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Why Successful Real Estate Agents Are Quietly Leaving · The Real Estate Agent Playbook

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what if I told you that
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some of the agents that I've talked to lately
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who are leaving the industry
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are not the new agents that didn't
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you know beat the statistic
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but agents
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who have had a ton of success in this industry
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and now are looking for something more consistent
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and just really struggling
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the truth is is that
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there's two agents that are leaving this industry
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in droves it's definitely
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the newer agents that struggle to get their footing
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and can't build the business
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but there's also the other group of agents
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who are extremely successful
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some of which I consider mentors
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that are just struggling right now
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and the truth is
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we can fix this and we're gonna dive into how
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what's up guys I'm Jeremy Kane
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with the real estate agent playbook at EXP Realty
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thanks so much for tuning in
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we are gonna get right into this because honestly
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this is kind of shocking to me
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in the conversations that I've had
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and they're not just local
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they're not just you know
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in other areas that are struggling markets
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it's agents all over agents that have been successful
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and not all exits are failure based
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some are honestly just burnout
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and that's something that is a real
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thing in our society today
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and especially in this commission driven
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hustle and bustle
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technology infused business that is real estate
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so let's talk about it why is this happening
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well the perfect storm right
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Covid era conditions were absolutely insane
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we hardly had a chance to
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you know really perfect our craft
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because it was going from one to the next
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serving the extreme demand that existed
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there was low inventory so sellers
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you know
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could put their house on the market and we could
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you know adjust if needed
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but usually sell it in just a weekend right
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and then speed was the reward
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speed was rewarded over structure
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and so much like a lot of agents
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the the business side wasn't really structured
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cause it was just coming it was
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you know consistent business coming in
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but also
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what wasn't there is the actual business structure
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the finances the planning
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the saving all of the things that come into play
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there were absolutely put on the back burner
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and now when the market slows down
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when homes sit on the market for a little bit longer
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and it's not just you know
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30 days to a commission check when when that occurs
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the momentum
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really masked the weak systems that were in place
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and now agents that you know
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are still very successful to the naked eye
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are absolutely struggling
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because that system needs to be in place financially
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business wise
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lead generation wise and it just wasn't there
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and the the real phenomenon is
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the new business would sustain the growth right
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the systems for past clients and all of that you know
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which I have taken advantage of and luckily had those
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systems in place however
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a lot of people we're just like okay
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new business is here
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and the pipeline wasn't as seasoned
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it wasn't as nurtured
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so you weren't in those conversations right
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once they got to the head of the pipeline
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they raised their hand we put their house in the market
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we went out and looked at homes
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maybe we had to beat out some offers
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but ultimately
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that pipeline was almost moving along naturally
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now
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what happened next was absolutely
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when the market changed
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it wasn't as easily to move through the pipeline
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for agents for their clients
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so then we started to see kind of some struggles
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and once that pipeline slowed down
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then things changed right
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there was a lifestyle with a system mismatch
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successful agents built lifestyles around peak income
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right whether it's
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you know the real estate investment
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whether it's just frivolous spending
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everything was starting to get more expensive
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at the grocery store at the gas tank
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and our income seemingly overnight turned off no
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it didn't turn off completely
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for those top producers that I'm talking about
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but it certainly slowed down right
