Before beginning any new career, it is only natural to wonder how much money you can make doing it. This question is a difficult one to answer, and that is because the salaries of realtors vary so wildly. The amount of money you make depends on how many sales you close as well as how high they are valued.
Average Salaries of Realtors
According to the U.S. Department of Labor, the average real estate salary is about $55,000 annually. Of course, many real estate agents make a lot more, and others make a lot less. You must also consider the way the commission is split between brokers and agents to arrive at an accurate figure.
Realtors and brokers make different salaries, and it is important to keep this in mind. Brokers are licensed to manage a business, whereas real estate agents are not.
Are you looking to make more money as a realtor? These tips will get you started in the right direction:
1. Stay in control of marketing costs.
How much do you tend to spend when you market a home for your client? It can be tempting to go out on a limb and spend more money than necessary simply because you want to sell the house quickly and please your client. Taking a more cautious approach to the cost of advertising a home may be in your financial benefit as well as the client’s.
2. Take pride in the relationships you develop with clients.
When you understand the needs of your clients thoroughly, you spend less time trying to find the perfect home to suit their needs. When you take pride in the way you relate to buyers and sellers, you enjoy your job more too. People who enjoy their job are more motivated to sell.
3. Develop a deep understanding of the communities you service.
While the highest paid real estate agents live in Indianapolis, Reno, and New York City, you can improve your earnings by understanding your own community. You price your home more accurately when you spend time exploring the region.
4. Pay close attention to the economy.
The amount of money a real estate agent makes is directly related to the health of the economy and the housing market. By keeping up with news about the housing market, you can plan for times when finances will be affected. Ultimately, this will help you focus on selling the homes with the best commission in the most effective ways.
5. Stay motivated.
Positivity influences your approach to your work, whether you realize it or not. When you feel good about work, you perform better. You approach clients with a different attitude, generating more leads than if you have a bad day. Staying motivated to sell requires you to stay active.
It is never easy to begin a new career track, and you are bound to have some questions about your earning potential as a realtor. Contact us for more information about your possible salary.