How Much Real Estate Agents Make?
Surely the curiosity arises in you to know if a real estate agent really earns well, if the sector is profitable and if it allows you to work on your own time.
The profession of a real estate agent, like any other, requires discipline, effort, dedication, follow-up and that you dedicate the indispensable time to see results. It should be noted that the real estate sector is quite profitable, but as a real estate agent to be a profitable professional you must devote much of your time to perform a customer follow-up strategy, sales process, requirements analysis process, call follow-up, customer visits, negotiation processes and closing the sale.
It is very common to hear about the rotation and the fear of many people to enter this sector because there is no fixed salary, but the main mistake that is made is the lack of customer follow-up and obtaining an exclusive in the process of managing the purchase or sale of a property.
Undoubtedly the real estate sector is a great opportunity for you to work independently and obtain extra income by charging a commission to your client once the process of management of which you offer your services is finished.
But for this you must consider the variables that exist around it, selling or buying a client’s property can be practically as fast or as slow as you want. The common denominator of hours invested for the purchase or sale of a property is 85 hours, this accumulation of time can be gone in only 2 weeks, 2 months or even 2 years, everything will depend on your efficiency as a professional.
So How Much Does A Real Estate Agent Earn?
According to the average scale in the United States, a real estate agent earns $104 thousand dollars a year, taking into account that the average cost of a house is $300 thousand dollars and that the commission is around 3% for each part of the transaction. In this case, a real estate agent in that country sells an average of 12 properties per year, that is, one per month.
In Latin America, the economy and reality are different and do not apply equally. In Mexico selling 12 properties per year, estimating that its average value is 1 million 200 thousand pesos, results in an estimated commission of $32,000.00 per transaction, if at the same time you capture and sell the property exclusively, you will get around $60,000.00 per month, before taxes and expenses. Now if we divide that $32,000.00 in 40 hours of work, that is to say, 160 per month, it gives, as a result, $200.00 per hour of work.
Remember that in the real estate sector and in any professional sector, time is money and the secret to making this profession profitable, is to allocate the time and indispensable follow-up to each operation, adding to an excellent sales strategy and a wide experience in dealing with the client; the above will make you one of the best real estate agents.