A reader asked about my thoughts on becoming a realtor today – my response:
I’ll start with the basics to see what you think.
Being a real estate licensee is one thing. Being a successful salesperson is something different, and what I’ll address here.
Sales has its own skill set. There are things to learn and practice to be successful at it. People tend to wander into real estate sales because it is so easy to get a license. Nobody tells them to get sales training, and as a result, most leave the business within 1-2 years.
To know if you can be a successful salesperson, consider the following:
A. Are you comfortable talking to family and friends about their housing needs?
B. Are you comfortable talking to strangers about their housing needs?
Everyone likes talking about real estate. But people are more guarded and private than ever, so approaching them and getting them to talk about THEIR real estate needs can be uncomfortable for many agents. If you are a good-looking charismatic type, then you have an advantage but it still takes guts to continuously talk to people every day about their needs, and how you can help them.
Everyone knows at least three realtors already, so you can expect rejection. Can you live with that? Do you want to be successful bad enough to power through and not let rejection bug you?
Still feeling excited about being a successful salesperson? Then consider the downfalls:
Paydays are inconsistent, and you can go months without earning a check. Having financial stability besides your real estate pay is helpful.
It is a 24/7 market, so most of the time you will be on duty seven days a week.
Failure is part of the learning curve. Being warm and cuddly with failure and rejection is a real plus.
Other agents will screw you over, and many times it’s their own blundering incompetence that causes it. Accept that tensions are elevated and quick decisions are being made by principals and agents without thinking through all the variables.
Being motivated by the money helps. If you want/need to earn a big income every year, then it’s available and you can let it drive you.
Still interested? Ok, great – I suggest that all agents do the following:
1. Get Sales Training.
I did the Dale Carnegie sales training early on, and it was the best thing I ever did. They teach you the basic skill set for sales, and also have you go practice the techniques as part of the course.
2. Work with a Mentor.
All of the big brokerages offer a mentorship program where you work with an experienced agent. Most of the mentors have given up selling themselves, so they tend to be in the background to answer questions, not to give hard-core training. If you can find one that does, then your learning curve will be expedited.
3. Identify How and Where to Get The Business.
It isn’t going to come to you – at least not until you have a lot of experience. This is an active, not passive, job and being a smart go-getter is required for maximum results.
4. Work Effectively with a CRM.
Client Relationship Management supported by a robust software system is vital. Compass is spending $100 million per year on our platform, and I think we can say that we have the best in the business.
I think the home-selling business will shrink steadily from here on out. There are at least twice as many agents as needed and many will just age out over the next 5-10 years. Those who are left will be smart to utilize all of the internet tools as our society continues to put more faith in their hand-held device than the experts in the field. Being tech-savvy will be a requirement for all agents!
As part of our succession plan, we are going to add more agents to our group. If everything above sounds fantastic, contact me today and we can discuss you joining our team!
