I don't know about you but I find it frustrating that there seems to be no distinction in the public's eye between a full-time real estate professional and a part-time agent. I realize this could get ugly and I acknowledge there are some very fine p/t agents out there (as well as some not-so-hot full-time ones) but think about it, how confident would you be if your [fill in the blank] (e.g. attorney, physician, accountant, etc) only worked part-time?
Time management skills aside, I don't believe you can be an effective and informed agent on a part-time schedule. There, I said it.
I work hard to understand my market, keep up-to-date about legal and professional issues, regularly work to increase my knowledge & skills thru education & training, and provide clear & relevant information to the public thru on-line & written communications. All this is in addition to communicating with my clients regarding their purchase/sale, show houses to prospective buyers, meet with prospective sellers, followup with other agents regarding their clients' feedback on my listings, maintain client files, supervise and manage pending transactions, communicate with all parties, negotiate contracts, manage the marketing of my clients' listings & other issues.
In general, I work 9:30-5:30 M-F and frequently work at least part if not all of my Saturdays & Sundays. Most evenings I find myself with my laptop in front of the TV half-relaxing, half-trying to cross off a few more things from my task list. Yes, this is all by choice, I concede that point. And yes, I have hired an assistant to handle many rote activities. But despite this major time commitment, I still find it challenging to keep up: Our markets change on a daily basis and I work hard to be mindful & informed about those changes and how they affect my clients.
So how about it part-timers? How do you do it? When a customer asks you a question about the market, on what are you basing your response?
- Something you heard in the office at last month's sales meeting?
- Something you overheard on the news (which was about someone else's market)?
- Something your manager told you to say?
- Whatever immediately came to mind?
While I believe you can supplement your knowledge & understanding of the market with information from other sources, I firmly believe that a true professional (and I am not using the term lightly here) is someone whose understanding of the their business and their market is based on their personal experience of it. Not only are all markets local but so is market expertise!
And what about the public? What possible value to they think their [fill in the relationship here] (e.g. 2nd cousin, sister's best friend, boss's daughter, etc.) brings to their business transaction if that person:
- already has a job doing something else
- devotes less than 10 hours of their focus per week to actual real estate activity
- only had one transaction last year
Look, I know, someone with fewer files on their desk can theoretically devote more attention to a transaction but I would argue that their focus is inherently less effective because in all probability they don't know what to look for in the first place, they don't know who to speak with to get a broader view and solve the issue, and they don't have much to lose because they're obviously not depending on this for an income and their clientele is based on obligation more than reputation or expertise.
Anyone care to comment?
Here, here! Very well said! Thank goodness someone finally had the *&#%^$ to actually stand up and shout it at the top of his lungs!
I am sounding off on this issue all the time. I have regularly espoused the theory that you can't possibly be in this profession part-time. You have eloquently addressed every point I can think of, and I also firmly believe that there needs to be an IQ test administered along with the exam since the closing I was supposed to attend today got blown up by an agent who has full-time employment at McDonalds started an uproar yesterday and didn't even have a clue as to the terminology she was using was incorrect when talking to the underwriter. I'm still banging my head against the wall, but it will feel so good when I stop.
Well said! I am in the office every single day and even on weekends!
Hey, Thomas -
The important question here is FOCUS.
I know several successful Realtors who work part time (i.e., teachers, who get done with work early, and spend 3 to 5 hours afterward working on Real Estate), but they have the discipline to stick to a schedule and put time into the business.
Others are forced to focus their attention on their full-time jobs, and that drains them of the energy and will to do all that is needed in Real Estate effectively.
This is a crazy business, however - one where many consumers feel one Realtor is just as good as another, and their cousin working part-time a few hours a week may be just as effective as the professional living and breathing this stuff every day. When those with less focus screw up, it tends to make all of us look bad.
It's tough to focus if you have too money balls in the air at once - it's only human. And that's why you have to devote considerable time to this industry - no matter what you do with your non-real-estate time - in order to succeed and properly serve your clients.
My thoughts, anyway!
DEAN & DEAN'S TEAM CHICAGO
Thank you Thomas, very well thought out and spoken. With your permission I would like to use your blog in one on my next office meetings.
Thanks,
Randy
I find the tasks required to be a good agent are very time consuming. Why the broker's tours alone take 8 hours a week (4 in north county on Tuesday and 4 in South County on Thursday). It's imperative to know the inventory when working with buyers or sellers.
I don't think there is any such thing as a part time real estate agent. You either are a profession real estate person or as we say here on Hilton Head, you are just making golf ball money by taking listings you hope a full time agent will sell for you.
I agree with you that they do not understand the market, nor do they care to take the time to understand it. I can't begin to tell you the times I have been on a listing appointment and given people a price backed up by market research, only to be told a person they know at church who does real estate part time told them their home was worth x, which is no where near what the market will accept.
This business is hard enough right now without having to compete with misinformation being doled out by some part time real estate wannabe.
And Lord help you if you have to deal with a part timer in a transaction. Talk about Alice Cooper's "Welcome to my Nighmare!"
