Comments on: How come real estate brokerages are always hiring?

By: Lee Taylor

Lee Taylor — Mon, 15 Sep 2008 08:51:47 +0000

Because very few people that enter the real estate profession are successful. Next time someone tells you they were an agent, ask them how long they made their living selling homes, then be quiet and listen carefully. On the other hand, an agent that has made 40 transactions a year for 25 years has a lot more to offer you than a casual personal acquaintance that has sold a house or two in their lifetime.

By: Larry V

Larry V — Sun, 14 Sep 2008 05:41:01 +0000

It’s very simple. Real estate is one of those professions that is very easy to enter. Besides passing a mutliple choice exam and paying a modest licensing fee,it requires no education or background,and promises unlimited income. The result is that of those who are actually licensed real estate agents,the median income is something like only $10,000. Maybe 10-20% of agents and brokers make a really decent living,like in excess of 50 or $60,000. The result is incredibly high turnover,start out in real estate,if you are typical,3 months later you are out of real estate.

By: Bob D

Bob D — Sat, 13 Sep 2008 05:25:58 +0000

always looking for the best broker

By: Landlord

Landlord — Wed, 10 Sep 2008 19:41:08 +0000

The turn over is VERY high, most agents aren’t worth anything and fail to perform, they just weed though them.

By: #1Realtor®

#1Realtor® — Wed, 10 Sep 2008 16:57:23 +0000

Real estate has a high turn-over rate. A brokerage is what I like to call a “revolving door”. Everyone is an independent contractor thus an there “at will”. Since real estate is a soley commission based type of employment, most new agents won’t make it to the next license renewal period. It’s not by any means an easy careers. Broker’s make a percentage off their agents or they get what is known as an office fee. They need to fill the void somehow. Sometimes you have an office full of agents and none are making money (especially in today’s market).

By: Brian T

Brian T — Tue, 09 Sep 2008 14:55:41 +0000

Most real estate brokers to not pay their agents a salary. Hence the more agents, the greater the odds of increasing sales.

By: Tesorito

Tesorito — Sat, 06 Sep 2008 10:46:32 +0000

Because it’s a job that almost everybody could do.. i personally find it crappy.. see ya

By: Cinderelly

Cinderelly — Sat, 06 Sep 2008 06:18:12 +0000

The more people they have to show and sell property, the better. Agents are paid on commission. They don’t have to pay them as employees, only when they make a sale.

By: Sharon

Sharon — Thu, 04 Sep 2008 01:26:34 +0000

They aren’t hiring, that implies the person is an employee. They are looking to affiliate more independent contractors. As far as the IRS is concerned there is a huge difference.
But to answer your question more directly it’s because selling real estate is generally a commission only paying “job” and not many agents are successful at it. It’s not as easy as some would make it seem.

By: redwine

redwine — Sun, 31 Aug 2008 19:59:18 +0000

They’re generally on all commission, so its no skin off of the company’s back if there are seats available. Not necessarily good for all of the agents, but the company doesn’t care.