Embarking on a new career is both exciting and a little daunting. You likely have plenty of questions: “How do I become a licensed agent?”, “What does the day-to-day look like?”, and, perhaps most importantly, “What is the typical real estate agent starting salary?”
It is your journey, and we are here to help you navigate it. Before diving into the numbers, it is essential to understand that real estate is unique. Unlike corporate jobs with a fixed bi-weekly paycheck, most real estate agents work on commission. Your income is generally based on a percentage of the property sales you close, meaning your earning potential is theoretically uncapped. But it also requires hustle, especially in year one.
Key Takeaways
- Starting Salaries Vary: A real estate agent’s starting salary can greatly differ, as it primarily depends on the number and value of deals closed.
- Commission-Based Income: Since most agents work on commission, earnings are tied directly to sales efforts and success rather than a fixed paycheck.
- First Year Is Challenging: The first year often requires significant effort to build a clientele, learn the market, and establish a presence in the industry.
- Earning Potential Is Unlimited: With dedication and hard work, there is no cap on how much an agent can earn, making this career aspirational for high achievers.
- Success Requires Strategy: Building a strong network, marketing effectively, and staying informed about the industry are critical to achieving financial success.
First-Year Real Estate Agent Starting Pay
Pinpointing an exact “starting salary” can be tricky because income varies wildly based on effort, number of hours worked, location, and market conditions. However, recent data gives us a strong benchmark of what is possible.
The Bureau of Labor Statistics (BLS) reports that the median annual wage for all real estate sales agents (regardless of tenure) was $56,320 in May 2024. As a new agent, your goal is to bridge the gap between starting out and becoming a top producer.
Our own research at Colibri Real Estate reveals that while income can vary widely as you find your footing, the potential for growth is immense. Some agents start under $25,000 as they build their network, while others have the drive to quickly break into six figures. In fact, roughly 1 in 4 of our surveyed alumni report earning $100,000+ within their first three years. With the right foundation and commitment to your professional growth, you can truly take control of your financial future.
Top 10 States with the Highest Real Estate Agent Income
Your location plays a massive role in your potential earnings. High-cost-of-living areas often come with higher property values, which translates to larger commission checks.
Here are the top ten states with the highest estimated income for real estate agents.
| State | Estimated Pay (Yearly) | Estimated Pay (Monthly) |
| Washington | $97,169 | $8,097 |
| District of Columbia | $96,948 | $8,079 |
| New York | $93,860 | $7,821 |
| Massachusetts | $93,696 | $7,808 |
| Alaska | $92,394 | $7,699 |
| Vermont | $91,219 | $7,601 |
| North Dakota | $90,776 | $7,564 |
| Oregon | $90,707 | $7,558 |
| Colorado | $90,213 | $7,517 |
| Hawaii | $89,135 | $7,427 |
Source: ZipRecruiter, January 2026
Real Estate Agent Starting Pay by Specialization
Focusing on a niche can significantly boost your earning potential in real estate. While many agents start in general residential real estate, specializing allows you to cater to specific clients and property types, often leading to higher commissions.
Here’s how average earnings vary by specialization, based on data from a 2025 survey of Colibri Real Estate School alumni:
- Second Homes: $100,000 – $149,999
- Commercial Properties: $100,000 – $149,999
- Investment Properties: $200,000+
- Short Sales/Foreclosures: $100,000 – $149,999
Source: Colibri Real Estate Salary Guide
Specializing not only enhances your expertise but also positions you to attract high-value clients and properties.
Factors Influencing Starting Salaries
Why do some new agents earn $30,000 while others break six figures in their first year? It usually comes down to four key factors:
- Hours Worked: Real estate offers flexibility, but income correlates strongly with time invested. Agents who treat this as a full-time business (40+ hours/week) historically earn significantly more than part-time agents.
- Market Conditions: Interest rates and inventory levels affect how easy it is to close deals. In a hot market, transactions happen faster; in a slower market, you need stronger skills to succeed.
- Commission Splits: As a new agent, you’ll split your commission with your brokerage. Finding a broker that offers training and mentorship in exchange for that split is crucial for early success.
- Networking: Your “sphere of influence” (the people you know) is your first lead source. Agents who aggressively network and market themselves see faster returns.
Strategies to Increase Income for New Agents
You don’t have to settle for “average.” Here’s how to accelerate your earning potential:
- Invest in Education: Your real estate journey starts here. Beyond pre-licensing, consider a Continuing Education membership to stay ahead of market trends.
- Find a Mentor: Align yourself with an experienced broker who can guide you through contract pitfalls and negotiation strategies.
- Leverage Technology: Use CRM systems and social media marketing to automate lead generation.
- Consider a Niche Early: If you have a background in sales or finance, consider pivoting to commercial or investment real estate sooner rather than later.
FAQs on Real Estate Agent Starting Salaries
What is the average starting salary for a real estate agent in the US?
While it varies by source, Salary.com reports that entry-level agents earn $49,497 (January 2026). However, experience pays off in the industry.
How do location and specialization impact starting pay?
Location dictates the price of the homes you sell, directly impacting your commission. Specialization allows you to become an expert in high-value areas (like luxury real estate), often leading to double or triple the average income.
What are the best strategies for new agents to increase their earnings?
Focus on lead generation, treat your career as a business, and never stop learning. Explore our professional development resources included in our CE membership to find tools that can help you grow.
Your Real Estate Career is Calling
Whether you are looking for financial independence or the freedom to set your own schedule, Colibri Real Estate is dedicated to training the next generation of top producers. We offer flexible, state-approved pre-licensing education and exam prep designed to fit your lifestyle. Our Pass or Don’t Pay Guarantee provides the confidence you need to succeed.
Disclaimer: This guide is for general informational purposes only, based on a September 2025 survey of Colibri Real Estate School alumni and publicly available industry sources. While Colibri Real Estate School strives for accuracy, we make no guarantees regarding the completeness, reliability, or applicability of the information. Earnings and outcomes vary widely based on factors like location, experience, and market conditions and should not be considered guarantees. This guide does not constitute professional advice. Users should consult additional sources for personalized guidance.
