A career in real estate can be incredibly rewarding, and Texas, with its booming economy and growing population, presents a particularly attractive market. Many aspiring agents wonder: How Much Do Realtors Make In Texas? The answer, while multifaceted, points towards a potentially lucrative career.
According to Indeed, the average salary for a real estate agent in the United States hovers around $99,000 (as of March 2025). However, data from the Bureau of Labor Statistics (BLS) in May 2023 paints a slightly different picture, with the national average at $69,610. This discrepancy highlights the importance of considering location-specific data when evaluating potential earnings. The income of a real estate agent varies greatly depending on the state, the specific market within that state, and individual performance.
Let’s dive into the specifics of realtor income in Texas.
Texas Real Estate Agent vs. Realtor: What’s the Difference?
When researching income data, it’s crucial to understand the distinction between a real estate agent and a Realtor. The National Association of REALTORS® (NAR) is a professional organization with stringent membership requirements, including adherence to a Code of Ethics. NAR tracks comprehensive data on its members, providing valuable insights into Realtor earnings.
In 2022, NAR reported a median gross income of $56,400 for Realtors. The BLS reports the median income for real estate agents as being $54,300. While median income tends to be lower than average income, this suggests that Realtors may earn slightly more than real estate agents on average, possibly due to the higher standards and professional development associated with NAR membership.
How Texas Real Estate Agents Get Paid
Unlike many professions with a fixed salary, real estate agents in Texas primarily earn through commissions. This commission is a percentage of the property’s sale price, negotiated in the listing agreement between the property owner and the listing agent’s brokerage. The exact commission rate can vary but typically falls between 1-6% of the sale price.
This commission is then split between the listing brokerage and the buyer agent’s brokerage, often on a 50/50 basis. Each agent then receives their portion of the commission from their broker.
Commission splits between agents and their brokers can vary depending on experience and brokerage policies. Entry-level agents might start with a split closer to 50/50, while experienced agents with a proven track record may negotiate more favorable terms. Some brokerages also offer tiered commission structures, where the agent’s share increases as they reach certain sales targets throughout the year.
The Bottom Line: What Can You Expect to Make as a Texas Real Estate Agent?
Texas is indeed a promising state for real estate professionals. The state’s robust economy, coupled with rapid population growth in major metropolitan areas, fuels a dynamic real estate market. This creates ample opportunities for agents to thrive and achieve substantial earnings.
According to the BLS, the average annual salary for real estate agents in Texas is $78,390. Indeed reports an even higher figure, close to $85,000. These figures surpass the national average for real estate agents and significantly exceed the average income for all occupations in Texas, which stands at $61,240. Notably, Midland, TX, boasts the highest-paid real estate agents in the state, with an average annual salary of $118,560.
To give you a clearer picture of earning potential across different markets in Texas, let’s examine specific cities:
How Much Do Real Estate Agents Make in Texas?
Austin
As of June 2022, real estate agents in Austin, Texas, could expect to earn around $88,996 per year. Austin’s explosive growth, driven by the thriving tech industry, has created a consistently strong real estate market, offering agents opportunities to sell single-family homes and downtown condos.
Houston
Houston, the largest city in Texas and the fourth-largest in the U.S., offers a diverse real estate landscape. In June 2022, Houston real estate agents earned an average of $91,008 per year. From bustling urban neighborhoods to sprawling suburban communities and coastal properties, Houston presents a wide array of selling opportunities.
Waco
Waco, a smaller city known for Baylor University and the popular Magnolia Market, offers a unique real estate market. In Waco, real estate agents earned an average of $81,730. The city’s growing tourism sector and increasing popularity as a place to live contribute to a steady demand for real estate services.
San Antonio
San Antonio, currently the fastest-growing city in Texas, presents a particularly attractive market for aspiring real estate agents. As of June 2022, real estate agents in San Antonio earned an average of $91,668 per year. The city’s rapid population growth translates into increased home sales and a vibrant real estate market.
Dallas
Dallas, a major metropolitan center with a diverse economy and a wide range of neighborhoods, provides numerous opportunities for real estate agents. In June 2022, real estate agents in Dallas earned an average of $87,354 per year. The city’s strong job market and diverse housing options contribute to a consistently active real estate market.
While these figures represent averages, it’s crucial to remember that earning potential in real estate is virtually limitless. Building a strong reputation, cultivating expertise in a specific area, and consistently providing exceptional service can significantly boost your income.
If you’re considering a career in Texas real estate, the first step is obtaining your real estate license. Embark on your journey today with a Texas pre-licensing course and unlock your potential in the thriving Texas real estate market.