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so as those increased income
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you know those
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those things that were staples in our life right
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our mortgage the taxes started going up
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the insurance started going up
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everything was more expensive
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and as that pipeline slowed down
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the margin for air and the margin for
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you know
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a home actually going on the market not selling
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or a buyer not being able to qualify or whatever
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it really slowed that pipeline down
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and it really made that margin of air reduce
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and when people get stressed
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usually it's financial based most of the time
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and as we get those financial stresses
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then we squeeze harder right
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then we push further then we're we
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we become kind of that you know
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used car salesman at times
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because we have to put money on
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or we have to earn money to put food on the table
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for our our families and those most important to us
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right so the business in that era worked short term
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right money was coming in
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didn't matter the money going out
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and we started to get really complacent
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uh and the truth is that the business just
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could not possibly compound long term
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based on that right
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whether it was the first time home buyer side
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where interest rates started to rise
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and there was less you know approvable
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you know in the pool
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that's part of it
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but also if there's less approvable in the pool
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then those listings you know
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we can't be as aggressive
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and we don't get the bidding wars
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and now
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sometimes we have to have those hard conversations
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so when it all broke and you know
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the volume slowed right
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the income slowed expenses still stayed high right
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we still were were in this rat race of okay
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we gotta you know
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do all of this and get the stager in there
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and get the photos and all of that
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but then when it doesn't sell
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then staging becomes more expensive then you know
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we need to create more content than we had to do
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because now instead of a weekend
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we have 60 days worth of content
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that we need to extend our
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you know value proposition over
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to actually serve the client and sell the home
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and so as that happened
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pipelines became more and more unpredictable right
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sellers that didn't have to sell were happy
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leaving their home at a higher price point
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even though it had fallen a little bit um
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buyers who you know
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had the opportunity maybe it's time to buy
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they'd go out and they look and they'd like well
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you know we just can't
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we can't make that jump
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because now that the interest rates this
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you know it's gonna be $1,000
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more a month than what we're used to
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so maybe we'll rent for a year
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and save that thousand dollars a month
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and as as we thought
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and as the human mind thinks in the consumer side well
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if it's slowing down the
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the prices are gonna come down
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the interest rates will come down right
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we we heard that all over the place well
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the prices have more or less stabilized
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not come down as much as some would
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maybe like on the buy side um
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but that's still a hard
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pill to swallow for those sellers
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so as this kind of happened
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it it became broken right
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agents who relied on you know
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multiple six figure incomes and you know
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everything kind of working in flow
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and everything flowing through and
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you know money coming in
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money going out
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and it wasn't really a thing had to kind of sit back
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and the those without those systems broke right
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and now they need you know
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I hear it time after time
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experience agent after experience agent
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maybe I'm gonna get a job that you know
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has a consistent salary it might not be you know
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as much as I could make
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but it certainly will be more predictable and I can
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you know kind of cover my expenses
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I can start to limit my expenses and
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and do those things and go from there well
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you know and I know
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if you're putting more time into a 40 hour work week
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or a 50 hour work week
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that's bringing that consistent check in
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you don't have as much time to put
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into the real estate side
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so there are real agents out there that
