by Brianna Crandall — April 4, 2014—Maintaining a history of steady salary growth since 1984, U.S. real estate management professionals holding the Certified Property Manager (CPM) designation earned a median annual salary of $96,000 in 2012 (up from $94,000 in 2009), according to new data from the Institute of Real Estate Management (IREM), an affiliate of the National Association of REALTORS (NAR) that serves both the multifamily and commercial sectors.
By comparison, the Bureau of Labor Statistics (BLS) reports that the median annual wage for property, real estate and community association managers in 2012 was $52,610. Factoring in $96,000 in salary plus additional real estate income from sales and leasing, total CPM compensation in 2012 was $108,200. (No total compensation data available from Bureau of Labor Statistics.)
The CPM salary/compensation data is part of IREM’s just-released 2014 Profile and Compensation Study, CPM Edition. IREM periodically surveys its U.S.-based CPM designees and designee Candidates—who currently number more than 7,400 and 3,200, respectively—to compile, analyze and compare the most critical components of their compensation and benefit packages.
The survey findings provide detailed comparisons based on respondents’ portfolio size, area of management specialization, and level and types of experience; they also explain how each of these variables affects salary levels and the total compensation package.
The Institute awards the CPM designation to real estate and asset managers in the United States and abroad who have met strict criteria in the areas of education, examination, experience, and have committed to uphold the rigorously enforced IREM Code of Professional Ethics. CPM designees manage, or oversee a team who manages, large portfolios of multifamily, office, retail or industrial properties.
Among other major findings of the 2014 edition of the study:
- Median total compensation last year for CPM Candidates was $77,000 (up from $69,000 in 2010).
- The typical CPM designee holds a property manager/supervisor or executive level position, supervises 44 employees, and averages 23 years of experience.
- The typical CPM designee is 51 years old, has earned a college degree, and works for a full-service real estate or property management company.
- The typical CPM Candidate is 41 years old, has earned a college degree, works for a full-service real estate or property management company, and averages 13 years of experience.
- About half, 50.1%, of CPM designees are female, whereas 62% of CPM Candidates are female.
- Office buildings account for the largest share of the portfolios managed by CPM designees and Candidates, followed by conventionally financed apartments. Specifically, 32% of CPM designees and 29% of Candidates said that office buildings comprise the largest share of their management portfolio About 22% of CPM designees and 24% of Candidates report that conventionally financed apartments represent the largest share of their management portfolio.
- Approximately 53% of CPM designees and 56% of Candidates are employee by, or associated with, a property management division or firm of 50 or less employees.
- Regionally, CPM designees and Candidates in the Northeast and Mid-Atlantic states earn the highest total compensation.
- CPM designees and Candidates who manage conventionally financed apartments tend to receive a higher compensation than those who manage other property types.
- Broken down by employer type, CPM designees who work for investment companies, real estate investment trusts (REITs), property management companies, or privately owned companies receive the highest total compensation.
- CPM designees and Candidates receive numerous fringe benefits. Among the most common: paid vacation days and holidays; medical and dental insurance; sick days; cell phone use; 401(k) plan options; and professional association dues.
The study findings summarize the results of the “CPM/Member and CPM/Candidate Confidential Inventory and Salary Questionnaire” fielded online by the IREM Research Department in February 2013. Findings are based on responses received from 1,023 CPM designees and 426 CPM Candidates.
The 2014 Profile and Compensation Study, CPM Edition, is priced at $24.99 for IREM Members and $49.99 for non-members, plus shipping, handling, and applicable state sales tax. It is available in a soft cover or a downloadable format from the IREM Publications Web site.
