Is becoming a successful realtor easy or something? Almost everyone I know from my hometown that worked in retail switched to being a realtor in the past year, is this some secret goldmine? It looks like all they do is post house pics on Instagram and post stories about how they’ve sold 10 houses and you can too?

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Not really - there are a downright minute percentage of brokers who regularly break 7 figures annually (relative to the number in professional services)

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Depends on the market and their personality

Very hard to make good money, because it’s relatively easy to get into so lots of people do (no degree required, limited experience necessary, just pass a few courses and you’re in, then join a brokerage). To be a top realtor, and eventually broker, it’s an absolute 24x7 grind. Grew up surrounded by real estate agents and developers. Wouldn’t want to be an agent if my life depended on it.

You can make a good living being a realtor, especially if you’re a good one and deal with higher priced homes. Commission from our last purchase was 3.5% on a 400k house; so there’s for sure money. But their income is almost all commission based, so take a look under the covers and make that call yourself.

Definitely not easy money. Sure doing one or two transactions for a few thousand when it falls into your lap is easy but building a pipeline of customers is 10000% up to the agent. Sure it’s easy enough to get the license but that is 1/100 of the battle.

Keep in mind the posts you see from other realtors, especially new ones, are not authentic in that they actually are showing homes all the time or listing new homes. A big part of the grind in the beginning is putting it in your “sphere of influence” ‘s mind that you are a realtor so they call you when it’s time to buy.

For some perspective, a 300k house at a 3% commission is 9k. Brokerage takes anywhere from 20-50% depending on where the lead came from. If the brokerage brought in that lead and they take let’s say 45%, your down to 5k commission. If your new, you likely have a mentor walking you through it who will take another 20% of it, now down 4k. Post tax you are looking at 2.5-3k.

Having a pipeline of buyers to be able to do this even once a month takes years and years of networking, or a 24/7 grind of coldcalling and pushing services on your friends.

One of my BFFs is a high volume realtor and she busts her 🍑 for that status. 7 days a week, 12-14 hour days, manages an 8 person team, social media channels, other marketing/ads, leads, staging, plus real estate investing/flipping she does to market her brand. Each agent on that team (there are 3) closes at least a house biweekly in this market). Her houses are sold before the sign hits the yard.

On the other side, I have a friend with a real estate license, sells 3-4 houses a year as a side gig.

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