Preview
FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018
NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018
FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018
NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018
2017 Member Profile
The New York State Assocation of
REALTORS® Report
Prepared for:
The New York State Association of REALTORS®
Prepared by:
NATIONAL ASSOCIATION OF REALTORS®
Research Division
July 2017
NATIONAL ASSOCIATION OF REALTORS'
REALTORS
The Voicefor
Real Estate
REALTOR
FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018
NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018
2017 Member Profile
New York Report
Table of Contents
2
Introduction.......................................................................................................................................................
.......................................................................................................................................................
Highlights ...........................................................................................................................................................
3
Methodology.....................................................................................................................................................7
Report Prepared Jessica Lautz Brandi Snowden Amanda Riggs Brian Horowitz
by:
202-383-1 155 202-383-1048 202-383-1285 202-383-1104
2017 Member Profile
NATIONAL ASSOCIATION OF REALTORS®
FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018
NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018
2017 Member Profile
New York Report
Introduction
In 2016, there was a continued rise in new members of the National Association of
REALTORS®, increasing from 1.16 million in March 2016 to 1.22 million in March 2017. This
isapparent in the data, with those who have less than two years of experience was 28
percent, an increase from 17 percent 2015. The median years of experience in real
estate was 10 years. Additionally, tenure at firm was a median of four years.
The median age of REALTORS® remained at 53 in the 2017 survey, the same as last year
and the lowest ithas been since 2008 when the median age was 52. The median age
held steady between 56 and 57 from 2011 to 2015. The drop in age may be attributed
both to members retiring and to new younger entrants to the business. This year, only 30
percent are over 60 years old and four percent are less than 30, consistent with last
year. Twelve percent of members who have two years or less experience are under 30
years of age.
Limited inventory continues to plague many housing markets in the U.S. For the fourth
year in a row, the difficulty finding the right property has surpassed the difficulty in
obtaining mortgage financing as the most cited reason limiting potential clients.
Impacted by limited inventory, the typical number of transactions rose slightly from 12
transactions in 2015 to 12 transactions in 2016. However, with rising home prices again in
2016, the median brokerage sales volume rose to $1.9 million from $1.8 million in 2015.
The median gross income of REALTORS® was $42,500 in 2016, an increase from $39,200
in 2015. New members entering the field can be seen with the differences in income by
experience, function, and hours worked per week. Fifty-six percent of members who
have two years or less experience made less than $10,000 in 2016 compared to 38
percent of members with more than 16 years of experience who made more than
$100,000 in the same time period.
REALTORS® with 16 years or more experience had a median gross income of $78,850-
from $73,400 in —
2015-compared to REALTORS® with 2 years or less experience that
up
had a median gross income of $8,930-an — increase from $8,500.
The typical member isan independent contractor affiliated with an independent
company catering to local markets. REALTORS® frequently have had careers in other
fields prior to real estate, the most common being in management, business, and
financial professions, followed by sales and retail. Only four percent indicated that real
estate istheir firstcareer. The majority of members are women homeowners with a
college education.
Looking ahead, 82 percent of REALTORS® are very certain they will remain in the market
for two more years.
2017 Member Profile
NATIONAL ASSOCIATION OF REALTORS®
FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018
NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018
2017 Member Profile
New York Report
Highlights
Business Characteristics of REALTORS®
• Sixty-five percent of REALTORS® are licensed sales agents, 22 percent hold
broker licenses, and 15 percent hold broker associate licenses. In New York, 62
percent of members were licensed sales agents and 72 percent specialize in
residential brokerage.
• The typical REALTOR® has 10 years of experience, compared with 11 years in
New York.
• Sixteen percent of members have at least one personal assistant. In New York, 16
percent operate with at least one assistant.
• Fifty-two percent of REALTORS® reported having a website for at least five years,
10 percent reported having a real estate blog, and 69 percent of members are
on Facebook and 61 percent on Linkedln for professional use. In New York,52
percent of REALTORS® reported having a website for at least five years, 17
percent of members have a real estate blog, and 70 percent of members are on
Facebook and 60 percent on Linkedln for professional use.
• The most common information found on REALTOR® websites, among all
REALTORS®, isthe member's own listings, home buying, and selling information.
The same istrue in New York.
• Eighty-two percent of REALTORS® are very certain they will remain active as a
real estate professional for two more years. In New York, 82 percent of members
report they are certain they willremain active for two more years.
Business Activity of REALTORS®
• In 2016, the typical agent had 12 transactions, which isup from 11 transactions in
2015. In New York, agents had 11 transactions typically.
• Twenty-eight percent of all REALTORS® had a transaction involving a foreclosure
and 18 percent had a transaction involving a short sale. In New York, 30 percent
of allREALTORS® had a transaction involving a foreclosure and 24 percent had a
short sale.
• The median sales volume for brokerage specialists increased to $1.9 million in
2016 from $1.8 million in 2015. In New York, the typical sales volume was $2.5 in
2016.
• For the fourth year in a row, the difficulty finding the right property has surpassed
the difficulty in obtaining mortgage financing as the most cited reason limiting
potential clients. In New York, this was also the most cited reason.
