Web site; 86%

Firm does not have Web site;

11%

Firm does not have Web site but plans to in the future; 1%


Tumblr

Foursquare

Other

Pinterest

Yelp

Twitter

YouTube

Do Not Use Social Media For My Business

LinkedIn

Facebook

0% 10%20%30%40%50%60%70%

1%

2%

6%

6%

12%

21%

25%

27%

54%

61%

Most Employed Social Media Platforms For CA REALTORS®

(Percent Distribution)

Business Characteristics of CA MembersActive Use of Social or Professional Networking Websites


ALL RE-ALTORS®

29 or younger 30 to 39 40 to 49 50 to 59 60 or older0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

46%

100%

56% 57%

43%

35%41%

0%

26%29%

46%51%

13%

0%

19%14% 12% 13%

Yes

No

No, but plan to in the fu-ture

Age Range


Have A Blog13%

Do Not Have A Blog75%

Do Not Have A Blog, But Plan To In The Future

12%

Real Estate Blogs (Percent Distribution)


Real Estate Blogs(Percent Distribution)

AGE

ALL REALTORS®

29 or younger 30 to 39 40 to 49 50 to 59 60 or older

Have a blog 13% 20% 19% 12% 13% 12%

Do not have a blog 75% 40% 72% 74% 74% 78%

Do not have a blog, but plan to in the future

12% 40% 9% 15% 12% 8%


Very Certain Somewhat Not Certain0%

10%

20%

30%

40%

50%

60%

70%

80%

90%82%

13%

5%

76%

17%

8%

Will Remain Active As A Real Estate Professional For Next Two Years


CA

US


Very Certain Somewhat Not Certain0%

20%

40%

60%

80%

100%

82%

13%5%

76%

17%8%

Will Remain Active As A Real Estate Professional For Next Two Years


CA US


Will Remain Active As A Real Estate Professional During The Next Two Years(Percent Distribution)

Licensed As Real Estate Experience

Broker/Broker Associate

Sales Agent 2 yrs. or less

3 to 5 yrs.

6 to 15 yrs.

16 yrs. or more

Very Certain 85% 80% 70% 81% 82% 85%

Somewhat Certain 12% 14% 20% 13% 14% 10%

Not Certain 3% 6% 10% 6% 4% 5%

Business Activity of CA Members


ALL REALTORS® Broker/Broker Associate

Sales Agent0%

20%

40%

60%

80%

100%

17%

100% Commission

31%

10%

Percentage commission

split71%

51%82%

Compensation Structure(Percentage Distribution)

Percentage commission split

100% Commission

Other

Salary plus share of prof-its/production bonus

Commission plus share of profits

Share of profits only

Salary only


Number of Transaction Sides or Commercial Deals, By Specialty in 2011(Percentage Distribution)

ALL REALTORS®

Broker/ Broker Associate

Sales Agent Commercial Specialists

CA US CA US CA US CA US

0 transactions 10% 6% 7% 4% 11% 8% 18% 9%

1 to 5 transactions 28% 27% 26% 23% 30% 29% 18% 34%

6 to 10 transactions 24% 21% 18% 20% 26% 22% 36% 23%

11 to 15 transactions

15% 15% 20% 16% 12% 15% 9% 8%


7% 10% 9% 10% 7% 10% * 8%


14% 18% 17% 21% 13% 15% 18% 16%

51 transactions or more

2% 4% 4% 5% 2% 2% * 3%

Median (transactions)

8 10 10 12 7 8 8 8

Business Activity of CA MembersNumber of Transaction Sides or Commercial Deal in 2011, By Experience

in 2011(Percentage Distribution)

2 years or less 3 to 5 years 6 to 15 years 16 years or more

CA US CA US CA US CA US

0 transactions 36% 17% 13% 5% 8% 5% 6% 5%

1 to 5 transactions 50% 51% 53% 34% 28% 24% 24% 22%

6 to 10 transactions 9% 14% 11% 22% 25% 22% 25% 21%


2% 11% 6% 15% 15% 16% 17% 16%


2% 6% * 10% 9% 11% 8% 10%


* 2% 15% 13% 14% 20% 16% 21%

51 transactions or more

* * 2% 1% 2% 3% 4% 6%

Median (transactions)

1 3 4 8 8 10 10 12

*Less than 1%

Business Activity of CA MembersNumber of Transaction Sides Involving Properties in Foreclosure in 2011


