Hello fellow BP members!
I am a young aspiring agent/investor and want to get started in the business first as an agent. I was concerned at first reading that the median income for a real estate agent was roughly 39k a year. However I recently read an article stating that you can't really take that number seriously due to many part time agents bringing that number down as well as agents who really don't work that hard. Is this true? Have you seen this first hand? Is being an agent a lucrative career if you work your butt off and know that it will be most likely be a slow start?
Thank you in advance for your input!
The good news is that successful Realtors come in all colors, sizes and personality types. The bad news is that it is difficult to predict which will be 'successful' and which won't make it to their 2nd anniversary in the business.
Here is the best advice that I can give you: get up, get dressed, go to work.
In other words, treat it like a REAL JOB. Set your alarm, beat your manager in to the office in the morning, dress sharp, listen intently to the experienced agents. If you do these things, you will be ahead of 90% of the other agents out there and those experienced agents/managers will send business your way to encourage you (I know that I always send a hard working rookie business whenever I can because I want to see them succeed).
Plan to have little to no income for 6 months, maybe more. Don't spend a lot on advertising initially but instead tell everyone you know and meet that you are actively building your business and ask them 'who do you know that is getting ready to buy or sell a home?'.
Pick up the phone and start making phone calls. Friends, family, classmates, former co-workers. Expired listings, for sale by owners, absentee owners, cold call a neighborhood.
Best of luck to you, Johnny! It is a career that rewards those who work their tail off. : )
Yes yes a thousand times yes I'd recommend this career to a young aspiring agent. IF and ONLY IF you have decided to do the work. My first year I had no budget no money and lived in my brothers basement the first 6 months saving up for a house. However I did 1 deal, then a 2nd deal and the ball started rolling. I didn't make six figures my first year, (I admit I slacked off when I started to make more than my last $24k a year job) But I did break the six figure barrier my second year. I was 24 when I started and still doubled my last jobs income and had time to spend with my newly started family. It's an amazing career if you make it one.
Salary is important for a career but the most is choose what you truly love. I knew there are a lots of people who wanted to work as agent just because they thought they could get commission through a large number deal, but after the first year of agent and they quit.
One of our teacher (a broker) told us, generally they helped around 300-400 students a year to get the license, but there're 3-5 will really work as agent in the first year, and 2-3 agent will remain in the second year, those are the people who will work as agent as career.
In CA over 500K people hold a license. And also, if you just thinking about the median salary you could earn, then it will be the reality. In our teachers company where I always go, there is a Star of the Month board, those agents rank from 1st to 10th, the 10th agent got his "commission" over 10K a month. And the 1st is around 100K.
I said that much is I want to let you know that those people who earn that much because they work for there passion, not money.
If you really love real estate then go for it, don't care about the salary, just like I did.
Just like ANY other business in this world, your success and income is 100% dependent on you, your goals, and the amount of action you take. I personally know a handful of agents who well surpassed $100k their first year as an agent.
That's amazing to hear! Know it's extremely hard to achieve that level of success especially right away but not impossible!
Yes yes a thousand times yes I'd recommend this career to a young aspiring agent. IF and ONLY IF you have decided to do the work. My first year I had no budget no money and lived in my brothers basement the first 6 months saving up for a house. However I did 1 deal, then a 2nd deal and the ball started rolling. I didn't make six figures my first year, (I admit I slacked off when I started to make more than my last $24k a year job) But I did break the six figure barrier my second year. I was 24 when I started and still doubled my last jobs income and had time to spend with my newly started family. It's an amazing career if you make it one.
Wow definitely want to hear more! Thank you for sharing your experience, that's exactly what I was looking for was personal experience with starting out in the industry.
Salary is important for a career but the most is choose what you truly love. I knew there are a lots of people who wanted to work as agent just because they thought they could get commission through a large number deal, but after the first year of agent and they quit.
One of our teacher (a broker) told us, generally they helped around 300-400 students a year to get the license, but there're 3-5 will really work as agent in the first year, and 2-3 agent will remain in the second year, those are the people who will work as agent as career.
In CA over 500K people hold a license. And also, if you just thinking about the median salary you could earn, then it will be the reality. In our teachers company where I always go, there is a Star of the Month board, those agents rank from 1st to 10th, the 10th agent got his "commission" over 10K a month. And the 1st is around 100K.
I said that much is I want to let you know that those people who earn that much because they work for there passion, not money.
If you really love real estate then go for it, don't care about the salary, just like I did.
Love it. Thank you so much and I couldn't agree more! The more you truly have a passion for it the harder you'll work and ultimately the more successful you'll be! I always thought there was too much competition but it sounds like not a lot last.
My last year working with clients full time was 1986. I was the top producer in Venice/Marina del Rey Calif. I grossed about $360k however, I started in 1980 with interest rates at 15-17%! A house in 1984 could be bought for $110k is now selling for $700k. Unscale houses selling for $350k are now upwards of $2mil. My 1st year with those sky high interest rates, I only sold 1 house and made $4k. every year my income about doubled except my last year I tripled the year before hitting the $360k but it was an unusual tax driven year.
Then I got stupid and decided to go from a one man shop to 2 offices and 50 agents grossing 2-3mil per year and yet losing money...
No one's given you a road map... I've trained a few hundred agents, past pres of the local Board of Realtors and lots of other community involvement. When you get your license, look me up and I'll give you my blueprint to success...
Great advise from everyone, but.... the best part of real estate is your attatude determine you altitude. I know you may have heard a saying like this before but it's my battle cry. YOU CAN DO THIS!!!! WHY WORRY ABOUT BECOMING THE AVERAGE AGENT. ......
to make 200k a year and after your broker split you make $5,000 per. You will need 40 deals a year. That's 3.5 deals per month. Or about 1 per week. So if you sell every 10 people you talk to and you have to pitch 30 people to get the 10 appointments figure it out.
That's 1200 touches of new people per year and you make 200k.....
good luck
jim
My last year working with clients full time was 1986. I was the top producer in Venice/Marina del Rey Calif. I grossed about $360k however, I started in 1980 with interest rates at 15-17%! A house in 1984 could be bought for $110k is now selling for $700k. Unscale houses selling for $350k are now upwards of $2mil. My 1st year with those sky high interest rates, I only sold 1 house and made $4k. every year my income about doubled except my last year I tripled the year before hitting the $360k but it was an unusual tax driven year.
Then I got stupid and decided to go from a one man shop to 2 offices and 50 agents grossing 2-3mil per year and yet losing money...
No one's given you a road map... I've trained a few hundred agents, past pres of the local Board of Realtors and lots of other community involvement. When you get your license, look me up and I'll give you my blueprint to success...
Very encouraging to hear! Thank you so much for the response. I just sent you a message as well as a colleague request. Gotta hear more!
Great advise from everyone, but.... the best part of real estate is your attatude determine you altitude. I know you may have heard a saying like this before but it's my battle cry. YOU CAN DO THIS!!!! WHY WORRY ABOUT BECOMING THE AVERAGE AGENT. ......
to make 200k a year and after your broker split you make $5,000 per. You will need 40 deals a year. That's 3.5 deals per month. Or about 1 per week. So if you sell every 10 people you talk to and you have to pitch 30 people to get the 10 appointments figure it out.
That's 1200 touches of new people per year and you make 200k.....
good luck
jim
I can definitely see your attitude playing a huge part In it! It's just scary to think that there has been so many unsuccessful agents but I guess that's with every business. I'm a numbers kind of person so I love the numbers you gave me. When you put it like that it makes it seem more possible, difficult but possible. Thank you Jim so much for the advice!