6 Misconceptions About Working as a Realtor

There is no shortage of reality television shows that depict the life of a Realtor. A jet-setting lifestyle, endless parties and high-profile clients – all of these images contribute to the misconception about real estate sales.

Life as a Realtor is much different than it’s depicted on television. For starters, the average Realtor in the U.S. earns just over $44,000 per year.

There are several other misconceptions about a career in real estate. Here are 6 misconceptions about working as a Realtor.

1. Working as a Realtor requires a small amount of effort.
Between endless meetings with clients and marketing efforts, many Realtors work long hours each week. In fact, the average real estate sales professional works over 50 hours a week.

Many people falsely believe that Realtors have the flexibility to indulge in mid-day lunches and extensive vacations. Most Realtors don’t have the luxury of squandering time on frivolous activities.

2. It’s easy to work with clients.
Clients can be demanding. Many clients expect Realtors to be available all day and night. Demanding clients can increase the stress level of the job.

Realtors must learn how to manage the expectations of their clients. This is especially true when clients are looking for homes with limited budgets.

3. Every real estate deals goes to closing.
From botched financing to failed inspections, there are many factors that can cause a deal to fall apart. When a deal falls through, the Realtor doesn’t get paid for the transaction.

With real estate transactions, there are no guarantees. Realtors have come to accept the uncertain nature of the profession.

4. Realtors work for a real estate company.
State laws regarding Realtors vary. Many Realtors are required to work under the direction of a licensed real estate broker. However, Realtors don’t work for the real estate broker.

Realtors are independent contractors who are self-employed. They pay their own taxes, retirement benefits and association dues.

5. Realtors get to keep the entire commission check.
In large metropolitan areas, the most common commission rate for real estate transactions is 6 percent. The commission on a transaction must be split between the real estate companies that represent the buyer and the seller. After the commission has been split and the brokerage gets its share, the Realtor receives a commission check.

6. Realtors aren’t required to update their skills.
Realtors must spend hundreds of dollars each year to take real estate courses that increase their skills. In addition, they are required to take courses to renew their licenses.

Working as a Realtor can be rewarding. If you want to become a successful Realtor, it’s important to know the truth about the job.

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