How to Know If Real Estate Is the Right Career for You

In 2025, REALTORS® with two years or less in the business closed a median of two transaction sides and reported $8,000 in median gross income, before business expenses. (Homevets Realty) Those numbers are a useful starting point, not a prediction of what you will earn.

The real question is whether you can build a business through uncertain income, repeated follow-up, irregular hours and costs that arrive before commissions do. I would weigh those realities before paying for training or leaving a steady paycheck.

Look past the headline attrition numbers

You may see claims that 80% of new agents leave after two years, or that 87% fail within five years. The figures depend on what counts as leaving: not renewing a license, leaving a REALTOR® association or simply not producing. A Mississippi real estate article states, “The widely repeated \”87 percent\” statistic cannot be traced to any primary source and is not published by the National Association of REALTORS.” (Homevets Realty)

Other articles repeat the 87% estimate and attribute it to NAR and state licensing records, but do not identify a report or exact data period. (Momentum Realty) I would not use that figure to predict your personal odds. The evidence here does not establish a clean, independently verified rate for agents who leave within two years.

There are more useful, but still limited, indicators. NAR’s 2026 Member Profile says 15% of members had two years or less of experience. (Paperless Pipeline Research) That describes the experience mix of current members, not the share of new licensees who leave. NAR also reports that 75% of members say they are very certain they will remain in the business for at least two more years. (National Association of REALTORS®) That is an intention, not a promise of future income or retention.

The practical conclusion is straightforward: the early years can be financially difficult, and a license alone does not make a business. Judge the career by its daily work and your ability to keep doing that work when a deal falls through.

Understand the money before you start

Commission work does not tie a paycheck neatly to the hours you put in. Prospecting today may lead to a client later, and that client may take time to find a home or close. A Mississippi-focused guide advises prospective agents to save at least six months of living expenses and says a first serious client conversation may be 60 to 90 days from money arriving. (Homevets Realty) Treat that as a planning prompt, not a promise about when income will arrive.

New-agent income figures make the risk concrete. REALTORS® with two years or less of experience had median gross income of $8,000 in 2025, and 62% of that group grossed under $10,000. (Paperless Pipeline Research) NAR’s 2026 profile also reports median business expenses of $9,530 for REALTORS® that year. (Homevets Realty) These figures do not describe exactly the same group, but they are a reason to budget conservatively and remember that gross income is not take-home pay.

Licensing is only the first cost. Redfin estimates that obtaining a license costs $525 to $1,325, with at least $7,200 a year in additional out-of-pocket expenses at a traditional brokerage. (Redfin) That is a general estimate, not a Mississippi-specific budget. Ask about the fees and services you would actually use, then include insurance, taxes, transportation, dues, technology and a reserve for slow months.

Do not assume a home’s sale price translates into a set amount for you. Your income depends on completed transactions, negotiated compensation, brokerage arrangements and expenses. Make a household budget that can handle a slow start without relying on a closing date you cannot control.

Be honest about the work and the hours

Real estate can offer control over your schedule. It does not mean the work fits neatly into business hours. Buyers may be available after work. Sellers may need a quick answer. Showings, inspections and contract deadlines can land on evenings or weekends. Rockwell Institute puts it plainly: “Succeeding in real estate will require a lot of work and long hours, so having a solid support network will be necessary.” (Rockwell Institute)

Flexibility cuts both ways. You may be able to set your pace, but commission-based work means you need to plan carefully. (Rockwell Institute) If you need a firm weekly schedule, predictable pay or a clear boundary between work and personal time, ask how those needs fit with the clients and market you intend to serve.

Not everyone makes real estate a full-time occupation. NAR data summarized by Paperless Pipeline says 16% of REALTORS® worked fewer than 20 hours a week, while 48% said real estate was their household’s primary income source. (Paperless Pipeline Research) Those figures do not prove part-time work is easy or sufficient. They show that agents’ working arrangements and household finances vary.

Ask yourself whether you can prospect when no one is watching, return calls promptly, track details and follow up without immediate reward. Those are habits to examine honestly. Being outgoing can help, but consistency, patience and comfort with asking for business matter too.

Test whether building a business suits you

Many people enter real estate because they like helping with a major life decision. That matters, but the job also requires finding clients and earning their trust before there is a transaction to help with. You need to stay organized, communicate clearly, hear “no” without taking it personally and keep relationships alive without making every conversation feel like a pitch.

Repeat business takes time. MoxiWorks puts it this way: “Repeat and referral business, the kind that eventually sustains a career, takes years to build.” (MoxiWorks) NAR’s 2026 Member Profile, as summarized by MoxiWorks, says repeat clients account for 28% of the typical member’s business, with a larger share for members with more than 16 years of experience. (MoxiWorks) A dependable pipeline is built over time, not switched on when you get licensed.

Run a low-risk test before making a major career change. Talk with working Mississippi agents about an ordinary week, including the tasks they dislike. Write down how you would cover expenses during a slow start. Make a weekly prospecting plan and try following it while you still have your current income. The exercise cannot predict your results, but it can show whether you like the routine behind the image of the job.

Different strengths and working styles can fit this career. What matters is whether you can create structure for yourself, tolerate uncertainty and serve clients well when a transaction is not moving on your preferred timeline. If you need someone else to supply your motivation every day, self-employment may be a harder fit.

Make the decision with a simple scorecard

Before you commit, answer four questions in writing. How many months can you cover household expenses without a closing? How will you pay for startup and recurring business costs? What specific hours will you reserve for prospecting and follow-up? Who can support you when work spills into personal time?

Then answer the less comfortable questions. Can you handle a stretch without a commission? Will you keep calling and meeting people after a quiet week? Can you accept coaching, correct mistakes and stay professional with clients who are stressed? If your answers are mostly no, that does not mean you cannot become an agent. It means you should change the plan before taking on the risk.

Do not use industry-wide income as a personal forecast. In NAR’s 2026 profile, members with 16 or more years of experience had median gross income of $88,500, compared with $8,000 for those with two years or less. (Homevets Realty) Those are very different career stages. The higher figure is not evidence that every new agent will reach it.

Real estate may suit you if you can treat it as a business, keep going through an uncertain first stretch and build trust one client at a time. If the appeal is mainly flexible hours or the possibility of a large commission, slow down. Those benefits are not the whole job.

Frequently asked questions

The takeaway

Before you pursue a license or leave a job, write a six-month household budget and a weekly prospecting schedule. If you cannot make those plans realistic, address that first. A clear-eyed start is more valuable than optimism without a runway.