When you become a real estate agent, you may hear things about the business that isn’t true. It’s important to go into the field with an accurate picture of what it’s like to be an agent.
So, beware of these myths!
Realtors Can Work Whenever They Like
No, you cannot work whenever you like. Realtors can work their own hours and take vacations when they like. So, it’s definitely different than your normal 9-5 behind a desk.
But real estate agents are essentially running their own small businesses. This means you need to put in a lot of time to be successful. It also means being available to work when your clients are available.
And that means working a lot of nights and weekends. You could have to work 20 hours or more on the weekend while your 9-5 friends are at the beach.
As you study online for your real estate exam, be aware that you will need to work a lot of extra hours, especially in the first year.
You Always Get A 6% Commission
No, you don’t always get a 6% commission. It’s important to understand how you get paid as a real estate agent. And getting a 6% commission is the exception, not the rule.
Real estate commissions vary wildly by state and transaction. Some real estate transactions may pay a lot less than that.
And even if there is a 6% commission available on a deal, you may need to split it with another agent. It’s very common for agents to work together on a deal, and there is always the agent on the other side of the transaction to consider.
Further, don’t forget you need to give your brokerage a percentage, too.
You Learn Everything You Need From The Real Estate Licensing Class
Any successful realtor will tell you that what you learn in the licensing class is just what you need to pass the exam. After you become an agent, your education really starts!
You will need to start reading and learning as much as you can about your local real estate market to be the most successful agent. The best agents are always learning new things about being an agent and about their local housing market.
Real Estate Agents Are All Rich
It’s true that successful real estate agents can make a lot of money, but many real estate agents don’t.
Those who make the most money invest a lot of time and effort. You need to be prepared to work 50 or 60 hours per week to become a successful agent. And that time needs to be used effectively to get commissions every month.
Your Travel Costs Are Reimbursed
No, you usually need to pay for your own travel costs. And as a real estate agent, you need to do a lot of driving and filling the gas tank, unless you have an EV.
Many busy real estate agents drive more than 20,000 miles per year, and all of the gas and maintenance costs are part of doing business.
Agents Don’t Pay For Marketing
Good agents DO pay for a lot of their own marketing because the brokerage only pays for so much.
There are a lot of marketing costs you will need to pay if you want to get more deals done. Successful agents often pay thousands of dollars per year for specialty real estate websites, open houses, digital marketing, and advertising, 3-D tours, and property videos.
Now that you have a more realistic view of what being an agent is like, you are more likely to succeed.