ALL REALTORS® Broker/ Broker Associate

Sales Agent

CA US CA US CA US

0 transactions 37% 44% 32% 41% 39% 45%

1 to 5 transactions 41% 40% 41% 41% 41% 40%

6 to 10 transactions 11% 9% 12% 9% 11% 8%

11 to 15 transactions 3% 3% 1% 2% 4% 3%

16 to 20 transactions 2% 2% 3% 2% 2% 1%

21 transactions or more 6% 3% 12% 5% 3% 2%

Median (transactions) 3 1 4 1 4 1

*Less than 1%


Number of Transaction Sides Involving Properties in Foreclosure, By Experience in 2011


2 years or less 3 to 5 years 6 to 15 years 16 years or more

0 transactions 70% 47% 31% 37%1 to 5 transactions 23% 33% 45% 43%6 to 10 transactions 7% 9% 14% 8%

11 to 15 transactions * 2% 4% 3%


21 transactions or more * 7% 5% 7%

Median (transactions) * 1 4 4*Less than 1%

Business Activity of CA MembersNumber of Short Sale Transactions, By Residential Specialty in 2011

(Percentage Distribution)ALL REALTORS® Broker/ Broker

AssociateSales Agent

CA US CA US CA US

0 transactions 30% 49% 29% 49% 29% 49%

1 to 5 transactions 55% 43% 55% 43% 55% 42%

6 to 10 transactions 10% 5% 11% 5% 10% 5%

11 to 15 transactions 2% 3% 2% 3% 3% 3%

16 to 20 transactions 2% # 2% # 2% #

21 transactions or more 1% # 7% # 0% #

Median (transactions) 2 1 4 1 4 1

*Less than 1%


Number of Short Sale Transactions, By Experience, 2011 (Percentage Distribution)

2 years or less

3 to 5 years 6 to 15 years 16 years or more

0 transactions 56% 30% 25% 33%

1 to 5 transactions 44% 59% 54% 56%



16 to 20 transactions * * 4% 1%

21 transactions or more * * 1% 1%

Median (transactions) * 4 5 4

*Less than 1%

Business Activity of CA MembersThe Most Important Factor Limiting Potential Clients in Completing a

Transaction(Percentage Distribution)

Expectation that mortgage rates might come down

Concern about losing job

Other

Ability to sell existing home

Low consumer confidence

No factors are limiting potential clients

Difficulty in finding the right property

Expectation that prices might fall further

Difficulty in obtaining mortgage finance

0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0%

0.2%

2.5%

3.4%

5.9%

7.0%

8.4%

19.5%

25.5%

27.3%

Business Activity of CA MembersBROKERAGE: SALES VOLUME, BY EXPERIENCE, 2011


ALL REALTORS®

2 years or less

3 to 5 years

6 to 15 years

16 years or more

Less than $500,000 33% 76% 45% 33% 28%

$500,000 to under $1 million

9 9 17 10 8

$1 to under $1.5 million 8 7 9 8 8

$1.5 to under $2 million 9 2 9 9 10

$2 to under $3 million 8 2 4 8 9



$5 to under $6 million 5 * 2 4 5

$6 to under $7 million 3 * * 4 3

$7 to under $8 million 2 * 2 2 2

$8 to under $10 million 3 * * 3 5

$10 million or more 6 * 6 5 8

Median (millions) $1.6 $0.3 $0.7 $1.5 $2.0

*Less than 1%


ALL REALTORS® Broker/ Broker Assoc.

Sales Agent Commercial Specialists

0.0

0.5

1.0

1.5

2.0

2.5

3.0

1.61.9

1.2

3.0

1.31.6

1.0

1.4

Brokerage Sales Volume By Specialty, in 2011

CA US

Median (in millions)


BUSINESS ORIGINATED FROM AN OPEN HOUSE, BY SPECIALTY, 2011(Percentage Distribution)

None Less than 10% Up to 25% Up to 50% More than 50%0%

10%

20%

30%

40%

50%

60%

70%

53%

28%

10%

5%2%

66%

24%

6%2% 1%

ALL REALTORS®

CA

US


BUSINESS GENERATED FROM AN OPEN HOUSE BY REAL ESTATE EXPERIENCE

(Percentage Distributions of a “Yes” Response)

2 yrs. or less

3 to 5 yrs.

6 to 15 yrs.

16 yrs. or more

Did you generate business from an open house?