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you would be shocked if I mentioned their names
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that are actually considering leaving the industry
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so as we kind of step back and we're like well
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the market this the market this how's the market
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the market didn't take the business
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the market just revealed what the business
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was built on and
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you know whether that was the business
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went down and the actual income went down
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or the expenses just went higher
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and we're continuing to go higher
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because that's how we scale right
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you have to spend money to make money
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that's really what the market revealed is that
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you know
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even if it was just a 90 day period or whatever
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where we're like okay
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we're doing this and then all of a sudden
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it turned and that pipeline slowed
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that's when things really got difficult
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and agents you know
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honestly you're starting to be like okay
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should I just go you know
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be in marketing or do this
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we have a ton of skills
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because those successful agents have built a business
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based on you know
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marketing and things but truthfully
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was the market just driving and pushing us ahead
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and pushing us to higher and higher peaks
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possibly but the ones that didn't invest in real estate
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and the ones that didn't save
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those are the ones that are like okay
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well maybe I need to shift here
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and they start to have this self doubt and that
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that confidence issue
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and the truth is agents have already left right
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maybe not agents that I've talked to
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cause I'm like come on
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let's go we can do this
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we're gonna build this we're gonna
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you know reorganize and
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and do the things
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like that's what I do and that's what I love to do
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and I want to do that so if you are struggling
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and you just want to have an honest conversation
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not about any brokerage not about anything else
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reach out and let's look at the
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look at your map and build one
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because unlike other agents who are saying yes
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more people are leaving the industry
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I don't want anyone to leave the industry right
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this industry has built amazing success for what
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I have created for me and my family
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and I want that to be the same for you
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even if it means a little bit of a
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you know a change or some organization
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reorganization of finances or whatever
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there is a path forward
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and those that do choose to stay in the industry
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instead of taking that salary job
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will absolutely benefit as the markets come back
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as we've already seen in the spring here in my market
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the markets kind of coming back
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homes are selling
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we're having a little bit multiple offers
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we're doing a lot of things that
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you know are good
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so let's talk about the exit right
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that's the thing is these exits aren't like okay
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public failure I completely failed
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they just slowly pull back
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and they start spending more time on indeed
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and start putting in more resumes
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and trying to do this all while they're doing that
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compounding the problem
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because they're putting less time into their clients
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less time into their production
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because they think they're on the way out right
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so the truth is they're quietly searching for stability
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the salaries the benefits
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the predictable income
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and the truth is survival is a response
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not a weakness and I often tell people your
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your pipeline is is there and full
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but in this industry
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we got so used to the new business
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and new business coming in
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when really it's a nurture problem of the pipeline
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and an education problem of the pipeline yes
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the pipeline is not as fruitful as it once was where
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you know
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we could walk down the street with a 3% interest rate
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and everybody could afford
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you know
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a home even though those prices were skyrocketing
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that's changed a little bit
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and so we have to understand that
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the survival response is definitely to feel like okay
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well I'm just gonna go make two
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50 a year at this corporate position
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I can do it I have all the skills
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I've done it before
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and we need to step back and be like okay
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like is there that actually an opportunity
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or is that going to create a lifestyle that
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continues in this cycle
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that you're just not super comfortable with
