this post was submitted on 29 Apr 2024
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I'm seeing failure rates of 80% to 90% according to some stats I'm seeing after a quick google search. Reddit is full of failure stories and speculation.. The low bar keeps the pool of potential Realtors high and keeps the churn high as well. It's also a path that is FULL of hustle and grind culture. The structure is also predatory as well. A real estate agent can sell homes and get a commission, but a real estate broker does the same, and can employ other agents. The broker gets a cut of the commissions of agents who work for them. These internal contradictions are likely what drive the high failure rate of real estate agents. If you can't make it yourself, you need to become a broker and employ many agents under your name. You employ these agents as independent contractors, of which you get a cut of their commission. You have almost no payroll, and you don't even have to sell a single house.