Day in the Life

What It's Like to Be a Realtor

You may have recently seen articles in the news relating to the real estate industry, not just in Maine but nationwide. There has been a great deal of information and misinformation about possible changes to the commission structure used by real estate agents and their respective clients. Simply stated, it is a change that will impact our day-to-day business practices and the best way we speak to our clients, both selling and buying sides about commissions going forward. I have always promoted education and transparency with my clients, discussing the services I am providing and the compensation expected under either the Listing Agreement or Buyers’ Representation Agreement, and explaining who is providing compensation to me as their REALTOR®, and that commissions are negotiable and set between brokers and their clients. 

I’m not your average Realtor, in that the services I provide to my clients might also include painting, landscaping, staging and cleaning … cleaning … oh and did I mention cleaning. These “services” I gladly provide for free. But the rest of what I do are the regular tasks completed by any good real estate agent. So in any conversation about real estate professionals earning their commission, to help answer any questions,  I would like to share a list of tasks/duties of a real estate agent - The Day in the Life of a Realtor. 

SO…YOU WANT TO KNOW WHAT IT’S LIKE TO BE A REALTOR (authored by a fellow realtor) 

The average FULL TIME REALTOR’s earnings last year was $31,900 @ 40+ hours a week. (Notice I wrote full time 40+ hours not 0-20 hours a week) which is well below the living wage. As a REALTOR we do not get paid an hourly wage or salary and we only get paid if we sell a home and it closes. We can only get paid by broker to broker. As an agent, we could work with someone days, weeks, months, or years with no guarantee of a sale ever. 

Essentially we wake up each day unemployed going on job interviews and deal with constant rejection. We dedicate time away from family, use our time, gas, pay for babysitters, miss dinner and weekends, and rarely take vacations. We are on 24/7! We constantly need to be on, or we could miss an opportunity. Once we do close a home, half of the commission goes to the other person's agent.

We have lots of upfront expenses that must be paid out before we even get paid: 

• brokerage splits and fees

• office rent and utilities

• MLS fees

• National Association of Realtor fees

• local association fees

• errors & omissions business insurance

• extended auto insurance 

• self-employment tax 

• state licensing fees 

• advertising fees 

• showing service fees 

• website fees 

• assistant's salaries 

• showing partners 

• transaction coordinator fees/salaries

• yard signs 

• photographers 

• videographers 

• office supplies 

• business cards 

• property flyers 

• electronic lockboxes 

• continuing education costs

• legal fees 

• gas 

Income taxes are not taken out so we have to set  around 25-30% aside. And don’t forget health insurance if we don’t have a spouse who provides it. 

As a listing agent we have lots of tasks far more than just selling a home:

