Diversity and Retention in the Real Estate Industry: Increasing Effectiveness and Reducing Bias in Performance Feedback Processes

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Diversity and Retention in the Real Estate Industry: Increasing Effectiveness and Reducing Bias in Performance Feedback Processes

Real Property Law Journal - Volume 38, Issue 2

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1 Self-Study Credit

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RP_Vol38_No2

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Category: Real Property Law

Category: Real Property Law (show less)

On January 1, 2017, the New York Real Estate News magazine published an article entitled, “Real Estate’s Diversity Problem.”1 The lede of the article reads: “An entrenched culture marked by privately held family firms has largely blocked out minorities and made sexism a norm.” The article reports that in the world of real estate “white men pull the strings,” that “[t]he culture is closed,” and that “entrenched discriminatory practices surrounding access to credit, commission-based pay, and a clubby, male-dominated culture have raised the barrier to entry.” As for the representation of women in the real estate industry, the article notes that while residential real estate was found to have a good balance of male and female brokers and executives, the commercial world lags far behind. Data from various sources, including the National Association of Realtors,2 continues to show that, in general, the highest echelons of real estate still lack diversity in ways that sharply contrast with the demographics of the cities in which the industry derives its revenue.

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