Dear struggling real estate agents in Oregon, are you feeling the squeeze of the new dynamics in the shifting real estate market? We all know the past few years have been an unusual time for real estate agents, and more recently, the rate hikes and affordability issues are causing even more buyers to hesitate on pulling the trigger.
My guess is that if you started your real estate career over the past 4-6 years, you’ve been thinking it’s a pretty great way to go. The thing is, all markets cycle and we’re seeing some signs of that, even with the high buyer demand and low inventory levels. This is causing some agents to struggle, even quit or take part-time jobs elsewhere.
Real Estate Agent Count Down For The First Time In 10 Years
Interestingly enough, for the first time in 10 years, the number of real estate agents has actually dropped. At the peak, the agent count was right about 1.6 million agents across the country. But as of May 2023, the data shows that we’re currently at just over 1.5 million real estate brokers nationwide.
This information isn’t a complete surprise to me. I’ve been talking about this coming trend for a while now. The thing is, every time the real estate market booms and prices go up, and the real estate market is rocking and rolling, it looks super attractive to people so they go out and get their real estate license. You probably know somebody that’s done that yourself.
Prices, and appreciation and the number of people who get licensed go up and down together. This is a reoccurring trend that I’ve seen multiple times over the years as the market cycles.
87% Of Real Estate Agents Quit In Less Than 5 Years
Yes, I know we’ve been on a serious seller’s market streak over the past 5+ years, so it might “seem” like longer, but the data shows that 87% of real estate agents quit in less than 5 years.
One of the major factors that drive this trend is pretty simple, agent production and income. A couple of years ago, for example, the average income for a realtor was about $98,000. Today, the average real estate agent makes around $58,000 per year. Ouch!
And then you have to consider some of the top-top agents who make much more than the average… and also those struggling real estate agents who aren’t making enough to buy themselves a bag of peanuts.
31% of real estate agents in the US couldn’t afford to pay their office rent.
Yahoo Business – 1/2023
The bottom line is when (not if) if it gets harder to make money, agents are going to drop out. It just happens. And, when (not if) the market cycles, many struggling real estate agents will drop out. It’s just a repeatable fact.
But you don’t have to be one of the 87% who drops out when the real estate going gets tough. I believe many struggling real estate agents have tremendous talent, they just lack the 2 things needed to succeed in any real estate market, support and skills training. The only way to cycle-proof your business.
One Solution For Struggling Real Estate Agents?
So, what about you? Are you a struggling real estate agent? Maybe you find yourself struggling to hit the numbers that you were hitting, or maybe you never really hit the production goals or level of success that you really dreamed about when you got your real estate license.
Are you considering going back to the part or full-time job or quitting real estate altogether? Before you exit the industry, let’s talk. My team is always looking for talent. That is, agents who are coachable and willing to put in the time, and effort, and who could be superstar agents if they had a little more training, learned some necessary skills, and had a better support system.
My team offers that training and those systems. We offer one-on-one training, lead generation, and a path to success to whatever level is that you wish to achieve – because not everybody has the same goals.
If you’re ready to make a change, you’re not afraid of accountability, and you’re willing to “not give up,” there’s a good chance I can help you out. Do you want a chat? Give me a call, send me a text, or shoot me a DM, I’d love to help.
