Whether you’re an aspiring real estate professional or simply exploring career options, it’s important to know how much you can earn in this field. Several key factors influence a real estate agent’s income, including market trends, their location, their skills, and their experience level.
This real estate agent salary Alaska article covers what real estate agents can expect to earn in this state.
Our How Much Does a Real Estate Agent Make in Alaska overview will provide insights on your income potential, such as understanding the commission structure and business expenses, as you navigate your career in Alaskan real estate.
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Real Estate Agent’s Salary in Alaska
Numerous factors can impact the salary of a real estate agent, including:
- Experience: As with many professions, more experienced agents often earn a higher salary than their less experienced counterparts. The average salary for a real estate agent in Alaska is around $85,990 per year
- Sales Performance: Agents primarily earn their income through commissions on property sales. Therefore, an agent who sells more properties or more expensive properties will generally earn more money
- Location: Real estate agents in areas with high property values and a lot of real estate activity (e.g., Anchorage and Juneau) may have the potential to earn more than those in less populated or rural areas
- Commission Rate: The commission rate on property sales also significantly affects an agent’s income. This rate can vary based on the type of property, market conditions, and agreements between the agent and their clients
- Economic and Market Conditions: The state of the local and national economy — as well as specific trends in the real estate market — can greatly affect an agent’s salary. For instance, agents may earn more in a “hot” market where properties sell quickly
- Work Hours: Agents often have to work evenings and weekends. Those willing to work harder and put in more hours may see higher earnings
Remember, an agent’s income often is variable and not guaranteed because it depends heavily on commissions from sales that can fluctuate based on the above factors.
For more information, check out our How to Get Your Alaska Real Estate License guide.
Real estate agents, regardless of location, typically make their money through commissions on sales. While the standard commission rate in Alaska is around 5% to 6% of the home’s selling price, this can vary.
Here’s an example of how this works:
Suppose an agent in Alaska lists and sells a home for $300,000. If the agreed commission rate is 6%, the total commission on this sale would be $18,000.
Usually, this commission gets split between the listing agent — also known as the seller’s agent — and the buyer’s agent. If we assume an equal split, each would receive $9,000 from this transaction.
It’s also important to note that many agents work under a broker. If this is the case, part of that $9,000 might also go to the broker based on their specific agreement. If the agent has a 70-30 split agreement with their broker, for example, the agent would keep 70% of the $9,000 ($6,300) and the broker would receive 30% ($2,700).
A real estate agent salary primarily depends on the number of transactions the agent completes and the value of those transactions. The commission can be negotiable and may vary based on factors like the details of the transaction, market conditions, and the policies of the broker or agency with whom the agent works.
Real estate agents often have to shoulder several business expenses as part of their work. Here are some of the common expenses related to a real estate agent’s career:
- Licensing and Education: Real estate agents must be licensed, and this often requires completing pre-licensing coursework or a training program and paying the applicable fees. They also must complete continuing education courses to maintain their license, which also come with fees.
- Marketing Costs: Agents often need to pay for their marketing materials, including business cards, flyers, mailers, online ads, customer relationship management (CRM) systems, email marketing tools, and more. Moreover, they may need to pay for professional photography or staging for their property listings.
- Office Expenses: While some agents work for a brokerage firm that provides office space, others may need to pay for their own workspace. Other office-related expenses can include office supplies, computer equipment, software licenses or subscriptions, and phone services.
- Association Fees: If an agent chooses to become a member of the National Association of Realtors (NAR) or another professional organization, they’ll need to pay membership fees.
These expenses can vary significantly based on the specific circumstances of the agent, including their location, if they’re part of a brokerage, their sales volume, and more.
How to Become a Real Estate Agent in Alaska
Working toward your real estate agent’s license involves meeting some basic requirements and taking several steps. In Alaska, you must be at least 19 years old and a resident of the state.
Here’s a general, step-by-step guide on how to get a real estate license in Alaska:
- Complete pre-licensing education. You’ll need to complete a 40-hour, pre-licensing course that’s approved by the Alaska Real Estate Commission. This course will cover fundamental real estate principles and laws.
- Pass the real estate salesperson exam. After completing your pre-licensing education, you’ll need to pass the state’s real estate salesperson exam. This test is designed to measure your knowledge of real estate laws, principles, and practices.
- Obtain Errors and Omissions (E&O) insurance. Alaska requires real estate agents to obtain and submit proof of E&O insurance — either through a master policy offered by Rice Insurance Services Company (RISC) or through equivalent coverage.
- Find a sponsoring broker. To become licensed in this state, you must be sponsored by an actively licensed Alaska real estate broker. The broker will be responsible for overseeing your transactions and ensuring you comply with all real estate laws and regulations.
- Apply for your license. Once you pass the exam and find a sponsoring broker, you can apply for your real estate salesperson license. You should submit your application to the Alaska Real Estate Commission. Along with your application, you’ll need to submit your course completion certificate, exam scores, and application fee.
- Complete post-licensing education. After you get your license, you’ll need to complete a post-licensing course within one year. This course is designed to provide you with advanced knowledge and skills to help you succeed in your career.
Note: Clients often feel more comfortable working with licensed professionals because it demonstrates credibility and commitment to the profession. A license shows you’ve met the state’s requirements for education and conduct, which can help build trust with clients.
For Alaska real estate pre-licensing education classes, StateRequirement recommends:
Real Estate Agent Salary Alaska FAQ
How much do real estate agents make in Alaska?
The highest salary bracket for a real estate agent is $110,161, with the average salary being around $85,990 per year. Because an agent’s earnings are commission-based, they get paid based on the number of transactions they complete, their commission rates, and Alaska’s market conditions. Visit our How Much Does a Real Estate Agent Make article for more data about real estate agent salaries.
How do I become a real estate agent in Alaska?
To become a real estate agent in Alaska, you must be at least 19 years old and a state resident. After completing a 40-hour, pre-licensing course, you must pass the state’s real estate salesperson exam. Next, find a sponsoring broker and apply for your license. Finally, you must complete post-licensing education within a year.
How do real estate agents in different parts of Alaska compare in terms of salary?
An agent’s earnings can depend on their location within Alaska. Agents in areas with high property values or active real estate markets in different cities, such as Anchorage or Juneau, may potentially earn more than those in more rural or less populated areas. See our How Much Does a Real Estate Agent Make in Alaska article for more salary information on real estate agents.
Is it worth it to get a real estate license in Alaska?
Determining if it’s worth it to get a real estate license in Alaska will largely depend on the market potential and costs. If you enjoy helping people find their dream homes or ideal commercial properties and you’re good at promoting and selling, a career in real estate may prove rewarding. Similar professions you may want to consider can be found in the insurance industry.
Is the salary of a real estate agent in Alaska fixed or based on commission?
Real estate agents have average salary ranges that vary widely based on the fact that they typically earn money through commissions from property sales. This means your income isn’t fixed and can actually vary depending on the number of properties you sell and the value of those properties.