Last January my husband and I started out as full time Realtors. Right off the bat we got 2 listings so he quit his day job and we hit the ground running. Since then we’ve had only a couple more closings from buyer transactions. We want to be listing agents, though. This market has been SO hard to start in, has anyone else experienced this too? We do at least two open houses every weekend, we pass out professional flyers, we’ve contacted our sphere of influence, we tell everyone we meet we’re Realtors...it seems like we’ve done everything! We’ve had multiple people ghost us, which has been disappointing, and two people say they want to list with us and then go with other people. Our savings are running out and we’re feeling hopeless. What have other people done that works to get more business? Please tell me it gets easier!

I think other brokers and agents give the wrong impression to new agents and it’s really a disservice. Getting started in real estate is HARD. Really freaking HARD. Not just due to covid but always. How many new businesses fail in the first 2 years? As a new agent you’re essentially starting a new business, real estate agents are part of that statistic. I tell new agents to Expect no income at all for 6 months. Even if you get lucky right out of the gate and have a couple listings or preapproved buyers ready to go, and you go under agreement at the first showing, it could take 45 days to close and a few days to get paid. Then of course not all of them actually close and that is still a “1 off transactions”, not something that can be repeated every month. That being said once you get going, assuming you do it right, the momentum will carry you to far higher than you could have expected. The advice I give new agents on my team is don’t quit your day job right away. Do real estate part-time on nights and weekends. Close some transaction, get the first 6-12 months out of the way, then make an informed decision on what you want to do. The other thing people don’t talk about is when you become a real estate agent you no longer qualify for a mortgage. You need 2 years of solid 1099 income for the bank to count it, and since you’re here on BP I imagine you’re looking to invest in real estate as well. The W2 job will get you your mortgage, the real estate income can be your down payments. Then the recurring income from your investment properties will pay your bills even when the market shifts or you lose a funnel for some reason. Even successful agents go bankrupt if they don’t have a backup plan and the market hits a wall or they have a crappy Q3 going into the winter months. The other thing I recommend is picking a niche within a niche and becoming a master at it. Pick 1 strategy, 1 funnel, and focus on just that within 20 miles of where they live. Too many new, and experienced agents, spread themselves too thin and are mediocre at a lot of different things. Pick 1 and be an expert at it, it’ll produce outsized results, it’ll be cheaper, and take you much farther than if you did a lot of things marginally well. If Instagram or social media Is your thing do that, if it’s door knocking, mailers, cold calling, driving for dollars, open houses, networking, or something else is your thing then do that. Then pick a niche clientele like investors, First time home buyers, veterans, upsizers, downsizers, distressed sellers, inherited property, or a specific language or ethicity and focus your marketing $ on that. You should have a strong WHY as to why you’re getting into real estate. Align your niches to your WHY so when times get tough, and they will, you can push through. Most agents give up in their first year. To be successful sometimes all you need to do is not quit. My primary advice for new agents is focus on something you can kill it at and then just don’t give up. It’ll be hard at times but if you give it enough time and stick with it you’ll get where you want to be. Best of luck, being a new agent is tough. Sometimes having good success right out of the gate makes it harder but I’d say you need yo reset your expectations and focus on low cost strategies until you can get your feet back under you. Best of luck, Jon

I started my real estate brokerage in May. If you listen to everyone telling you how to get leads you'll be broke. Zillow, no Instagram, no door hangers, no post cards, no cold calling software, no Facebook Ads. Become an expert in an area. My expert area is New Brunswick, NJ. That is where my brokerage is located. I get people who contact me through here, Insta, email etc. You know why? Because I truly know the market better than anyone in that area and that is very valuable. Don't be a buckshot and run all over your state and know squat about the towns. Be a total beast about 1-2 towns and yes you can still branch out. That works for me.