43% 44% 49% 47%

Business Activity of CA MembersSHARE OF BUSINESS FROM PAST CONSUMERS AND CLIENTS, BY

PRIMARY REAL ESTATE SPECIALTY, 2011 (Percentage Distribution)

APPRAISAL BROKERAGE PROPERTY MANAGEMENT

ALL REALTORS®

Residential Commercial Residential Commercial Residential Commercial

Median 20% 21% * 19% 18% 76% 61%

*Less than 1%


All RE-AL-

TORS®

2 years or less 3 to5 years 6 to 15 years 16 or more years

0%

5%

10%

15%

20%

25%

30%

35%

23%

1%

11%

24%

31%

Amount of Business Through Referrals From Past Consumers and Clients, By Experience, 2011


Business Activity of CA MembersBusiness Generated From REALTOR® Website in 2011


None 1% to 5% 6% to 10% 11% to 25% 26% to 50% MoreThan 50%0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

47%

25%

14%

8%

3% 4%

34%

28%

16%

11%

6%5%

CA

US

Business Activity of CA MembersRepeat Business From Past Consumers and Clients, by Experience, 2011


All RE-AL-

TORS®

2 years or less 3 to5 years 6 to 15 years 16 or more years

0%

5%

10%

15%

20%

25%

30%

35%

23%

1%

11%

24%

31%

Business Characteristics & Activity of REALTORS®Characteristics (Percent of REALTORS® in the category)Years of Experience

Median 11 yrs.2 years or less 9%3 to 5 years 11%6 to 15 years 41%16 years or more 39%

Type of LicenseBroker 26%Broker Associate 12%Sales Agent 65%Appraiser 0%Other 0%

Technology Have a website 86%Have a Real Estate Blog 13%Will remain active as a real estate professional in the next two years

Very certain 82%Somewhat certain 13%Not certain 5%

Business ActivityMedian hours worked per week 40 hrs.Brokerage Transactions 8

Median Number of Transactions Median Number of Transactions Involving Foreclosure 3Median Number of Transactions Involving Short sale 2

Median sales volume (millions) $1.6 millionPercent of repeat business from past consumers and clients (median) 20%Percent of business through referrals from past consumers and clients (median) 23%

Affiliation with Firm (Percent of REALTORS® in the category)Independent Contractor 64%Employee 32%Other 4%

Median size of firm, by number of brokers and agents 32%Tenure at firm (median years) 5%

Business Characteristics & Activity of REALTORS®Characteristics (Percent of US REALTORS® in the category)Years of Experience

Median 13 yrs.2 years or less 8%3 to 5 years 10%6 to 15 years 39%16 years or more 43%

Type of LicenseBroker 29%Broker Associate 13%Sales Agent 65%Appraiser 0%Other 0%

Technology Have a website 94%Have a Real Estate Blog 15%Will remain active as a real estate professional in the next two years

Very certain 82%Somewhat certain 12%Not certain 6%

Business ActivityMedian hours worked per week 40 hrs.Brokerage Transactions 8

Median Number of Transactions Median Number of Transactions Involving Foreclosure 3Median Number of Transactions Involving Short sale 2

Median sales volume (millions) $1.6 millionPercent of repeat business from past consumers and clients (median) 20%Percent of business through referrals from past consumers and clients (median) 23%

Affiliation with Firm (Percent of REALTORS® in the category)Independent Contractor 64%Employee 32%Other 4%

Median size of firm, by number of brokers and agents 32%Tenure at firm (median years) 5%

Income and Expenses

Income and Expenses Annual Income of Realtors®, 2011


ALL REALTORS® Sales Agents$0

$10,000

$20,000

$30,000

$40,000

$50,000

$60,000

$48,200

$42,900

$34,900

$28,700

CA

USMedian Gross

Income: Before Taxes and Ex-

pense

Income and Expenses Annual Income of REALTORS®, By Experience, 2011


Gross Income: Before taxes and expenses

ALL REALTORS®

2 years or less

3 to 5 years 6 to 15 years 16 years or more

Less than $10,000 18% 64% 29% 11% 10%

$10,000 to $24,999 14 13 15 17 10

$25,000 to $34,999 9 7 9 8 11

$35,000 to $49,999 11 8 13 11 12

$50,000 to $74,999 12 3 7 17 11

$75,000 to $99,999 10 3 13 11 11

$100,000 to $149,999 12 * 7 12 15

$150,000 to $199,999 7 * 4 8 9

$200,000 to $249,999 3 * 1 2 4

$250,000 or more 5 2 1 3 8

Median $48,200 $7,800 $32,500 $54,600 $68,700*Less than 1%

Income and Expenses ANNUAL INCOME OF REALTORS® (Gross Income: Before taxes and expenses)

By MAIN FUNCTION, 2011(Percentage Distribution)

ALL REALTORS®

Broker-Owner (without selling)

Broker-Owner (with selling)

Associate Broker

Manager (without selling)

Manager (with selling)

