It seems a large portion of folks who venture to become a real estate agent end up failing in their first year. There are many reasons behind this but in order for you to improve as an agent, it is important to learn from their mistakes.
What would you said are common reasons people fail when it comes to being a real estate agent and how do you think it would best be to avoid said reasons?
I think common reasons is that people rush into it and don't prepare for what they're doing. As well, some give up fairly fast when they realize it's not as easy as they had hoped. I know some people who get into real estate by buying up damaged houses and flipping them, but in reality it's not as easy. It takes time, sometimes years to sell some houses.
If you get into it just for the money, you are going to fail. You have to enjoy properties, values, numbers, and generally working with people.
I know someone who got a license and couldn't sell anything because he was not a friendly people person and hated looking at houses. Made no sense to be a realtor!
James made a good point. You have to enjoy a good portion of this work, not just making money. If you only focus on money making, you will end up overlooking things and setting yourself up for failure.
While most successful real estate agents will point to any number of reasons why others fail, the truth is that the reason the overwhelming majority of unsuccessful real estate agents are unsuccessful lies in their psychology. That said, that self-doubt manifests itself in several ways. When agents convince themselves that they cannot succeed, they stop taking the actions that are necessary for them to become successful. The most common thing that the agents stop doing is prospecting. Most people hate talking on the phone anyway, and that's especially true when they are making cold calls.
Not having enough savings. For many real estate agents, it takes months or even years before successfully closing a deal. Since their earnings are based on commissions, this could mean not having an income for some time. Therefore, before becoming a real estate agent, make sure you have enough cash saved to make student loan payments, car loan payments, pay bills, buy groceries, etc. Your savings should also be enough to run your real estate business. As a general rule of thumb, be sure to have enough saved to sustain you for at least 6 months. You will be able to work more effectively knowing that your bills are taken care of.