by Michele Newbern Gillis
Staff Writer
The faces of the real estate world are changing — more and more young people are getting in the business.
“It is definitely tough starting out especially when you look like you’re 18,” said Corey Compton, 22, of Watson Realty, an agent for 15 months. “On the other hand, I knew what I wanted from the get-go and I knew that my age would probably be my biggest obstacle.
“The reason it is tough is because you truly learn the nature of people when it comes to business and how they will turn around and walk away after they get what they want. It takes a strong will to learn the true meaning of rejection and then move on.”
Cristina Maduro, also of Watson Realty, can relate to the fear of getting into real estate at a young age.
“Starting out in real estate is actually a little scary,” said Maduro, 32, who got into the business three years ago. “It costs a lot of time and money with no guarantee of return. It’s a huge risk, just like starting any business. Without supplemental income, I wouldn’t have been able to do it.”
To become a real estate agent, typically, a person would enroll at a real estate school to take a salesperson pre-licensing course.
According to Frank Cooke of the Cooke Real Estate School, the cost of the salesperson license class today is $275 to $330.
Then they have to pass the state exam.
The costs involved in getting into the real estate association in the Jacksonville area vary with the time of year you enter the field.
If someone were to enter real estate in October and join NEFAR, the fourth quarter dues for NEFAR are $382.75. The cost to join Multiple Listing Service is $325 which includes a $100 application fee. That is good until June 30, 2002. The annual dues are $300. The lockbox key cost is $41.50 and you must have a Lease Order Programmer Key form signed by your broker in order to get the key. The annual lease fee is $33. All fees must be paid at the time of joining.
In addition to the association fees, there are costs such as advertising, desk fees, business cards, organizers, a nice car to drive clients around in, decent business clothes to wear and more — all with no salary coming in until you make your first sale.
As to be expected, starting out in real estate is hard. Experts say you should have at least six months’ salary saved up when you get into it.
David Tolbert, 32, of Watson Realty got into real estate four years ago and said that you should be certain that you can support yourself for six months to a year without any income before taking the leap from a salary to a commission-based profession.
“My mom helped me get started by leaving me a little cash and a lot of confidence,” said Maduro. “I made the jump from my career as a marketing consultant for a dental implant company to real estate. Since then, my fiance has supported me both financially and emotionally.
“Without the two of them, I wouldn’t have been able to do it. I tried when I was 18 years old. I obtained a license but was never able to try it, as I had to receive a paycheck to pay my bills. I ended up going to college instead.”
When getting into real estate, new agents have many choices of what they want to do with their license.
“There are several avenues one can take in a real estate career,” said Graham Stewart, 27, of Cantrell Real Estate, a commercial agent for a little over a year. “It provides an opportunity to do several different activities, and if successful, make a good living. Development has always been exciting to me in the fact that it can provide a tangible product I can see that can benefit many people.”
Bart Hinson of Colliers Dickinson decided to go into commercial real estate.
“The first few years as a commercial realtor can be extremely challenging mentally, emotionally and financially,” said Hinson. “As a result, one should make every attempt possible to speed up their learning curve by either interning with a reputable brokerage firm or by taking a position as an administrative assistant with an experienced broker who is willing to become your mentor.”
Bob Hillis, 32, of Easton Sanderson and Company also chose to start in commercial real estate.
“It’s fun, exciting and challenging. It’s always fun to try something new. It can also be frustrating at times. Trying to figure out what I should be doing and how to do it,” he said.
Real estate is a hard business, but the key is to keep plugging away.
“Don’t give up because you get beat up,” said Compton. “No one can stop you if your goal is to make it in this business. There are great customers out there, too, and the feeling of making a sale is awesome even one year later. The key when you are new is knowing what you are getting into before you totally commit. I see people drop at least monthly because they could not support themselves long enough to give this a try.
“You should know how much your first year will cost, how long you could go with no sales, and what to spend your leftovers on if you have any. Be conservative until you are making a comfortable living.”
