Real estate has long been a ticket to easy money, of course the reality is VERY different.
Being part of a competitive industry that is subject to supply and demand market fluctuations means you have a fluctuating income. And, it can be challenging to stay on top of finances. As much as it is essential to prepare for rainy days, if you are not making a lot of money, this may not be possible.
The onset of Covid 19 and the economic and social implications of lockdown have brought the reality of this home to many. Whilst some have re-evaluated their career choices and are considering leaving the industry, others took the opportunity to reflect on the way they operate in the industry.
While some people think that Agents keep every $ of commission they receive, the reality is very different. Whether you work within a franchised office, as a sole trader, or as a Principal, there are costs-for-doing business, and fee split responsibilities. Whilst researching my book ‘How to Profit in Real Estate Business Ownership’ I found the cost to run many offices is as much as .90c in the dollar, leaving little margin for a rainy day.
During the lockdown period I spoke with many agents and business owners.
"The common thread was the realization that the traditional model of operating in real estate is no longer an essential for doing business successfully"
Covid 19 forced all of us to embrace tools (we may have previously resisted) in order to run our businesses remotely. The time spent working remotely has forced us to not only consider change but to undertake it. For those that do not enjoy the daily processes: prospecting, appraising, listing, and selling, then leaving the industry is possibly the right choice.
If you love what you do but want to make a change – either to keep more of what you earn, shift to a more lifestyle focused operation and reduce running costs; I invite you to contact me at One Agency and discuss confidentially how our model, (less than $1000 + GST per month regardless of your GCI) may be just the answer to breathe new life into your career and future proof yourself.
"It’s not what you make, it’s what you keep that counts."
‒ Paul Davies, Founder and CEO
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Essential reading for existing and aspiring real estate business owners.
Revised edition: Written by our Founder and CEO Paul Davies with a foreword by leading real estate coach and trainer Tom Panos, ‘How To Profit In Real Estate Business Ownership’ is compulsive reading for established and aspiring agents looking for a way to achieve success and maximise fee retention.
About Paul Davies
As founder and CEO of the fastest growing real estate network across Australasia, I offer real estate professionals an opportunity to reap the financial rewards of going it alone with the security and clout of an established brand. Talk to me and my team about your options.
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