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because there is still a lot of money to be made
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in the real estate industry
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and there's a lot of people to help and serve
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but as agents
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we need to understand that it is a little bit of a
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let's raise our hand let's work together
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let's dial in some lead generation platforms
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let's work on nurturing that pipeline to move forward
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so the missed opportunity is truly in that pipeline
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and that nurturing right
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past clients still exist
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past clients need more help now than ever
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because I have conversations with my clients every day
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that aren't just based on well
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you know it's been six months
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your home appreciated 100 grand
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you're good to go like everything's great
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those past clients still need you right
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those past clients still trust you
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and if you are there as a resource
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there's a lot of deals
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and people that maybe did get into a bad situation
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and need to get out of it
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and have a strategy to get out of it
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that's where the real estate professional comes in
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right past clients still own homes
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and so as agents
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if we can implement an annual review strategy
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like I talk about on this channel all the time
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and help serve these clients to make better decisions
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the truth is is that your past clients
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is a very small number
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of the people that are out there
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that are you know
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considering you know hey
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maybe I my payments too high
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maybe I need to downsize
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there's still people having babies
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so maybe we need to upsize
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so if you can serve that past client
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that's in a community that they're like hey
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that really helped me thanks
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you got me gave me clarity
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wasn't great information I don't love to hear that
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my home's worth the
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same amount as I paid for it two years ago
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and I've paid all this interest
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but it's given me clarity
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then they're gonna go to the next person and be like
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hey you need to talk to you know X
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y Z right
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because those past clients will still have influence
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on people that need to buy
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and sell real estate
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as home sell every day and so
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this is where
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we can kind of start to massage this situation
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and get back into it get back on our feet
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because once the floodgates open again
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there's going to be less agents
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regardless of
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if I can convince them all to stay or not
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there are agents are gonna leave
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cause truth is not everyone listens to this podcast
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or this YouTube video um
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but that's how it is right
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starting over is
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is going to be a whole other thing because ultimately
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walking into a salary job
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the economy is what it is
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walking into a salary job
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is still going to be a pay cut
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for some of the people I'm talking to
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and we still need to manage those in those expenses
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so that's that's part of it granted
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as you know a W2 employee
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you don't have as many benefit or you know
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expenses in the business
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but as we go we just need to not start over
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we need to start going deeper
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we need to start making sure that
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what's right in front
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of us is what we are nurturing the most
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and that's those past clients in that pipeline
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instead of okay
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what's this new lead thing that I can do
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what's this shiny object do what you do serve people
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bring your zone of expertise to the market
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and to everything that's going on
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and we can get through this piece
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maybe make some adjustments on the personal side
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maybe not but I was absolutely floored
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when I started having more conversations with agents
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like I do and it wasn't just the newer agents
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that just never got their footing
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maybe it wasn't the extreme top producer
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most of those are doing pretty well
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but there were some and then it's the middle right
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the people that did 10 or 15 or 20 deals at one point
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and now you know are struggling to get to five or six
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that's where they're like okay
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what what
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it's just done like
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technology is taking over and I don't have an option
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the truth is you have an option
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because this is a service based industry
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we're a long way from AI
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replacing the real estate agent
