Am I cut out to be a real estate sales person? Is now a good time?
Started by Fluter
over 16 years ago
Posts: 372
Member since: Apr 2009
Discussion about
After 25 years as a self-employed freelance writer/journalist, I want to pursue my love of real estate and become a licensed salesperson working in Manhattan. I own some real estate already (L.I. house, Man. UES pied-a-terre, several rental props upstate and in Georgia, so I'm a landlord with several property managers), and since I do all my own selling I've had some experience negotiating with... [more]
After 25 years as a self-employed freelance writer/journalist, I want to pursue my love of real estate and become a licensed salesperson working in Manhattan. I own some real estate already (L.I. house, Man. UES pied-a-terre, several rental props upstate and in Georgia, so I'm a landlord with several property managers), and since I do all my own selling I've had some experience negotiating with buyers. I'm financially secure and just not money obsessed, however, I am just not put together to want to make big $$, and I'm a little worried this will hamper me greatly. I just love helping people solve their problems, I love buildings, construction, design, "the art of the deal," I love finding amazing r.e. deals, I know how to research things in fine detail. I adore Manhattan and know Manhattan neighborhoods quite well, and I also know a bit about upscale Brooklyn. Have signed up to take classes at NYU with a r.e. guru, the class sounds fascinating and I can't wait. What do you think? Am I shark enough for this job? To me this is a great time to buy real estate (I'm in contract right now), but is the market flooded with beginner agents and so no broker will take me on? Thanks very much in advance for any reaction.
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Response by tina24hour
over 16 years ago
Posts: 720
Member since: Jun 2008
Would you consider a small Brooklyn-based shop?
Tina
(Brooklyn broker)
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Response by alpine292
over 16 years ago
Posts: 2771
Member since: Jun 2008
I would not become a realtor:
With few homes to sell, real estate agents find work elsewhere
Melissa Thomas-Garcia thought selling real estate would be a great way to funnel the entrepreneurial energy she used selling crafts and Avon out of her home into a long-term, steady job.
"They kept telling us how the market is prime right now, and everyone is making sales and making deals," said Thomas-Garcia, 28, who lives in Lindenwold, Camden County. "At the time, it seemed perfect."
"Last year it really dropped off," said Jeff Snyder of Moorestown, co-owner of RE/MAX of New Jersey. "I think you're going to see that trend continue."
The number of single-family homes sold in New Jersey dipped 18 percent in 2008, while the median sales price fell 7.5 percent, according to the New Jersey Association of Realtors.
"People are saying, 'Wow, I've got to get a real job,'" said Richard Leonard, who owns Arcadia Realtors in Roseland.
Brokerage owners say they're seeing more people like Thomas-Garcia putting their licenses into referral status, meaning they can still make a commission by directing buyers to agents while paying a fraction of the fees of an active license.
Nancy Palmisano put her license on hold around Christmas to become a substitute teacher in the Caldwell-West Caldwell school district, one step toward pursuing her true passion, teaching elementary school. Though she had considered returning to her former profession, the economy changed her mind.
"It wasn't making sense to keep paying the fees if I wasn't making enough money to cover them," she said. "At least subbing was a definite. It's a small paycheck, it's not a huge paycheck, but it's something that I can pretty much count on."
Alisa Soules, 46, of Bloomingdale, considers herself lucky. She got out in November 2007 to sell insurance with State Farm. She sees friends who are still in the business struggling.
"Everybody's in debt," she said. "Everybody's using their credit cards. They're losing so many deals."
I just met a semi-young broker who got into the RE business just 2 months ago. She likes it but you need a lot of patience and a few pairs of comfortable walking shoes. You will also need a few months of capital since you won't get paid unless you sell or lease an apt.
If you are going to do this, please do it right. Don't be a liar looking to screw someone over.
Good luck
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Response by alpine292
over 16 years ago
Posts: 2771
Member since: Jun 2008
If you want to make money in RE you absolutely have to lie. If you don't want to lie, then don't become an agent. I've met some older agents who lie so much they don't even realize they are lying.
