Going into real estate?
My dad recently informed me about a career in real estate. Im currently a junior and its getting to that point where i need to really learn about what i want to do. My mother says that she does not want me to do real estate. I dont know why and i would like to know more about it.
What are the downfalls?
How hard is it to get into real estate?
What are the upsides?
How much money do you make?
Is it a good profession?
Any additional information would be good i really want to know about it in a simple way!
- answerguruLv 41 decade agoFavorite Answer
I know many people in real estate. Most make a decent living however I have known several who have tried to get up and running in the field and failed. It is very hard to remain positive until you can establish a client base. It can be a very difficult business to start making decent money and if you are the type of person that doesn't deal with disappointment very well then you are doomed before you even get started. The reason for this is that people are constantly changing their mind and getting cold feet (buyers remorse) sometimes just as you are sure the deal is done. You will be on cloud nine thinking for sure that first big deal is going to close tomorrow and put a huge commission check in your pocket and then something goes wrong and it can even take place at the closing table, literally minutes away from the deal being sealed. This can cause such disappointment that one gets to the point of not being able to hang in due to the financial pressures. In short if you don't have the patience and financial ability to last a few months with no income you most likely will not make it in the real estate business. Also like many other fields it is one that will provide rewards in direct proportion to the effort you put in it. It is almost impossible to be highly successful as a real estate agent/broker without giving it your all. You need a sizeable nest egg and a whole lot of patience and the attitude that you are going to give it everything you have in you and not try to get started gradually. Part timers are not usually successful as real estate agents/brokers. Remember one thing, your commissions are not up to you to set. They are controlled by the real estate commission in the state where you are working. Another thing is that you split your commission with the broker, your boss, as well as the listing agent. This is quite often an agent from another broker's office. So a typical commission that is charged at 6% (pretty common for residential sales) and 10% for commercial properties will result in as little as 1 1/2 % in your pocket. Then you must pay your own taxes to the IRS, usually paid quarterly. This can be another reason for failure. The fact that many people don't have the descipline to put a percentage of their earnings in a savings account to pay taxes with is a BIG reason for failure. Good luck but proceed with caution.
I can tell by the answer posted by Liz that she is totally unfamiliar with the real estate business. Her example of earnings would only hold true if you were the broker (rather than just an agent) and also if you were the one who listed the property (so there is no 50/50 split with the listing agent and then another 50/50 split with your broker, the person with whom you have your license registered with your state real estate commission). Therefore her example of a huge $10,000 commission check is more commonly only $1500 and that is the pre tax amount.
- 4 years ago
Real estate business is not easy to do. There are many things should have to be cosidered. If you are real estate agent then its depend how many months experience you have. How many clients do you have, how much you charge from clients. A real estate broker typically receives a payment called a commission for successfully matching a seller's real estate with a buyer such that a sale can be made. This commission can be divided up with other participating real estate brokers or agents when applicable.
- 5 years ago
All too often, someone will decided to sell real estate because they see the lesson was simple; they were either going to conquer and come back on type of thinking runs rampant among the personality types who get into real estate.Go to the website for your state's Department of Real Estate or Bureau of Real Estate and find a list of approved online.About four years ago I got back into the real estate space full time in a consulting role, helping . If you are wondering where I am going to start, here is my plan.Does it make sense to get into real estate sales in a down market? Here's what some experts have to say.The process of becoming a licensed professional in the real estate industry differs from state to state.It's a necessary evil that every new agent goes through.I can not imagine going back to an 800am-500am job because I have too much fun in this profession. However, before you jump into real estate please consider.She decided to get into real estate after her kids left the nest.income and go into real estate, but having a husband that makes a salary helps.I don't try to persuade people into becoming Real Estate Agents. Becoming a successful real estate agent is a combination of investing time in education,Don't go it alone in the real estate market.Click here.....Property ManagementSource(s): http://www.ethanproperty.com.au/
- Anonymous1 decade ago
Every real estate agent makes different amounts of money, depending on how many clients you have and how much you charge,
If you charge for example 10% of the house your client wants to buy, you can make some money
So if the house cost 100,000 you get 10,000 off of one profit
but that is EXTREMELY high
my old real estate agent charged 6%
Not really hard, but when the economy sucks *** like it is right now real estate agents dont make anything. Because nobody can buy a house right now. Also depends on where you live, like arizona is one of the worst states for real estate right now because the economy hit us pretty bad
But when we have a good economy and its a "sellers market" like it was in arizona a few years ago real estate agents were making good money. A few years ago alot of people from california were moving to arizona so the real estate market was really busy
It just really all depends
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- 5 years ago
ITS all Real estate business trending and booming a lot in INDIA. Bangalore tops the real estate business