• The typical property manager managed 42 properties in 2016, up from 40
properties in 2015. In New York, the typical property manager managed 3
properties.
• Most REALTORS® worked 40 hours per week in 2016, a trend that has continued
for several years. This was also the case in New York at 40 hours per week.
2017 Member Profile
NATIONAL ASSOCIATION OF REALTORS®
FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018
NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018
• The typical REALTOR® earned 13 percent of their business from repeat clients
and customers and 18 percent through referrals from past clients and customers.
In New York, 16 percent of business came from repeat business and 20 percent
through referrals from past clients.
• REALTORS® spent a median of $70 to maintain a website in 2016, down from $80
in 2015. REALTORS® in New York spent a median of $60.
• Members typically brought in one inquiry and one percent of their business from
their website. Members in New York typically brought two inquiries and one
percent of their business from their website.
Income and Expenses of REALTORS®
• In 2016, 35 percent of REALTORS® were compensated under a fixed commission
split (under 100%), follow by 26 percent with a graduated commission split
(increases with productivity). In New York, 41 percent of respondents were
compensated under a fixed commission split (under 100%).
• The median gross income of REALTORS® was $42,500 in 2016, an increase from
$39,200 in 2015. The median gross income for REALTORS® in New York was
$30,000.
• REALTORS® with 16 years or more experience had a median gross income of
from $73,400 in —
2015-compared to REALTORS® with 2 years or less
$78,850-up
experience that had a median gross income of $8,930-an — increase from $8,500.
In New York, members with 16 or more years of experience had a median gross
income of $85,900 and those with less than two years had an income of $7,900.
• The median business expenses were $6,000 in 2016, a decrease from $6,300 in
2015. In New York, the typical business expenses were $4,560.
• The largest expense category for most REALTORS® was vehicle expenses, similar
to last year, which decreased to $1,380 in 2016 from $1,790 in 2015. In New York,
the largest single expense category was Business promotion expense at $1,560 in
2016.
Office and Firm Affiliation of REALTORS®
• Fifty-one percent of REALTORS® are affiliated with an independent company.
This number was 57 percent of members in New York.
• Nearly nine in ten 10 members are independent contractors at their firms. That
number is87 percent for New York.
• The median tenure for REALTORS® with their current firm was four years in 2016.
The median tenure for New York members was five years.
• Nine percent of REALTORS® worked for a firm that was bought or merged in the
past two years. In New York, this number was also 17 percent.
Demographic Characteristics of REALTORS®
• The typical REALTOR® is53 years old and 63 percent of all REALTORS® are
female. The typical REALTOR® is54 in New York and 61 percent are female.
• Seventeen percent of REALTORS® had a previous career in management,
business, or finance and 16 percent in sales or retail. Only four percent of
REALTORS® reported real estate was their firstcareer. In New York, 13 percent
had a previous career management, business, or the financial sector, and 18
2017 Member Profile
NATIONAL ASSOCIATION OF REALTORS®
FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018
NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018
percent in sales or retail. Four percent in New York also reported real estate was
their firstcareer.
• Seventy-four percent of REALTORS® said that real estate was their only
occupation, and that number jumps to 84 percent among members with 16 or
more years of experience. Sixty-nine percent in New York reported real estate
was their only occupation.
• The median gross income of REALTOR® households was $111,400 in 2016-an—
increase from $98,300 in 2015. For New York, the median gross income of
REALTOR® households was $104,500 in 2015.
• The of REALTORS®-82 — percent-own their residence. Eighty-
majority primary
three percent of REALTORS® own their primary residence in New York.
2017 Member Profile
NATIONAL ASSOCIATION OF REALTORS®
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NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018
Methodology
In March 2017, NAR e-mailed a 98-question survey to a random sample of 165,424
REALTORS®. Using this method, a total of 12,685 responses were received. The survey
had an adjusted response rate of 7.7 percent. The confidence interval at a 95 percent
level of confidence is+/-.87 percent based on a population of 1.2 million members. In
New York, a random sample of 9,722 members were sent the survey, 363 members took the
survey. New York had a response rate of 3.7 percent.
Survey responses were weighted to be representative of state level NAR membership.
Information about compensation, earnings, sales volume and number of transactions is
characteristics of calendar year 2016, while allother data are representative of
member characteristics in early 2017.
The NATIONAL ASSOCIATION OF REALTORS® iscommitted to equal opportunity in the
real estate industry. In accordance with this commitment, racial and ethnic information
was collected and isincluded in this report.
Where relevant, REALTOR® information in subgroups based on the license held by
"broker"
members of NAR: a broker, broker-associate or sales agent license. The term
refers to REALTORS® holding a broker or broker associate license unless otherwise noted.
REALTORS®'
In some cases, information ispresented by main function within their firm or
their real estate specialty regardless of the type of license held.
The primary measure of central tendency used throughout this report isthe median, the
middle point in the distribution of responses to a particular question or, equivalently, the
point at which half of the responses are above and below a particular value. Data may
not be comparable to previous Member Profile publications due to changes in
questionnaire design.
