Do Smart REALTORS® Make More Money?
We are in the midst of rather dynamic changes in real estate education, and consequently the number of conventional real estate educational opportunities is decreasing in many areas of the US at a time when the need for education is substantial. This blog is written to highlight the importance of real estate education and to showcase new opportunities that are available.
There is relationship between education and income!
A concern I have as a real estate educator/trainer is that most salespeople and organizations are facing severe income challenges in this market and cannot afford to spend money they don’t have on training. The good news is that there are many free or very low-cost educational opportunities that are worthy of consideration. For example, last week I was a student in a webinar, “Social Fusion 2”, offered by the Council of Residential Specialists for a fee of $20. Adding to your knowledge base never hurts, particularly if it’s a bargain. After all, a person does not need a college degree to achieve success in real estate sales, but additional training and education make it possible to accomplish more in less time. The investment in training is one that always yields an extremely high return.
Below is a graph from NAR that shows the relationship of education to income.
According to NAR, “…while the typical agent without a college education earns $47,600, those with a college degree earn 44 percent more or $68,500.” Most of us don’t have the luxury of getting a degree at this point in our lives, but we all have the opportunity to become SMARTER through additional training. It’s not an option, but a necessity in this business environment, which is in a constant state of change. The only choice we have to succeed in the future is to become better educated in the present.
The CRS designation, awarded by the Council of Residential Specialist (http://www.crs.com/), requires sufficient sales, years of experience and classroom training. Of the Council’s approximately 30,000 members, this is the average CRS Designee profile:
- Completes 21 real estate transactions per year
- Closes $3.2 million in annual sales
- Earns $85,000 in individual annual income
- Has been in the real estate business for 20 years
The NAR Member Profile 2010 reported that the median income for all REALTORS® for 2009 was $35,000, and the median number of transactions was seven. As you can see, research indicates that those with more training/education do in fact close more transactions and make more money.
Current Trends in Real Estate Education
Listed below are several training sources available at little or no cost. In order to receive the benefit of these programs, a person needs first to make the decision to maximize their opportunities. After all, it’s through learning more that human beings position themselves to do more.
1. Webinars. A webinar is a presentation that is done online. Some are done live, while others are recorded and available 24/7. The National Association of REALTORS® (http://www.realtor.org/) provides numerous free and excellent webinars that cover almost every topic you can imagine. You tune in to the webinar with your computer, and the presentation is given on your computer screen. You can hear the presenter’s voice through your speakers and see the presentation slides on your screen. It’s a comfortable, convenient way to add to your knowledge base.
2. Blogs. There is no shortage of blogs like this one, and most of them offer excellent opportunities to increase your knowledge. If you follow our daily blog posts, you will be exposed to some of the best, but I also really like http://www.activerain.com/, which compiles blogs by numerous REALTORS®, and http://www.realtytimes.com/, which is a source of excellent information about the industry.
3. Office/Company Training. Some of the very best learning experiences take place in sales meetings, which are really the heart and soul of a real estate office. A weekly dose of “In the Market” information can not only change the working environment but can also make a huge difference in PROFIT.
4. Professional Seminars. These have always been a good choice! The one- and two-day seminars offered by CRS are among the best. The one-day seminars are more frequently offered and generally have much better attendance; agents on a budget still have the option to receive quality training, just in smaller doses.
5. Express Seminars. Many instructor/trainers have begun teaching classes of one or two hours in length which cover a lot of material but are offered at reduced costs. I have a new set of classes I’m offering that are built on this model, so I’ve included a video at the end of this blog that explains these new options in more detail. These “shortened” seminars are excellent for sales meetings, conventions or as an addition to a company’s training program.
Be Smart, Make More Money!