Finding new leads is the most challenging part of being an agent, especially for agents with five years or less experience.
According to realtor.com®, 70% of agents who have been in the business for two years or less cited that as the biggest hurdle, while 61% of those in the business three to five years agreed. Comparatively, less than half of agents who have been in the industry five years or more consider it a challenge. Another challenge for new agents is converting potential leads to actual clients, with 41% of agents with two years or less experience citing it, followed by 34% of agents with three to five years experience. Less than one-third of agents who have been in the business five years or longer consider it an obstacle. Overall, agents with five years or less experience cite the buyer who never buys as the biggest problem, while agents with more than five years said big listing sites are their biggest headache.
The majority of all Realtors® said they wish they had known more about lead generation when they first started in the business. What can brokers and other experienced agents do to help newer Realtors® stay in the business without quitting in frustration? Mentorships were available to 60% of participants and two-thirds of new agents (with seven or more transactions per year) said they have a mentor still. Additionally, the majority of newer agents have back-up funds available.
Nearly half of new agents with seven or more transactions per year said they spend at least $3,000 on marketing per year, with 80% paying for the cost personally. Additionally, 71% of successful new agents said they devote part of their budget monthly toward acquiring new leads.
Successful agents attribute mentorship, training and education to the longevity of their career.