Too Many New Real Estate Agents Can Make Housing Downturns Worse : The Indicator from Planet Money There are now more realtors than homes for sale, and this is not just concerning for real estate agents facing extra competition. New research suggests too many real estate agents can make downturns worse for the entire housing market.
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Too Many Real Estate Agents

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Too Many Real Estate Agents

Too Many Real Estate Agents

Too Many Real Estate Agents

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Christopher Furlong/Getty Images
(Photo by Christopher Furlong/Getty Images)
Christopher Furlong/Getty Images

There are more real estate agents than actual houses for sale in the United States. Any given day, you're likely to see about half a million homes for sale, and there are 1.5 million members of the National Association of Realtors.

Economist Sonia Gilbukh, with co-author Paul Goldsmith-Pinkham, finds that this isn't just a problem for real estate agents facing extra competition. Their new working paper finds that too many new real estate agents selling homes can make downturns worse for the entire housing market.

Sonia Gilbukh and Paul Goldsmith-Pinkham's working paper: https://paulgp.github.io/papers/Heterogeneous_Real_Estate_Agents_and_the_Housing_Cycle.pdf

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