2017 Member Profile
NATIONAL ASSOCIATION OF REALTORS®
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NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018
REALTORS®
BUSINESS CHARACTERISTICS OF
Exhibit 1-1 REALTORS® BY TYPE OF LICENSE
Exhibit 1-2 SPECIALTY AND MAIN FUNCTION OF REALTORS
Exhibit 1-3 PRIMARY BUSINESS SPECIALTY OF BROKER/BROKER ASSOCIATE LICENSEES, 1999-2017
Exhibit 1-4 PRIMARY BUSINESS SPECIALTY OF SALES AGENT LICENSEES, 1999-2017
Exhibit 1-5 SECONDARY BUSINESS SPECIALTY OF REALTORS
Exhibit 1-6 REAL ESTATE EXPERIENCE OF REALTORS®, BY MAIN FUNCTION
Exhibit 1-7 INCOME FROM PRIMARY REAL ESTATE SPECIALTY, BY YEARS OF EXPERIENCE
Exhibit 1-8 INCOME FROM PRIMARY REAL ESTATE SPECIALTY, BY NUMBER OF HOURS WORKED
Exhibit 1-9 NUMBER OF PERSONAL ASSISTANTS
Exhibit 1-10 NUMBER OF PERSONAL ASSISTANTS, BY YEARS OF REAL ESTATE EXPERIENCE
Exhibit 1-11 TASKS PERFORMED BY PERSONAL ASSISTANTS
Exhibit 1-12 CHARACTERISTICS OF PERSONAL ASSISTANTS
Exhibit 1-13 FREQUENCY OF USE OF COMMUNICATIONS AND TECHNOLOGY PRODUCTS
Exhibit 1-14 FREQUENCY OF USE OF BUSINESS SOFTWARE
Exhibit 1-15 PREFERRED METHOD OF COMMUNICATION WITH CLIENTS
Exhibit 1-16 REALTOR'S® FIRM WEB PRESENCE
Exhibit 1-17 REALTORS® WITH WEB SITES, BY LICENSE AND FUNCTION
Exhibit 1-18 REALTORS® WITH WEB SITES, BY EXPERIENCE
Exhibit 1-19 LENGTH OF TIME REALTORS® HAVE HAD A WEB SITE FOR BUSINESS USE
Exhibit 1-20 INFORMATION ON REALTOR® WEB SITES
Exhibit 1-21 REAL ESTATE BLOGS
Exhibit 1-22 ACTIVE USE OF SOCIAL OR PROFESSIONAL NETWORKING WEB SITES
Exhibit 1-23 RELOCATION ACTIVITY OF REALTORS
Exhibit 1-24 WILL REMAIN ACTIVE AS A REAL ESTATE PROFESSIONAL DURING THE NEXT TWO YEARS
The 2077 NationalAssociationof Realtors®Member Profile Chapter 7
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NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018
REALTORS®
BUSINESS CHARACTERISTICS OF REALTORS
Exhibit 1-1
REALTORS® =
REALTORS BY TYPE OF LICENSE Number of Total Respondents 530
(Percent of Respondents)
New York
REALTORS® BY TYPE OF LICENSE
Broker 15%
Broker Associate 25% 90%
Sales Agent 62%
80'/o
Appraiser 2%
70'/o
Other 1% 62%
60%
50%
40%
30% 25%
20% 15%
10%
2% 1%
0%
Broker Broker Sales Agent Appraiser Other
Associate
U.S.
REALTORS® BY TYPE OF LICENSE
Broker 22%
Broker Associate 15%
80%
Sales Agent 65%
Appraiser 2% 70% 65%
Other 1% so
50%
40%
30%
22%
20% 15%
10%
2% 1%
0%
Broker Broker Sales Agent Appraiser Other
Associate
The 2017 National Association
of Realtors®
Member Prclile Chapter1
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NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018
REALTORS®
BUSINESS CHARACTERISTICS OF
Exhibit1-2
SPECIALTY AND MAIN FUNCTION OF REALTOR$
(Percentage Distribution)
New York
LICENSED AS
Broker Sales
ALL REALTORS® Broker Associate Agent Appraiser
Primary Real EstateSpecialty
*
Residentialbrokerage 77% 77% 94% 66%
* * *
Commercial brokerage 3 3
* *
Residentialappraisal 1 1 100
* * *
Commercial appraisal 1 1
*
Relocation 2 2 6 4
* * *
Property management 3 3
* * *
Counseling 1 1
* * * * *
Land/Development
* *
Other specialties 11 11 30
Main Function
* *
Broker-owner (withselling) 12% 21% 6%
* * *
Broker-owner (withoutselling) 1 1
* *
Associate broker 17 22 50
* *
Manager 2 4 6
*
Sales agent 65 51 38 96
* * *
Appraiser 1 100
* * *
Other 2 2
* Less than 1 percent
U.S.
