The real estate industry is currently facing a major crisis as more than 500,000 Realtors are on the brink of quitting due to a myriad of challenges. A combination of factors such as increased competition, changing market dynamics, and the rise of technology are all contributing to the impending exodus of Realtors.
One of the key reasons why so many Realtors are considering quitting is the fierce competition in the industry. With more and more people obtaining their real estate licenses and entering the market, the competition for clients and listings has become cutthroat. Many Realtors are finding it increasingly difficult to stand out and differentiate themselves in such a saturated market.
Furthermore, the changing dynamics of the real estate market are also causing frustration among Realtors. The rise of online platforms and tech-savvy buyers and sellers have shifted the way in which real estate transactions are conducted. With the increasing prevalence of online listings and virtual tours, many Realtors are struggling to adapt to these changes and keep up with the evolving industry landscape.
Additionally, the current economic climate and housing market conditions have also played a role in pushing Realtors to the brink. The uncertainty and volatility in the housing market, coupled with the economic downturn caused by the COVID-19 pandemic, have led to decreased sales and commissions for many Realtors. The financial strain and uncertainty of the future are causing many Realtors to question whether it is worth staying in a profession that is becoming increasingly challenging.
As a result, many Realtors are facing burnout and exhaustion from the constant pressure to secure listings and close deals. The stress and mental toll of the job, combined with the uncertain financial prospects, are pushing many Realtors to consider quitting and pursuing other career opportunities.
In order to address this crisis and prevent a mass exodus of Realtors from the industry, it is crucial for real estate brokerages and associations to provide support and resources to help Realtors navigate these challenges. This could include offering training and education programs to help Realtors adapt to the changing market dynamics, as well as providing mental health and wellness resources to help them cope with the stress and pressures of the job.
Ultimately, the real estate industry must come together to support and empower Realtors to overcome these challenges and thrive in this competitive landscape. Otherwise, we may soon see a mass exodus of Realtors, leaving a significant void in the industry and impacting the housing market as a whole.
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1,496,000 realtors registered with NAR today.
What will it be in three years?
Graph at 7:27.
RealTurds/House Pimps
First time realtors have a over 70% quit rate
Youre numbers are goofy as hell. Of coarse there is more realtors here, there's hundreds of millions more people here than any of the countries you mention? This is weird. Why would you frame it like that? Incredibly misleading.
Overpaid used car salesmen 90% of the time. Zero reason to use one.
I just sold my home gave my realtor 2% and the buys agent i paid nothing told the buyer to pay and i saved 20,000 in fees you need to do the same it should never have started that the seller pay both commisions and if the heard thins out it is a good thing
It’s 2024 we have the internet you don’t need a realtor to buy a house. They literally do nothing. I have bought and sold dozens of homes with a 500 dollar real estate lawyer. Get a good home inspection and you either like the place or you don’t. Same thing with a car. Who needs a car salesman to read the window sticker to you.
The Realtors Association is a cartel, it needs busting up. Hire a real estate agent that is also a broker, pay him 4-5%, but only hire the top 10% in sales volume for the area and one with over 15 yrs experience in that area. Then they are worth the commission. The rest of the newbies and part-timers can go back to their waitress or hair stylist job.
I fear that the reality will be higher fees for the buyers as they will have to "negotiate" with their agent. Who will likely not take clients, nor will they want to even search for anything affordable or below a certain amount. Only go after those with money. Or offer very high fees for their service. The ruling is good in theory, but what made the entire thing work was the fees being placed solely on the seller, leaving the buyers free to find any agent they liked. Now with the buyer having to pay some of it, what's to stop agents wanting lawyer-like retainer fees to find you a property? Sure you can find the seller and try to deal with their agent directly, but they will just charge the same huge rate.
I like your points but you have to normalize the amount of realtors for population for it to have any weight
Get your facts straight Nick.
I have a very good realtor i use to buy and sell. A good retor can keep you out of a jam. The advice of a good one can save you a bunch of money or frim a bad deal. I dont like this development at all.
Rather than doing that, they better ban investors to buy private houses.
Screw The Realtors !
The media is all pushing out the exact same narrative that this will ''save'' home buyers money. When the media all puts out the same news, consumers should be skeptical. Home prices are not affected by commissions(the sellers pay the commission). Home values are affected by simple economics, supply and demand, and interest rates. Your example of subtracting the Buyer's commission is incorrect because the home will sell for whatever the market demand says it will sell for. If you have a 1,000,000 and you eliminate the 3% Buyers commission that doesn't mean the house will sell for $970,000. It might sell for less than $970,000 or it might sell for more than $1M depending on what the Buyer demand dictates.
Observation: Realtors won't quit, but will retain their license And (no doubt) take a second job simultaneously. If a deal comes up, they'll take it!
You should also talk about all of the expenses that REALTORs have. There is a whole lot of work that we do that we never get paid for. Also, do you really think the sellers are going to list below the established market value just because their expenses will be lower? Not likely. Home prices will continue to increases barring an increase in foreclosures rates, which is not likely.
It's mayhem in America. But… the SP500 is green everyday. Love it!