Is Becoming a Realtor a Good Idea?

In the economy that we find ourselves in, there are mixed feelings as to whether becoming a realtor is a good idea or not.  Some feel that selling real estate is not worth it simply because the economy is so bad, and with more lending restrictions, it is becoming harder and harder for people to get approved for loans even if they do want to buy a home.  A family member of mine, for example, sells real estate.  He used to do it full-time, but got another job and now resorts to doing it part-time.  Why?  Here’s why: he told me that finding people who wanted to buy a house wasn’t that difficult, but he said that he would show say 15 people different homes, take them out to eat, drive them around, and at the end of the day, only one of them would get approved for a loan.  He just couldn’t make it work full-time.  Now, that was merely his experience, and yours could be different.  Regardless, however, let’s look at some hard data and determine some pros and cons about selling real estate.

Realtor
Photo Credits: http://www.flickr.com/photos/marciatoddrealtor/5986303280/

Pro – Real Estate Sales Have Slightly Risen

According to the National Association of Realtors, real estate sales rose from 4.19 million in 2010 to 4.26 million is 2011.  While we don’t have the full results for 2012, this could indicate a step toward a market that is starting to bounce back.  Some think that is a good idea to get started in real estate when the market is down, so that you have a great network of people to sell to by the time it bounces back.

Cons – Reduced Prices Means Harder Sales

As we all know, many homes continue to go into foreclosure for a number of reasons, and while people make talk about what a great deal foreclosures can be, it can be tough for the seller to agree upon a reduced price, and this makes the whole process of selling real estate much more difficult.

Pro – It’s Cheaper to Buy Than to Rent

Despite the difficulty to get people approved, it may be a lot easier to get clients.  According to Trulia (a real estate website), it is cheaper to buy property than to rent it in 74% of the country’s largest cities with Las Vegas offering the best buy/rent ratio for prospective home buyers.

Cons – The Need for Realtors May Be Diminishing

If you talk to any veteran realtor, he or she will agree that real estate just isn’t what it used to be.  According to MSN Real Estate, due to the internet and the ability anyone has to obtain the information they need, more and more people are opting to do the job of the realtor in the home buying/selling transaction.  If the view of the realtor becomes that they are unnecessary, that could bring death to a career in real estate.

Brandon Jones writes on the topic of real estate and how to get a Texas real estate license online.

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