In this article, I am going to discuss 10 reasons why you shouldn’t get a real estate license.
As a real estate agent since 2002 and a broker / owner recruiting and training real estate agents since 2006, I have seen my fair share of successes and failures in the real estate business.
So why should you NOT get your real estate license?
The Failure Rate In Real Estate
It is estimated that 87% of real estate agents fail or drop out of the business. Many within 6 months. Right off the bat, the odds are against you becoming a real estate agent.
Realtors Have A Lack Of Self Discipline
Let’s face it. Many people are not disciplined. And the real estate business has a huge requirement for self discipline. Discipline to stick to a schedule. Discipline to prospect. Discipline to do all the necessary daily real estate activities needed to excel and close transactions.
Real Estate Ups & Downs
I see it all the time. I speak with a real estate agent and they are down because a deal fell apart. The problem is, they never reflect on the last deal that made them an $11,000 check.
REALTORS have to have the right mindset for the real estate industry.
No Consistent Paycheck As A REALTOR
When I was in College working for Redbull, I had a consistent paycheck. I eventually resigned and went full time into real estate only to quickly realize, it is ALL ON ME.
Many real estate agents cannot handle not having a consistent paycheck and many REALTORS will go back to a job providing that safety blanket.
Real Estate Agent Liabilities
This leads me to liability. I have seen so many real estate agents over the years do stupid shit becuase they needed to “make the deal happen.”
They needed the deal to happen in order to pay their own bills. Completing the deal for the real estate commission was more important than their clients needs.
Money. Or lack of it, can make real estate agents act a bit CRAZY.
REALTORS Are Too Emotional
Unfortunately many real estate agents get invested emotionally into the real estate deal.
Sometimes they are the root cause of killing a successful real estate transaction. I have seen it countless times.
This can be due to being overly emotional, huge ego or money. In any case, it is disruptive.
Part Time Real Estate Agents Without A Plan
I see many real estate agents get their real estate license because they “love” looking at houses. Or someone said “Hey! You would be great as a real estate agent.”
Well an idea is just that. It is an idea partially executed. They get their real estate license, but they are not committed to making it a full time career. They come to the realization just how difficult it can be without the FOCUS.
REALTORS Have A Lack Of FOCUS
FOCUS. Follow One Course Until Successful. Look there are so many niches in real estate. But many real estate agents are like squirrels. They move from one target market to the next.
I am not saying that it’s bad to try out different niches, but unfortunately most never stick to just one NICHE like Short Sales or BPO’s.
Learning Curve As A Real Estate Agent
There is a learning curve in ANY industry. Unfortunately many real estate agents don’t understand this is not just real estate but it is SALES. Real estate at the end of the day is a fairly simple industry.
Sales on the other hand isn’t necessarily. You have to interact with a certain amount of people on a regular basis in order to increase your sales.
Real Estate Market Changes & Adaptation
As previously mentioned I have been in this industry since 2002. And I have been through multiple cycles as well as this upcoming one in 2020.
With that said, in 2008, I saw a huge population of real estate agents and entire brokerages go under.
The reason is they didn’t adapt. For example, assuming we go into a real estate recession, every real estate agent should pivot into short sales, REO’s BPO’s and property management.
Look. I am just giving you my experience as a real estate broker who has worked with thousands of agents over the years.
Now if you can take this information and learn what to do to combat it all, you in fact will be a successful real estate agent!