Commercial vs Residential Real Estate Agents: What to Know

There are a few key differences between commercial and residential real estate agents that are important to know in order to decide which type of investment is best for you.

Types of Properties
Commercial and residential real estate agents work in two very different property areas. While residential agents only work with residential rentals, a commercial agent deals with many more types of spaces, so they need the proper knowledge about those spaces to understand the real estate processes.

Education and Training
Commercial and residential real estate agents go through a different education and training process. Both types of agents need the same education and training to obtain a real estate license, but a commercial real estate agent should also have a college degree in either business or finance because commercial real estate involves more complex financial concepts.

Clients
The two types of real estate agents also deal with different types of clients. As a whole, residential properties are easier to sell, so residential real estate agents will have an easier time searching for tenants than commercial real estate agents.

Earnings
Commercial real estate agents have a higher earning potential than residential real estate agents because the cost of commercial properties is higher, giving the agent a higher commission.

Work Schedules and Responsibilities
Commercial and real estate agents also have a differing work life. Residential agents often have to work evenings and weekends because that’s when their clients are available to look at homes. However, commercial real estate agents work a 9 to 5 schedule.

The workload for commercial real estate agents is also heavier, simply because of the complex nature of commercial real estate deals. Commercial agents have to do more research and be more aware of economic and market trends to secure the best deal possible for their clients.