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Response by NWT
over 16 years ago
Posts: 6643
Member since: Sep 2008
Fluter, check out ISBN 9781427754653. You and the author (a regular here) have some things in common, and it's a good read.
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Response by Fluter
over 16 years ago
Posts: 372
Member since: Apr 2009
I will not lie. It's ugly, it's not necessary and it takes all the fun out things. Plus it's bad for business, I know this because as an investor I'm a repeat customer with a couple of trustworthy brokers.
Thanks for asking, Tina, but I know Manhattan so much better than I know Brooklyn, so I do want to be Manhattan based.
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Response by columbiacounty
over 16 years ago
Posts: 12708
Member since: Jan 2009
if you have the luxury of not needing to make any money for a while and you are generally "good with people" I think it is probably a great time to get started in real estate. the old order is clearly on the way out and a new, honest approach can work if given enough time.
i absolutely do not believe that it is necessary to be a liar to be successful but having some previous experience dealing with the public (sales, food service, etc) will help. To me, the key challenge is to not use other's bad behavior as an excuse for your own. I have no doubt that you will get jerked around by some people you deal with; the question is whether you have the ability to let it go.
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Response by hofo
over 16 years ago
Posts: 453
Member since: Sep 2008
Tina, out of curiosity how long do you give new brokers before he/she gets the boot?
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Response by tina24hour
over 16 years ago
Posts: 720
Member since: Jun 2008
hofo - In real estate you work as an independent contractor, so getting the boot is less of an issue. Yes, some firms have been downsizing; in many cases, this means laying off administrative staff and salaried agents (like those who work in the sales offices of new developments). So I think if you're starting in real estate now, the question is more one of getting hired in the first place. And then sticking it out for the first couple of years in which you don't make much money. That can be brutal and discouraging, but you learn loads. If you're a person who finds real estate fascinating, and you can keep freelancing as a journalist on the side, you can enjoy even this profitless phase.
Fluter seems a good candidate for what columbiacounty describes above - an evolving real estate culture. My company is small, honest, and hardworking, and we are actually hiring. Our business model seemed a bit hokey during the bubble, but we're reaping the benefits now. I don't believe there has ever been a need to lie, and nowadays it can be a career-killer. You do need to find a firm in which your ideals will be supported, though. They are out there.
Tina
(Brooklyn broker)
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Response by front_porch
over 16 years ago
Posts: 5316
Member since: Mar 2008
Thanks NWT for recommending my book!
Fluter, seriously, you are the perfect purchaser: it's a memoir of the first year of a Manhattan journalist's crossover into real estate.
Why do you think "To me this is a great time to buy real estate" ?? Don't give me this 'with a long time horizon you'll do fine' argument. That does not make it a "great time" to buy. It makes it an ok time, maybe.
You don't have parity with rents except maybe at the low-end; taxes/fees are going up; most importantly the entire market's price/income ratio is still above average. I would think you would want it at average or below to account for overshoot to make it a "great time to buy real estate"
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Response by nyc10022
over 16 years ago
Posts: 9868
Member since: Aug 2008
I say if you actually LIKE real estate, don't be a broker. Probably no better way to become bitter about it. Same way if you like music, don't work for a record company.
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Response by nyc10022
over 16 years ago
Posts: 9868
Member since: Aug 2008
> To me this is a great time to buy real estate
OK, maybe you DO have the chops to be a broker!
;-)
You have the spin down...
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Response by tina24hour
over 16 years ago
Posts: 720
Member since: Jun 2008
nyc10022 - I hear you, but it hasn't worked that way for me. If you work for/with non-creeps you can sustain your interest.
I say that having worked for a record company, with disastrous results.
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Response by dwell
over 16 years ago
Posts: 2341
Member since: Jul 2008
"Am I shark enough for this job? "
Fluter,
You do not have to be a shark to succeed in this business or in any business. Just know your market, know your product & know your customer.
