Housing halt: New mortgage regulations will hurt operators and slow revenue growth

The Real Estate Sales and Brokerage industry in Canada is closely aligned with the health of the Canadian real estate market, which is expected to grow over the five years to 2018. Industry revenue typically rises with property prices and real estate transaction volumes as real estate agents are paid on a commission basis and receive their fee only when they close a deal. Over the past five years, a growing, aging, urbanizing and progressively wealthy Canadian population boosted demand for residential properties. The industry remained resilient despite a rampant decline in global crude oil prices, which slowed commercial and residential development in resource-rich provinces, such as Alberta and other parts of Western Canada...read more.

Industry Statistics & Market Size
Revenue
$15bn
Annual Growth 13-18
8.4%
Forecast Growth 18-23
Profit
Employment
103,884
Businesses
82,982
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • A growing, aging, urbanizing and progressively wealthy Canadian population boosted demand for residential properties
  • A rise in Canadian real estate prices have helped profit margins inch toward decade-high levels
  • Increasing household ownership rates will drive residential real estate demand over the next five years
  • Industry Report - Industry Key Buyers Chapter

    The Real Estate Sales and Brokerage industry in Canada has a low level of concentration. IBISWorld estimates that no individual brokerage firm has been able to achieve a market share above 5.0%. This is primarily due to Canada’s small and spread-out population over a vast geographic area that prevents firms from gaining significant nationwide market share. Industry services are also highly local and customized to each transaction. Firms operating in a particular geographic area must have detailed knowledge of local market supply and demand, competition and pricing conditions to succeed in the industry.In response, many brokerage firms and individual sales agents draw upon the resources of large brokerage networks, although they operate and are owned independently. By ...purchase to read more.

    Additional Insights for the Real Estate Sales & Brokerage Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Real Estate Sales & Brokerage Industry are

  • Effective cost controls
  • Effective product promotion
  • Having contacts within key markets
  • IBISWorld analysts also discuss how external factors such as Value of residential construction and Corporate profit in the Real Estate Sales & Brokerage industry impact industry performance..

    shopping_cartPURCHASE OPTIONS

    What's in this report

    What is the Real Estate Sales & Brokerage Industry?

    This industry sells, buys or rents real estate for others. Industry operators do not own the property, but act as intermediaries between owners or sellers and buyers or tenants.

    Industry Products
  • Residential rentals
  • Commercial rentals
  • Commercial sales
  • Residential sales
  • Sale or rental of land
  • Consulting, transaction advisory and other services
  • Industry Activities
  • Selling residential or commercial real estate on behalf of clients
  • Buying residential or commercial real estate on behalf of clients
  • Renting residential or commercial real estate on behalf of clients
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Value of residential construction
  • Corporate profit
  • Overnight rate
  • National unemployment rate
  • Population

  • Current Performance
  • Housing market boom
  • Profit and industry landscape
  • Concerns moving forward
  • Chart: Revenue Growth

  • Industry Outlook
  • Tempered performance outlook
  • Profit and industry landscape
  • Table: Real Estate Sales & Brokerage Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Real Estate Sales & Brokerage Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Real Estate Investment Trusts in Canada
  • Apartment Rental in Canada
  • Consumers in Canada

  • Key Selling Industries
  • Accounting Services in Canada
  • Newspaper Publishing in Canada
  • Payroll & Bookkeeping Services in Canada
  • Wireless Telecommunications Carriers in Canada

  • Products & Services
  • Residential sales
  • Commercial rentals
  • Commercial sales
  • Sale or rental of land
  • Residential rentals
  • Consulting, transaction advisory and other services
  • Chart: Real Estate Sales & Brokerage Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Residential properties
  • Office and professional properties
  • Retail properties
  • Manufacturing, warehousing and other properties
  • Chart: Major Market Segmentation for the Real Estate Sales & Brokerage Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchases, depreciation, rent, utilities and marketingOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Real Estate Sales & Brokerage

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Real Estate Sales & Brokerage Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Real Estate Sales & Brokerage Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Real Estate Sales & Brokerage Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)
  • Value of residential construction (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Foreclosure
  • The legal process in which an owner's right to a property is terminated, usually because the owner defaulted on the property's mortgage.
  • Franchise
  • A form of business that operates under a contract agreement and usually pays a business organization a fee to operate under the franchisor's trade name.
  • Real Estate Broker
  • An individual who runs a real estate office and manages agents.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Real Estate Sales & Brokerage market research report provides the latest industry statistics and industry trends, allowing you to identify the products and customers driving revenue growth and profitability. The industry report identifies the leading companies and offers strategic industry analysis of the key factors influencing the market.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Real Estate Sales & Brokerage:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Real Estate Sales & Brokerage market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Real Estate Sales & Brokerage, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

    Contact Us

    Want to speak to a representative? Call us.

    clear