ALL REALTORS® LICENSED AS
2017 2016 Broker Sales
Survey Survey Broker Associate Agent Appraiser
Primary Real EstateSpecialty
*
Residentialbrokerage 70% 73% 80% 86% 65%
*
Commercial brokerage 2 2 4 3 1
* *
Residentialappraisal 2 1 1 80
* * * * *
Commercial appraisal 20
*
Relocation 4 3 1 3 5
*
Property management 5 4 7 3 4
*
Counseling 2 2 1 1 2
*
Land/Development 1 1 1 1 1
Other specialties 15 14 4 3 22 1
Main Function
*
Broker-owner (withselling) 10% 10% 44 3 1
* * *
Broker-owner (withoutselling) 1 1 3
*
Associate broker 11 11 18 50 1
*
Manager 3 3 6 5 1
*
Sales agent 70 70 25 40 90
* * *
Appraiser 2 1 100
*
Other 3 3 4 3 3
* Less than 1 percent
The2017NationalAssociationof Realtors®MemberProfile Chapter1
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NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018
BUSINESSCHARACTERISTICSOF REALTORf
Exhibit1-3
PRIMARYBUSINESSSPECIALTYOFBROKER/BROKER ASSOCIATE 1999-2017
LICENSEES,
(Percentage
Distribution)
New York
2017
Residentialbrokerage 88%
Commercialbrokerage 4
Land/Development *
Relocation 2
Counseling 1
*
Appraising
Propertymanagement 2
International 1
Other 2
* Lessthan1percent
U.S.
1999 2001 2003 2005 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Residentialbrokerage 75% 76% 81% 76% 79% 79% 80% 79% 78% 75% 81% 77% 79% 84% 82%
Commercialbrokerage 6 6 3 4 5 6 6 7 6 4 3 5 5 3 4
Land/Development 4 3 1 3 3 1 3 2 2 2 1 1 1 2 1
Relocation 1 1 2 3 2 * 1 1 1 1 1 1 1 2 2
Counseling 1 1 2 3 1 1 1 1 1 2 1 1 1 1 1
Appraising 4 4 3 2 1 4 1 1 1 1 1 1 1 1 1
Propertymanagement 6 5 4 4 4 1 6 6 7 10 8 8 7 5 6
International NA * * 1 * 3 * * * * 1 * * 1 *
Other 4 3 4 4 4 4 2 3 5 6 4 6 5 3 3
NA- NotAsked
* Lessthan1percent
The2017
National
Association
ofRealtors®
Member
Profile Chapter
1
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NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018
BUSINESSCHARACTERISTICSOF REALTORf
Exhibit1-4
PRIMARYBUSINESSSPECIALTYOFSALESAGENTLICENSEES,1999-2017
(Percentage
Distribution)
New York
2017
Residentialbrokerage 72%
Commercialbrokerage 2
Land/Development 1
Relocation 2
Counseling 2
Appraising 1
Propertymanagement 3
International 1
Other 16
* Lessthan1percent
U.S.
1999 2001 2003 2005 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Residentialbrokerage 88% 82% 84% 74% 75% 77% 86% 87% 83% 83% 83% 83% 82% 67% 65%
Commercialbrokerage 2 2 2 1 2 2 3 3 3 1 2 2 3 1 1
Land/Development 2 2 1 3 3 1 1 1 1 1 1 1 1 1 1
Relocation 1 2 2 5 6 * 2 2 2 2 2 2 2 4 5
Counseling 1 3 2 5 4 5 1 1 1 1 1 2 1 2 2
2 3 3 5 1 4 1 * 1 1 * * 1 1 *
Appraising
Propertymanagement 2 3 3 3 4 3 4 3 4 5 6 4 4 4 4
International NA * * * 2 2 1 * 1 * 1 1 1 1 1
Other 2 3 3 3 4 6 2 2 5 6 5 6 5 18 21
NA- notasked
* Lessthan1percent
The2017
National
Association
ofRealtors®
Member
Profile Chapter
1
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NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018
REALTORS®
BUSINESSCHARACTERISTICS OF REALTORS
Exhibit 1-5
SECONDARYBUSINESSSPECIALTYOF REALTORS®
(Percentof Respondents)
New York
SECONDARY BUSINESS SPECIALTY OF REALTORS®
Relocation (Percentof Respondents)
14%
Land development 7%
Commercialbrokerage 20% Relocation 14%
Counseling 7%
Landdevelopment 7%
Residential brokerage 50%
Commercialproperty management 2% Commercial
brokerage 20%
Residential property management 10%
Residential appraisal 5% Counseling 7%
International 4%
Residential
brokerage
Auction 2%
0
Commercialappraisal 1% Commercial
propertymanagement 2%
Other 10%
None/Nothing 29% Residential
propertymanagement 10%
Residential
appraisal 5%
International 4%
Auction 2%
Commercial
appraisal 1%
Other 10%
None/Nothing 29%
0 5 10 15 20 25 30 35 40
U.S.