To framework what I will be saying here yes, I am a top producer in both my brokerage and market which is a major market. And no, didn't get here by following the dinosaur play-book. I just wrapped up an experiment, taking a new agent and doing $100k net income in 100 days, and nailed it! How did we do this, by nailing the only item that actually matters, BEING VALUABLE. Why is there a revolving door of agents coming in and failing out? Because it's a pandemic of people think all they have to do is get there license and than just tell people there a Realtor and pow, everyone will run to them. Let me ask you this, if a friend called you up and said "hey I JUST got my license to fix autos" are you going to now make sure you always take your car to him? Or a cousin just got his contractor license, your going to automatically hire him for anything and everything on your home right, just like that? Think it thru, it's an idiotic notion that people will just simply use a NEWLY licensed agent, with zero experience, and most of time zero real estate background, but hey they have a license...... The secret to success as an agent, the recipe on how to become a Top-Producer and STAY one, as I am, is actually very simple, BE THAT VALUABLE. Without that, nothing else matters, seriously. You can have all the marketing and advertising in the world but if you're not the valuable agent/realtor guess what, the vast majority of people will do some level of research and they will stumble upon a person who has years of experience, expertise, and they intelligently think "hey, this is serious, it's a lot of money, let's be smart and get the best person we can find on this not just any old person". We are living in a time when consumers have the greatest access to research, reviews and reference information to look up who or what is best in literally seconds, and our society promotes doing this non-stop. So when your brand spankin new, and if you don't have some big "in", better known as your "Value Proposition", well you simply have no competitive value. Myself, I have almost 3 decades in the housing industry professionally, I have performed at the highest level of skill, licensure and quality in literally every single aspect of real estate from point of raw land planning and development, building design, build, renovation, remediation, inspection, investing, contracts, negotiations, deal engineering etc etc, I am ridiculously over-the-top experienced and qualified and that is why clients go with myself AND my team, it's not my beautiful Shrek like smile, it's my beautiful brain and decades of knowledge and performance because they know any issue that could come up, I have probably dealt with it 18 times before if not 180 and I can solve it. AND my agents, they are just an extension of myself, and that is how teams work, why they work. Team member agents get to eat at my table, and with that gain the knowledge and experience via osmosis and training sessions, gaining their own expertise in time, and for myself I gain time leverage power, the ability to service more clients than I could alone as a factor of 1. Everything hinges of being valuable. Step 2 is making persons aware of your existence, and the last step is keeping up in step 1 and 2. That's it, everything else out there is simply "how to" of step 2 or just noise. And again, without step 1, BEING OF VALUE, nothing else matters.

Any other Realtors that started in 2021? How’s it been for you?

Ronald Allen Barney

Real Estate Agent · Tampa, FL · Member since 2020 · 411 posts · 373 votes

5y

A few months ago I got talked into getting my license by investor friends. Black Rock was gonna flood the market with cash and all I needed to do was get out there with a bucket and catch some of it in the form of commission. Reality: not so much.

For lead generation BP has been my only source that has worked, but most of those leads only ever want to look at MFH, and I've learned the hard way MFH data is sucky beyond repair in the MLS.

No closings. Not much in the way of SOI leads. Advice from team leaders at the market center is dinosaur, laughably ineffective, and/or contradictory. No help at all. "Just call people you know!" I got the people I know riiiiiiiiiiiiiiiiiiight heeeeeeeeeeere. Door knocking in the redneck part of Florida where I live is a good way to get killed. No thanks. Tried a direct mail campaign and oversubscribed on it, didn't work.

Rather than quit altogether I'm working on getting a day job to keep this going as a side hustle. I have two ideas in mind, one to create a YouTube channel where I just rant honestly about RE to the world, what they see is what they get, and maybe that will differentiate me enough to get some leads. Another idea is to work Commercial in Orlando as some companies associated with Disney (not Disney itself) are expanding.

3 Reply

Stephen Brown

Real Estate Broker · Huntsville, AL · Member since 2019 · 1k+ posts · 872 votes

5y

I'm having some struggles but cold calling and biggerpockets has kept me afloat. Extremely tough to get listings. I've been promised some and then they dip on me and go with another agent because of the brand name...

3 Reply

James Ellis

Realtor · MD (maryland) · Member since 2021 · 7 posts · 3 votes

5y

I got my license in September 2020. Due to covid measures door knocking and cold calling were actually fined practices. So I had to get creative. Started making door hangers and post cards. Haven’t gotten anything from them. Lately I’ve been trying to help as many flippers as I can in the Baltimore area. Trying to be as much value as I can be. Maybe they will let me sell their houses

2 Reply

K F.

OP

Investor · Orlando, FL · Member since 2018 · 54 posts · 25 votes

5y

@Ronald Allen Barney Thanks for your response. Yes I have run into the same thing when I ask the older realtors about getting leads, but that just doesn’t work for people in my age group! Millennials do not want to be bothered, lol.

We are also thinking of doing a podcast or YouTube channel. That’s also something that takes a lot of time and commitment to see results. It would be so sad to have to get a 9-5 job at h the is point, we’ve put in so much and love this lifestyle and everything about real estate. I guess that’s the last resort 😩

0 Reply

K F.

