While many in the real estate industry complain that the bar to enter the profession is too low, there’s no denying that attaining success in the industry is an uphill battle.
Only 2 percent of Realtors earn more than $250,000 a year, according to figures from the National Association of Realtors. The median annual income for a Realtor nationwide was $43,500 in 2012, up from $34,900 in 2011, but not exactly rolling in the dough.
As the housing market recovers, more people are joining the profession, but new agents may not realize how much they need to save up before starting their new careers, the Wall Street Journal reported.
Marketing budgets can be high and must be paid upfront, before commissions. Many newbies also underestimate their startup costs, which can be $2,000 or more, and that’s without months of living expenses factored in before their first commission checks.