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By ענת גלעד
Economy13:03 · 3h ago

Israeli Real Estate Agents Earn Between NIS 8,000 and NIS 40,000 Monthly

Bizportal
Translated & summarized from Bizportal by baba
The story · English

Real estate agents in Israel primarily earn through commissions, with the standard rate typically around 2% plus VAT for one party. In a weaker market, this can drop to 1% to 2%. New agents who close one deal every two months might earn an average of NIS 8,000 to NIS 12,000 per month, potentially earning nothing in months without a sale. Agents handling three to four transactions monthly in an active market can achieve earnings of NIS 20,000 to NIS 40,000, with higher potential for luxury properties.

The declared average income for the profession is approximately NIS 16,000, placing a moderately successful agent with two monthly deals above the average salaried employee wage, which ranges from NIS 14,000 to NIS 15,000. New agents often earn significantly less than this average. Minimum wage in Israel is NIS 6,443.85 monthly, or NIS 35.40 per hour, relevant mainly for salaried employees receiving a base pay.

Income disparity is significant, influenced by factors like location and experience. A 2% commission on a NIS 3 million apartment yields NIS 60,000 for one party, while on a NIS 1.2 million apartment, it's NIS 24,000, despite similar effort. The profession also shows high variability based on client networks; two 32-year-old agents can have threefold income differences depending on their established connections. The career path ranges from trainees earning minimum wage up to office owners taking a share of all deals.

Entry into the profession requires a real estate agent license from the Ministry of Justice, involving a single exam without academic prerequisites. Building a client base typically takes about two years. Expenses include advertising, listing fees, vehicle costs, and potentially office rent for independent agents. The market's performance directly impacts agents' income, with earnings falling sharply in slow periods like 2023 and rising quickly when the housing market heats up.

In the United States, the Bureau of Labor Statistics reported a median annual income of $73,220 for brokers and $52,830 for sales agents as of May 2025, with the top 10% earning over $143,300 and $123,590 respectively. However, these figures represent salaried employees, excluding the majority of independent agents who rely solely on commissions. U.S. commission rates are generally higher, around 5% to 6% per transaction, split between parties and agencies, compared to Israel's 2% per party.

Read the original at Bizportal
Full coverage · 3 outlets
First: TheMarker · 13h ago

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