Why do most new Realtors fail? Is it the market, their technology, lack of experience, or something else? There are three primary reasons that real estate agents fail. If you know what those are you can avoid them and be a successful Realtor. Okay, I can’t guarantee you’ll be successful but I can help you succeed as a Realtor. Most of it is up to you, of course. Like any venture you want to succeed in, you’re going to need the motivation to be the best. If you can avoid your own personal pitfalls and give it your all, you’ll do great. If you slack off or start believing you’re not good enough, well… You’re not doing yourself any favors!
Working hard enough
Let’s jump right in! The first reason why most new Realtors fail is that they’re not willing to work hard enough. Yep, I said it! You won’t believe how often I hear new agents say they’re surprised at the workload while they’re in training. Selling a few houses a year and kicking back the rest of the time isn’t the reality of realty. And that’s a big misconception. A new Realtor gets one sale and makes a 10k commission but stops trying because… Ten thousand dollars will last several months, right? So tell me – what if that’s your only sale in a year? You made one sale, can’t seem to get another one, and didn’t practice because you made a chunk of money.
You probably know by now that starting a new business as a real estate agent means you’re an independent contractor. You’re your own boss and while it’s really awesome, it’s also a lot of pressure to put on yourself. You need to be self motivated and have a desire to succeed. This is by far the biggest reason why most new Realtors fail. It’s hard to succeed as a Realtor when you’re used to being held accountable to someone else. Letting someone else down is harder than letting ourselves down in a lot of cases! Being a Realtor is hard and if you aren’t willing to work hard, to really commit, you’ll fail.
Working odd hours
The second reason why most new Realtors fail is because they aren’t prepared to work odd hours. Real estate is not a 9-5 job. And if being your own boss makes you think you can work whenever you want, think again. First off, you are beholden to your client’s schedules. In between working around your clients you’ll have a lot of other things to do. That’s uploading listings, showings, phone meetings, getting new clients, marketing, scheduling contractors and stagers, open houses, etc. That’s not including updating your website and social media and everything else that being a business owner entails. Honestly, you need to be prepared to work weekends and nights. You need to be able to wake up early to meet with people, have a lull, and get back to it later. Yes, you can make your own hours but make sure you can work virtually any time.
Third reason that real estate agents fail is because of fear. To be a successful Realtor you have to put fear aside and just keep working, working, working. Fear really stops us from succeeding in a lot of areas. When you let fear tear you down, make you feel like you’re not good enough… That’s when you really fail. If you work your butt of for months and don’t get anywhere, how do you feel? You feel like quitting right? When you see people around you succeeding but you aren’t despite your efforts; it’s hard. You think you’re not cut out for realty so why not just quit? What you should be thinking is how you can do better. Where are you lacking and how can you get on track. Self confidence is mandatory and you’d better have it if you succeed as a Realtor.
And this sort of thing is usually brought on by ourselves. Friends and family aren’t typically telling you that you’re going to fail as a Realtor. If you know someone who is a Realtor themselves, they might be able to give you tips. Hopefully they aren’t trying to scare you away from it… But if they do you need to be fierce and you need to be strong. We’re all on social these days and if you’re ever having doubts you should be honest with your followers. I highly encourage that you use your doubts to improve. Instead of saying, “I only closed on one house in the last three months; it sucks.” Say, “I closed on one house in the last three months but I’m looking forward to taking on more!” In other words, don’t just focus on your losses; focus on how you can win.
Above are the top three ways most new realtors fail. But they aren’t the only reasons! To succeed as a Realtor you have to avoid other pitfalls as well.
Guidance: Get teachers, mentors, and experienced agents to help you. Heck, give them part of your commission to get one on one help. If someone experienced can walk you through multiple closings you will get better so much faster.
Technology: Utilize all your resources. Get your business on all social media platforms. Make sure to use your business name and post daily.
Marketing Budgets: You have to have and use your marketing budget. Start off with social media but once you make that first closing, dedicate a percentage to paid marketing.
Lack of Understanding: This isn’t something everyone typically considers. Being able to understand the housing market and negotiation is important. Sure, you can study and practice all you want but if you don’t have the type of mind that understands it, that will hinder performance.
I think as agents we try to figure it out on our own. We all have our ego that tells us it’s cool to start from scratch and then succeed. But if you put yourself in a situation where you’re doing everything by yourself it’s easy to get burnt out. Yeah, it’s a lot of work and a lot of time. But that doesn’t mean you shouldn’t use what’s available to you in the name of being cool. We all need help and motivation and, honestly, making connections in the real estate world is invaluable. Other Realtors are not your enemy! There’s plenty of clients to represent and money to be made in this industry.
So how do you guarantee your success as a new agent? 80-90% of all realtors fail within 2 years – that’s a huge number! You want to question if you’re serious and if you want this to be your career for life. When most people think it’s an easy industry where you can make a quick buck, it’s just wrong. Being a Realtor is a career that, if you put a lot of effort in to it, you will succeed. Your success is basically guaranteed as long as you’re serious. That’s the bottom line.
NEXT ARTICLE –>> WHY REAL ESTATE IS FOR ENTREPRENEURS
REAL ESTATE AGENT GUIDE
- WHAT MAKES AN EFFECTIVE AGENT
- FIRST 30 DAYS AS A NEW REAL ESTATE AGENT
- FIRST STEPS FOR NEW REAL ESTATE AGENTS
- CONTROLLING YOUR ONLINE PRESENCE
- HOW NOT TO BRAND YOURSELF
- AVOID THE UPS AND DOWNS IN SELLING
- BREAK THROUGH WITH EXPIRED LISTINGS
- FIND CASH BUYERS – YOU NEED THEM
- HOW TO GET MORE LISTINGS – PREPARATION
- GET MORE REFERRALS
- HOW TO GET SELLERS TO PRICE IT RIGHT
- GET YOUR 1ST DEAL FAST AS A NEW AGENT
- JOIN A TEAM OR GO SOLO
- FAST WAY TO BUILD REAL ESTATE BUSINESS
- BUYING INTERNET LEADS DOESN`T WORK
- WHY MOST NEW REALTORS FAIL
- WHY REAL ESTATE IS FOR ENTREPRENEURS
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The USDRE is a free search engine that home buyers and sellers use to find their ideal real estate agent. We have a custom search-algorithm called Agent Match that analyzes people’s values, beliefs, and outlook on life to match them with Agents that they will work well with on both a personal and professional level.