The real estate transaction fever can be felt by the pockets of those brokering them. Whereas a good real estate consultant earns 4,000 euros a month, a very good one will make 10,000 euros. The highest annual fee collected by a real estate broker exceeded one million euros, according to information on the market.
"A good consultant that works constantly earns 3,000-4,000 euros on the average a month. A very good one may come to make 10,000 euros a month," says Ruxandra Cleciu, chairperson of the Romanian Association of Real Estate Agencies (ARAI).
The fee collected from transactions is the main component of the salary package, and monthly incomes of real estate consultants increase in line with the size of the transactions they broker. Those who are involved in the negotiation of major deals, like the sale of office buildings and retail space, earn the highest amounts of money.
In case of a 100 million-euro transaction, the fee collected for consultancy services is worth around one million euros. What needs to be said here, though, is that in case of such complex deals, several consultants work together as a team.
Whereas in the first few years the income of a real estate broker ranges between 1,500 and 3,000 euros a month, they start earning exponentially more money the more they progress in their career, acquire know-how and improve their network of contacts on the real estate market.
"Experienced consultants earn more than 7,000 euros a month on the average. The stars may make much more money," believes Bogdan Georgescu, managing partner of Colliers Romania, the main player on the real estate consultancy market.
Besides experience and the value of the brokered deals, the income of a consultant is also dependent on the type of contract they have with the companies they work for. "Many consultants work under a contract between their own firms and the consultancy company or as sole traders," says ARAI's Cleciu.
"Under certain circumstances, the fee of a consultant may be as high as 50% of the profit," says George Butunoiu, one of the more prominent headhunters on the market. Earnings also vary with the structure of the salary package. "If a higher fixed salary, company car, paid petrol and company phone are offered, the value of the fees can be lower," says Andreea Andrei, PR & marketing coordinator of Esop Consulting, which has a staff of 23.
The higher revenues are also a consequence of the fact that the real estate market has progressed faster than the labour market. As the market is relatively "stingy" when it comes to delivering "seasoned" real estate brokerage specialists, most consultancies prefer to hire inexperienced young people and train them in-house.
As a result, the average age in such companies is relatively low - 27 years at Colliers, 28 years at Eurisko and 25 years at Esop Consulting.
"A junior can become senior broker after a year and a half or two years of experience," explains Dana Iuga, HR manager of Eurisko, number two on the real estate consultancy market in terms of turnover.
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