SECONDARY BUSINESS SPECIALTY OF REALTORS®
Residential brokerage 46% (Percentof Respondents)
Relocation 16%
Residential property management 14% Residential
brokerage 46%
Commercialbrokerage 12% Relocation 16%
Land development 7%
Counseling 6% Residential
propertymanagement 14%
International 4% 120/'
Commercial Commercial
brokerage 12%
property management 3%
Residential appraisal 3% Landdevelopment 7%
Auction 3%
Commercialappraisal 1% Counseling 6%
Other 9%
International 4%
None/Nothing 33%
Commercial
propertymanagement 3%
Residential
appraisal 3%
Auction 3%
Commercial
appraisal 1%
Other 9%
None/Nothing 33%
0 5 10 15 20 25 30 35 40 45 50
The2017National
AssociationRealtors®
of Member
Profile
Preview
FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018 NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018 FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018 NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018 2017 Member Profile The New York State Assocation of REALTORS® Report Prepared for: The New York State Association of REALTORS® Prepared by: NATIONAL ASSOCIATION OF REALTORS® Research Division July 2017 NATIONAL ASSOCIATION OF REALTORS' REALTORS The Voicefor Real Estate REALTOR FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018 NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018 2017 Member Profile New York Report Table of Contents 2 Introduction....................................................................................................................................................... ....................................................................................................................................................... Highlights ........................................................................................................................................................... 3 Methodology.....................................................................................................................................................7 Report Prepared Jessica Lautz Brandi Snowden Amanda Riggs Brian Horowitz by: 202-383-1 155 202-383-1048 202-383-1285 202-383-1104 2017 Member Profile NATIONAL ASSOCIATION OF REALTORS® FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018 NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018 2017 Member Profile New York Report Introduction In 2016, there was a continued rise in new members of the National Association of REALTORS®, increasing from 1.16 million in March 2016 to 1.22 million in March 2017. This isapparent in the data, with those who have less than two years of experience was 28 percent, an increase from 17 percent 2015. The median years of experience in real estate was 10 years. Additionally, tenure at firm was a median of four years. The median age of REALTORS® remained at 53 in the 2017 survey, the same as last year and the lowest ithas been since 2008 when the median age was 52. The median age held steady between 56 and 57 from 2011 to 2015. The drop in age may be attributed both to members retiring and to new younger entrants to the business. This year, only 30 percent are over 60 years old and four percent are less than 30, consistent with last year. Twelve percent of members who have two years or less experience are under 30 years of age. Limited inventory continues to plague many housing markets in the U.S. For the fourth year in a row, the difficulty finding the right property has surpassed the difficulty in obtaining mortgage financing as the most cited reason limiting potential clients. Impacted by limited inventory, the typical number of transactions rose slightly from 12 transactions in 2015 to 12 transactions in 2016. However, with rising home prices again in 2016, the median brokerage sales volume rose to $1.9 million from $1.8 million in 2015. The median gross income of REALTORS® was $42,500 in 2016, an increase from $39,200 in 2015. New members entering the field can be seen with the differences in income by experience, function, and hours worked per week. Fifty-six percent of members who have two years or less experience made less than $10,000 in 2016 compared to 38 percent of members with more than 16 years of experience who made more than $100,000 in the same time period. REALTORS® with 16 years or more experience had a median gross income of $78,850- from $73,400 in — 2015-compared to REALTORS® with 2 years or less experience that up had a median gross income of $8,930-an — increase from $8,500. The typical member isan independent contractor affiliated with an independent company catering to local markets. REALTORS® frequently have had careers in other fields prior to real estate, the most common being in management, business, and financial professions, followed by sales and retail. Only four percent indicated that real estate istheir firstcareer. The majority of members are women homeowners with a college education. Looking ahead, 82 percent of REALTORS® are very certain they will remain in the market for two more years. 