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uh because
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you know because of our ability to be empathetic
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and problem solve and do these things yes
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AI is gonna take some of your clients
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but it's actually a lot smaller of
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of a collection of people than you would think uh
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at least in the short term
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so you as an agent can dive back in
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and go deeper with these past relationships
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whether they're past clients or past relationships
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there is a lot of serving and impact
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left for you in this industry
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and so then I started you know
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talk thinking about okay
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these newer agents and you know
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are they doing it because certainly
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there's agents
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that never are able to go full time into real estate
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and they got another job
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and they got family to take care of
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and they got the kids and they got all the activities
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so the time isn't really there right
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but the truth is more times than not
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if you actually give it your all as an agent
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and maybe you're in this situation right now
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and if you are please reach out
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I'd love to talk to you
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you feel like you're actually dedicating the time
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you're actually following through
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and not jumping from idea to idea
17:02
and you're actually executing right
17:05
maybe it takes a month or two or three
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right
17:08
to consistently post those Instagram stories or posts
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or YouTube videos or do those open houses
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or make those calls or whatever
17:16
your lead generation thing is
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everything works nothing doesn't
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as long as you're not
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as long as you're doing not doing nothing
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you have an opportunity in this business
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but so many people right
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burn out right before it works
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they give up they throw up their hands
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they lose that consistency and it falls off
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and they're back to square one
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and so that's huge
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so growth without leverage feels like failure
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if you're not making you know
17:44
consistent strides
17:46
in getting more appointments or things like that yes
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that's what I coach agents on all the time okay
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well what do we need to do
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maybe it's a different you know
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pillar we need to start pushing towards
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or maybe it's just a different script that you need to
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kind of go in with I'm not a huge script guy
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I'm huge report guy so usually I'm like
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remove the script
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just do whatever you can to help the person right
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in front of you
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and business will start flowing your way
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so at the end of the day burnout is structural
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it's not motivational sure
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it appears like we're just not motivated
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because we've tried and we've tried and we've tried
18:23
but have you been coached on what you're trying
18:25
have you actually put in the reps
18:27
and made those adjustments to get to where you're going
18:31
and if you have like
18:32
let's talk right let's let's see
18:35
because I coach clients and agents all the time
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on this specific thing
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it's no different than when I was coaching buyers
18:42
who are making multiple offers
18:44
and just didn't have the cash to cover that
18:46
appraisal gap or
18:47
you know the inspection items that could come up
18:50
that it's almost the same thing like
18:53
okay guys like we need to continue saving over here
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we need to continue you know
18:56
nurturing the bank account so that we're good to go
18:59
but we also need to continue taking shots
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maybe we look at older
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homes that have been on the market for
19:04
a little bit better maybe we extend the search area
19:06
maybe we look at two bedroom houses with options
19:09
with a basement or something to add a third bedroom
19:12
there's options out there and we can get creative
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but sometimes right before we're
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we're there and we're able to do it
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we're like hmm
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never mind I'm gonna go rent a house or never mind
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I'm gonna go you know work for a builder right
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that was a popular one where agents you know
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put their license on hold
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and went and work for a builder well
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now
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those agents are starting to come back a little bit
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because they're like oh
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I can do this I you know
19:37
the building world is slowed down
19:39
so I need to you know create income
19:41
and so there's a lot of different complexities
19:43
to what's going on but a lot of it is there right
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and the truth is we're gonna burn out eventually
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if we're just doing the same thing
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and even if we are doing the same thing
19:54
and getting results if there's no system there
19:57
we're gonna burn out anyways because we're
19:59
we're putting too much time and effort
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we're on this hamster wheel of production
20:03
that I like to call call real estate right
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and so there is almost a trap as a solo agent right
20:10
you're the hero
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you wanna be the hero you don't you know
20:12
you wanna make sure you have control of everything
20:14
and all the things I was that guy before
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I hired a transaction coordinator to help me with
20:18
you know
20:19
the files and the things that they're experts on
20:22
they're far more organized than I am
20:23
I'm way better at going out and talking to people
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and whatever they would rather
20:27
sit behind a computer and keep me organized
20:29
and kind of you know
20:30
run the show from there
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and that's absolutely the truth
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and you can't do everything right
