Do Most Real Estate Agents Succeed? The Real Numbers Behind the Job

Let’s be honest - if you’ve ever talked to someone who just got their real estate license, they’re probably dreaming of luxury cars, big commissions, and working only when they feel like it. But here’s the truth most training videos won’t tell you: most real estate agents don’t succeed. Not because they’re lazy or bad at selling houses, but because the system isn’t built for beginners to thrive.

What Does ‘Success’ Even Mean in Real Estate?

Success isn’t just about closing a few deals. In real estate, it’s about surviving the first two years - and then making enough to cover your bills, car, insurance, marketing, and taxes without dipping into savings. The National Association of Realtors (NAR) found that in 2024, nearly 60% of new agents in the U.S. left the industry within their first year. In Australia, the numbers are similar. A 2023 report from the Real Estate Institute of Australia showed that over half of new agents stopped working in real estate before their second anniversary.

Why? Because success isn’t handed to you. You don’t get leads from the sky. You don’t get clients just because you have a badge. You have to build everything from scratch - your network, your reputation, your systems. And most people don’t realize how much work that takes.

The Income Reality: Most Earn Less Than Minimum Wage

Here’s a stat that shocks people: in 2024, the median annual income for real estate agents in Australia was $49,000. That sounds fine until you break it down. Most agents work 50-60 hours a week. That’s about $18-$20 an hour before taxes, expenses, and commissions split with their agency.

And that’s the median. Half earned less. A 2024 survey by Propertyology found that 37% of agents made under $30,000 a year. For comparison, the Australian minimum wage is $23.23 per hour - which means someone working 38 hours a week at minimum wage earns $45,700 before tax. Real estate agents often work more hours and make less.

Top performers - the top 10% - make over $200,000. But they’re not the norm. They’re the exception. And they didn’t get there by luck. They spent years building systems, learning digital marketing, following up relentlessly, and treating their business like a company, not a side hustle.

Why Do So Many Fail in the First Year?

There are three big reasons agents quit before they even get started:

1. No lead generation plan - Most new agents think they’ll get clients from open houses or referrals. That’s not how it works anymore. In 2025, 82% of buyers start online. If you’re not running Facebook ads, Google Ads, or building a strong Instagram presence, you’re invisible.
2. No financial buffer - Real estate pays when you close a deal, not every Friday. Many agents go 3-6 months without income. Without savings, they panic and quit.
3. No mentor or support system - The agency you join might give you a desk and a logo, but not training. Without someone showing you how to follow up, how to handle objections, or how to manage your time, you’re flying blind.

One agent in Adelaide told me she spent $8,000 on her license, courses, and marketing in her first six months. She closed one house - a $550,000 sale - and earned $16,500 after commission splits and fees. That’s not bad… until you realize she worked 70-hour weeks and missed her sister’s wedding because she was showing a property.

What Separates the Winners From the Rest?

The agents who stick around and thrive do three things differently:

• They treat it like a business, not a job - They have a business plan, track their numbers, and invest in tools like CRM software, virtual tour platforms, and email automation. They don’t wait for clients to come to them.
• They niche down - Instead of trying to sell everything, they focus on one area, one type of property, or one client group. One agent in Melbourne only works with first-home buyers under $600,000. Another specialises in selling rural blocks for retirees. Specialisation builds trust and makes marketing easier.
• They follow up - constantly - Most agents give up after one or two attempts. The winners follow up every 14 days for 12 months. They send birthday texts, share local market updates, and check in with past clients. That’s how you get referrals.

There’s no magic formula. But there is a pattern: consistency beats talent. Discipline beats motivation. And patience beats speed.

Is It Still Worth Becoming a Real Estate Agent in 2025?

Yes - but only if you go in with your eyes open.

If you want flexibility, control over your time, and the chance to build something that lasts, real estate can be a great path. But it’s not a get-rich-quick scheme. It’s a long game. You need thick skin, a strong work ethic, and the ability to handle rejection daily.

Ask yourself: Are you okay with going months without income? Can you handle saying ‘no’ to parties, weekends, and holidays because you’re showing houses? Do you enjoy talking to strangers, solving problems, and being the person people call when they’re stressed about money?

If the answer is yes - then go for it. But don’t sign up expecting the Instagram version of real estate. Sign up for the real version: the early mornings, the cold calls, the paperwork, the emotional clients, and the quiet wins when someone finally says ‘yes’ after 17 follow-ups.

What to Do If You’re Already in the Game

If you’re a new agent and you’re feeling overwhelmed, here’s your first step: stop comparing yourself to the top 1%.

Instead, focus on this:

1. Build a list of 100 people you know - friends, family, former coworkers. Tell them you’re a real estate agent and ask if they know anyone looking to buy or sell.
2. Set up a simple Facebook ad campaign targeting people in your suburb who just liked pages like ‘Melbourne Property News’ or ‘Adelaide Homes’.
3. Call every past client from your agency’s database and ask for a review or referral.
4. Track every hour you work and every dollar you spend. If you’re spending $2,000 a month on ads and only closing one sale every three months, you need to change your strategy.

Success doesn’t come from being the loudest. It comes from being the most consistent.

Final Thought: It’s Not About Talent - It’s About Tenacity

Real estate doesn’t reward the smartest person. It rewards the person who keeps showing up. The one who texts their lead at 7 PM on a Friday. The one who sends a handwritten note after closing a deal. The one who doesn’t quit after their third ‘no’.

If you’re willing to do the work - the boring, repetitive, frustrating work - you can make it. But if you’re waiting for the perfect moment, the perfect lead, or the perfect agency to save you… you’re already behind.