2017 Member Profile NATIONAL ASSOCIATION OF REALTORS® FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018 NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018 2017 Member Profile New York Report Highlights Business Characteristics of REALTORS® • Sixty-five percent of REALTORS® are licensed sales agents, 22 percent hold broker licenses, and 15 percent hold broker associate licenses. In New York, 62 percent of members were licensed sales agents and 72 percent specialize in residential brokerage. • The typical REALTOR® has 10 years of experience, compared with 11 years in New York. • Sixteen percent of members have at least one personal assistant. In New York, 16 percent operate with at least one assistant. • Fifty-two percent of REALTORS® reported having a website for at least five years, 10 percent reported having a real estate blog, and 69 percent of members are on Facebook and 61 percent on Linkedln for professional use. In New York,52 percent of REALTORS® reported having a website for at least five years, 17 percent of members have a real estate blog, and 70 percent of members are on Facebook and 60 percent on Linkedln for professional use. • The most common information found on REALTOR® websites, among all REALTORS®, isthe member's own listings, home buying, and selling information. The same istrue in New York. • Eighty-two percent of REALTORS® are very certain they will remain active as a real estate professional for two more years. In New York, 82 percent of members report they are certain they willremain active for two more years. Business Activity of REALTORS® • In 2016, the typical agent had 12 transactions, which isup from 11 transactions in 2015. In New York, agents had 11 transactions typically. • Twenty-eight percent of all REALTORS® had a transaction involving a foreclosure and 18 percent had a transaction involving a short sale. In New York, 30 percent of allREALTORS® had a transaction involving a foreclosure and 24 percent had a short sale. • The median sales volume for brokerage specialists increased to $1.9 million in 2016 from $1.8 million in 2015. In New York, the typical sales volume was $2.5 in 2016. • For the fourth year in a row, the difficulty finding the right property has surpassed the difficulty in obtaining mortgage financing as the most cited reason limiting potential clients. In New York, this was also the most cited reason. • The typical property manager managed 42 properties in 2016, up from 40 properties in 2015. In New York, the typical property manager managed 3 properties. • Most REALTORS® worked 40 hours per week in 2016, a trend that has continued for several years. This was also the case in New York at 40 hours per week. 2017 Member Profile NATIONAL ASSOCIATION OF REALTORS® FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018 NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018 • The typical REALTOR® earned 13 percent of their business from repeat clients and customers and 18 percent through referrals from past clients and customers. In New York, 16 percent of business came from repeat business and 20 percent through referrals from past clients. • REALTORS® spent a median of $70 to maintain a website in 2016, down from $80 in 2015. REALTORS® in New York spent a median of $60. • Members typically brought in one inquiry and one percent of their business from their website. Members in New York typically brought two inquiries and one percent of their business from their website. Income and Expenses of REALTORS® • In 2016, 35 percent of REALTORS® were compensated under a fixed commission split (under 100%), follow by 26 percent with a graduated commission split (increases with productivity). In New York, 41 percent of respondents were compensated under a fixed commission split (under 100%). • The median gross income of REALTORS® was $42,500 in 2016, an increase from $39,200 in 2015. The median gross income for REALTORS® in New York was $30,000. • REALTORS® with 16 years or more experience had a median gross income of from $73,400 in — 2015-compared to REALTORS® with 2 years or less $78,850-up experience that had a median gross income of $8,930-an — increase from $8,500. In New York, members with 16 or more years of experience had a median gross income of $85,900 and those with less than two years had an income of $7,900. • The median business expenses were $6,000 in 2016, a decrease from $6,300 in 2015. In New York, the typical business expenses were $4,560. • The largest expense category for most REALTORS® was vehicle expenses, similar to last year, which decreased to $1,380 in 2016 from $1,790 in 2015. In New York, the largest single expense category was Business promotion expense at $1,560 in 2016. Office and Firm Affiliation of REALTORS® • Fifty-one percent of REALTORS® are affiliated with an independent company. This number was 57 percent of members in New York. • Nearly nine in ten 10 members are independent contractors at their firms. That number is87 percent for New York. • The median tenure for REALTORS® with their current firm was four years in 2016. The median tenure for New York members was five years. • Nine percent of REALTORS® worked for a firm that was bought or merged in the past two years. In New York, this number was also 17 percent. Demographic Characteristics of REALTORS® • The typical REALTOR® is53 years old and 63 percent of all REALTORS® are female. The typical REALTOR® is54 in New York and 61 percent are female. • Seventeen percent of REALTORS® had a previous career in management, business, or finance and 16 percent in sales or retail. Only