From afar everything may seem splendid. However, to understand if a career is right for you, you need to know all its pros and cons. When you understand the different aspects of a career it will help you make an informed decision about your future.
It’s the same with real estate. Yes, real estate offers a great pay and flexible work schedule, but it also has its fair share of cons. Let’s look at the advantages and disadvantages of choosing real estate as a career path. At the end of the article, you will figure out if it’s for you or not.
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Educational Requirements
Usually, people begin their career in real estate with being a real estate agent. The good news is you don’t need a bachelor’s degree to start your career as a real estate agent. However, you do need to get the necessary license. Real estate agents are required to undergo training and pass the license exam. Getting the training doesn’t take that much time. It will just take around 30 days.
Compulsory requirements to be a real estate agent are:
- Minimum 18 years of age.
- You must at least possess a GED or high school diploma.
- You have to pass the license exam
- And undergo the necessary training as dictated by your state.
It’s More than a Sales Job
When people think about real estate they think it is mostly about making a sale. But being a real estate agent is more than driving sales. It is primarily a service-based job. Here you are helping people find their ideal homes or selling their most prized possession.
How you deal with a client and how you help them are big contributing factors to your success. Even though most people come into the real estate sector after having a career in sales, the sales part is not the only role of the job. You need to make sure that people get what they are looking for.
Remember a chunk of revenue for any real estate business comes through referrals. A happy customer will bring in more potential customers.
Income
According to BLS (Bureau of Labor Statistics) reports, in 2018 the average yearly salary of real estate agents was $50300. This figure represents the average of both the star real estate agents and the part-time real estate agents. Therefore, it can be understood that earning potential in real estate is good.
Though earning potential is good in this sector, income will not happen immediately. It takes time to make the first sale in real estate. Established real estate professionals say that it took them 6 months to a year to earn their first commission.
During this time, you need to have saved up funds to pay for your personal bills and invest in your real estate business. For example, you need to invest your money for the training and the license exam.
Work Timings
The flexible timings of real estate jobs come with a catch. You can indeed set your own work schedule, but remember you will be working for clients. Your clients may have a 9-5 job. This means you may need to work the weekends or late nights to be available to your clients when they are free.
Pros of a Real Estate Career
- You can become your own boss
- Income potential is high
- Your income depends on how much you are willing to work.
- You can work at different locations.
Cons of a Real Estate Career
- You will have to adjust your schedule based on your client’s time.
- The first sale will take time.
- New real estate agents have high rates of failure.
- You need some funds to get started.
Final Thoughts
It is tough to start a career in real estate in the beginning, but with hard work and perseverance, it is possible to overcome the initial hurdles. Once you know the ropes of the trade it becomes easy to scale a real estate career.
