In this difficult time of pandemic, working of majority of profession are affected badly. So, It will be arduous for any person to Start career as Real estate agent. Below is the detail view of the given topic.
What is covered in this article:
- What is real estate?
- Challenges of a Real Estate Agent.
What is real estate?
The world of real estate is growing dramatically in lieu of a plethora of reasons. Migration to cities for employment has led to a hysteric hike in the number of houses being made. With the dramatic boom in the IT industry, a large number of IT parks and malls are being constructed continuously. Foodstuff production is on a growth spree and one can see a large number of extravagant and luxurious hotels being made at every nook and corner. People have disposable income hence invest in real estate for achieving long term gains. A preconceived notion says that real estate is the most secure long duration investment plan which one can make. It usually keeps track of inflation and sets its prices accordingly. There are mainly three types of real estate:
- Residential real estate is undeveloped land, homes, condos, and town-houses. The structures may be for nuclear-family or multiple dwellings and may be owner-occupied or rental properties.
- Commercial real estate includes non-residential frameworks like office buildings, warehouses etc.They can also be free-standing or in shopping complexes.
- Industrial real estate includes factories, mines, and farms yards. These are in general bigger in proportion and locations may include access to transportation hubs such as harbors.
Although the outer facade looks very lucrative there are certain issues. The major flaw of the real estate industry is taxes. If someone is not renting the property then he/she may lose money on a yearly basis. Subletting can also be critical with tenant problems even in good surroundings so if a real estate management firm can’t manage it for a fair cost then even real estate investment may not be the wittiest thing to do. The most vital aspect while buying a real estate is wilderness and the flora and fauna which live there. It should not be considered to be an exploitable asset but a safety net to be used when the domestic food supply is no longer safe for human consumption due to excessive use of toxic chemicals, agriculture, and industrial farming of animals. Earth and its real estate is all that humanity really has to rest on for its survival so living on it in the most sustainable way possible should be the long range motto of a healthy, truly wealthy, and happy present and future human society.
Challenges of a real estate agent:
To understand the challenges in a real estate agent’s life, we first need to understand the functioning of the same. Real estate agents are authorized professionals who fix real estate transactions, putting buyers and sellers together in a meeting and acting as their representatives in dealings. Real estate agents usually are compensated completely on commission basis (a percentage of the property’s purchase price), so their income is a function of their ability to get a deal sealed.
In almost every state, a real estate agent must work for or be affiliated with a real estate broker (an individual or a brokerage organisation), who is more experienced and the agent has to report to him.
There are few problems faced by a Real Estate Agents on daily basis which are listed down below:
No certain obligation to pay:
- If a deal closes, there is no surety of payment. Agents are paid at the end of any deal. People may put away to pay at all once the transaction has been done. And this is mostly the reason, an Agent may get violent at the clients, and may end up getting a bad reputation.
A profession not looked up to:
- Since the big conglomerates launched online portals, they started a campaign against real estate agents that they are bad and demeaned them; spoiling their name in the market.
- Even then these companies primarily earn their revenues from agents only by selling big packages annually. What an irony!
- People don’t value the work until they have an issue that can be solved only by the broker involvement.
- If an agent is not involved, the deals majorly fall through as there’s no-one to get them on a common ground in negotiations to put the two parties in a room.
- People believe it’s very easy to be an agent because they believe all an agent needs to do, is show property, make buyer/seller meet and get paid. But this is far from reality.
Searching another prospective client:
- Every Agents needs a new client every time. There’s no regular source of the same, making survival regressed.
Easy entry of competitors:
- As there’s no certification necessary, anybody and everybody can start a real estate broking business.
- This has led to a boom of brokers in the real estate industry. Retired-aged and even working professionals are enthusiastic to work for half the cost and hampering the market for all agents.
There is a lot of sweat involved in the Real Estate broking world and broker is not compensated well for the same.
Real estate agents play a major role in one of the most important financial decisions of our lives. When it comes to buying, selling, leasing, or renting, they’re the ones who chaperones us through a process that can only be described as overwhelming for lack of a better word. Most real estate agents are looking for financial gain. More often than not, new and inexperienced agents think that it is easy to make a huge profit, of course there is a mammoth of opportunity is, but an overwhelming majority does not get rich from real estate dealings. Equally important for many is the freedom to work. Many agents genuinely want to help their clients. It can be very rewarding and edifying to help a family buy their first home, to see that million dollar smile on their face, to suffice their needs. But off lately, most of the agents think about money and status of client in terms of real estate aptitude. On a day to day, it’s becoming quite challenging to find good real estate agents who are always ready to work for clients sincerely and equally difficult to find trustworthy clients.
If you have decided to go for Real Estate Agent as a career then RealEstateCake is the foremost entity to be approach for boosting your trade. At RealEstateCake, Real Estate Agents are served with many types of exclusive deals Regarding buying and selling of properties to earn a maximum profit.