Many young realtors say having a good support system helps them to keep going.
“A great company with plenty of support and guidance is important,” said Compton. “I constantly talk to other agents and ask what is working for them and I listen and then try it on for myself.”
Hillis agrees that a good support system is imperative.
“My uncle and cousin have helped me get started,” said Hillis. “I guess I started by trying to learn the market and then began answering the phone and looking for property for people. It’s going pretty well. There are frustrations, but I’m enjoying it and learning every day.”
Stewart said the commercial side of the business is very exciting.
“I get to see first hand all the planned developments and growth in Jacksonville and what it takes to make development project and brokerage deals work,” he said.
Many college graduates are finding themselves jobless after graduation and turning to real estate as a career.
“I graduated last May from University of North Florida with a degree in finance/real estate and started at Watson that same month,” said Stewart. “I was blessed with knowing what I wanted to do since at least my sophomore year and was really excited to get started after I decided.”
Stewart has a master’s degree in real estate from the University of Florida.
“When I initially wanted to be in real estate, I realized I needed more education so I got a graduate degree concentrating in real estate,” said Stewart, whose father is prominent real estate attorney Carl “Hap” Stewart. “Once I was out of school, I found a very well respected mentor who knew a great deal about the business and was willing to teach me about real estate outside the classroom.”
Compton’s degree was more geared towards a real estate career.
“I got a degree in the closest thing to real estate that I could since UNF did not have a specific real estate degree,” said Compton. “The finance background also has helped, too.”
Even though the financial burden is there, many college graduates are finding that real estate offers a more flexible schedule.
“It is great doing what I want and just coming out of college it takes discipline to go to job every day where no one asks questions when you don’t show for a few days,” said Compton. “I think it has worked out great overall because I still get to take trips to Sarasota once in a while yet work full weekends some, too.”
Maduro said it has freed her up a lot as well.
“Even though at times I work weekends and odd hours, I make my own schedule,” said Maduro. “For once in my life, my friends and family can be a priority instead of secondary to my work.”
Hillis said that for him it was learning a new business, working with his family, being his own boss and the financial rewards down the road that made him choose real estate as a career.
But, the question is — is younger better?
“When I got into real estate 28 years ago, the vast majority of who got into it were retirees,” said Russell Grooms of Watson Realty. “It has changed over the years, where the average age of real estate licensees has dropped dramatically and I think that is positive.”
Grooms entered real estate while he was still in college and he said it was hard.
“You don’t have centers of influence,” he said. “I was maybe the youngest person in realtors’ association at 23. You don’t have doctors, lawyers, accountants and people like that in your life to sell homes to because you don’t have those people yet. You don’t live in a home so it’s hard to relate to the joys of home ownership. You don’t have children and insurance and it’s hard to relate.”
Once the agents pass the test and find a company to hire them, they have to start using their sphere of influence (if they have one) to create business amidst all the other experienced agents in the market.
Grooms said that a young man or woman entering real estate has other things on his or her mind.
“They’ve been trapped in school for 15 years and they want a new apartment, new car and new clothes,” said Grooms. “Someday, somehow, there may be more of the employee/ employer status. But, even then it’s very tough for a man under 30. The odds are stacked against them because they don’t have the centers of influence. It’s the exception that can make it and real estate is not for everyone.”
Another thing that makes real estate harder on younger people is that they don’t have the experience older realtors might have.
“It is important not to pretend to have knowledge you don’t have in this business,” said Tolbert. “When I don’t know an answer, I tell my customer that I will have to research their question and get back to them.”
Grooms said it might be easier for a young woman to succeed in real estate than a young man.
“On average, a young woman can be more successful younger than a young man because young women are able to accept responsibility sooner,” said Grooms.
A big thing that Grooms said young realtors do have going for them is that the average age of first-time home buyers has come down.
Some advice Maduro would like to share: “Make sure you have plenty of money to begin with or have someone to pay your bills for you. You must have confidence, patience, and determination. With these two objectives taken care of you can become successful in the real estate business.”