Real estate is competitive, and right now it’s more challenging than ever to make it in this industry. You need to have the essential skills, connections, support, marketing materials, and of course hard work. But even if you are doing everything right, there are still factors outside of your control that can make or break your success as a realtor. It’s incredibly rewarding and profitable, however it’s one of the more difficult careers out there, and many agents give up before they even get started.
87% of real estate agents fail in their career within four years. So, why do so many agents fail? In this post we will discuss the reasons behind these failures and how you can avoid them.
Reason #1: Refusing to do the Grunt Work
Real estate is not like other businesses. There’s drama, red tape and boring paperwork that comes with the daily grind. This can be frustrating for most agents who just want to do what they love (selling-duh), but if it was that simple EVERYONE would do it. Luckily with a strong real estate team behind you, you can get around the boring stuff. However it’s important you also learn these crucial parts of your business. It can’t always be fun and games.
Instead, try this: Partner with an agency or local real estate team to get proper support but also to help you with the never-ending paperwork & scut work that comes with being an agent. That way, you can do what you do best, sell!
Reason #2: Lack of Market & Industry Knowledge
You can’t be successful in this business if you don’t know the ins and outs of the real estate industry. Many agents think they are ready to sell real estate because they understand home value and are a good salesman, but what about knowing how demand is shifting? Where homes are being sold and at what price points? What kind of inventory is available? You need to know these things and a lot more.
There has been a huge gap in real estate education–especially authentic, gimmick-free education. Lucky for you, you’re just in time. We just launched a no-B.S. online course to teach you everything you need to know. And the best part is, you can do it at your own pace, and as many times as you want.
Instead, try this: Do your research. Know what areas in your city have been selling at record rates over the last few years, keep an eye on market shifts, demand, etc. Check out our online course here while you’re at it.
Reason #3: Not Being a People-Person
Real estate isn’t just about selling homes, it’s also about being a good friend and genuine person. Yes you need to have market knowledge, but if people don’t like you then they simply won’t work with you. This entire industry and your likelihood of success revolves around your ability to make meaningful connections with potential clients. 10 times out of 10 people will buy and sell homes from people they like, not money-hungry or pushy salespeople. It’s 2021, people want real, authentic, and genuine people they can trust.
Instead try this: Stop thinking of your clients as a walking paycheck. Use your personal skills to form genuine connections. Trust us, by not faking these relationships you are setting yourself up for return business, referrals, and great feedback. Everything stems from being authentic. Make the effort to be friendly & personable even when you are exhausted, because good vibes go a long way.
Reason #4: Not Understanding Patience
Selling real estate is not a sprint, it’s a marathon that requires patience & perseverance–two things many agents lack because they want a quick buck and quick turnaround. Selling real estate takes time. A lot of it, in fact most homes take months to sell even when they are priced correctly and marketed well. Gaining clients takes time, and so does making a name for yourself. It ALL takes time.
Instead try this: Accept that success and growth doesn’t happen overnight. You have to be patient, put your head down and get to work. Closings, leads, and success will all come with time, but without your determination to do this the right way, you’ll end up in that 87%.
Reason #5: Trouble Accepting Rejection
If you can’t handle constant rejections, then this is not the industry for you. Every day we get dozens & dozens of “No’s”. Your job as a real estate agent is to just keep going and never stop trying. For every “No”, you’re one step closer to getting a “Yes“.
Instead try this: Focus on what YOU can control, and don’t take rejection to heart. You can’t force anyone to be ready to buy or sell, but you CAN nurture the relationship and be prepared so when they’re ready, you can pick up right where you left off. Don’t sweat it!
If you are considering a career in real estate, we encourage you to give it a shot! It’s not going to be easy but your hard work WILL pay off. Most agents fail before they truly even begin, so take some time now to review the common reasons why most agents fail and what you can do to avoid them.