10 DEADLY REASONS WHY MOST REAL ESTATE AGENTS FAIL

One of the most rewarding careers in the real estate industry is that of a real estate agent. It offers endless earning opportunities as well as flexible hours and the ability to network with a large number of people.

does not imply, however, that every realtor is not efficient or productive.

According to studies, up to 80% of new realtors fail and leave during their first year in the industry. For aspiring agents, you should be concerned about such a high failure rate. I will outline the top 10 reasons that serve as obstacles in the way to success.

1- Lack of commitment

As the saying goes” There is a difference between interest and commitment. When you’re interested in something you do it only when it’s convenient. When you’re committed to something you accept no excuses, only results.”.The real estate industry requires a lot of hard work.

It requires dedication and motivation despite the number of problems that come your way. Real estate agents tend to compare themselves to successful agents without noting that those people had to go through many obstacles to reach the status they are in. The moment they set foot in the real estate industry, they are faced with harsh realities. At this time, their interest goes away and they give up. The realtors that possess commitment stay despite the struggle.

2- Unrealistic expectation

It’s our own unrealistic expectations that drive us to failure at times. The expectations we set for ourselves can either make us or break us. This can impact our self-esteem, motivation, and productivity, which in turn damages our bottom line.

Most realtors tend to have unrealistic expectations in regards to the money they will obtain or the amount of work they have to put in. There is this assumption that realtors gather a lot of money in a short time.

The moment they fail to meet these expectations, the motivation they have for the work dies along. Unrealistic expectations are potentially damaging because they set us and others for failure.

3- Underestimating the hustle

Becoming a real estate agent might be easy, but making money as a realtor is hard. It involves long days and nights followed by sweat, blood, and tears.

According to career casts’ 2010 jobs rated report; the job of a real estate agent is considered one of the most stressful jobs a person can own. If you want to be competitive, you must be willing to work long and irregular hours.

You need to work a lot of weekends and many sleepless nights, to be able to respond to your emails and phone calls almost 24 hours a day.

4- Underestimating Internet Marketing

According to a study, 47% of real estate businesses note that social media results in the highest quality lead. In another study, it is stated that 84% of home buyers use the internet to search for houses.

Some real estate agents tend to neglect digital marketing. This implies that their listings won’t be visible to 84% of the mass. This has a big impact on their work.

5- No LeadGen Setup

If you don't have any leads, you won't be able to close any deals. The problem with realtors is they fail to generate leads because they don’t have any idea how. As a new agent, the first thing you must do is determine how you can generate leads.

Decide if you need to hold open houses weekly, go knocking on every door, rather than get leads from social media. A good strategic plan works for you and gets enough leads out from those ideas.

6- Lacking client follow up

Some real estate agents often let follow up fall by the ways during tough times. Leading agents cultivate long-term partnerships with buyers and sellers by following up and keeping in touch after-sales.

Trust is the foundation of a long-term partnership and agents who establish trust will see clients return when they need a real estate service. A real estate agent who is effective in developing good client relationships would also generate leads.

7- Inability to go through the early days

80% of new real estate agents fail in the first years. The reason attributed to this fact is that newbies will face a lot of struggle when starting out.

Some of the problems realtors face are finding prospects, getting sellers to set realistic prices, long hours of work, buyer clients who are indecisive about what they want, and rejection.

8- No clear strategy

Failing to plan is the same as planning to fail. A strategy is a must in order to reach a certain destination. In order to be successful in real estate, you need to look at your marketplace from a strategic standpoint.

Possessing a strategy can help you track your progress towards your goal. It sets a framework and clear boundaries within which decisions can be made. Real estate agents tend to dive into the industry without a business plan. After some time, they find themselves lost in the middle of nowhere. Having a clear strategy avoids further confusion.

9- Don’t have enough savings

Many real estate agents take months, if not years, to successfully close a sale. Their earnings are commissions based, so this could result in them going without an income for a while. Another reason for them to fail is they don’t have enough savings to survive.

It is important for you to have enough money left to pay off student loans, car loans, bills, and groceries, among other things. If not, your business will not survive for a couple of months. It is also recommended that you should have enough savings in order to survive 6 months in running the business.

10- Working only on a part-time basis.

Real estate is not a part-time job, particularly if you've already invested the time necessary to learn the ropes. This is another reason why most realtors fail. They work part-time only! The chances of failure are far higher than for full-time agents. We are not against part-time realtors but this is how many customers think.

It's also important to remember that you should never become complacent in this field, even if you have early success. Take your continuing education seriously, schedule each move, and focus on creating solutions and valuable connections that will help you in times of crisis.

There's no reason why you shouldn't give up after a few losses or settle for a few decent deals at first if those like you have succeeded in this industry. Keep your appetite piqued and your mind open to new experiences. Only then can you fully understand the real estate potential.

To sum it all, It's all about persevering through the early struggles, staying current and up-skilled, and allowing the company enough time to develop.