Your First Year in Real Estate: Why Foundation Matters

Becoming a real estate agent is exciting. It offers flexibility, independence and the opportunity to build something of your own. But that first year is often harder than expected. Many new agents are left searching for direction, clarity and momentum. The early decisions made about your strategy, systems and identity can set the tone for long-term growth.

The Market Is Crowded

As of mid-2025, there are nearly 2 million active agents in the U.S. and only about 1.5 million homes on the market. The math is simple. There are more agents than listings.

Standing out is not optional. It's necessary.

Income Is Not Guaranteed

First-year income is highly unpredictable. Some agents make nothing. Others may earn an average of $10,000, but that is often after covering expenses like licensing, association dues and broker splits.

The first year, income struggles are the norm.

Brokerage Support Is Minimal

Most brokerages manage hundreds of agents, which means one-on-one support is often minimal. While they offer the basics, new agents are often left to figure out their own marketing, branding and lead generation.

Even brokerages report that onboarding and retention is their biggest challenge.

Chasing Tools Is Not a Strategy

Title reps, mortgage partners and vendors often offer tools and tech or you may do a search yourself. But many of these solutions are generic and not tailored to your brand, goals or client base.

It's easy to invest in the wrong tools or doing more without doing it better.

Real Estate Teams May Not Take New Agents

Joining a high-performing team might sound like a fast track, but many will not bring on first-year agents. Smaller brokerages can be just as selective.

This leaves many new agents without access to the mentorship and structure they hoped for.

So, What's the Solution?

It may feel natural to jump in and start working right away, but skipping strategy can cost you both time and income. Agents who invest in clarity, positioning and systems from the beginning are better equipped to grow. In fact, those who lay a strong foundation in year one often earn up to $55,000 or more by year two, with steady increases from there.

Your First Step: Build with Purpose

If you're just starting or feel stuck, now is the time to reset. Get clear on what kind of business you want to build, who you want to serve and how you want to show up in the market.

Strategy is not a luxury. It's your launch pad.