Will the Real Estate Agent be obsolete 20 years from now?

Question

Hi BP,

I am 16 years old and I plan to get into the real estate agent industry once I am of age to get my license. I have studied how to be a good RE agent for a little over a year now and I am about to be an intern for a brokerage in the upcoming months. I really enjoy the business and this is definitely the career I want to pursue, preferably I want to be in residential RE, but I am worried that apps might take over the industry. My question is, should I think about Commercial real estate instead or just stick with what I enjoy more which is residential? Since I am only 16, should I look for a different career that doesn't have the possibility of getting replaced by technology or just stick with it? A lot of people say that that the agent will never be replaced because they can provide more. So what can an agent provide that technology wont be able to do 20 years from now? Thanks for your time

Matthew Paul · Answer

I doubt real estate agents will be obsolete , but there will be some obsolete real estate agents 20 years from now

Russell Brazil · Answer

Technology merely makes it so a real estate agent can be more efficient and more successful.   The vast majority of the populace are clueless and incredibly scared about going at a transaction without an agent.  With the average home owner staying in their home 8 years, I do not see this changing unlike things that are more of daily use like online shopping.

Timothy Wolfgram · Answer

Great question and something that I have thought about as well, but not just for RE Agents but also on the lending side as there is already a pattern of automated processing/underwriting. The biggest factor though is trust, and it can be nearly impossible for a lot of people to trust something they can't talk to/meet with in person. This is especially true on large financial transactions/a place to live, which comes in real estate.

Ian Walsh · Answer

Elon Musk AI Agents

Ana Marie B. · Answer

@Ryan P. Kotschedoff - I'm impressed.  You're only 16 years old and already asking such prudent questions!  Anyhow, I don't know enough about commercial real estate to provide any comment there, but can say that I already see tech companies delving into the residential side.  While I don't believe tech will be the end to residential realtors, I do think that whatever you do, it would be wise to adopt and learn new relevant RE technologies along the way to stay ahead of the game.

PS - I know realtors who did not adapt to technology and are now having difficulty maintaining a portfolio of clients, especially millennials who want everything done electronically, etc.

Jay Hinrichs · Answer

If your more keen on the investment side go that route.. its harder but man you stick it out get a clientele base and you can do quite well  quite well.

Tracy Selfridge · Answer

I'm in the class now to get my license here in SC. In my opinion for my market, no they will not be obsolete.

There is a lot of stuff that goes on with a real estate transaction that isn't common knowledge. And if one isn't careful, they can end up in some legal issues and money issues if they don't have a professional holding their hand through the transaction.

Doug Pretorius · Answer

@Ryan P. Kotschedoff Not a chance. Human nature doesn't change, so sellers will be just as lazy and/or busy 20 years from now and would rather hire you to deal with selling their house than do it themselves. Buyers on the other hand won't (in most cases) buy a house without personally walking through it, and someone has to be there with the key to let them in.

Commission rates will continue to drop due to competition and automation of non-physical tasks. But prices will continue to rise as well so you'll still be making bank.

Noel Challenger · Answer

They have been saying things like this for years. I don't think Realtors are going anywhere. Getting the job done like a great Realtor would is more complicated than most people think. There's skill, knowledge, and experience involved that you just don't receive from these discount services. Real estate is an interpersonal business and in almost all cases the largest financial purchase of a person's life.

On the other hand, Realtors who don't adapt and implement technology in their business won't be around in twenty years. But, the ones who do will do 5 times as much business. I see this happening now in the industry. Realtors who refuse to use the Internet, Facebook, an iPhone, etc.. these guys are getting swept by tech-savvy agents who dominate the market.

Will the Real Estate Agent be obsolete 20 years from now?

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