School News

Is the Real Estate Market Improving?

- Jul 07, 2012      Archive

Being a real estate school owner and REALTOR, I get asked by friends and acquaintances all the time, “How is business?” “Is the real estate business getting any better?”

From my perspective this is how I view the market.

Each month the Department of Business and Profession Regulation of Florida emails a report of the number of applicants taking the real estate state exam and the number of students passing and failing for each real estate and appraisal license exam. One of the best indicators of the psychological feelings about the economy and the so important real estate business as a whole is the number of real estate applicants taking the state exam for the first time for the pre-license sales associate license.

Why…well people don’t usually want to get a real estate license unless they feel real estate business is a place they can earn a living and find financial success.

Here is some statistics on the number so applicants take the Florida state exam for Sales Associates:

For the first six months of 2007 – 11,573
For the first six months of 2008 – 5,265 (54% drop in students in one year)
For the first six months of 2009 – 5,023
For the first six months of 2010 – 5,729
For the first six months of 2011 – 5,686
For the first six months of 2012 – 5,954 (about a 5% increase over 2011)

These numbers show the huge drop in excitement of getting into the real estate business from 2007 to 2008, primarily caused by the huge drop in the real estate market. Since 2008, the number has been steadily climbing upward except in 2011 the numbers dropped a little from the 2010 number.

The good news is that the numbers so far for 2012 looks promising for a continuous steady climb upward.

From a personal viewpoint, I see sales taking place. REALTORS tell me that in many incidences when a property first comes on the market, there are multiple offers.

This type of activity is what needed to take place for our economy to come out of this down market. It is crucial for people to feel good about the benefits of real estate and as a result, a real estate career.

Frank Cooke
Cooke Real Estate School