I have been an agent for over five years now, and I am going to share with you the exact things you need to know about this business to help decide if real estate is the right career for you or not.
When you see a successful real estate agent and the rewards they are earning, you might want to quit your job and become an agent yourself. But, behind the curtain, a lot of hustle goes on in the life of a real estate agent. Generally, people do not see that, and nobody even tells it. Below are the hard truths about the real estate agent career that you should know before opting for this industry.
The Job of a Real Estate Agent
The life of a real estate agents business is based on the agents ability to generate leads and close deals. However, it is not as easy as it sounds. Generating qualified leads is a challenging job in itself. You need to prospect, meet people and talk to them on a daily basis. You have to build real relationships with your clients and potential clients. Without trust no sales will happen.
Understanding the market can be a tough job for anybody in the business. You have to educate yourself regularly on the subject to understand the trends of the market. Advertisement and marketing are the other tasks that need an agent’s efforts. It can be in the form of digital platforms, offline media, or listing services, etc. When all these tasks are taken care of by the agent, they still have to manage the paperwork, financial expenses, compliance matters, and, most of all, people handling.
Are you ready to be a Real Estate Agent?
If you are thinking of starting your career in real estate as an agent, you might have gone through various sources to know about the business. To start, you have to pass the test for real estate agents. If you have not passed yet check out our affiliate. Prep Agent can help you pass the exam faster without reading boring text books for months. Once you pass the exam, you can get your real estate license and work with a sponsoring broker. However, it may take a couple of months or sometimes up to six months before you earn your first commission check. This is something you should budget for. While working as an agent, there are a few crucial things that you have to consider. Before starting to work as an agent, you have to be mentally and financially prepared for the negatives of the business. Here are some hard truths about a real estate agent career.
Expenses for a Real Estate Agent
An real estate agent has to undergo multiple types of expenses during the month. Hence, it is of utmost importance to keep savings that can help you survive until you earn a steady income. An agent has to pay for E and O insurances, fees of MLS, office fees, equipment & supplies, and the cost of getting a license. It may cost a couple of thousand dollars just to kick-off your business. Besides, an agent also has to spend on marketing and advertising to generate leads.
In the United States only, the total expenses of marketing and ads for real estate agents & brokers amount to $8.9 billion in 2015 alone. Agents and Brokers tend to spend big to bring in more leads and sales. To know more about the expenses of an agent & budget planning, check my blog on How much money do you need to save before becoming a real estate agent.
Tackling the Negatives!
The real estate industry is changing rapidly with the advent of the latest technologies and digital platforms. Consumers can sell or buy properties for sale by owner using various popular online services and websites like Zillow or Redfin. While most people still prefer an agent, the trends may vary with unprecedented situations like the COVID-19. Another worth factor is the increasing number of real estate agents. The real estate industry has always fascinated opportunists & career aspirants. For an agent to stick with the industry and achieve more, beating the competition is very important. An agent has to continuously and quickly learn about the industry and services they offer, or the business will collapse before it ever has the chance to become successful.
Sales is an ocean of rejections. An agent also has to go through multiple rejections until they make their first deal. It can be too frustrating at times. You may need to work several nights and weekends on some leads that you lose. And hence, you need to be well-prepared for the let down. The job of a real estate agent may not be too complicated, but it can be too stressful at times.
How to succeed as a Real Estate Agent?
As a real estate agent, you own a business and you are your own boss. It has the advantage of working on your own terms. But, your bills won’t get paid unless you make the sale. Thus, you have to work the hardest you can to earn success in this competitive industry. Strong mental determination and a well-thought strategy can be the weapon to conquer the stress of the real estate agent job. Despite the odds, you have to stay focused and positive to achieve the results you have dreamed of achieving.
A few things that will help you during your journey as a new real estate agent or achieve better as an experienced agent are:
- Trust the entire process and stay positive.
- Read and learn as much as you can.
- Improve your cold calling & communication skills and get on the phone.
- Be prepared for rejections and get over it.
- Be prepared to deal with different personalities.
- Be disciplined and manage your time efficiently.
- Plan your budget and savings before getting into the business.
For more details, check my latest video on the hard truth you need to know about the real estate agent career:
Reference blogs:
https://www.vivianchong.sg/post/5-hard-truths-about-the-real-estate-agent-career
https://www.thebalancesmb.com/becoming-a-real-estate-agent-tips-2866404