Pros And Cons To Consider Before Becoming A Real Estate Broker

PHOTO: Kaplan Education

Selling real estate seems like the perfect job: flexible hours, the chance for big payouts, limited training to get a license and the opportunity to work with anyone and everyone. These are definitely all excellent reasons to get into real estate sales, but it is not as easy as it appears to achieve success. First and foremost, if you want a career as a real estate broker, you must commit to it full time. Real estate is not a part-time job, and if you approach it as one, you will surely fail. If you view it as starting your own business and you bring an abundance of enthusiasm and dedication, you have a good chance to succeed.

Real estate is strictly commission based, so be prepared to go months without getting paid. When I started in real estate as a new broker, I didn’t receive a real, livable commission check for almost three years. I got by in New York because I was only 21, had a rent-stabilized apartment and was able to make ends meet on the bare minimum. If I’d had the responsibility of a family or a mortgage, I don’t know if I would have been able to stick it out. That is why the dropout rate for new real estate agents making it past five years is estimated to be anywhere between 60% to 80%. One thing they don’t tell you is how important it is to be financially prepared to work without income when starting in this business for at least six months.