Sales Agent

Less than $10,000

17.7 33% 7% 16% * 6% 21%

$10,000 to $24,999

13.5 * 10% 7% 25% 13% 15%

$25,000 to $34,999

9.1 * 9% 14% 25% 13% 8%

$35,000 to $49,999

11 33% 10% 12% * 13% 10%

$50,000 to $74,999

12.3 * 9% 12% * 13% 14%

$75,000 to $99,999

10.4 * 15% 19% * 6% 9%

$100,000 to $149,999

11.8 * 13% 7% * 6% 13%

$150,000 to $199,999

7 33% 16% 5% * 13% 5%

$200,000 to $249,999

2.7 * 4% 2% 25% 13% 2%

$250,000 or more

4.6 * 7% 5% 25% 6% 3%

Median $48,200 $42,500 $82,200 $ 52,400 $35,000 $62,400 $42,900

Income and Expenses


Broker-Owner (without selling)

Sales Agent

ALL REALTORS®

Associate Broker

Broker-Owner (with selling)


$- $2,000 $4,000 $6,000 $8,000 $10,000

$2,500

$2,500

$4,550

$5,560

$7,930

$8,880

$10,000

Total Real Estate Expenses for CA REALTORS®(Median)

Income and Expenses Business Expenses of REALTORS®, By License Type, 2011

(Median Values)

ALL REALTORS®

Broker/ Broker

Associate

Sales Agent

BUSINESS USE OF VEHICLE EXPENSE $2,070 $2,770 $1,770

AFFINITY/REFERRAL RELATIONSHIP EXPENSES $20 $70 *

ADMINISTRATIVE EXPENSES $940 $1,220 $830

MARKETING OF SERVICES EXPENSES $720 $880 $630

PROFESSIONAL DEVELOPMENT EXPENSES $710 $740 $690

BUSINESS PROMOTION EXPENSE $770 $880 $720

TECHNOLOGY PRODUCTS AND SERVICES EXPENSES

$780 $890 $710

*Less than 1%

Income and Expenses Business Expenses of REALTORS®, By Main Function, 2011

(Median Values)Broker-Owner

(without selling)

Broker-Owner (with

selling)

Associate Broker


Manager (with

selling)

Sales Agent

BUSINESS USE OF VEHICLE EXPENSE

$3,750 $2,250 $4,110 $2,000 $3,120 $1,930

AFFINITY/REFERRAL RELATIONSHIP EXPENSES

* $70 $500 * * $90

ADMINISTRATIVE EXPENSES $12,000 $1,290 $1,000 $2,000 $750 $880

MARKETING OF SERVICES EXPENSES

$750 $750 $1,180 $750 $460 $720

PROFESSIONAL DEVELOPMENT EXPENSES

$750 $670 $770 $1,750 $750 $700

BUSINESS PROMOTION EXPENSE * $870 $1,130 $630 $380 $770

TECHNOLOGY PRODUCTS AND SERVICES EXPENSES

$630 $910 $1,050 $1,250 $460 $740

Office and Firm Affiliation of REALTORS ®


Firm Affiliation of all REALTORS®(Percentage Distribution)

Independent company

64%

Franchised company

32%

Other4%


REALTOR® Affiliation with Firms(Percentage Distribution)


Median Size of Firm By Number of Commercial and Residential Brokers and Agents

CA

US

0 5 10 15 20 25

25

23

NUMBER OF COMMERCIAL AND RESIDENTIAL BROKERS AND AGENTS

Office and Firm Affiliation of REALTORS®

Size of firm, by number of commercial and residential brokers and agents

Broker

Sales Agent

0 10 20 30 40 50 60

CA - 9

CA - 54

US - 15

US - 39

NUMBER OF COMMERCIAL AND RESIDENTIAL BROKERS AND AGENTS


One 2 to 5 6 to 25 26 to 100 101 or more

Independent company 100% 93% 78% 58% 52%

Franchised company 0% 6% 23% 40% 43%

Other 0 0.014 0 0.022 0.056

10%

30%

50%

70%

90%

100%93%

78%

58%52%

23%

40% 43%

Firm Affiliation By Firm Size, 2011(Percentage Distribution)


Yes, volun-tarily32%

Yes, involun-tarily8%

No60%

REALTOR® Changed Firm as a Result of a Merger



TENURE OF CA REALTORS® AT THEIR PRESENT FIRM(Percentage Distribution)

MAIN FUNCTION IN FIRMAll

REALTORS®Broker-

Owner (no selling)

Broker-Owner

(with selling)

Associate Broker


Manager (with

selling)