four percent of REALTORS® reported real estate was their firstcareer. In New York, 13 percent had a previous career management, business, or the financial sector, and 18 2017 Member Profile NATIONAL ASSOCIATION OF REALTORS® FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018 NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018 percent in sales or retail. Four percent in New York also reported real estate was their firstcareer. • Seventy-four percent of REALTORS® said that real estate was their only occupation, and that number jumps to 84 percent among members with 16 or more years of experience. Sixty-nine percent in New York reported real estate was their only occupation. • The median gross income of REALTOR® households was $111,400 in 2016-an— increase from $98,300 in 2015. For New York, the median gross income of REALTOR® households was $104,500 in 2015. • The of REALTORS®-82 — percent-own their residence. Eighty- majority primary three percent of REALTORS® own their primary residence in New York. 2017 Member Profile NATIONAL ASSOCIATION OF REALTORS® FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018 NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018 Methodology In March 2017, NAR e-mailed a 98-question survey to a random sample of 165,424 REALTORS®. Using this method, a total of 12,685 responses were received. The survey had an adjusted response rate of 7.7 percent. The confidence interval at a 95 percent level of confidence is+/-.87 percent based on a population of 1.2 million members. In New York, a random sample of 9,722 members were sent the survey, 363 members took the survey. New York had a response rate of 3.7 percent. Survey responses were weighted to be representative of state level NAR membership. Information about compensation, earnings, sales volume and number of transactions is characteristics of calendar year 2016, while allother data are representative of member characteristics in early 2017. The NATIONAL ASSOCIATION OF REALTORS® iscommitted to equal opportunity in the real estate industry. In accordance with this commitment, racial and ethnic information was collected and isincluded in this report. Where relevant, REALTOR® information in subgroups based on the license held by "broker" members of NAR: a broker, broker-associate or sales agent license. The term refers to REALTORS® holding a broker or broker associate license unless otherwise noted. REALTORS®' In some cases, information ispresented by main function within their firm or their real estate specialty regardless of the type of license held. The primary measure of central tendency used throughout this report isthe median, the middle point in the distribution of responses to a particular question or, equivalently, the point at which half of the responses are above and below a particular value. Data may not be comparable to previous Member Profile publications due to changes in questionnaire design. 2017 Member Profile NATIONAL ASSOCIATION OF REALTORS® FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018 NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018 REALTORS® BUSINESS CHARACTERISTICS OF Exhibit 1-1 REALTORS® BY TYPE OF LICENSE Exhibit 1-2 SPECIALTY AND MAIN FUNCTION OF REALTORS Exhibit 1-3 PRIMARY BUSINESS SPECIALTY OF BROKER/BROKER ASSOCIATE LICENSEES, 1999-2017 Exhibit 1-4 PRIMARY BUSINESS SPECIALTY OF SALES AGENT LICENSEES, 1999-2017 Exhibit 1-5 SECONDARY BUSINESS SPECIALTY OF REALTORS Exhibit 1-6 REAL ESTATE EXPERIENCE OF REALTORS®, BY MAIN FUNCTION Exhibit 1-7 INCOME FROM PRIMARY REAL ESTATE SPECIALTY, BY YEARS OF EXPERIENCE Exhibit 1-8 INCOME FROM PRIMARY REAL ESTATE SPECIALTY, BY NUMBER OF HOURS WORKED Exhibit 1-9 NUMBER OF PERSONAL ASSISTANTS Exhibit 1-10 NUMBER OF PERSONAL ASSISTANTS, BY YEARS OF REAL ESTATE EXPERIENCE Exhibit 1-11 TASKS PERFORMED BY PERSONAL ASSISTANTS Exhibit 1-12 CHARACTERISTICS OF PERSONAL ASSISTANTS Exhibit 1-13 FREQUENCY OF USE OF COMMUNICATIONS AND TECHNOLOGY PRODUCTS Exhibit 1-14 FREQUENCY OF USE OF BUSINESS SOFTWARE Exhibit 1-15 PREFERRED METHOD OF COMMUNICATION WITH CLIENTS Exhibit 1-16 REALTOR'S® FIRM WEB PRESENCE Exhibit 1-17 REALTORS® WITH WEB SITES, BY LICENSE AND FUNCTION Exhibit 1-18 REALTORS® WITH WEB SITES, BY EXPERIENCE Exhibit 1-19 LENGTH OF TIME REALTORS® HAVE HAD A WEB SITE FOR BUSINESS USE Exhibit 1-20 INFORMATION ON REALTOR® WEB SITES Exhibit 1-21 REAL ESTATE BLOGS Exhibit 1-22 ACTIVE USE OF SOCIAL OR PROFESSIONAL NETWORKING WEB SITES Exhibit 1-23 RELOCATION ACTIVITY OF REALTORS Exhibit 1-24 WILL REMAIN ACTIVE AS A REAL ESTATE PROFESSIONAL DURING THE NEXT TWO YEARS The 2077 NationalAssociationof Realtors®Member Profile Chapter 7 FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018 NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018 REALTORS® BUSINESS CHARACTERISTICS OF REALTORS Exhibit 1-1 REALTORS® = REALTORS BY TYPE OF LICENSE Number of Total Respondents 530 (Percent of Respondents) New York REALTORS® BY TYPE OF LICENSE Broker 15% Broker Associate 25% 90% Sales Agent 62% 80'/o Appraiser 2% 70'/o Other 1% 62% 60% 50% 40% 30% 25% 20% 15% 10% 2% 1% 0% Broker Broker Sales Agent Appraiser Other Associate U.S. REALTORS® BY TYPE OF LICENSE Broker 22% Broker Associate 15% 80% Sales Agent 65% Appraiser 2% 70% 65% Other 1% so 50% 40% 30% 22% 20% 15% 10% 2% 1% 0% Broker