There are a few different ways to obtain salary data on jobs within the real estate industry. Two of the main methods are aggregated salary sources and compensation surveys. It’s important to know how each one works so that you can choose the right one for your company. Aggregated sources collect data from various sources and provide general statistics about the industry as a whole.
The other option is called benchmarking surveys which compares your firm’s base salary, incentives, and pay practices to other companies who share similar characteristics. Benchmarking surveys are typically referred to as compensation surveys.
This article will discuss the two methods and show you why the best way to find real estate development salaries is by participating in a real estate compensation survey from a reputable provider. I’ll demonstrate how and why this method provides the most accurate compensation data.
Why aggregated sources aren’t reliable
Aggregated sources are less desirable because they collect job data from unknown and various sources, which can make it difficult to get an accurate picture of the true salaries of real estate professionals. Many of these aggregated services use self-reported job data or cloud-sourced job data which is often unreliable.
Why is this data unreliable
In addition, aggregated sources tend to have a lot of noise in the data, which means that it can be difficult to find reliable information on base salary, bonuses, and pay incentives. For example, it’s easy to find salaries for a job in asset management on Google, but are these quick results accurate, and where does this position data come from?
Is the easiest answer the best
For most people, the reliability of this data is often overlooked, but it shouldn’t be. As with most things, sometimes the easy answer is not the best. This is why aggregated salary sources are not the best way to obtain reliable compensation data for your business.
What is a benchmarking survey
Benchmark surveys, or compensation surveys as they are commonly called, are one of the best ways to get accurate compensation data on critical positions and jobs in a given industry. This is a valuable tool for ensuring that your company is paying your employees fairly and that your business is competitive in terms of compensation.
Let’s take a good example. Many companies in commercial real estate experience issues with turnover or losing employees to competitors. This can often be attributed to an employer’s pay practices that do not align with the average going rate or even the national average for that matter. This is why a real estate compensation survey is the best way to get real pay data.
Real estate compensation survey vs. a general industry survey
A real estate compensation survey compares your company’s real estate compensation to that of other real estate companies, such as in your geographic area, company type, or similar company size. This is a more accurate way to find real estate compensation pay data because it takes into account the specific market that you are operating in.
The real estate industry knows comps, so why not use comparables for salary data
A good real estate compensation survey can be critical to determine how your firm’s salary data compares to those of other companies in a similar real estate sector. For example, if your firm is in commercial real estate development, you may not want to compare your pay data with that of a real estate investments firm. You’d rather compare your pay data to other companies that are also providing salary data on their commercial real estate professionals.
The importance of good reporting
A good real estate compensation survey will offer robust customization of the results, and allow custom report options to drill down into the survey results, and meet your specific goals. The reporting should allow for an analysis of a averages and medians by custom company peer groups, employee geographies, industry sectors, property types, and position filters. These are just to name a few of the options that you should expect in a good compensation data provider.
How do I choose the best real estate industry salary survey for residential and commercial real estate professionals
When looking for a real estate salary survey, it is important to consider what salary survey provider will best meet your needs and provide you with an accurate and up-to-date picture of the market. SalaryCube’s real estate salary survey is a great way to get accurate pay data and up-to-date information about real estate compensation trends. The compensation information obtained by participating helps with the analysis of your your own company’s compensation practices.
Why should I use SalaryCube
At SalaryCube, our survey is one of benchmarking, which means that it compares your company’s compensation practices to those of other real estate companies. Additionally, our real estate salary survey results are customizable, so you can choose the specific market that you are operating in. This makes our survey the best way to find accurate salary and pay data.
SalaryCube’s real estate compensation survey will provide you with the latest salary data on the jobs and levels within commercial real estate, property management, real estate investments, residential real estate companies, real estate finance, industrial properties management, asset management, and more.
Why should I ask to see a list of the jobs that are covered
When looking at a real estate salary survey, it is important to be aware of the job positions that are covered in the survey. This will help you to ensure that the data provided applies to your employees. SalaryCube’s real estate compensation survey covers a wide range of real estate positions, from office, leasing, retail, industrial, property management, and real estate development to name a few.
The importance of Job Coverage
The job coverage is important as it allows you to compare your salaries to those of other companies in a variety of real estate positions. Being aware of the job positions that are covered in a salary survey will help you to make the most accurate comparisons and ensure that the data provided is relevant to your employees.
What about salary survey data confidentiality
When you participate in a compensation survey, you may be concerned about the confidentiality of your data. This is a valid concern, and it’s important to make sure that any survey you participate in has strict policies in place to protect your employees’ information. The best providers will have a confidentiality agreement that you can agree to, which will ensure that your data will not be shared with anyone else. Make sure to read the agreement carefully before signing up, and if you have any questions, don’t hesitate to ask.
Data confidentiality at SalaryCube
Using SalaryCube as your survey provider ensures that your company’s employee data is never revealed to other companies or individuals. Additionally, we maintain the highest standards concerning data security, data storage, and reporting methods.
All reports display compiled and summarized results that require at a minimum 10 firms included in the results of the positions. Customized compensation reports require the selection of at least 10 companies to ensure data sufficiency and confidentiality. In addition, we check that at least five companies reported data to positions before displaying it on the compensation reports.
How important is the compensation providers survey methodology
When looking for a real estate compensation survey, it is critical to make sure that the survey you choose uses a sound methodology. Just like aggregated survey sources, a bad survey methodology can provide you with data that is equally unreliable.
Methodology should be visible
A top survey provider will make their survey methodology clear and easy to find. Employers looking to analyze positions need to be assured that the development that went into the various compensation studies is sound and of high end.
The best providers will use a statistically valid methodology to ensure that the data collected is accurate and reflects the current market. There are several different types of methodologies that can be used, and it’s important to understand those factors and the providers’ methods and best practices.
The data should be provided by Human Resources and Compensation professionals
The salary survey results we produce at SalaryCube represent salary data from survey participants only. We do not use cloud-sourced salary data or data that does not come from a participant within the survey. Additionally, the data we collect is submitted to us by HR & Compensation professionals and is thoughtfully job matched to ensure at least an 80% accuracy to a job description. This is in line with industry standards.
All data provided to us by Human Resources professionals go through a rigorous process of data validation, verification, and error checking. Each data submission is thoroughly reviewed by our compensation specialists to guarantee data accuracy and reliability.
Wrapping it all up – Conclusion
When looking for commercial real estate salary data or residential real estate salary data, it is important to consider what type of survey will best meet your needs and provide you with an accurate picture of the current labor market. SalaryCube’s real estate salary survey is a true benchmarking survey which means that it compares your company’s real estate professionals to those of other businesses in your industry.
The results help set fair and competitive pay practices
The real estate compensation survey results are an invaluable resource for comparing your employees’ base salary and incentives to those of other companies and employees with like skills. Whether you need data on commercial real estate firms or companies that focus on retail, leasing, brokerage, property management, residential real estate companies, or asset management, SalaryCube has you covered.
Want to participate or have questions
Thank you for taking the time to read this article! If you have any questions, please ask in the comments section below. Please feel free to share this article if it has been useful to you! If you know of another resource If you’d like to participate in our salary survey and access the results, we’d love to have your company represented.
Please contact us to express your interest in our compensation survey, or register for any of our other surveys. A compensation survey specialist will be assigned to you upon registration and will be able to assist you with the compensation survey from beginning to end.
