Real Estate Careers – How Much Can You Earn?

Posted On May 21, 2024

No matter where you are in the world, there is no denying that the most recognizable career in real estate is that of a Real Estate Agent. So much so, that you can be forgiven for thinking that is the only career in real estate.

However, there are many other career paths for someone who would like to work in this sector, though not as an agent. There are thousands of job positions, such as title officers, foreclosure specialists, analysts, and property managers, available across Canada.

These jobs can be found across major cities and offer varying salary ranges based on experience and qualifications. The sector offers flexible working hours and the potential for well-paid careers, primarily through commissions.

This article lists some of Canada’s real estate careers, the certifications required and average yearly earnings. If you are considering a job in real estate, consider the various options before deciding on your path.

Real Estate Agents

Let’s start with the “Face of Real Estate,” the real estate agent.

To become a real estate agent in Canada, one must first obtain a license. Though there may be minor differences across provinces, this usually includes completing a pre-licensing course, joining a brokerage agency, and passing the real estate exam.

Prospective agents must be at least 18 years old, Canadian citizens or permanent residents, and undergo a criminal record check. After obtaining their license, real estate agents can choose from various specializations, such as residential, commercial, property development, and more.

Requisite Skills and Work Environment

Real estate agents in Canada need a diverse set of skills, including excellent communication, business math, and organizational abilities. They must also exhibit integrity, flexibility, and the ability to listen actively.

The work environment for agents is highly dynamic; it is not a typical nine-to-five job as it requires extended hours, often during evenings and weekends. Agents are generally self-employed, and their success heavily relies on individual performance.

Compensation and Advancement

The annual salary for real estate agents in Canada is approximately $24,173 and $144,595, with the median income being around $46,000. Typically, agents pay about 20% of their commissions to their affiliated brokerages.

Agents can become Realtors, which requires additional ethics training and membership in the Canadian Real Estate Association (CREA).

Real Estate Brokers

Real estate brokers in Canada oversee brokerage operations and facilitate property transactions. They can own or manage a brokerage, hire agents, and handle more complex aspects of real estate transactions. Broker training is more rigorous, often requiring a relevant degree or significant experience in the field.

In British Columbia, for instance, brokers must have worked as agents for at least two years before advancing their education to become brokers, which includes additional courses and a specific broker licensing course.

Types of Real Estate Brokers

1. Associate Broker: Holds a broker license but operates under another broker. This role allows for working independently or establishing their own brokerage.
2. Managing Broker: Manages the brokerage’s daily activities, including recruitment, policy enforcement, and coordination of schedules and employees.
3. Broker of Record: Ensures compliance with laws, bears legal responsibility for agents’ actions, and manages commission distributions within the firm.

Brokers earn more than agents due to their more challenging roles and by collecting percentages from agents’ commissions.

Real estate brokers who operate independently do not have to split their commissions with a brokerage, The average salary is $100,000 per year, while experienced brokers make up to $125,000 per year.

Mortgage Brokers

Mortgage brokers are crucial cogs in the Canadian real estate market, connecting borrowers with multiple mortgage options with varying terms and rates.

Expert Guidance and Market Analysis

Mortgage brokers provide advice on mortgage products, interest rates, and other aspects of the mortgage process. Their expertise is particularly useful for self-employed individuals or those with a poor credit history.

Mortgage brokers negotiate competitive rates and favourable terms tailored to their client’s needs, leading to significant savings. They also handle the paperwork, application submissions, and liaisons with lenders, streamlining the approval process and alleviating stress for homebuyers.

In addition, mortgage brokers secure pre-approvals for their clients. They also facilitate collaboration with other real estate professionals, ensuring a seamless transaction and providing access to essential financing information.

Qualifications and Earnings

In Ontario, you need FSRA licensing to become a mortgage broker. First, complete an FSRA-approved Private mortgage course from providers like Mortgage Professionals Canada or the Real Estate and Mortgage Institute of Canada. Then, apply for your license from FSRA. Once licensed, you can supervise mortgage agents within a brokerage. You must ensure ongoing compliance with FSRA requirements. Other provinces have similar requirements.