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Response by cccharley
over 16 years ago
Posts: 903
Member since: Sep 2008
I say why not? I'm going to get my license and give it a try too. I really can't get back into anything else right now and I sold 2 apartments in Manhattan. I know it can get discouraging but if you're a people person you may be good at it. You'll never know unless you try.
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Response by nyc10022
over 16 years ago
Posts: 9868
Member since: Aug 2008
"nyc10022 - I hear you, but it hasn't worked that way for me. If you work for/with non-creeps you can sustain your interest."
Just give it time.... its one thing to have that in an up market (and the biggest one ever)... but as this thing wears on....
I say that coming from a family in RE...
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Response by rear_window
over 16 years ago
Posts: 33
Member since: Apr 2009
This must be a joke. With the thousands of starving brokers already roaming the city I would suggest not enriching NYU and instead giving the tuition money to charity.
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Response by julia
over 16 years ago
Posts: 2841
Member since: Feb 2007
apartments are going to be bought and sold but at much lower prices, lower commissions, etc...it appears from your posting that you like to work with people and why not give it a try..you're not signing a contract..you'll probably be freelance...i find every job i have is always an adventure in life...
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Response by Fluter
over 16 years ago
Posts: 372
Member since: Apr 2009
Thanks for all your great comments. This is definitely no joke, I signed up for the NYU class today (it's only $590) and yes Alison's book is on its way, it sounds terrific ;)
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Response by aptmaven
over 16 years ago
Posts: 26
Member since: Apr 2009
Save your mortal soul, drop the class, and send back the book. You have been warned.
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Would you consider a small Brooklyn-based shop?
Tina
(Brooklyn broker)
I would not become a realtor:
With few homes to sell, real estate agents find work elsewhere
Melissa Thomas-Garcia thought selling real estate would be a great way to funnel the entrepreneurial energy she used selling crafts and Avon out of her home into a long-term, steady job.
"They kept telling us how the market is prime right now, and everyone is making sales and making deals," said Thomas-Garcia, 28, who lives in Lindenwold, Camden County. "At the time, it seemed perfect."
"Last year it really dropped off," said Jeff Snyder of Moorestown, co-owner of RE/MAX of New Jersey. "I think you're going to see that trend continue."
The number of single-family homes sold in New Jersey dipped 18 percent in 2008, while the median sales price fell 7.5 percent, according to the New Jersey Association of Realtors.
"People are saying, 'Wow, I've got to get a real job,'" said Richard Leonard, who owns Arcadia Realtors in Roseland.
Brokerage owners say they're seeing more people like Thomas-Garcia putting their licenses into referral status, meaning they can still make a commission by directing buyers to agents while paying a fraction of the fees of an active license.
Nancy Palmisano put her license on hold around Christmas to become a substitute teacher in the Caldwell-West Caldwell school district, one step toward pursuing her true passion, teaching elementary school. Though she had considered returning to her former profession, the economy changed her mind.
"It wasn't making sense to keep paying the fees if I wasn't making enough money to cover them," she said. "At least subbing was a definite. It's a small paycheck, it's not a huge paycheck, but it's something that I can pretty much count on."
Alisa Soules, 46, of Bloomingdale, considers herself lucky. She got out in November 2007 to sell insurance with State Farm. She sees friends who are still in the business struggling.
"Everybody's in debt," she said. "Everybody's using their credit cards. They're losing so many deals."
http://www.nj.com/news/index.ssf/2009/04/with_few_homes_to_sell_real_es.html
I just met a semi-young broker who got into the RE business just 2 months ago. She likes it but you need a lot of patience and a few pairs of comfortable walking shoes. You will also need a few months of capital since you won't get paid unless you sell or lease an apt.
If you are going to do this, please do it right. Don't be a liar looking to screw someone over.
Good luck
If you want to make money in RE you absolutely have to lie. If you don't want to lie, then don't become an agent. I've met some older agents who lie so much they don't even realize they are lying.
Fluter, check out ISBN 9781427754653. You and the author (a regular here) have some things in common, and it's a good read.
