Possible Career Change - any Real Estate Agents out there?

[septbride2002]

Hello! I am 24 years old and I hate my job. There is no control in it, I hate having a set 8 to 5 everyday, I hate that I don't see my clients and customers and have face to face time with them. I hate that I hate my job. I got started in banking when I was 16 years old and anyone that has ever started in banking can tell you it is like a black hole you can't crawl out of. Because all banking can prepare you for is banking. I'm tired of banking.

So I took an assestment test and it said that I need to be in a career where I feel in control, in financially rewarding, and helps people. Thanks for the vague answer! Isn't that what everyone wants???

My thoughts - in 5 years DH and I talking about starting a family. Neither one of us have careers at the moment that would allow the other to quit and stay home, and neither one of us has flexible hours.

I loved my Real Estate Agent when we were searching for a house. And she actually suggested the career idea to me a year ago but I just sort of put it in the back of my mind. She thought I would be good at it because I am good in sales, and I like people!

So to those Agents that may be out there - what do I need to do to get started? Is the money worthwhile? I'm not looking to make millions just $30k - $40K a year. Give me the good, the bad, and the ugly.

~Amanda

 

[kild]

My mom is an agent and she loves it. The money comes in droves and leaves in droughts. You have to be prepared for that.
If you work for a large estate firm, it can be costly to get started. A few thousand.
Smaller firms are less expensive. She has the freedom to work when she wants, but it is long hours and constant phone ringing.
If it were a more stable income, I would actually consider it, but I like giving Disney my money and probably wouldnt be able to get my money saved during the dry spells.

 

[legs22]

My friend is a real estate agent. She said there is a lot of competition out there. Everybody seems to have a real estate license. Also you must work weekends.

 

[bsnyder]

The biggest drawback is the hours. Lots of nights and weekends, because that's when most people are available to look at houses.

Most of the friends I have that are agents work in teams. That way, each person in the team has some flexibility with their hours. But then they split the commissions.

The money can be quite good, if you're willing to put in a lot of time, and develop a good reputation in your area. But sales are also dependent on the overall strength of the housing market. When real estate is hot things are good, but if there's a downturn, better have some money saved up to see you through.

Good luck!

 

[KimRaye]

Originally posted by legs22
Everybody seems to have a real estate license.

Thank you for saying that. AnyONE can seemingly get one as well.

The classes involved in GETTING that license are very easy (here in Illinois anyway), and they teach you nothing about the necessary basics, imo.

If you are good in sales, this would be a job to consider. Also being good at soothing, pacifying, appeasing, and PATIENT would be helpful.

 

[septbride2002]

Thanks for everyone's responses so far. The hours while not ideal at the moment are really what I am looking for because it would allow me to have my days available to be at home when I have a baby instead of having to find child care when they are only 2 months old.

Thanks again!

~Amanda

 

[Lisa F]

One of the things is to not overestimate how much money you will make on the sale of a house. It SOUNDS like a lot but it's not really. On a $200k house, say there is 6% commission or $12,000. Sounds great, right?

That is GENERALLY split between two agents so only 3% or $6,000. Unless you take a much more rigorous course and actually become a broker instead of an agent, you will have to work under a broker and generally the broker will charge half of your commission for working under their name, so that's $3,000. So basically you'd have to close on an average of 1 $200k house per month to make your financial goals before taxes.

Also realize from about Thanksgiving til at least the middle of march, sometimes as late as easter, you will be lucky if you close one house during that time because very few people buy houses during that time of year... of course, you hope to more than make up for it in the spring and summer!

I'm not trying to be a downer or anything because I think good RE agents do pretty well for themselves, but I think with the housing mania of the last few years, some people have also come to see it as "easy money" with the crazy high priced housing. Not saying that you think that or anything, but I know it came as a surprise to me that most RE agents have to split their commission with a broker!

 

[Hillbeans]

My DH got his license a few years ago as a PT gig...he had to be the "open house" person pretty much every sunday throughout the summer to help out in the office. In that time he sold one place for around $90K and his cut was about $700. His licensing came in handy though when we bought our house, he was our agent and we got $1800 back from his "Sale". He has since let it expire.

Unfortunately, the market around here (NJ) is supersaturated with agents, and everyone I know tries to sell their house through Foxtons (2% agents) or FSBO first. I helped my girlfriend sell her house a few months ago and it sold in 3 days. Why call a realtor when you can sell it yourself and save $15K. Realtors were knocking down her doors for days.

