Is Job Security Something Real Estate Agents Need to Worry About? (2024)

Data suggests real estate agent job security may be tenuous as technology disrupts the global workforce. How big is the risk to Realtors? What can agents do to survive?

Real estate experts have been debating the future of agents for several years. They haven’t been replaced yet, but an Oxford study suggests the end may be nearer than we realize. There may be hope, but that will rely greatly on the immediate actions individual Realtors take to secure their positions.

The Job Security Apocalypse

We’ve been warned for a while that as many as 80% of jobs could soon be replaced by robots. Some are still not taking this seriously enough. Many don’t appear to be retraining and developing the skills needed for the future. Yet, we can clearly see the evolution of the workplace all around us. We may even be contributing to the transition, without even thinking about it.

Now it can be hard to find a cashier in supermarkets and at fast food joints. That’s if we aren’t ordering our groceries on Amazon and having Uber deliver meals to our doors. Airlines are doing away with check-in counters. We can learn new languages or how to surf via free YouTube videos.

Despite all the Terminator-type doom and gloom projections, reports show we are working more hours than ever, not less.

Unfortunately, earnings have remained flat, and a global wealth report by Credit Suisse shows that in spite of the fact that twice the number of people are now earning college degrees, millennials are actually less wealthy than previous generations at the same period of their lives.

The Future of Real Estate Agent Job Security

Thousands of individuals have moved into the real estate space in one way or the other since 2008. That includes thousands of real estate investors, a new generation of Realtors (approx. 1 million members), and real estate entrepreneurs launching tech startups.

Yet, after analysis of 700 plus occupations reviewed by Oxford University, it was real estate job security that appeared most likely to waiver due to AI and technological evolution.

Here’s the percentage likelihood these real estate jobs will be automated in the near future:

• 97% Real Estate Brokers
• 99% Telemarketers
• 98% Loan Officers
• 86% Real Estate Sales Agents

NAR started out with just 120 founding members in 1908. As of 2021, it had over 1.4M member agents.

Then add to that how much home buyers and sellers can do without an agent today, even without any new technology coming along, and many may want to take some time out and give some serious thought to their future income options.

Is real estate agent a good career in 2022?

The near future won’t be much different from the real estate agent job landscape today. In fact, there are instances of technology and automation helping Realtors. UpNest brings agents pre-screened, transaction-ready clients so they don’t waste their time chasing referrals who won’t convert.

Is The Future of Real Estate Agents Doomed, or Just Different

When you look at the jobs humans are doing today, it’s clearly about finding a role and tasks that computers can’t do, or at least not to the level real people can. If you’ve been betting your financial future on being able to take orders for burgers and fries, or Ubering people around, you’d better have a pretty hefty lottery win coming your way to survive. Then there are brain surgeons and fashion designers and marketing managers, which seem to be in very safe positions. According to the numbers, physicians have just a 0.42% of having their jobs replaced by automation. Though that too could change soon.

We still have drivers, chefs, and lawyers, but their work is a lot different today. At least among those who are successful, and can expect their careers to last.

To understand the future of real estate agents, consider that many tasks can already be automated, including:

• Home searches
• Home value estimates
• Property showings
• Researching neighborhoods

In fact, a scene from the 1989 movie Robocop predicted that the future of home showings will occur with a prerecorded video screen. At least when it comes to sci-fi, real estate agent job security seems tenuous at best.

Other real estate skills that may be furthest from being automated include:

• Professional negotiations
• Creating property descriptions that sell
• Crafting contracts which really protect buyers and sellers
• Keeping transactions together when issues and disagreements arise
• Making sense of all the data
• Acting as a buffer to protect seller privacy

How to Improve Your Job Security

There are four main strategies and tactics for agents who want to preserve their job security:

1. Being fast to adopt and integrate new technology
2. Increasing volume to offset downward pressure on commissions
3. Lowering customer acquisition and operating expenses to increase profit margin
4. Focusing on personal service and delivering experience

It also pays to recognize who is most likely to need realtor services in the future. Experienced repeat home sellers and buyers may feel they want to give it a shot themselves. First-time homebuyers can quickly find themselves lost and needing help. Luxury home sellers who prize service and privacy may also be among the least likely to attempt a DIY approach, even with all the tech tools and apps coming online.

Is a real estate agent a dangerous job?

Being a real estate agent means working (often alone) with people who you haven’t met before. It’s important to ask for identification and perhaps have someone accompany you to your first appointment with buyers and have a backup at open houses.

Prepare for the Future with UpNest

The latest research may not bode well for the majority of today’s real estate agents. But UpNest can help grow your business. Join over 30,000 top agents growing their business with UpNest. Who remains in business and thrives in the years ahead will greatly depend on who reacts fastest and best to emerging trends, and positions themselves to be the most attractive to those who still want to use agents.

For those who are serious about a long and prosperous real estate career, UpNest provides a tech-savvy platform for streamlining the process of securing home buyers and sellers who are ready to take action.