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I I recently um
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got some coaching from a lady named Karen in Toronto
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and she had this entire system set up
20:45
she coached me to help me build it out
20:47
we're actually doing an event with her
20:49
to kind of go through some of those things that
20:51
absolutely in this time of the spring
20:55
where I have listings coming on
20:56
I'm able to help agents and coach agents
20:59
and serve my clients directly
21:01
because I've added a listing coordinator
21:03
who's setting up the staging and the contractors and
21:06
you know the marketing and all of that
21:07
and then I can do the marketing
21:10
I can do the videos
21:11
I can do the scripts and go there and do that
21:13
but I can serve my
21:14
my clients and my agents at a higher level
21:17
because I have this person in my
21:19
my team that's helping me with some of the stuff that
21:22
maybe I'm not the best at
21:23
and so that's absolutely the key is a lot of agents
21:26
when they do get going
21:28
they burn out because they're doing everything right
21:31
and so that's absolutely the case
21:33
and the truth is
21:35
when I'm in my zone of genius with my clients
21:38
analyzing the market looking at their listings
21:41
helping them you know
21:42
get under contract as buyers
21:44
I'm indispensable right
21:46
but if I have to work on the files
21:48
and I have to work on the marketing plan
21:49
and I have to you know
21:50
come up with this and I have to do all the paperwork
21:53
and the back end stuff
21:54
then all of a sudden I become more of a robot
21:57
I'm less you know
21:58
in
21:59
in conjunction with those clients and in flow with them
22:02
and that's where things kind of get a little bit hectic
22:05
so ultimately don't fall for the solo agent trap
22:08
if you are in that that flow and things are working
22:12
let's have a conversation
22:13
cause I have a ton of systems
22:14
I have a ton of people to connect you with
22:16
that can absolutely
22:17
give you that opportunity to scale your business
22:20
before you burn out before you give up
22:22
so then where is it coming right
22:24
we need to focus on leverage
22:26
we preach leverage
22:27
we sell leverage every day with a 30 year mortgage
22:30
and using other people's money to grow wealth
22:32
and all of that as agents
22:34
we need to have leverage points in our business
22:37
whether that's people stepping in
22:38
personal assistants showing agents
22:41
listing coordinators transaction coordinators
22:44
we need to utilize that leverage appropriately
22:46
so that we can go do the things to grow the business
22:49
to nurture the pipeline
22:51
to nurture our active clients and keep them in the know
22:54
so they know what's going on
22:56
so they don't give up and they don't burn out
22:58
so it's two way street and then you have the systems
23:01
right
23:01
the systems that you can implement and what's going on
23:03
and ultimately the environment right
23:06
one of the biggest things that I see
23:08
when I'm talking to these agents
23:10
is they feel like they're on an island
23:12
they're you know
23:13
at a traditional brokerage
23:15
or even a cloud based brokerage
23:17
and they just aren't plugging into an environment
23:19
that's helping keep them going
23:21
and when they do
23:22
they're going to events and they're doing these things
23:24
and they're surrounded by other agents
23:26
who are struggling as well
23:27
so it's really easy to go down the rabbit hole
23:29
and be like oh
23:30
this market sucks and this
23:31
and my seller did this and my buyer did this
23:34
like that's not why we're here right
23:36
so that's absolutely the case is these systems okay
23:41
so your
23:41
but your environment is key to your mental clarity
23:45
to understanding okay
23:46
there's there's light at the end
23:47
of the tunnel and then delegation right
23:51
this is huge you have to do the math
23:54
you have to understand what your zone of brilliance is
23:57
what you're good at what your dollar per hour is
24:01
it's not a weakness to delegate right
24:03
in fact it can better the client experience
24:05
so you do get more referrals
24:07
it's actually a practice
24:08
in nurturing your current clients
24:10
because everything has a place
24:12
there's a professional in every place right
24:15
and so sustainability requires this structure
24:18
for you to continue to grow this business
24:20
for you to continue to pull deals out of the pipeline
24:23
cause as we've discussed
24:24
they're just not coming out of the woodwork
24:26
like they were in 2020 through 2022
24:29
so the truth is the real goal is not less work
24:32
it's more dialed in work
24:35
it's putting the right people in places
24:39
you don't have to start a team
24:40
you don't have to join a different brokerage
24:43
you have to be surrounded by the right people
24:46
and then you have to put the right people in place
24:48
whether that's using AI
24:50
to kind of help with some of those tasks
24:52
writing emails responding
24:53
so on so forth or it's an actual assistant
24:57
I'm not the guy to tell you that
24:58
but I would love to look at your business
25:00
and talk to you about that
25:01
if you are interested in
25:03
just looking at the opportunities that may exist right
25:08
it's less fragile when you have a system
25:10
when you have a process when they're working through
25:13
you know there's all kinds of different things
25:15
I'm not saying go out and hire
25:16
an assistant and pay him $100,000 a year
25:19
that's not what we're talking about here
25:20
as a solo agent
25:22
the systems that you build can be easily handed off
25:26
if they're systematized they're organized
25:29
and that's exactly what our virtual event is about
25:31
at the end of this month so look out for that
25:34
I'll talk about it more on this channel
25:36
the date is not yet fully dialed in
25:39
but it will be by the end of February
25:41
and that might be something that can absolutely
25:43
help you grow your business
25:45
if you're interested in that
25:46
just comment below right now
25:48
and I will make sure that I respond to that
25:50
comment with the link
25:51
and all of the information to register for that event
25:54
just comment delegation below
25:57
and I will make sure that I get that to you
25:58
and the ultimate goal is we don't want a bottleneck
26:01
we don't want to be the gatekeeper for all the things
26:03
and have you know
26:04
multiple clients all come in at once
26:06
and us have that client experience go down
26:08
because the referrals
26:09
are really going to be what carries you forward
26:12
cause people love telling people about their experience
26:15
good or bad and so
26:16
if we have the right professional people
26:19
and the right professional service
26:20
from our business standpoint
26:22
we can absolutely do that so let's ask this question
26:25
why do agents actually quit
26:27
it's not because they had a bad day
26:29
it's not because they had too many
26:31
average and draining days
26:33
it's because of burnout
26:35
it's because they're trying to do too much
26:37
or they're trying to do too much of the wrong things
26:39
that aren't showing results
26:41
where people start to do it
26:42
the beauty is burnout is preventable
26:44
and I can't wait to have conversations with you
26:48
about helping you
26:49
I don't care if you've never sold a house
26:50
and you're feeling burnout
26:51
or you've sold thousand houses
26:53
and you're feeling burnt out
26:54
we can have a conversation
26:56
we can look at the options
26:57
and we can go from there because there is a a way out
27:01
there is a pathway out there
27:02
whether it's creating more income streams
27:05
whether it's creating more systems
27:07
whether it's just getting set up and
27:10
getting back to that foundation
27:12
because a lot of the problem right here is
27:13
the foundation is broken
27:15
so if you have any questions about that
27:17
that's what I love to teach on
27:18
that's what I love to help agents with
27:20
but I just wanted to bring this out
27:22
because agents leaving the industry
27:24
and all this flash and all these headlines
27:26
but we just automatically think that oh
27:29
that's not that's not me
27:30
or that's not those top producers I see on Instagram
27:33
actually absolutely crushing it right
27:36
that's just the new agents that didn't make it
27:38
the truth is there's a little bit in all of us
27:41
and we have to come together as a community
27:43
as a real estate agent community
27:46
and help each other out
27:47
and continue to grow this amazing opportunity that is
27:51
being a real estate agent
27:52
so I hope that this message was received well
27:56
it's just a trend I'm seeing
27:57
so I wanted to bring it to you guys on YouTube
27:59
on the podcast
28:00
and please reach out if you've had any doubt
28:03
or if you're that agent that's like up
28:05
that was me I thought about getting a
28:07
a real job you know
28:08
as some people call it real estate is a real job
28:11
but I'm looking at changing careers
28:13
because I just don't know how many
28:15
how much longer I can be on this rat race
28:18
on this rat hamster wheel
28:20
that's where we need to talk
28:21
let's have a conversation
28:22
I'm here for you
28:23
I hope that I can help you get a win today
28:27
and every day in the game of real estate
28:29
we'll see you next time