Biggest Challenges Faced by a Real Estate Managing Broker at Buckingham Investments
Anthony's biggest challenge as CEO/Managing Broker at Buckingham Investments is the inherent instability of real estate brokerage, a "hundred percent commissioned job" where income fluctuates greatly and "the security is not there." This, combined with the lengthy sales cycle of at least six months, contributes to a high attrition rate, with less than 5% of new agents building lasting careers.
Executive/Leadership, Overcoming Challenges, Industry Realities, Workplace Challenges, Resilience
Advizer Information
Name
Job Title
Company
Undergrad
Grad Programs
Majors
Industries
Job Functions
Traits
Anthony Walker
CEO/Managing Broker
Buckingham Investments
University of Southern California
Loyola Marymount University - MBA
Spanish & Other Languages, International Relations & Affairs
Real Estate
Real Estate
Honors Student
Video Highlights
1. The real estate brokerage business is characterized by periods of feast or famine, with income heavily reliant on commission and lacking a base salary or hourly wage.
2. The long lead time for each sale (at least six months) poses a significant challenge, especially for those starting their careers.
3. The high attrition rate in the industry, with less than 5% of agents making it a long-term career, underscores the difficulty and demands of the profession.
Transcript
What is your biggest challenge in your current role?
The tough thing about real estate brokerage is that it's feast or famine for a lot of people. It's a 100% commissioned job. People say you eat what you kill, and when times are tough, you can make $0.
There's no base salary or hourly wage. You can do very well if you're good at it; you can make a lot of money and be super successful. But for many, not knowing where the next paycheck is coming from is extremely difficult and anxiety-inducing.
That security just isn't there, so I think that's probably the hardest part. Combine that with the fact that each sale probably has a lead time of a minimum of six months, maybe longer. You can see how people struggle when getting started.
I'd say less than 5% of agents who start in this business end up making it a long-term career. It's very difficult and challenging. It takes a lot of grit, but if you can do it, it's super rewarding and you can be very successful.