Working in Real Estate - is it the career for you?

A career in real estate was once considered to be largely the domain of housewives working part-time with flexible hours allowing for family care, however, the industry has undergone a dramatic transformation during the past two decades and it now requires not only more commitment but also an array of new skills.

Every aspect, from the way in which property is marketed to the regulations governing the industry, has evolved and anyone who enters the field expecting to earn easy money whilst enjoying loads of free time for leisure pursuits is in for a rude awakening.

That said, a career in real estate can be extremely rewarding and very lucrative if one is dedicated, willing to do the work and put in the time and there are now a number of career options from which to choose.

The most common choice is still that of a real estate agent but the job now requires considerably more because not only does the simplest sale necessitate months of work from start to finish; it also requires more than a passing acquaintance with diverse fields such as marketing, legal processes and finance.

And it’s no longer enough to be good at sales or recognising quality homes; property professionals must have thorough knowledge of the real estate market, current trends and be able to accurately and realistically evaluate a property to achieve the best sale price in the shortest time frame as possible.

Those considering a career in property sales need to consider the following aspects of the job to determine if it is, in fact, the right career path:

1. You’re your own boss: Even if you work under the umbrella of an established agency, an entrepreneurial mindset is required. Like any other business owner or independent contractor, you will have to generate leads, manage your own sales and even your taxes, all of which require business savvy.

2. You need to be a real people person: This is not the best career choice if you don't enjoy working with people. It’s a very interactive job that requires excellent communication skills with a variety of people and the agents who are most successful tend to be those who are able to build strong networks and forge good working relationships with fellow property professionals as well as clients,

3. It’s all about stock: You can’t close any deals without stock to sell, so if the idea of cold calling and putting yourself out there on a daily basis terrifies rather than excites you, then you probably won’t do very well in this business. The more quality listings you have the better you will fare.

4. Your pay cheque is 100% commission-based: Your earnings are solely based on your sales and will vary from month to month, depending on how many transactions you concluded. But if the irregularity doesn’t faze you, the upside is that there is no cap on how much you can earn. The harder you work and the stronger your business skills, the more you can potentially earn.

5. No set working hours: Flexible hours usually allow one to better juggle personal and work commitments but, with many clients only being available outside of office hours, you might find that although you were able to attend your son’s soccer match, you will be late home for dinner because a potential buyer can only view a property at 7pm.

6. You carry significant responsibility: Real estate is the largest investment most people ever make and mistakes can be very costly for your clients. Not only are there numerous potential pitfalls along the way, achieving the best possible sale price also rests with the agent so you always have to be on top of your game, well-informed and on your toes.

7. You must be comfortable wearing multiple hats: On any given day, you’ll be a financial advisor, property appraiser, a motivational coach to a nervous seller, marketing guru and even a marriage counselor or décor advisor when required. So, whilst the job is never boring, there are many unforeseen issues that can arise at any point and it can become very stressful.

Which sector?

Both the residential and commercial sectors involve the sale or rental of property, but there are several distinct differences between them and these need to be carefully considered before making a decision.

1. Work environment:

If you prefer a more structured working environment and a less emotional business arena, and you enjoy mixing with the corporate go-getters and wheeler dealers, then the commercial sector is probably the best option for you.

However, if you enjoy more personal interaction with your clients and operate in a less formal way, and you find the idea of helping people find their dream homes or build their personal investment portfolios appealing, you’re probably better suited to the residential sector.

2. Working hours:

This is one of the major differences and often a key deciding factor. Residential agents work more flexible hours which gives them more freedom, but they’re also never really off work and can expect to be called at any time of the day and often over weekends.

Commercial real estate agents mainly work within business hours, so, if you are looking for a more ordered daily routine, free weekends and better time management, this sector would be a better choice.

3. Skill sets and tasks:

Although the same basic skill sets are required for residential and commercial transactions, not all of the tasks are performed in the same way.

For instance, commercial property values are largely determined by rental returns or the potential for capital growth whilst the value of residential real estate is more heavily influenced by factors such as the location and the condition of the property and how well it meets current trends.

This impacts how properties are valued and assessed and also how they are marketed and how negotiations are handled.

Because real estate is such a dynamic industry and fluctuating market, there can be a lot of highs and lows and it takes a very positive attitude, passion and discipline to persevere.

However, there are also many opportunities to really shine and there are few things as rewarding as helping a family to find their dream home or an aspiring entrepreneur the perfect commercial property.

There are few careers that can match the rewards and job satisfaction that real estate can offer. And, at the end of the day it will always be a secure career choice because not only is it regarded as one of the best long-term investments because it’s not subject to the same risks and frequent fluctuations as the stock market, property remains a basic need.