The real estate industry continues evolving thanks to technology, market shifts, and changing consumer behaviors. So what does the future hold for real estate careers?
Should aspiring professionals become residential appraisers or realtors? Below we’ll compare the career outlook for both roles based on factors like:
- Technology disruption
- Remote work viability
- Income potential
- Industry growth forecasts
By the end, you’ll have insights to determine which path aligns better with your skills and goals.
How Will Technology Impact Each Role?
Technology has begun transforming real estate professionals’ day-to-day tasks:
- Realtors can now conduct virtual home tours and use digital transaction management. AI also enables lead generation. However, realtors still provide a crucial human touch with clients. Social media has played a larger role in marketing. I have personally followed @coffeecontracts, a real estate marketing firm that has grown exponentially over the last year.
- Appraisers leverage data tools for automated valuation models. But appraisers need to physically inspect properties to notice nuances an algorithm might miss. No AI yet exists that can detect subtle water damage or active leaks! Technology has improved appraisal software and made it easier/quicker to write a report; however it has not yet replaced the career entirely.
Remote Work Options
- Many realtors adapted to remote work during COVID, thanks to virtual tours and digital paperwork. However, in-person showings remain important for that emotional agent/client connection. Expect a hybrid onsite/remote mix.
- For appraisers, remote work is challenging since they must be onsite to evaluate factors like condition and layout. Appraisers will likely stay mostly in the field and also have a hybrid onsite/remote mix. Appraisers do have the ability to manipulate their schedule, similar to being a realtor. You can setup your business where one person only inspects properties and the other only writes up reports- making one person have a completely remote job; however this can only be the case if you have a business or team.
Income Outlook Comparison
- Realtors have high income potential, especially those with large client bases and high median sales prices in your area. However, income directly correlates to sales volume.
- Appraiser salaries often start with lower splits when training, but their income will grow steadily as experience and accreditation increases. There are different levels/specialties of appraisers; the highest earners are typically Certified General Appraisers.
- The Bureau of Labor predicts below average 3% job growth for realtors but 5% for appraisers by 2032. Appraisers may expand faster. The income potential directly correlates with your market as well.
The Verdict for 2024
For long-term real estate careers, becoming a licensed appraiser offers stability, growth and income potential. While technology may augment aspects, an appraiser’s valuation skills remain irreplaceable.
Talented realtors who leverage tech/social media and adapt can still find tremendous success. The hands-on support realtors provide will always be valuable. Interested in becoming an Appraiser? Check out my post on “Why I Choose to Be an Appraiser Instead of a Realtor” or “How to Become a Real Estate Appraiser Trainee“.
The bottom line? Focus on your skills and interests, and either path sets you up for a fulfilling start in 2024!