I will not lie. It's ugly, it's not necessary and it takes all the fun out things. Plus it's bad for business, I know this because as an investor I'm a repeat customer with a couple of trustworthy brokers.
Thanks for asking, Tina, but I know Manhattan so much better than I know Brooklyn, so I do want to be Manhattan based.
if you have the luxury of not needing to make any money for a while and you are generally "good with people" I think it is probably a great time to get started in real estate. the old order is clearly on the way out and a new, honest approach can work if given enough time.
i absolutely do not believe that it is necessary to be a liar to be successful but having some previous experience dealing with the public (sales, food service, etc) will help. To me, the key challenge is to not use other's bad behavior as an excuse for your own. I have no doubt that you will get jerked around by some people you deal with; the question is whether you have the ability to let it go.
Tina, out of curiosity how long do you give new brokers before he/she gets the boot?
hofo - In real estate you work as an independent contractor, so getting the boot is less of an issue. Yes, some firms have been downsizing; in many cases, this means laying off administrative staff and salaried agents (like those who work in the sales offices of new developments). So I think if you're starting in real estate now, the question is more one of getting hired in the first place. And then sticking it out for the first couple of years in which you don't make much money. That can be brutal and discouraging, but you learn loads. If you're a person who finds real estate fascinating, and you can keep freelancing as a journalist on the side, you can enjoy even this profitless phase.
Fluter seems a good candidate for what columbiacounty describes above - an evolving real estate culture. My company is small, honest, and hardworking, and we are actually hiring. Our business model seemed a bit hokey during the bubble, but we're reaping the benefits now. I don't believe there has ever been a need to lie, and nowadays it can be a career-killer. You do need to find a firm in which your ideals will be supported, though. They are out there.
Tina
(Brooklyn broker)
Thanks NWT for recommending my book!
Fluter, seriously, you are the perfect purchaser: it's a memoir of the first year of a Manhattan journalist's crossover into real estate.
http://tinyurl.com/2ag28z
Everybody else, I swear I did not make Fluter up.
ali r.
{downtown broker}
Why do you think "To me this is a great time to buy real estate" ?? Don't give me this 'with a long time horizon you'll do fine' argument. That does not make it a "great time" to buy. It makes it an ok time, maybe.
You don't have parity with rents except maybe at the low-end; taxes/fees are going up; most importantly the entire market's price/income ratio is still above average. I would think you would want it at average or below to account for overshoot to make it a "great time to buy real estate"
I say if you actually LIKE real estate, don't be a broker. Probably no better way to become bitter about it. Same way if you like music, don't work for a record company.
> To me this is a great time to buy real estate
OK, maybe you DO have the chops to be a broker!
;-)
You have the spin down...
nyc10022 - I hear you, but it hasn't worked that way for me. If you work for/with non-creeps you can sustain your interest.
I say that having worked for a record company, with disastrous results.
"Am I shark enough for this job? "
Fluter,
You do not have to be a shark to succeed in this business or in any business. Just know your market, know your product & know your customer.
I say why not? I'm going to get my license and give it a try too. I really can't get back into anything else right now and I sold 2 apartments in Manhattan. I know it can get discouraging but if you're a people person you may be good at it. You'll never know unless you try.
"nyc10022 - I hear you, but it hasn't worked that way for me. If you work for/with non-creeps you can sustain your interest."
Just give it time.... its one thing to have that in an up market (and the biggest one ever)... but as this thing wears on....
I say that coming from a family in RE...
This must be a joke. With the thousands of starving brokers already roaming the city I would suggest not enriching NYU and instead giving the tuition money to charity.
apartments are going to be bought and sold but at much lower prices, lower commissions, etc...it appears from your posting that you like to work with people and why not give it a try..you're not signing a contract..you'll probably be freelance...i find every job i have is always an adventure in life...
Thanks for all your great comments. This is definitely no joke, I signed up for the NYU class today (it's only $590) and yes Alison's book is on its way, it sounds terrific ;)
Save your mortal soul, drop the class, and send back the book. You have been warned.