You are right. You may have opened a can of worms with this post and I am sure I will hear from some part timer trying to justify their existence.
Congratulations, Thomas, for hitting the nail on the head! I, too, am a work-a-holic like you. I work in an area that has quite a large retirement popuulation (beautiful sunny Arizona), bringing people who had a career elsewhere and got tired of playing golf every day, so they thought they'd "do" real estate. This is wherein the problem lies - requirements to get a license. It is far too easy for ANYONE to get a license. We have real estate schools that churn out students, preparing them to take a test, not to teach them real estate. Students pass the state test and go to companies who may not offer any further education or have mentoring programs in place. Agents are then out on their own, making horrible mistakes and endangering the E & O situation for the rest of us. What's the solution? Perhaps stiffer requirements to get your license in the first place. Then companies required to train their agents before they ever try to do anything on thier own. We have to regard our industry as a career, not as a hobby after one's retirement from another career. Once we start to take ourselves seriously and regard this as our own private business, then we might make strides in the right direction. I could go on and on about this but to what avail? I currently have taken on the task of teaching agents in our office about the technoligical tools available to us to further our business. The same people come week after week, for which I am greatful. However, the ones who really need to be there are not. Which only confirms to me that they are not serious about this career. And they are the ones who complain about not having any business. Sorry for going on and on like this but this is dear to my heart and I am passionate about trying to change the image!
I wrote this earlier in the week and got a few comments.
Okay, I have a bit of a rant. Everyone's whining about "the market" and how bad they need business. But, I'm a full-time agent and I can't get answers from anyone? Not buyer's agents, seller's agents, mortgage brokers or title personnel. Where did the professionals go?
Back to work. They went to Walmart, downtown jobs, and at the local McDonald's. How do I know this? They have told me. I understand, I truly do, that when you need to make a mortgage payment and put food on the table, you need to do what you need to do. But, cut me some slack, too, I'm trying to work fulltime at my job as well. And that means I count on you to do yours. When a client (me) calls, where's your customer service? There are thousands of dollars on the line....the buyers, the sellers, yours, mine, the mortgage lender and the title, appraiser and inspector, to name a few.
Just do your part. Take care of us, the little people who depend on you to answer calls, take part in the transaction and represent your buyer or seller in this very large financial transaction. That's all I ask.
I have always believed that to do a job well you have it give it your all. Selling real estate is no different. I have never understood how agents who work at it part time can do a good job. When I was selling I was at my clients beckon call. How can a part timer do that?
I am a full time agent...
I would say that in a different type of market it would be easy to do part time, but with the issues that we face, it isn't the same way in the here and now. I would also say that being a buyer's agent might be a little easier to pull off... if you don't have to spend time prospecting. Even then, there are a lot of side issues that we all have to keep up with and that is what is going to suffer when someone lacks the time and.or focus to keep up with real estate full time.
Thanks to everyone for their thoughtful comments.
Jim - Perhaps I was just under-caffeinated when I wrote the post... didn't mean it to sound like I was shouting at the top of my lungs but thanks for the acknowledgement.
Suzanne - thanks for the McDonald's employee anecdote... you can't make this stuff up! And about people needing to go to work, I fully understand that -- everyone needs to take action to keep food on the table. I don't mean disrespect to any agent out there who feels unable to make a full-time commitment however I think some serious consideration is due... this business is not for everyone.
Dean - I know there are exceptions to the rule, focus is the key as you have said. But as others have commented a lot of knowing your market simply requires a large time commitment.
Randy - by all means feel free to use my rant to motivate the troops! thanks.
Vickie - I too am a firm believer in knowing the inventory inside & out (a tough chore with current inventory). thanks for you comment.
Bill - your comment about selling real estate for golf money is right on the mark. Perhaps if all of us full-timers routinely referred to ourselves in print and verbally as a "full-time real estate professional" we can start to change the awareness of the distinction. What do you think?
Cindy - I love the quotes about people who "do" real estate. I agree that its too easy to get a license. Many states require continuing education credits (my home state of NJ does not but its now under consideration) which I think not only makes sense (perfectly reasonable to ensure "professionals" are fully informed) but would also discourage those who are in the business only because it's easy & relatively.
Kathy - re: handling client calls... I agree. Sometimes I think I could fill up a part-timers schedule just with the phone conversations with my listing clients!
Lane - I understand that if our focus is limited (e.g. just buyer's agency) perhaps our time commitment can be reduced... it's true that marketing & prospecting takes up a good deal of time. But I would expect a buyer's agent who only handles buyers to be even more thoroughly versed in the local market i.e. know every house out there, what the values should be and how to best negotiate on behalf of the client based on that information. (But I think if you've gone to all that effort to have that market knowledge you're short-changing yourself by not being a listing agent as well!) Thanks.
Thomas, the point was that if an agent is going to work part time, that being a buyer's agent might be the ticket if they don't have to spend time marketing.
Now, as to listing agent v. buyer's agents, I don't think that a "lister only" or "buyers only" can be as effective as one that does both. I deal with too many listing only agents that just don't understand buyer psychology and short-change their sellers by now understanding both sides of the market.