Is Being A Real Estate Agent Hard? A Side-Gig Analysis

Being a real estate agent is challenging due to factors like unpredictable income, intense competition, and the need to juggle multiple roles.

According to the National Association of Realtors (NAR), 75% of real estate agents quit within the first year, and 87% within 5 years.

For medical professionals, the shift into this commission-driven arena can be quite radical, since they’re accustomed to structured, salaried work.

Below, we break down the challenges you should consider as a medical professional thinking of a career in real estate and how you can decide if it’s the right move for you.

Overview: Comparing Real Estate to Medical Careers

While real estate offers autonomy, it lacks the safety nets (health insurance, retirement plans, etc.) that healthcare roles offer.

Medical professionals looking to get into real estate should consider the key contrasts below:

Point of Comparison	Real Estate	Medical Field
Income Stability	Highly variable; commission-driven	Predictable salaries with benefits
Work Hours	Irregular (evenings and weekends are common)	Structured shifts, though very demanding
Skill Translation	Patient communication ➔ client negotiation	Technical expertise less directly applicable
Licensing	2-5 months of pre-licensing courses	Years of specialized education/training

Key Challenges in Real Estate to Consider

Although real estate agents enjoy flexibility and high earning potential, the job’s demands are often underestimated.

Here are the key challenges that come with the role:

1. Unpredictable Income Structure

Real estate agents earn commissions only when transactions close. This means:

• No guaranteed salary or benefits (e.g., health insurance, retirement contributions).
• Income fluctuates with real estate market conditions and personal performance.
• Prolonged dry spells are common, requiring 3-6 months of savings to cushion gaps.

Commission splits are also worth noting.

Earnings are shared with real estate brokers, buyer/seller agents, and brokerage firms.

For example, a $200,000 sale with a 5% commission might leave the real estate agent with just $3,600 after splits.

For medical professionals used to steady paychecks, this variability demands disciplined budgeting.

2. High Startup Costs and Ongoing Expenses

Becoming a real estate professionalinvolves a few upfront expenses:

Expense	Average Cost
Pre-Licensing Education	$300 – $1,000
Real Estate License/Exam Fees	$200 – $400
Brokerage Fees	$500 – $2,000 per year
Marketing Materials	$1,000+ per year

Agents also pay for MLS access, signs, websites, and lead-generation tools.

Unlike in medical fields, no employer is subsidizing these costs.

3. Lead Generation and Client Acquisition

Success in real estate hinges on self-promotion and networking, which is why agents must build a “sphere of influence” through friends, family, and local events.

Additionally, they may need to cold-call prospects, host open houses, or pay for online leads (e.g., Zillow), as well as maintain frequent follow-ups to stay top-of-mind.

This sales-focused work may be viewed as at odds with the patient-care mindset that medical professionals are accustomed to.

4. Demanding Administrative Workload

Real estate agents handle tasks that mirror running a small business.

Examples include:

• Client Coordination: Scheduling showings, inspections, and closings across multiple time zones.
• Document Management: Contracts, disclosures, and compliance paperwork.
• Marketing Tasks: Creating listings, managing social media, and designing promotional materials.

Professionals used to team-supported roles (e.g., nurses with administrative staff) may find this solo responsibility quite overwhelming.

5. Work-Life Balance Tradeoffs

Real estate operates on clients’ schedules—evenings, weekends, and holidays.

As such, agents often miss personal events for last-minute showings, juggle multiple clients at the same time, and face general stress from high-stakes negotiations.

This contrasts sharply with the shift-based predictability of healthcare roles.

Benefits of Switching to Real Estate From Medical Fields

The transition to real estate can offer medical professionals a refreshing change of pace and the potential for more financial growth.

Below are some key advantages of a real estate career:

1. Flexibility in Work Schedule

One of the most appealing aspects of a career in real estate is the flexibility it offers.

Unlike the rigid schedules often found in healthcare settings, where shifts can extend to 12 hours or even more, real estate agents have the autonomy to set their own hours.

This flexibility allows agents to choose how many clients to take on at any given time.

