Residential Brokers & Property Managers

The 94,000 residential real estate and property management firms in the US work with owners to find buyers for property for sale, lessees for property for rent, and to maintain and manage rental property. Over 60% of industry revenues come from the sale of residential property, and the remainder comes from property management services.

Fewer Qualified Buyers

Mortgage lenders adopted stricter lending practices in the wake of the 2008 financial crisis, making it more difficult, especially for first time home buyers, to qualify for new loans.

Greater Internet Marketing

Residential real estate brokers and property managers are increasing their use of both the internet and multiple listing services (MLS) to advertise available properties to prospective buyers and renters.

Aug 23, 2026 - AI Adoption Could Reduce Multifamily Property Management Headcounts

• Bisnow reports that artificial intelligence is reshaping multifamily property management by automating leasing, tenant communication, invoicing, tax appeals, and other repetitive tasks, raising questions about the future of nearly 466,100 US property managers. EliseAI estimates AI can reduce leasing and administrative hours by 40% and payroll costs by 10% to 20%. Equity Residential, which owns about 85,000 apartments, cut its headcount by 20% between 2020 and 2025 as it centralized operations and adopted AI leasing tools. Industry executives expect many workforce reductions to occur through attrition rather than layoffs, while remaining employees take on more specialized and resident-focused work. Property managers are adopting AI cautiously because implementation can require significant training and workflow changes. Executives also warn that cutting staff too aggressively could weaken tenant service and retention, offsetting potential savings.
• The Wall Street Journal reports that homeowners associations are pursuing unpaid dues more aggressively as rising insurance, maintenance, staffing, and repair costs strain budgets. HOA-related foreclosure filings reached 6,376 properties in the first quarter, up nearly 40% from two years earlier, according to Attom. HOAs filed more than 285,000 liens last year, up about 8.8%, according to Benutech. Many associations have less flexibility to absorb missed payments because reserve funds have been depleted, and insurance premiums have surged. In some states, HOAs can foreclose even when mortgages are current, and legal fees can deepen homeowners' financial difficulties. Boards facing delinquencies may cut or delay maintenance, which can hurt property values, while stricter safety standards and reserve requirements are also contributing to higher dues and special assessments.
• Demand weakened across all seven residential mortgage categories in the second quarter of 2026, while lending standards were largely unchanged or eased slightly for most loan types, according to the National Association of Home Builders' analysis of Federal Reserve data. Subprime mortgages remained an exception, with lending conditions continuing to tighten. The average measure of residential mortgage demand fell to its lowest level since the second quarter of 2025, reflecting continued pressure from elevated interest rates and affordability challenges. Weaker mortgage demand could weigh on residential brokers by limiting the pool of financed homebuyers and reducing sales transaction volumes. If borrowing costs decline and mortgage demand rebounds, brokers could benefit from increased buyer activity, more home sales, and stronger commission revenue.
• Sales of existing US homes decreased by 1.7% in July 2026 from June but were up 0.7% year-over-year, according to the National Association of Realtors (NAR). NAR chief economist Lawrence Yun said, "Home sales have been remarkably stable, even amid the rising mortgage rate environment of the past few months. Year-to-date sales are up 2.4% and there’s no doubt that the housing market would be thriving if average mortgage rates were to return near 6%. Though the national data shows stabilization, there are notable local market variations. In smaller cities, and particularly in the Midwest, an annual household income of $60,000 would be sufficient to buy a median-priced home."

Industry size & Structure

The typical residential broker and property manager employs 3-12 workers and generates about $1 million in annual revenue.

• There are about 94,000 firms in the US with $128 billion in annual revenue and about 1.1 million employees.
• The industry is highly fragmented with the 50 largest firms totaling 20-32% of industry revenue.
• The largest firms include Century 21, Re/Max Realtors, and Coldwell Banker.
• The majority of industry employees are property managers and real estate agents. The remainder are office/administrative support and management.