1. Prepare Listing Presentation for Sellers 

2. Research Sellers Property Tax Info 

3. Research Comparable Sold Properties for Sellers 

4. Determine Average Days on Market 

5. Gather Info From Sellers About Their Home 

6. Meet With Sellers at Their Home 

7. Get To Know Their Home 

8. Present Listing Presentation 

9. Advise on Repairs and/or Upgrades 

10. Provide Home Seller To-Do Checklist 

11. Explain Current Market Conditions 

12. Discuss Seller’s Goals 

13. Share Your Value Proposition 

14. Explain Benefits of Your Brokerage 

15. Present Your Marketing Options 

16. Explain Video Marketing Strategies 

17. Demonstrate 3D Tour Marketing 

18. Explain Buyer & Seller Agency Relationships 

19. Describe the Buyer Pre-Screening Process 

20. Create Internal File for Transaction 

21. Get Listing Agreement & Disclosures Signed 

22. Provide Sellers Disclosure Form to Sellers 

23. Verify Interior Room Sizes 

24. Obtain Current Mortgage Loan Info 

25. Confirm Lot Size from County Tax Records 

26. Investigate Any Unrecorded Property Easements 

27. Establish Showing Instructions for Buyers 

28. Agree on Showing Times with Sellers 

29. Discuss Different Types of Buyer Financing 

30. Explain Appraisal Process and Pitfalls 

31. Verify Home Owners Association Fees 

32. Obtain a Copy of HOA Bylaws 

33. Gather Transferable Warranties 

34. Determine Need for Lead-Based Paint Disclosure 

35. Verify Security System Ownership 

36. Discuss Video Recording Devices & Showings 

37. Determine Property Inclusions & Exclusions 

38. Agree on Repairs to Made Before Listing 

39. Schedule Staging Consultation 

40. Schedule House Cleaners 

41. Install Electronic Lockbox & Yard Sign 

42. Set-Up Photo/Video Shoot 

43. Meet Photographer at Property 

44. Prepare Home For Photographer 

45. Schedule Drone & 3D Tour Shoot 

46. Get Seller’s Approval of All Marketing Materials 

47. Input Property Listing Into The MLS 

48. Create Virtual Tour Page 

49. Verify Listing Data on 3rd Party Websites 

50. Have Listing Proofread 

51. Create Property Flyer 

52. Have Extra Keys Made for Lockbox 

53. Set-Up Showing Services 

54. Help Owners Coordinate Showings 

55. Gather Feedback After Each Showing 

56. Keep track of Showing Activity 

57. Update MLS Listing as Needed 

58. Schedule Weekly Update Calls with Seller 

59. Prepare “Net Sheet” For All Offers 

60. Present All Offers to Seller 

61. Obtain Pre-Approval Letter from Buyer’s Agent 

62. Examine & Verify Buyer’s Qualifications 

63. Examine & Verify Buyer’s Lender 

64. Negotiate All Offers 

65. Once Under Contract, Send to Title Company 

66. Check Buyer’s Agent Has Received Copies 

67. Change Property Status in MLS 

68. Deliver Copies of Contact/Addendum to Seller 

69. Keep Track of Copies for Office File 

70. Coordinate Inspections with Sellers 

71. Explain Buyer’s Inspection Objections to Sellers 

72. Determine Seller’s Inspection Resolution 

73. Get All Repair Agreements in Writing 

74. Refer Trustworthy Contractors to Sellers 

75. Meet Appraiser at the Property 

76. Negotiate Any Unsatisfactory Appraisals 

77. Confirm Clear-to-Close 

78. Coordinate Closing Times & Location 

79. Verify Title Company Has All Docs 

80. Remind Sellers to Transfer Utilities 

81. Make Sure All Parties Are Notified of Closing Time 

82. Resolve Any Title Issues Before Closing 

83. Receive and Carefully Review Closing Docs 

84. Review Closing Figures With Seller 

85. Confirm Repairs Have Been Made 

86. Resolve Any Last Minute Issues 

87. Attend Seller’s Closing 

88. Pick Up Sign & Lock Box 

89. Change Status in MLS to “Sold” 

90. Close Out Seller’s File With Brokerage 

As a buyer agent we also have many tasks:

1. Schedule Time To Meet Buyers 

2. Prepare Buyers Guide & Presentation 

3. Meet Buyers and Discuss Their Goals 

4. Explain Buyer & Seller Agency Relationships 

5. Discuss Different Types of Financing Options 

6. Help Buyers Find a Mortgage Lender 

7. Obtain Pre-Approval Letter from Their Lender 

8. Explain What You Do For Buyers As A Realtor 

9. Provide Overview of Current Market Conditions 

10. Explain Your Company’s Value to Buyers 

11. Discuss Earnest Money Deposits 

12. Explain Home Inspection Process 

13. Educate Buyers About Local Neighborhoods 

14. Discuss Foreclosures & Short Sales 

15. Gather Needs & Wants Of Their Next Home 

16. Explain School Districts Effect on Home Values 

17. Explain Recording Devices During Showings 

18. Learn All Buyer Goals & Make A Plan 

19. Create Internal File for Buyers Records 

20. Send Buyers Homes Within Their Criteria 

21. Start Showing Buyers Home That They Request 

22. Schedule & Organize All Showings 

23. Gather Showing Instructions for Each Listing 

24. Send Showing Schedule to Buyers 

25. Show Up Early and Prepare First Showing 

26. Look For Possible Repair Issues While Showing 

27. Gather Buyer Feedback After Each Showing 

28. Update Buyers When New Homes Hit the Market 

29. Share Knowledge & Insight About Homes 

30. Guide Buyers Through Their Emotional Journey 

31. Listen & Learn From Buyers At Each Showing 

32. Keep Records of All Showings 

33. Update Listing Agents with Buyer’s Feedback 

34. Discuss Home Owner’s Associations 

35. Estimate Expected Utility Usage Costs 

36. Confirm Water Source and Status 

37. Discuss Transferable Warranties 

38. Explain Property Appraisal Process 

39. Discuss Multiple Offer Situations 

40. Create Practice Offer To Help Buyers Prepare 

41. Provide Updated Housing Market Data to Buyers 

42. Inform Buyers of Their Showing Activity Weekly 

43. Update Buyers On Any Price Drops 

44. Discuss MLS Data With Buyers At Showings 

45. Find the Right Home for Buyers 

46. Determine Property Inclusions & Exclusions 

47. Prepare Sales Contract When Buyers are Ready 

48. Educate Buyer’s On Sales Contract Options 

49. Determine Need for Lead-Based Paint Disclosure 

50. Explain Home Warranty Options 

51. Update Buyer’s Pre-Approval Letter 

52. Discuss Loan Objection Deadlines 

53. Choose a Closing Date 

54. Verify Listing Data Is Correct 

55. Review Comps With Buyers To Determine Value 

56. Prepare & Submit Buyer’s Offer to Listing Agent 

57. Negotiate Buyers Offer With Listing Agent 

58. Execute A Sales Contract & Disclosures 

59. Once Under Contract, Send to Title Company 

60. Coordinate Earnest Money Drop Off 

61. Deliver Copies to Mortgage Lender 

62. Obtain Copy of Sellers Disclosure for Buyers 

63. Deliver Copies of Contract/Addendum to Buyers 

64. Obtain A Copy of HOA Bylaws 

65. Keep Track of Copies for Office File 

66. Coordinate Inspections with Buyers 

67. Meet Inspector At The Property 

68. Review Home Inspection with Buyers 

69. Negotiate Inspection Objections 

70. Get All Agreed Upon Repair Items in Writing 

71. Verify any Existing Lease Agreements 

72. Check In With Lender To Verify Loan Status 

73. Check on the Appraisal Date 

74. Negotiate Any Unsatisfactory Appraisals 

75. Coordinate Closing Times & Location 

76. Make Sure All Documents Are Fully Signed 

77. Verify Title Company Has Everything Needed 

78. Remind Buyers to Schedule Utilities 

79. Make Sure All Parties Are Notified of Closing Time 

80. Solve Any Title Problems Before Closing 

81. Receive and Review Closing Documents 

82. Review Closing Figures With Buyers 

83. Confirm Repairs Have Been Made By Sellers 

84. Perform Final Walk-Through with Buyers 

85. Resolve Any Last Minute Issues 

86. Get CDA Signed By Brokerage 

87. Attend Closing with Buyers 

88. Provide Home Warranty Paperwork 

89. Give Keys and Accessories to Buyers 

90. Close Out Buyer’s File Brokerage 

Whew…exhausting isn’t it!?!  Welcome to a Day in the Life of a Realtor. Although it can be stressful at times, the rewards outweigh the risks, and I wouldn’t want to be doing anything else.