I think it's a great career as long as you can hang in there long enough and make a name for yourself. I also agree that you should go for the additional courses and become a broker. That's where the hard, long term money is.

Best of luck to you.

 

[septbride2002]

Hmm... yea that is a good idea to actually become the broker. Now I'm having all sorts of 2nd thoughts. It isn't that I don't like to work hard because I consider myself to be a very hard worker. I've got a call into my agent friend to get her opinion. She has been doing this for years so hopefully she will have some good advice and won't mind being a mentor for me.

~Amanda

 

[Disney01]

My friend just got a real estate license because she wanted money at flexible hours too. She's making no money out of it. My totally blunt assessment of a LOT (not all) of people who get real estate licenses...They think it's easy money without having to get too much of an education or training or effort. Like someone else said, everyone can be a real estate agent and they are. I think at your age, your better off getting a college degree so by the time you're ready for a family, you will have more choices.

 

[septbride2002]

Disney01 I actually have a Bachelor's Degree in Business Administration, with a minor in Cultural diversity and women's studies which I've had now for about 2.5 years - it gets you foot in the door and that is about it. The misconception about degrees is that you are guranteed the best jobs - this is not true. And while I am no longer in the starting position here at my company I have discovered that I do not like this as a career. While I'm only 24 I feel that now would be the time to make a career change rather then waiting to be in my 30's or 40's.

Thanks,
Amanda

 

[tiggerlover]

My two cents......

I worked in the real estate "field" for three years and you couldn't pay me enough money to want to be an agent. I was the personal assistant for the broker and her admin manager (residential and commercial firms, two offices), my boss was also the instructor/president of a real estate school and ran a pre-licensing class. She offered me many times to get my license for free, but as I said before, I wouldn't do it. I saw many of her students go on and get their licenses and then come to work at her firm, I saw many of these agents work their tails off and get very little in return. Many were in the business for months, even years before their first sale came through and like others have said the other agent gets their cut and the broker gets their cut, then there are administrative costs and then very little left over for the agent.Out of the many agents that she took on only a very small percentage made it and most of those who did either partnered or teamed up with someone already established. Then you have to factor in your expenses, gas, wear and tear on your car, business cards, mobile phone service, some times your business cards and your advertising and that all costs money. And as said before there are many, many agents out there going after the same market as you would be. Those folks who work in teams are generally very successful, rather agressive and do the most business in the firm. Folks starting out have to make new contacts and some times that is very difficult to do with lots of other agents out there. Then there is the flexibility aspect, sure you can work as little or as much as you want, but the person who works more is going to get more business. Also, you work around your clients hours, a lot of folks like to see houses after they are done with their work day and on weekends. When you are part of an office you will also have to pull floor duty, it varies from agency to agency, but it is basically a time, say 3-4 hours where you sit in the office and answer "cold call" calls, which usually don't amount to much, typically someone doing a drive by of the agency sign and they want info, but who are already working with another agent.

With all of that said, bear in mind this is my perception from where I sat and that there are a small percentage who make a very great living from real estate. I hope if you decide to go into the field that you are one of them. Best of luck to you.

 

[Desnik]

DH and I have been told by so many realtors that we would make a great team selling houses!! We actually sold a house in the new development we are buying into!! We have bought 3 houses and sold 2 in the past 3 years. We do know alot about real estate. DH is actually going to take the course in July for his lisense. I don't know how things go where you live, but in NY anyone can take the course. But, in order to take the test you have to be sponsored by a real estate company. Once you pass the test you need to be an agent for a year before you can become a broker.

Here's our big plan. Right now DH works for Verizon, cable splicer. He makes great money and awesome benefits. He also is a contracter and has his own home improvement business. I am a SAHM. He will get his real estate lisense and in a few months work part time, mostly nights and some weekends for his friends company. Then he can be the agent for the sale of our house when we sell it in Feb 2005. We get to keep at least some of the commision! Then after he has enough time in the biz, become a broker and have his own company. Then he can be my sponser when I take the test!! Then we can work together again!(we have owned 2 businesses in the past together)

I am like you and hate the whole 9-5 thing!! I also like being my own boss. I think this is a great job for people like us!! I wish you lots of luck. Real estate where I live has been through the roof. While it isn't always this crazy, people are always moving!! I do know alot of people who make alot of money doing this. It does also help that the average houses around here sell for $500,000 and alot more!

 

[septbride2002]

Wow a negative and a positive.

I just know that the 9 to 5 for someone else is not for me. I am to independent and prefr to make my own goals and work in my own time. I wish I had been smart enough to become a graphic designer or something!

~Amanda