Real Estate Agent Salary in India | AAFT Online

With easy access to the digital world, today you can easily see what a cosy 2-BHK in Pune or a sleek office space in Mumbai looks like. It creates even more curiosity if you are in the real estate field or someone looking for a future prospect. Does that make you wonder how much the person or dealer behind it actually gets paid? You are about to find out soon. 

Real estate agent salary can depend on a number of factors. Keep reading to know how agents earn and what a real agent salary looks like across cities.

How do Real Estate Agents Earn Money in India?
Commission-Based Income Structure
Rental Deals vs Property Sale Deals
Brokerage Split and Commission Sharing
Average Real Estate Agent Salary in India
Monthly Income of Real Estate Agents
Annual Earnings of Real Estate Agents
Real Estate Agent Salary Based on Experience
City-Wise Real Estate Agent Salary in India
Residential vs Commercial Real Estate Earnings
Income from Residential Properties
Income from Commercial Real Estate Deals
Career Growth and Long-Term Income in Real Estate
Growth from Agent to Real Estate Consultant
Starting Your Own Brokerage or Firm
Building a Sustainable Career in Real Estate
FAQs

How do Real Estate Agents Earn Money in India?

Unlike traditional salaried individuals, real-estate agents make their income through commissions earned on deals they close. Some agencies may offer a small base real estate agent salary. The real numbers can vary depending on location, experience, and the amount of hustle they put into it. So, before we dig into the details, let’s answer a few common questions:

Commission-Based Income Structure

As discussed, the revenue an agent earns is the amount of brokerage every month. This is a percentage paid by the buyer, seller, or both when the deal is successfully closed.

• Sales deals usually mean a commission between 1-2% of the actual property value.
• For high-value properties, those valued in crores, an agent makes a substantial amount in a single transaction. The commission percentage is higher for such properties.
• Commission is mostly split between multiple properties in case there are a number of sellers in the chain. This is mostly shared with a recruiting broker or agency.

Rental Deals vs Property Sale Deals

Commission structure can differ for different types of properties and sales criteria. It mainly covers:

• Property Sales: Fixed percentage of total sale value.
• Rentals: Agents often earn one month’s rent as a commission, sometimes from both tenants and the landlord.

Sales transactions offer higher commissions, while rentals deliver more stable and predictable income.

Brokerage Split and Commission Sharing

In many firms, agents don’t keep 100% of the commission, but rather split it among individuals:

• Agent-Broker split models are common, mainly in the ratio of 60:40 or 70:30.
• Seasoned agents with proven track records can usually get a higher split amount.
• Smaller agencies do not have much brand recognition and can provide a higher brokerage share.

Average Real Estate Agent Salary in India

So, do real estate agents get paid a salary? Absolutely, but in different ways. How much do they get paid on average? Let’s see:

Monthly Income of Real Estate Agents

On average, a real estate agent can earn a monthly income anywhere between ₹23,750 to ₹60,000. This depends on their position and the frequency of closed deals.

• Lower end: Agents just starting out and with fewer deals.
• Mid-range: Agents with consistent client flow.
• High-end: Agents closing large, high-value deals.

Annual Earnings of Real Estate Agents

On a yearly basis, the Real estate agent salary in India is ₹8,87, 805 or equal to the hourly rate of ₹427/-. Plus, they also earn a bonus which can range up to ₹1,32,638. It is estimated that by 2031, the salary potential of real estate agents can rise to 30%.

Real Estate Agent Salary Based on Experience

City-Wise Real Estate Agent Salary in India 

Residential vs Commercial Real Estate Earnings

Real estate is a wide and complex industry. Thus, the income levels vary too. Here’s how residential and commercial sectors offer different earnings.

Income from Residential Properties

In the residential landscape, the deals are usually on smaller buildings with lower value. However, the sales here are more frequent. It can provide a foundational starting salary of real estate agent, through:

• Steady income through first-time home buyers.
• Rental sourcing deals add additional transactions.
• Demand is often more stable as people constantly relocate for work or living.

Income from Commercial Real Estate Deals

Commercial properties, on the other hand, have much higher value and larger earned commissions. These include:

• Offices, retail spaces, logistics hubs, etc., come with higher price tags.
• In commercial real estate, even a single deal can provide multiple lakhs in commission.
• The sales can be too long, but the rewards are higher.

Career Growth and Long-Term Income in Real Estate

If you are someone looking to make a career in real estate or better growth opportunities, the industry has a lot to offer. However, for every closing, there is a series of other important things — brand building, network, and great negotiation skills. Once you ace this, it opens the door for long-term, scalable income.

Growth from Agent to Real Estate Consultant

For agents who want to upskill, it can be useful to learn how to become a Real Estate consultant. While they have deeper market knowledge and client management skills, here’s what their growth looks like:

• Consultants often charge premium advisory fees along with commissions.
• Transitioning from sales agent to consultant increases the value proposition.
• With an educational certificate that can bolster their credibility and offer larger networks.

Starting Your Own Brokerage or Firm

An agent with years of experience can even open their own firm or brokerage, without depending on agencies. Here are a few quick steps:

• Build a team of agents
• Collect a portion of commissions from your entire office
• Leverage your brand and client for larger deals

Building a Sustainable Career in Real Estate

When asking ‘what is a real estate agent’s salary’, it is important to know that it may not always come with a hefty paycheck. Real estate indeed comes with ample opportunities along with a high-paying Real Estate agent salary, sometimes even if you are a beginner. To understand the field better and gain better expertise, you can enrol in a Diploma in Real Estate.

Ready to grow your career in this dynamic sector? With AAFT Online courses, you can begin your learning journey today with great programs designed for your interests.

FAQs

1. What is the average real estate agent salary in India?

The average monthly salary for real estate agents in India has been estimated to be around ₹23K. The numbers vary depending on their expertise, property type and location.

2. How much does a fresher real estate agent earn in India?

A fresher with 0-2 years of experience can earn up to 5LPA annually.

3. Is real estate agent income fixed or commission-based?

Real estate income is not a fixed one. Agents earn money through commissions and brokerage.

4. Which city pays the highest real estate agent salary in India?

Mumbai and Delhi NCR are considered to be highly profitable markets with large-value property. Therefore, the commissions or salaries are great in these two cities.

5. How long does it take to earn well as a real estate agent?

The timeline of every real estate individual can vary. Some beginners can gain good financial returns within a month, while others can take up to 1 year. It all comes to your patience, consistency, and skills.

6. Can real estate agents earn passive income?

Absolutely! Once you have gained enough experience, you can enter into consultancy or even begin your own firm to make passive income.