Sales Agent

1 yr. or less 16% * 8% 9% 25% * 20%

2 yrs. 11% * 8% 6% 25% 8% 13%

3 yrs. 12% * 11% 21% * 17% 11%

4 yrs. 9% * 11% 6% * 17% 10%

5 yrs. 7% 33% 4% 6% 25% * 7%

6 to 11 yrs. 23% * 20% 24% 25% 50% 23%

12 yrs. or more

23% 67% 38% 29% * 8% 17%

Median (yrs.) 5 12 6 6 4 6 4

*Less than 1%


Benefits Received Through Firm

Other

Disability Insurance (Long-term Care)

Life Insurance

Pension/SEP/401(K)

Paid Vacation/Sick Days

Vision Care

Dental Insurance

Health Insurance

Errors & Omissions Insurance

None

0% 10% 20% 30% 40% 50% 60% 70% 80%

1%

1%

2%

2%

3%

3%

4%

5%

25%

71%

Percent of Respondents

Demographic Characteristics


Gender of REALTORS®, By Function(Percentage Distribution)

Mal

e Bro

ker/B

roke

r Ass

ociat

es

Femal

e Bro

kers

/Bro

ker A

ssoci

ates

Mal

e Sal

es A

gents

Femal

e Sal

es A

gents

0%

20%

40%

60%56%

44%34%

66%

45%55%

34%

66%

CA

US


GENDER OF REALTORS®, By Main Function in Firm 2011(Percentage Distribution)

Broker-Owner

(without selling)

Broker-Owner (with

selling)

Associate Broker



Sales Agent Appraiser

CA US CA US CA US CA US CA US CA US CA USMale 100

%69% 64% 53% 57% 40% 75% 40% 53% 49% 34% 35% * 62%

Female * 32 36 47 44 60 25 60 47 51 66 65 * 38*Less than 1%

GENDER OF REALTORS®, By Type of License 2011(Percentage Distribution)

All REALTORS® Brokers/ Broker Associates

Sales Agents

CA US CA US CA US

Male 42% 40% 56% 45% 34% 35%

Female 58% 61% 44% 55% 66% 65%

Demographic CharacteristicsFormal Education of REALTORS®


High School Graduate; 6%

Some College; 30%

Associate's Degree; 14%

Bachelor's Degree; 27%

Some Graduate School; 7%

Graduate Degree; 14%

Demographic CharacteristicsPrior Full-Time Careers of REALTORS®


Life/Physical/Social sciencesCommunity/Social services

Personal care/Other servicesTransportation

LegalMilitary

ConstructionGovernment/Protective services

Architecture/EngineeringManufacturing/Production

HealthcareHomemaker

Computer/MathematicalEducation

None, real estate is first careerOffice/Admin support

OtherSales/Retail

Management/Business/Financial

0% 2% 4% 6% 8% 10%12%14%16%18%20%

0%

1%

1%

1%

2%

2%

2%

2%

3%

3%

4%

4%

4%

5%

6%

7%

17%

18%

19%


Real Estate is Only Occupation(Percent “Yes”)

2 years or less 3 to 5 years 6 to 15 years 16 years or more0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

67%

79% 77%

89%


REAL ESTATE INVESTMENTS OF REALTORS®


All REALTORS®

Vacation Homes None 87%One 7Two 2Three or more 5

Residential Properties (except primary residence and vacation homes)

None 52%One 20Two 27Three or more 2

Commercial PropertiesNone 53%One 10Two 25Three or more 12

Demographic CharacteristicsRacial and Ethnic Distribution of REALTORS®

(Percentage of Respondents)

White

Hispan

ic/L

atin

o

Black

/Afri

can A

mer

ican

Asian

/Pac

ific

Isla

nder

Amer

ican

India

n/Esk

imo/A

leut

Other

0%10%20%30%40%50%60%70%80%90%

100%

76%

13%3% 7%

1% 3%

86%

6% 4% 3% 1% 2%

CA

US

Demographics of A Typical CA REALTOR ®Percent of REALTORS® in the category All REALTORS®

Gender of REALTOR®

Male 42%

Female 58%

Age

Median Age 55

39 or younger 13%

40 to 59 49%

60 or older 38%

Education: Bachelor's degree or higher 49%

Real estate is only occupation 81%

Marital Status 71% Married

Race/Ethnicity

White 76%

Hispanic/Latino 13%

Black/African American 3%

Asian/Pacific Islander 7%

American Indian/Eskimo/Aleut 1%

Other 3%

Homeownership rate 81%

Real Estate Investments

At least one vacaction home 14%

At least one property 49%

At least one commercial property 47%

Fluent in other language 14%

Country of birth

US 81%

Outside of US 19%

Documents

2012 MEMBER PROFILE- CALIFORNIA REPORT. Business Characteristics of CA Members