The average salary for a mortgage broker in Canada is about $78,000 per year.

Real Estate Appraisers

A real estate appraiser performs a comprehensive and detailed analysis of a property to determine its current market value. This is distinct from a home inspection, which focuses on identifying potential issues in the property.

Appraisers conduct site visits and document property features, comparing them against similar properties. Generally speaking, property is valued when it is sold, mortgaged, taxed, insured, or developed – which means a home may be appraised several times during its lifespan.

Qualifying for Real estate appraisal in Canada is primarily through the Canadian National Association of Real Estate Appraisers (CNAREA) and the Appraisal Institute of Canada (AIC). Appraisers must adhere to provincial regulations, and online courses are available through CNAREA and AIC, allowing flexibility for career advancement.

An appraiser makes an average of $68,000 per year in Canada. Of course, the more experienced and reliable appraisers can make much more.

Canadian appraisers can expect their careers to remain steady and possibly grow, thanks to a strong real estate market and high levels of home building and sales. To keep their business thriving, appraisers should focus on being accurate in their work, build a strong network in the real estate community and stay flexible with market changes.

Property Managers

Property management is not a very glamorous career; however, property managers are integral to the smooth operation of real estate properties, ensuring everything from tenant relations to law compliance is handled efficiently.

Their role requires strong communication, organizational, interpersonal, and customer service skills. Typically, property managers earn an average salary of $58,153.

A bachelor’s degree in property management, real estate, business, or finance, along with relevant management experience, is often necessary to be a property manager. Most provinces require property managers to register with their regional real estate association.

Responsibilities of Property Managers

Property managers set rent prices based on market data, advertise rental units, screen tenants, and oversee daily maintenance and security. They ensure compliance with regulations, prepare tax documentation, and assist property owners via the owner portal.

In addition, they handle tenant relations, enforce leases, manage evictions, prepare vacant units, conduct property inspections, and maintain property upkeep, ensuring high occupancy and tenant satisfaction.

Property Management Company

A property management company is often chosen based on its processes for tenant screening, handling evictions, and property maintenance.

These companies typically charge between 8% and 12% of the monthly rent, which is a standard rate for the services.

Real Estate Lawyers

Like every industry, lawyers play a crucial role in property transactions, ensuring legal compliance and protecting the interests of their clients. Here are some of their primary responsibilities:

A real estate lawyer ensures the legality and smooth execution of property transactions. They review and verify legal documents, manage the closing process, and register property transfers with the land registry.

Representing either buyers or sellers, they safeguard their clients’ interests and ensure compliance with Canadian real estate laws. Additionally, they handle financial aspects such as calculating land transfer taxes, setting up title insurance, and, if needed, mortgage documentation.

Specialized services may include advising on cooperative housing, investment properties, and builder transactions, making their expertise essential for legally sound and beneficial real estate dealings.

How Do You Qualify?

To qualify as a real estate lawyer, you need to first earn a bachelor’s degree in a relevant field such as legal studies, business, or economics.

Next, pass the Law School Admission Test (LSAT), and attend law school to earn a Juris Doctor (JD) degree, typically over three years, with the option to specialize in real estate law in the later years. After graduating, complete the Bar Admissions Course specific to your province or territory, which includes formal training and passing examinations.

But success is sweet! A real estate lawyer can expect to earn upwards of $100,000 a year, and many make double that amount.

Join Us for Successful Real Estate Careers!

Beyond these roles, the industry offers a wide array of career paths.

For instance, the Canadian Real Estate Association (CREA) offers roles in Media and communications, Policy and Economic Analysis, Government Relations, and Information. These careers at CREA represent just a few of the many opportunities available in the real estate sector.

While real estate can be lucrative, success varies, and not all make millions. However, professionals in the industry still enjoy rewarding careers. It is important to stay up-to-date with developments in your field and ensure that you always provide the best services to your clients.

If you wish to know more, we invite you to join Save Max for a successful real estate career. We offer the best mentoring, training, and programs to help our agents thrive and succeed.