What kind of industry is real estate agency?

A friend of a friend heard that I had worked as a backstage function in an intermediary company for several years and sent this passage.

It can be seen that he is a little tempted by this industry. I want to say:

Real estate transaction is almost the biggest consumer goods transaction in a person's life. It is precisely because of the huge amount of the target that the commission generated by a single transaction is also very considerable. But I have to throw some cold water on you, too. A family only has a real estate transaction once every 7- 12 years on average. The transaction frequency of a single user may only be higher than that of the funeral industry.

Most sales work (such as insurance sales, drug sales, etc.). ) Promote your company's products-similar to B2B or B2C, and the product specifications and pricing are relatively certain.

But second-hand housing brokers are matchmaking businesses. The traded goods (i.e. houses) are owned by the owners, not the brokers or brokerage companies. At the same time, the condition of each commodity (geographical location, floor, apartment type, orientation, decoration, etc.). ) are not completely consistent, and the trading conditions of the buyer and the seller (such as bid, payment method, delivery time, etc.). ) may also change at any time.

Therefore, brokers need to mediate between buyers and sellers (similar to C2C), and the transaction is more complicated.

More houses for sale will attract more buyers (more goods to choose from); More buyers will attract more sellers (more exposure, faster sales). Once the network effect is formed, resources will increase geometrically.

For brokers, joining a resource-rich "network" usually means more matching possibilities, higher transaction efficiency, and naturally means more commission income.

The characteristics of high goal, low frequency and more complexity make consumers tend to be more cautious when making purchase decisions. They may spend months collecting a lot of information and materials for research. But for most people, self-study is inefficient and time-consuming, and professionals are needed to provide professional services.

An excellent broker should not only provide the most basic information about housing transactions, but also provide consumers with more information to assist their decision-making, such as who the residents of this community are, what the past transactions are like, whether there are disgusting facilities around, what the transaction process is, what taxes and fees may be generated, how to borrow money, and the possible risks of the transaction.

This means that brokers should not only understand housing and sales, but also learn legal knowledge, transaction process and housing structure, so that they can settle down and take root in the community.

You're welcome to say that it's pure luck to open a trading order within 1 month after joining the bank. For most people, it is possible to work independently after 4-6 months. If your company can't provide professional training and there is no teacher to teach you, then for a long time, you will probably have to live on a meager guaranteed salary.

So when choosing a company, don't just pay attention to the basic salary and salary. Training and growth may be more important.

This industry naturally has strong cooperation. If you have five clients and five houses, there are only 25 possible matches at most. If you choose to cooperate with another broker with five rooms and five guests, two people will have the possibility of matching 100, and the transaction efficiency will be greatly improved.

But at the same time, with the increasing number of online brokers, per capita resources are becoming scarcer and scarcer. If there are not enough rules and technical constraints, vicious competition will certainly breed and destroy the network. Such as fake housing.

If the platform can't identify and control fake houses, then the broker who sends fake houses must be cheaper than the broker who sends real houses. After all, fake houses are much cheaper, which can attract more consumers to call for advice. Such bad money drives out good money, and fake houses are popular. It not only bothers consumers, but also damages the reputation of the whole industry, and also makes brokers distrust each other, and the foundation of cooperation is very fragile.

Brokers work long hours and their rest time is uncertain. Even on rare rest days, they often need to deal with consulting or show customers the house. Signing contracts and negotiating late into the night is not unusual in the industry.

But the most tormenting thing is actually the long and trivial trading process after the transaction.

Taking Beijing as an example, it takes an average of 104 days to complete a second-hand house transaction, in which it takes about 38 days from accepting the entrustment to closing the transaction, and the longest time for signing the contract, lending and paying taxes is 66 days, accounting for 2/3 of the whole transaction cycle.

The chairman of Ke Holdings Inc once made a judgment: the rapid increase of living space and population brought by rapid urbanization in the past 20 years has become a thing of the past, and the overall housing prices in most cities have entered a stable period, but for real estate agents, it may have ushered in the best development opportunity.

"Now it is about 12 trillion new house GMV+6 trillion second-hand house GMV every year, of which 90% of the second-hand house market and 15% of the new house market are traded through intermediaries; In the future, it will be 10 trillion new houses+10 trillion second-hand houses every year, and the GMV of second-hand houses will irreversibly exceed that of new houses; At the same time, as the market tends to be stable, new house sales will rely more on channels (that is, brokers and brokerage companies). In the future, it is estimated that 50% of new houses GMV will be carried out through channels. " Zuo Hui said.

In China, most real estate agents are young people, which gives us an illusion, as if this is an industry that eats youth meals. In fact, this is a rare industry with perfect life cycle cash flow.

In the United States, real estate agents are typical middle class. Their age is generally over 40, and their working time is generally over 10 years. The more stable you work in this industry, the more obvious the positive correlation between income and working hours.

The reason is actually very simple. The longer the working hours, on the one hand, it means that the more things you handle, the richer the experience of negotiation and matchmaking; On the other hand, if you work in the same business circle for a long time, you will definitely know more about the house and its surrounding environment, have stronger sales ability and better service reputation, and consumers will be more willing to introduce you to other friends who need to buy a house, thus facilitating more transactions.

And a large number of young people, who don't know enough about the particularity of this industry, are fooled into entering the industry by "it's not a dream to earn 10,000 yuan a month". After working for several months, I found that it was not quite what I expected. I hurried out before the harvest stage. The average annual turnover rate of the industry is as high as 100%, and it is difficult for consumers to get high-quality services. The so-called "leftover" is king, which is probably what it means.

Having said that, if you are still willing to try this business, I suggest that you set aside at least six months of living funds and prepare for 1 year only enough food and clothing. But I believe that after three years, you will get an accelerated growth experience and a satisfactory income.