So realistically, how much does an average agent make? I think the figure from census shows about $30,000. With rising housing prices, you would expect more than that, wouldn’t you?

Let’s do the math with some round numbers. Let’s say the average house sells for $500,000. The agent nets 1 1/2% after the split with the broker. Let’s round it to $8,000 a house you sell. That seems like a lot.

You think, surely, you can sell one a month. No, it is not that easy. In today’s market in California when there are not enough homes to sell, and an abundance of agents vying for the same client, I wouldn’t be too optimistic about making six figures as a novice in the first year. To make $400,000, you have to sell 50 houses. It is possible, but not probable.

Real estate is a great career for someone who genuinely likes to work with people, not just trying to make a sale. A potential client can smell a “salesman” a mile away, and stay away.

I find it hard to believe that a builder will pay a salary of $120k to your relative for showing model homes. But it doesn’t hurt to find out more before you decide to change your career.

If you want to know more, contact me.