Key Details:
- A custom analysis by BatchService shows the top 1% of agents make 15% of all home sales nationwide, with larger shares in some states.
- In Florida, the top 1% of agents is responsible for 23% of all home sales, making it the state with the highest percentage of sales by the top 1%, followed by Idaho (20%) and Texas (19%).
Housing affordability in 2024 is a struggle for both consumers and real estate agents. For the latter camp, newcomers and small players are feeling it the most, particularly those who jumped into the market in 2021.
Many of those have left or are leaving the real estate industry after coming to the realization that the 2021 market was, in fact, very much not the norm.
Meanwhile, the top agents in every market are not only maintaining market share but taking more of it, mainly due to five key factors that set them apart from the rest.
A new ResiClub article shines a spotlight on a custom analysis by BatchService—a “fast-growing property intelligence and technology company”—that shows the top 1% of agents making 15% of all home sales nationwide over the past 12 months.
In some states, led by Florida, the percentage of sales attributed to top 1% agents is even higher, according to BatchService data.
Source: ResiClub (BatchService)
States where the top 1% of agents made the highest percentage of sales:
- Florida (the top 1% made 23% of all home sales)
- Idaho (20%)
- Texas (19%)
- Arizona (18%)
- Kansas (18%)
- Georgia (17%)
- Colorado (17%)
- Ohio (16%)
- South Carolina (16%)
States where the top 1% of agents made the highest percentage of sales:
- Florida (the top 1% made 23% of all home sales)
- Idaho (20%)
- Texas (19%)
- Arizona (18%)
- Kansas (18%)
- Georgia (17%)
- Colorado (17%)
- Ohio (16%)
- South Carolina (16%)
Five states tied at the national average percentage of 15%:
- Nevada
- Illinois
- North Carolina
- Maryland
- Arkansas
Hawaii is at the bottom of the list with the top 1% making 8% of all home sales, the top 5% responsible for 27%, and the top 20% covering a little less than half (49%) of all sales.
See ResiClub’s article for the full table with information on sales percentages for the top 1%, 5%, and 20% of real estate agents.
Nationwide, the top 5% of agents are responsible for 34% of all sales, while the top 20% make 64% of all sales across the U.S.
5 key factors that differentiate the top 20% of agents
So, how are top real estate agents holding so much market share compared to those not numbered among the top 20% (or fewer)?
Lance Lambert’s ResiClub article highlighted five key factors that define top agents and set them apart from the rest:
#1—Skill level
As a general rule, top agents are more experienced than the typical agent, and they devote time to skill-building, including:
- Time management
- Roleplaying and scripts
- Objection handling
- Cold calling
- Lead nurturing
- Communication
- Sales
- Negotiating and closing deals
- Following up with clients
Skill building is a top priority for the agent of change. If you’ve been in the industry long enough, you know adaptability is key to not only surviving changes like the ones coming on August 17th but to improving as a real estate professional and attracting more business.
#2—Market knowledge
Top agents have deep knowledge of local market trends and cultivate it on a daily basis. They make knowing their market—both local and national—a daily priority. They also know how the economy impacts buyers, sellers, and investors in their market.
The best way we know to do that is to tune in to the daily Hot Sheet with Byron Lazine (every day the market is open) and to the Knowledge Brokers Podcast on Fridays.
We’re not saying it’s the only way, but this writer is willing to bet you won’t find an information source that can compare with these two in terms of educational and entertainment value.
#3—Networks
Top agents also have an extensive and growing network of professional contacts, including:
- Other agents
- Lenders
- Contractors
- Builders
- Local business owners
- Potential buyers and sellers
- Real estate investors
One of the best ways to network with other professionals in the industry is to attend real estate conferences. And BAM Mania—our in-person event for 2024—is coming up in October at the breathtaking Circa Resort in Las Vegas.
BAMx members save an additional 25% off the already low early-bird price. Save your seat today before the price goes up!
#4—Repeat clients and referrals
Next, top agents get much of their business from repeat clients and from referrals, meaning less time spent on cold leads and more time leveraging the clients they have to create a steady stream of business.
Amy Stockberger’s Lifetime Home Support™ model, for one notable example, is all about creating lifetime clients by continually delivering value, anticipating your clients’ needs and desires, and cultivating loyalty and trust.
#5—Marketing power & brand awareness
Top-performing agents also make a point of investing in advanced marketing tools and strategies, including:
- Professional photography
- Staging
- Online marketing
- Email marketing
- Print marketing (like ReminderMedia’s custom magazines)
- Geographic farming—including door knocking and local events
- Client events
These can (and often) overlap to give the impression you are “everywhere” in your market. Luke Acree of ReminderMedia shared a story on Instagram about a fake agent who rose to number one status in a neighborhood simply by becoming the best known through consistent marketing.
The Walk Thru podcast is BAM’s premium marketing channel, with hosts The Broke Agent and Dan Oneil offering weekly updates on what’s working, what’s not, and what’s new on social media platforms that you need to know.
So, why should your prospects (buyers, sellers, and real estate investors) care about the percentage of total sales made by top 1%, 5% or 20% real estate agents, or whether or not you belong to one or more of those groups?
For buyers, top agents generally have access to more listings—including off-market properties—meaning more options to choose from, with a greater likelihood of finding something affordable that ticks all the must-have boxes.
Also, experienced agents with market share are continually building on their top skill sets, meaning they can often help negotiate better deals—something buyers, sellers, and investors can all appreciate.
Do you know exactly what it is that makes you stand out from other agents in your market? Byron Lazine expanded on this in a recent sales training video.
Because when someone asks you, “What made you go into real estate?” you don’t want to sound like 99% of the agents in your area—unless you want to blend in with them.
What are you doing in your business today to become one of the top agents in the industry?