It also gives them the ability to say no to extra shifts or last-minute demands, which can be liberating for those accustomed to the pressures of healthcare roles.

2. Unlimited Earning Potential

In healthcare, salaries are often capped based on positions and experience, which limits income growth regardless of effort.

In contrast, real estate offers a commission-based income structure that allows agents to directly influence their earnings.

Basically, the more properties an agent sells, the higher their income—a model that rewards hard work and initiative.

Successful agents can earn six figures within a few years of starting their careers without the burden of student debt associated with medical training.

3. Entrepreneurial Independence

The independence of becoming your own boss is particularly appealing for those who feel constrained by hierarchical structures, which are common in healthcare settings.

Agents have the freedom to establish their brand and market themselves as they see fit.

Unlike in healthcare, where protocols dictate actions, real estate agents can make strategic decisions about their business direction and client engagement on their own accord.

As a real estate agent, you’ll also have creative control over your marketing strategies and have the freedom to explore niche markets.

This is fulfilling for those who thrive on autonomy and wish to shape their careers according to their personal vision.

4. Transferable Skills From Healthcare

As a medical professional, you possess a unique skill set that can come in handy in real estate:

• Communication Skills: The ability to effectively communicate with clients, understand their needs, and build trust is essential in both fields.
• Problem-Solving Abilities: Whether it’s addressing patient concerns or negotiating home sales, the ability to work through complex situations and think critically is important.
• Organizational Skills: Managing appointments, paperwork, and client interactions translate well into the demands of real estate.

5. Growth and Specialization

In real estate, agents can specialize in different sectors such as residential sales, commercial properties, or luxury markets, with each section offering unique challenges and rewards.

On top of that, many successful agents transition into property investment themselves, creating additional income streams and long-term financial stability.

Experienced agents may also choose to open their own business or mentor new agents, which helps expand their influence within the industry even further.

Self-Assessment Questionnaire for Medical Professionals

Here’s a comprehensive self-assessment questionnaire tailored for medical professionals considering a transition to a career in real estate:

1. Savings and Emergency Fund:
   • Do I have at least 6 months’ worth of living expenses saved to cover potential income gaps during the transition?
   • Am I prepared to invest $3,000 – $10,000 in startup costs without jeopardizing my financial stability?
   • Have I accounted for long-term savings goals (e.g., children’s education, home renovations) that might conflict with real estate’s variable income?
2. Income Expectations:
   1. Have I researched the average income for real estate agents in my area and set realistic income expectations for my first year?
   2. Am I comfortable with the idea of variable income based on commission rather than a fixed salary?
   3. How will I budget for taxes (e.g., self-employment tax, quarterly payments) that differ from withholdings in my medical career?
3. Retirement Planning:
   1. Will transitioning to real estate affect my retirement savings plan? How will I manage retirement contributions while starting this new career?
   2. Do I have a strategy for maintaining health insurance and other benefits during the transition?
   3. Am I prepared to adjust retirement contributions if my real estate income fluctuates significantly from year to year?

Answering these questions should provide insights into your financial preparedness for a career in real estate.

If you find yourself confidently addressing each aspect and feel equipped to handle the uncertainties of this new path, real estate may be a viable option for you.

Conversely, if you struggle with these considerations or feel unprepared in general, it may be wise to reassess your readiness and explore ways to bolster your financial foundation before making this career change.

The Verdict: Is Being a Real Estate Agent Hard?

Real estate is a viable career for medical professionals seeking flexibility or supplemental income, but it’s far from easy.

Success hinges on factors like sales acumen, entrepreneurial drive, and financial preparedness.

If you thrive in self-directed environments and can tolerate income unpredictability, real estate can be a rewarding path for you.

However, those prioritizing stability or work-life balance may find the demands incompatible with their priorities.

Before committing, we recommend shadowing a local agent, analyzing your financial runway, and consulting NAR resources to gauge industry trends.

This will help you set realistic expectations and a strategic plan to manage the challenges of real estate and build a fulfilling second career.

Ready to explore your financial and career options further? Contact Physicians Thrive today for expert advice tailored to medical professionals.