4 Myths About Real Estate I Wish Were True

Here are 4 Myths about Realtors That I (and my wife) Wish Were True!

Since becoming a Realtor, I have heard these statements uttered by several people. Below is my attempt to set the record straight!

Realtors are paid the entire commission.

The truth is, for most agents, they are splitting the commission with their broker. That split could be as much as 50/50. **In case my broker is reading this, I believe this split is completely fair, reasonable, and I wouldn’t have it any other way!**

Realtors get paid to drive clients around or show property.

For the most part, Realtors only make money when a transaction is closed and funded. An agent can take a client all the through way the process and if the deal falls apart, the agent doesn’t get paid.

All Realtors are rich.

While real estate can provide a good income, it has been said that 20 percent of the agents do 80 percent of the business. The commision that is paid to the agent,even after the broker split, can be substantial. However real estate is a very expensive business to be in. There are dues and fees paid to associations, advertising, gas, signs, websites, professional photography, health insurance, etc. Pretty much anything real estate related comes out of the agent’s pocket. Most are lucky to walk away with 1 percent of a transaction.

Real Estate is an “easy” job.

Real Estate can be a challenge. It is more than just driving around and looking at million dollar houses. It is constant marketing, prospecting, and handling complex transactions. Agents put in a lot of time and effort with no guarantee of a pay day.

To answer a common follow up myth, real estate in NOT a part time job.  Agents are constantly answering calls, emails and texts. Nights, weekends and holidays included.

Agents work with people on the biggest financial transactions of their lives. It’s emotional, complicated, and can be very stressful.

That said, I wouldn’t have it any other way! I love the challenges that go into the job. It is far from easy, but if done properly, can be enjoyable and rewarding.