Here come the new agents! 15 new real estate agents added per month in Washoe County

Frequent readers of this blog know that I periodically report on the number of real estate licensees in our area as well as across the state. I report these numbers as they’re released by the State of Nevada’s Department of Business & Industry’s Real Estate Division — roughly twice a year.

The last time I reported the numbers (October 2014), I noted how “Washoe County [saw] an increase in its agent count for the first time since the housing bubble burst. Washoe County’s number of Active real estate licensees totaled 2,455 in August — a 1 percent increase over March’s 2,431 Active licensees.” [See Washoe County real estate licensees increase for the first time since the collapse of the housing bubble – October 2014]

I also remarked to expect this increasing trend to continue. Well, the most recent numbers (for January 2015) have been released from the state’s Real Estate Division and not surprisingly they are up.

The total number¹ of Active real estate licensees in Washoe County climbed to 2,531 in January 2015. [See Washoe County table below.] This number is a 3.1 percent increase over the 2,455 licensees reported in August 2014. Or roughly 15 new real estate agents per month entering the business.

In comparison, statewide, the total number¹ of Active real estate licensees in Nevada climbed to 20,544 in January 2015. [See Nevada table below.] Interestingly, this number represents only a 0.7 percent increase over the same time period – a much lower rate of growth across the state than compared to that of Washoe County.

With all the positive press of late regarding new businesses entering our market and the wild projections of the number of new jobs to be created over the next few years, it doesn’t require much analysis to assume that real estate sales would present a potential for high growth and returns as well.

That being said, the field of real estate sales has a notoriously high rate of attrition — particularly among those new to the industry. Google “dropout rate for real estate agents” and you’ll find a variety of sources quoting anywhere from a 75% to 90% dropout rate. Some of these new agents leave the business relatively soon after entering; some last a little longer — but one statistic that seemed to reported was that 80% last only two years, or less.

Given these statistics it’s a certainty that we’ll see the number of Inactive licensees² increase as well. In fact, January’s total number of Inactive real estate licensees in Washoe County climbed to 659 — a 4.8 percent increase over the 629 Inactive licensees reported in August. Or the equivalent of six licensees per month leaving the business.

Welcome new agents and good luck!

¹ The total number includes those licensees holding “broker”, “broker-salesperson” and “salesperson” licenses.
² Inactive Licensee – current licensees who have chosen to place their license “on hold” for an indeterminate amount of time until they decide wether to re-active their license or not. If a licensed is not renewed by the renewal date it expires. For more info see the Nevada Real Estate Division’s Inactive Licenses – FAQs

Source: Nevada Real Estate Division

Related post: Washoe County real estate licensees increase for the first time since the collapse of the housing bubble (October 11, 2014)