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Expert
Posts: 1599
  
| Spinoff of the career change post: How much time do you devote to your job on the weekends? After 5pm during the week? How long were you an agent before you earned your first comission? Did you start full time right off the bat or start as PT?
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Elite Veteran
Posts: 682
Location: Northwest | I only work weekends if someone has scheduled something with me for those days ahead of time. I try really hard not to work on the weekends but will occasionally do last minute showings etc. I work past 5pm maybe once a week, I try to leave between 2&3 pm during the winter months. It doesn’t always work out but that’s to be expected when you’re an agent. I’m lucky and work for a great company (just me and th owner).
I work in a small town (2,500 ish people) so even though I work close to “full time” it doesn’t always work out to a full time paycheck lol. I took me about 2-3 months before I got my first commission. It takes close to six weeks to close most sales (if financing is involved)....love those cash sales!!
Depending on the company you work for you’ll have different splits. For example I get 60% of the commission and my office gets 40% but I don’t pay a “desk fee”. Then you have to take your taxes out of that 60%. Lots of folks think realtors make a ton of money, but depending on the area you’re in and how much time you devote to it you really may not make a whole lot. You also have to pay you MLS fees (local and state) and pay for your ongoing training. |
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Veteran
Posts: 229
| I reside in Houston, Texas and I will complete my 35th year in the business next week. I Began with Re/Max when it was an infant company and was fortunate to have been mentored by some of the best minds in the business.
Remember, you're not a chauffeur and you time is valuable. Try to set a schedule that maximizes your productivity and gives you adequate down time. Interview more than one company before making a choice. If your company of choice doesn't work, move on. After you've become adept at marketing yourself and have gained experience and confidence, weigh the differences between working for a company that offers you the best split, with the most perks or move to a 100% company that provides a desk and amenities. My arrangement with the company I am affiliated with is: I home-office, pay $169.00 annually and a per-sale transaction fee ranging from $160.00 - $400.00 (depending on sale price). Good luck. P.M. me if you have questions. |
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Regular
Posts: 93
| It's tuff market, everyone seems to be a Realtor around here. Be prepared to pay $$$, office fees, high MLS fees, training fees, business cards, supra key, signs, lock boxes, then commission splits, the list goes on and on. Lots of costs up front!! I've been a Realtor now for about 6 months with no listings or closings. About to get out of the business, just to costly! I guess that's how they weed out who can play and who can't. Good luck!! You have to be a real "people person" and know lots of folks to be successful, oh and have someone backing you with $$$.... |
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| The internet and smart phones have almost killed the home based real
human real estate brokers along with states elimination of the "rules of office"
where brokers are no longer responsible to run an ethical office.
Here is a simple break down of how the money flows.
Say the brokerage fee is 6% of the total house price
and let's say an agent sells all shared listings and sales
which involves another broker getting half the fee of 6%
Agent's broker also gets 3% and agent gets 60% of the 3%
If you become a Million Dollar Producer in one year ..
here is the breakdown with all your fees, car expenses, income
taxes, Obamacare.. etc etc coming out of your pocket and the IRS expects
you to estimate and pay your income taxes each quarter since you are
an independent contractor and you get to pay the entire 13% for your
Social Security.
$1,000,000 x 3% = $30,000 x agents 60% = a gross of $18,000
Now deduct all of your expenses and taxes for the net $$$'s you get
to keep.
The agent would have to list or sale 7 properties per year that average
at $150,000 per closing.
As a former broker, I would assign my agents a "Farm Area" to concentrate
their time and efforts on. I held training classes that taught them how to
make short introductory cold calls and to go knock on doors to say hello
I am your real estate representative for this area. Ask if they are thinking
of selling or know of anyone that is in a mild conversational manner.
Two minute conversation unless the home owner extended it. And
they left a small Thank You for Your Time rememberance gift ..
You are going to die when I tell you the two items home owners would
keep for years and it would trigger a call back to the agents office asking
for them ...
A PLASTIC FLY SWATTER with name and real estate office info on handle or
on the swatter paddle.
OR A ... RUBBER PAD TO OPEN JARS WITH ... of course name and office ad printed
on one side
The only steadfast rules in my RE offices were simple ....
My agents did not go to lunch together or attend any type of "party" at each
others homes.
AND they had the owners of their listings gone out of the house when agents
were to show their house!!
They used their time lunching with old or new friends and I never had a "cat" fight
about stealing another agents prospective client at one of their home "parties".
You spend all of your time prospecting with new and old acquaintances AND
working your farm instead of with other agents ..
WHAT ARE YOU GOING TO DO ... SELL EACH OTHER A HOUSE??
LOL ..
In real estate you work with clients when they are not working which means
evenings and weekends!! In the mean time you are working the files on properties
you have sold making sure home inspectors, surveyors, closers and financial
organizations stay on track to get a property closed within 4-6 weeks ..
AND FOR YOUR OWN SAKE $$$'s ...
MAKE THAT CALL TO YOUR BUYERS THE NEXT DAY CONGRATULATING THEM ON THE NICE
HOME THEY JUST BOUGHT ... SO THAT BUYERS REMORSE WILL NOT SHOW ITS
UGLY HEAD!!!!
Edited by BARRELHORSE USA 2017-11-01 3:48 AM
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Expert
Posts: 1599
| GREAT advice y'all, thank you!! BHUSA- I appreciate all of that and the breakdown of fees etc. So funny but those little extra things do make a difference!!
Food for thought.
Last question- as a woman or with women employees in mind....do you think safety is more of a concern now than it used to be? How do you conduct business differently if so?
Edited by lopnaround 2017-11-01 9:48 AM
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 Extreme Veteran
Posts: 545
Location: Texas | To the OP thank you for posting this. Great information for considering entering the real estate business!! |
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Expert
Posts: 1599
| TXBarrelRacer84 - 2017-11-01 10:18 AM To the OP thank you for posting this. Great information for considering entering the real estate business!!
Glad it helped you too! I think a lot of us have this as an "option" in the back of our heads but then realistcally.... |
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 Elite Veteran
Posts: 695
Location: Missouri | yes safety is a huge concern. I was always told if the hair on the back of your neck is standing, leave! so if you get that weird feeling while setting apt, take someone with you or don't go. plus take a conceal carry course and carry! Too many agents coming up missing or killed.
Safety is priority one! |
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Member
Posts: 13
| How do you find a good home to buy? Perhaps you know any reliable services for finding housing, because I wouldn't like to face scammers. |
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Folks on-line