Broker Sales Agent Appraiser Other Associate The 2017 National Association of Realtors® Member Prclile Chapter1 FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018 NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018 REALTORS® BUSINESS CHARACTERISTICS OF Exhibit1-2 SPECIALTY AND MAIN FUNCTION OF REALTOR$ (Percentage Distribution) New York LICENSED AS Broker Sales ALL REALTORS® Broker Associate Agent Appraiser Primary Real EstateSpecialty * Residentialbrokerage 77% 77% 94% 66% * * * Commercial brokerage 3 3 * * Residentialappraisal 1 1 100 * * * Commercial appraisal 1 1 * Relocation 2 2 6 4 * * * Property management 3 3 * * * Counseling 1 1 * * * * * Land/Development * * Other specialties 11 11 30 Main Function * * Broker-owner (withselling) 12% 21% 6% * * * Broker-owner (withoutselling) 1 1 * * Associate broker 17 22 50 * * Manager 2 4 6 * Sales agent 65 51 38 96 * * * Appraiser 1 100 * * * Other 2 2 * Less than 1 percent U.S. ALL REALTORS® LICENSED AS 2017 2016 Broker Sales Survey Survey Broker Associate Agent Appraiser Primary Real EstateSpecialty * Residentialbrokerage 70% 73% 80% 86% 65% * Commercial brokerage 2 2 4 3 1 * * Residentialappraisal 2 1 1 80 * * * * * Commercial appraisal 20 * Relocation 4 3 1 3 5 * Property management 5 4 7 3 4 * Counseling 2 2 1 1 2 * Land/Development 1 1 1 1 1 Other specialties 15 14 4 3 22 1 Main Function * Broker-owner (withselling) 10% 10% 44 3 1 * * * Broker-owner (withoutselling) 1 1 3 * Associate broker 11 11 18 50 1 * Manager 3 3 6 5 1 * Sales agent 70 70 25 40 90 * * * Appraiser 2 1 100 * Other 3 3 4 3 3 * Less than 1 percent The2017NationalAssociationof Realtors®MemberProfile Chapter1 FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018 NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018 BUSINESSCHARACTERISTICSOF REALTORf Exhibit1-3 PRIMARYBUSINESSSPECIALTYOFBROKER/BROKER ASSOCIATE 1999-2017 LICENSEES, (Percentage Distribution) New York 2017 Residentialbrokerage 88% Commercialbrokerage 4 Land/Development * Relocation 2 Counseling 1 * Appraising Propertymanagement 2 International 1 Other 2 * Lessthan1percent U.S. 1999 2001 2003 2005 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Residentialbrokerage 75% 76% 81% 76% 79% 79% 80% 79% 78% 75% 81% 77% 79% 84% 82% Commercialbrokerage 6 6 3 4 5 6 6 7 6 4 3 5 5 3 4 Land/Development 4 3 1 3 3 1 3 2 2 2 1 1 1 2 1 Relocation 1 1 2 3 2 * 1 1 1 1 1 1 1 2 2 Counseling 1 1 2 3 1 1 1 1 1 2 1 1 1 1 1 Appraising 4 4 3 2 1 4 1 1 1 1 1 1 1 1 1 Propertymanagement 6 5 4 4 4 1 6 6 7 10 8 8 7 5 6 International NA * * 1 * 3 * * * * 1 * * 1 * Other 4 3 4 4 4 4 2 3 5 6 4 6 5 3 3 NA- NotAsked * Lessthan1percent The2017 National Association ofRealtors® Member Profile Chapter 1 FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018 NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018 BUSINESSCHARACTERISTICSOF REALTORf Exhibit1-4 PRIMARYBUSINESSSPECIALTYOFSALESAGENTLICENSEES,1999-2017 (Percentage Distribution) New York 2017 Residentialbrokerage 72% Commercialbrokerage 2 Land/Development 1 Relocation 2 Counseling 2 Appraising 1 Propertymanagement 3 International 1 Other 16 * Lessthan1percent U.S. 1999 2001 2003 2005 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Residentialbrokerage 88% 82% 84% 74% 75% 77% 86% 87% 83% 83% 83% 83% 82% 67% 65% Commercialbrokerage 2 2 2 1 2 2 3 3 3 1 2 2 3 1 1 Land/Development 2 2 1 3 3 1 1 1 1 1 1 1 1 1 1 Relocation 1 2 2 5 6 * 2 2 2 2 2 2 2 4 5 Counseling 1 3 2 5 4 5 1 1 1 1 1 2 1 2 2 2 3 3 5 1 4 1 * 1 1 * * 1 1 * Appraising Propertymanagement 2 3 3 3 4 3 4 3 4 5 6 4 4 4 4 International NA * * * 2 2 1 * 1 * 1 1 1 1 1 Other 2 3 3 3 4 6 2 2 5 6 5 6 5 18 21 NA- notasked * Lessthan1percent The2017 National Association ofRealtors® Member Profile Chapter 1 FILED: WESTCHESTER COUNTY CLERK 07/14/2018 08:37 PM INDEX NO. 60767/2018 NYSCEF DOC. NO. 35 RECEIVED NYSCEF: 07/14/2018 REALTORS® BUSINESSCHARACTERISTICS OF REALTORS Exhibit 1-5 SECONDARYBUSINESSSPECIALTYOF REALTORS® (Percentof Respondents) New York SECONDARY BUSINESS SPECIALTY OF REALTORS® Relocation (Percentof Respondents) 14% Land development 7% Commercialbrokerage 20% Relocation 14% Counseling 7% Landdevelopment 7% Residential brokerage 50% Commercialproperty management 2% Commercial brokerage 20% Residential property management 10% Residential appraisal 5% Counseling 7% International 4% Residential brokerage Auction 2% 0 Commercialappraisal 1% Commercial propertymanagement 2% Other 10% None/Nothing 29% Residential propertymanagement 10% Residential appraisal 5% International 4% Auction 2% Commercial appraisal 1% Other 10% None/Nothing 29% 0 5 10 15 20 25 30 35 40 U.S. SECONDARY BUSINESS SPECIALTY OF REALTORS® Residential brokerage 46% (Percentof Respondents) Relocation 16% Residential property management 14% Residential brokerage 46% Commercialbrokerage 12% Relocation 16% Land development 7% Counseling 6% Residential propertymanagement 14% International 4% 120/' Commercial Commercial brokerage 12% property management 3% Residential appraisal 3% Landdevelopment 7% Auction 3% Commercialappraisal 1% Counseling 6% Other 9% International 4% None/Nothing 33% Commercial propertymanagement 3% Residential appraisal 3% Auction 3% Commercial appraisal 1% Other 9% None/Nothing 33% 0 5 10 15 20 25 30 35 40 45 50 The2017National AssociationRealtors® of Member Profile