OP

Investor · Orlando, FL · Member since 2018 · 54 posts · 25 votes

5y

@Stephen Brown same here, so many people have ghosted us or just gone with other realtors because of experience. It’s really so disappointing!

1 Reply

K F.

OP

Investor · Orlando, FL · Member since 2018 · 54 posts · 25 votes

5y

@James Ellis we also work with a couple investors, that’s been keeping us afloat haha

1 Reply

Russell BrazilBusiness Member

Moderator

Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes

5y

The industry has an 87% failure rate, which is right in line with the 90% failure rate for small businesses.

Becoming a real estate agent should be looked at as no different than starting any other business. Most businesses lose money the first 2 years they are open, then eek out a profit in year 3 before settling into profitablity.

You need to start spending say 4 hours per day on lead generating activities. If you are not good at lead generation, then join a real estate team.

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19 Reply

Michael Miceli

Real Estate Agent · Oswego, NY · Member since 2017 · 11 posts · 8 votes

5y

Congrats to you both for become Realtors!

I think any new agent is going to have a hard time getting listings with the market the way it is today. With limited inventory, everyone is competing to get those listings.

Teams are a great way to get training and help develop the systems to keep you running. A few other suggestions would be:

Video! Whether it be FB, Insta, texts, email. Where possible, implement video. People connect better with people they can see.

Work the buyers and ask the right questions to uncover the hidden sellers. This also helps you identify the buyers that already have their home listed or plan to list with another agent.

And most important....Google Local Service Ads. These have been some of the best "come list me" leads I've seen.

5 Reply

Matthew Fassett

Rental Property Investor · Lehi, UT (Lehi) · Member since 2018 · 91 posts · 99 votes

5y

@Kirsten F. Getting your head above water as a real estate agent is a tough one. My first year I sold 1 house and closed with 2 buyers. Before this I’ve started 2 other businesses that are going to this day and are successful. I can honestly say becoming a successful real estate agent has been the hardest. Each deal you do as long as you do it correctly compounds down the road. Usually by year 3 you have a profitable business. I knew going into real estate it would be rough and had enough cash reserves to keep me afloat for the time being.

2 Reply

K F.

OP

Investor · Orlando, FL · Member since 2018 · 54 posts · 25 votes

5y

@Russell Brazil good advice, thank you

0 Reply

K F.

OP

Investor · Orlando, FL · Member since 2018 · 54 posts · 25 votes

5y

@Michael Miceli awesome thank you!

0 Reply

K F.

OP

Investor · Orlando, FL · Member since 2018 · 54 posts · 25 votes

5y

@Matthew Fassett thanks, it’s good to know it’s hard for other people and not just us!

0 Reply

Cheyne Inman

Realtor · Torrance, CA · Member since 2021 · 2 posts · 2 votes

5y

Hi Kirsten,

All real estate leads are slow process, don’t get discouraged. I have been doing a weekly YouTube video every week since the beginning of this year and although I do not have many followers, I have received two leads for it. The key is just to get it out there. Read Karen Carrs book on YouTube for Realtors. It’s a quick read and step by step plan for building a real estate YouTube lead source.

Good Luck!

Cheyne Inman

2 Reply

Joe Norman

Property Manager · Baltimore, MD · Member since 2014 · 1k+ posts · 1k+ votes

5y

Starting a real estate sales career is a slow process and one that most people fail at (see @Russell Brazil's post above). In my opinion you have to start with your sphere of influence - the people who already know you and like you. Ask them for their businesses and for their referrals, and then stay in touch with regularly touch campaign of calls/emails/physical mail.

Beyond that, I suggest being purposeful (not spammy) on Social Media. Facebook has been good to me in terms of staying front of mind with people in my SOI. I try to make a personal (not real estate) post daily, and a businesses post 2-3 times per week.

It can be a drag getting started in this business, but once you get momentum it can be a lot of fun and very profitable. Good luck!

4 Reply

Corby GoadeBusiness Member

Investor · Boise, ID · Member since 2014 · 3k+ posts · 3k+ votes

5y

It's not just your market- being a realtor is a tough gig. People think that you do a few deals and then drink a cocktail on the beach for a few months. It takes so much work to get to the deals that actually close.

Beyond that- realtors aren't commodities, good realtors make deals work that rookies can't get done- we know how to negotiate, develop relationships with sellers and come up with terms that favor our clients and create back door leverage.

If you are just getting started, it's best to cut your teeth with a team. Give it a couple years so you learn the tricks of the trade. There's a reason that the failure rate in the industry is around 90%- many people jump in because they have a couple friends who want to sell or buy and they get some quick momentum, but it dies down quickly once you really have to dig up those new leads.

