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Real estate investor vs real estate agent

The differences between real estate investors and real estate agents can be seen in a few details. Each job has different responsibilities and duties. Additionally, a real estate agent has an average salary of $91,788, which is higher than the $81,345 average annual salary of a real estate investor.

The top three skills for a real estate investor include residential real estate, real estate license and general contractors. The most important skills for a real estate agent are customer service, real estate license, and excellent interpersonal.

Real estate investor vs real estate agent overview

Real Estate InvestorReal Estate Agent
Yearly salary$81,345$91,788
Hourly rate$39.11$44.13
Growth rate3%5%
Number of jobs18,76141,399
Job satisfaction-4
Most common degreeBachelor's Degree, 64%Bachelor's Degree, 59%
Average age4849
Years of experience6-

What does a real estate investor do?

Also called real estate entrepreneurs, real estate investors are professionals who invest in real estate. Real estate investors purchase a property, make some improvements or repairs. They then sell the property for profit. It is their responsibility to assess the real estate market and properties already bought to build wealth. They need to develop skills in communication, marketing, investment, and customer service. Also, they should have a significant level of knowledge about the real estate business.

What does a real estate agent do?

A real estate agent helps owners in the selling or renting of houses, land, offices, buildings, or any piece of property. They should be knowledgeable in the area they work in, which local properties are in the market, and the competitive prices for various properties. It is their responsibility to either market or sells in the best possible and reasonable price and conditions. Negotiating is a vital skill for real estate agents as they act as the middleman for buyers and sellers. Most agents bill the client with a percentage of the final sale price as the fee, but some would get a fixed commission for every sale.

Real estate investor vs real estate agent salary

Real estate investors and real estate agents have different pay scales, as shown below.

Real Estate InvestorReal Estate Agent
Average salary$81,345$91,788
Salary rangeBetween $53,000 And $124,000Between $66,000 And $126,000
Highest paying City-Long Beach, NY
Highest paying state-West Virginia
Best paying company-Santa Clara Valley Water District
Best paying industry-Finance

Differences between real estate investor and real estate agent education

There are a few differences between a real estate investor and a real estate agent in terms of educational background:

Real Estate InvestorReal Estate Agent
Most common degreeBachelor's Degree, 64%Bachelor's Degree, 59%
Most common majorBusinessBusiness
Most common collegeUniversity of Southern California-

Real estate investor vs real estate agent demographics

Here are the differences between real estate investors' and real estate agents' demographics:

Real Estate InvestorReal Estate Agent
Average age4849
Gender ratioMale, 68.4% Female, 31.6%Male, 43.4% Female, 56.6%
Race ratioBlack or African American, 8.6% Unknown, 4.1% Hispanic or Latino, 17.6% Asian, 5.3% White, 63.8% American Indian and Alaska Native, 0.6%Black or African American, 5.2% Unknown, 4.3% Hispanic or Latino, 13.0% Asian, 6.8% White, 70.3% American Indian and Alaska Native, 0.3%
LGBT Percentage12%13%

Differences between real estate investor and real estate agent duties and responsibilities

Real estate investor example responsibilities.

  • Establish and manage an LLC for real estate investment properties in the state of Florida.
  • Manage reporting requirements to senior management on status of real estate portfolio.
  • Provide administrative management of a portfolio of assign commercial real estate loans in accordance with credit policy requirements for risk management.
  • Generate valuations of IRR, NPV, and other financial ratios for investors emphasizing return on investment.
  • Review loan documents and assist in the workout process to determine an optimal workout strategy in order to maximize loan NPV.
  • Identify internal and external customer needs and addressed concerns and conflicts regarding SBA, bank policy and procedures.

Real estate agent example responsibilities.

  • Manage all accounting, cash management, budgeting and financing for individual LLC's and for corporate entity.
  • Manage extremely complex REO and short sale transactions, coordinating sellers, buyers, and lenders in order to complete them.
  • Create ad campaigns via Google ad-words and Facebook.
  • Determine whether title transfers are assessable for taxation.
  • Learn all phases of real estate ethics, practice and procedures.
  • Review and analyze corporate leases, securities offerings, and secure transactions.
  • Show more

Real estate investor vs real estate agent skills

Common real estate investor skills
  • Residential Real Estate, 12%
  • Real Estate License, 11%
  • General Contractors, 10%
  • Financial Analysis, 8%
  • Property Management, 5%
  • Real Estate Investments, 5%
Common real estate agent skills
  • Customer Service, 15%
  • Real Estate License, 11%
  • Excellent Interpersonal, 10%
  • Real Estate Market, 10%
  • Open Houses, 7%
  • Develop Marketing Materials, 6%

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