Yes, you'll be paying a higher split to your team, but consider it your cost of education. It'll be well worth it once you get your feet under you and can jump off on your own.

Side note- I'd suggest you find a team that lets you take your sphere with you once you leave. Some teams will require that you give them the rights to your friends and family as potential leads forever- not a good deal for you.

Best of luck!

2 Reply

Kai Kopsch

Real Estate Broker · Charlotte, NC · Member since 2016 · 569 posts · 351 votes

5y

@Kirsten F.

with some exception it takes a few years to get into the RE business for most agents. I started out doing everything you should do according to those RE gurus but noticed fast that was not my way. For example when I was driving to a showing I tried to memorize the script to get a buyer agency agreement signed. Today I’m driving to a showing our listing appointment with no intention outer than to have a good time meeting new people and see if I can help. No scripts no follow up no emails if someone like to work with me they call me. Suddenly everting changed and deals are coming up everywhere.

7 Reply

K F.

OP

Investor · Orlando, FL · Member since 2018 · 54 posts · 25 votes

5y

@Kai Kopsch yep it’s all about that energy you emit, if it’s trying to get something from someone they smell that a mile away!

1 Reply

K F.

OP

Investor · Orlando, FL · Member since 2018 · 54 posts · 25 votes

5y

@Cheyne Inman thanks for your reply, we will definitely start a YouTube channel. Seems like you kind of have to as a new realtor these days!

0 Reply

Henry Lazerow

Real Estate Agent · Chicago, IL · Member since 2017 · 2k+ posts · 2k+ votes

5y

I have sold 26 million in 2-4 units last 3 years. There forsure is more ghosting lately so don't get down about that just be stricter about who you work with. Any time the market gets hot you get the FOMO type buyers who aren't as serious as the average buyer a few years ago. I closed about the same amount of deals as last year but definitely had a few people waste my time so have become a bit stricter about which clients I take on.

P.S Don't focus on listings right away. Focus on buyers. No smart person is going to list with a newer realtor, when there are lots of more experienced realtors out there but for buyers agent people will care a lot less how experienced. I like buyers and still do over 50% buyers.

8 Reply

Sandra Morrison

Investor · Cincinnati/Fort Thomas, KY · Member since 2015 · 206 posts · 183 votes

5y

@Kirsten F. Have you thought about becoming investors instead of agents? Or at least networking with investors in your area? BP is a good start but there are more ways to be involved with real estate than as an agent.

0 Reply

K F.

OP

Investor · Orlando, FL · Member since 2018 · 54 posts · 25 votes

5y

@Sandra Morrison yes we are investors and we are currently working with two investors :)

0 Reply

Steve Bracero

Real Estate Agent · Westboro, MA · Member since 2016 · 1k+ posts · 471 votes

5y

4 hours of lead gen is fantastic advice.

I first started with cold calling, and found it takes time to build.

I know a good number of agents when I started decided to call as well, but did not stick with it and are now out of the business unfortunately

It may help to look at your schedule and what systems you have in place as well as your skills.

0 Reply

Luke Rorech

Real Estate Agent · Greater Tampa Bay · Member since 2017 · 392 posts · 290 votes

5y

They say “list to last” but chasing listing can be tough. Being a buyers agent isn’t easy at all right now but buyers are paychecks waiting to be cashed. Explain what it takes to get their offers won in these market conditions and then see if you’re on the same page.

0 Reply

Knowe Dials

Lubbock, TX · Member since 2016 · 6 posts · 1 vote

5y

@Ronald Allen Barney I started a YouTube Channel. I’ve heard lots of people say it’s works. Essentially, you’re building a channel much like a YouTube which would put you on Google if you get good views. So far though, I’ve only got leads from people who want to rent

0 Reply

Sabrina Morales

Realtor · Boston, MA · Member since 2021 · 3 posts · 1 vote

5y

@Kirsten F.

Hi Kirsten,

I started in June and let me just say you are not alone! I have teamed up with a busy agent in my office so that I can gain experience while I have my reserves. He has been super helpful in explaining the ins and outs and I’m gaining experience as I host the open homes to build relationships. It’s still tough trying to show value to clients with nothing in my portfolio to show results.

I have not listed or sold anything yet but I hope to change that in the next coming month .. maybe I’ll give YouTube a try 🤷🏻‍♀️

Wish you the best!

1 Reply

Any other Realtors that started in 2021? How’s it been for you?

Any other Realtors that started in 2021? How’s it been for you?

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