How Real Estate Agents Make Money Now?

How Real Estate Agents Make Money Now?
By Jorge Vazquez, CEO

Introduction:

In my 20 years of experience in real estate, I’ve learned that the most successful agents aren’t the ones who just push paper or put signs in front of properties. Smart agents make real money by taking on the role of an advisor and offering tailored solutions that go beyond just the transaction. They understand that clients don’t always need to sell or buy; sometimes, they need help refinancing, repairing, or renting out their properties. By listening, studying, and analyzing, you can find out exactly what your client needs and then offer the right solution—which often leads to multiple streams of income.

1. Be a Listener and an Advisor

Too many agents rely on simply listing a property or helping clients buy a home. But in today’s market, that approach is limiting. A smart agent listens to their client’s challenges and needs. For example, you might be dealing with a homeowner who thinks they need to sell their property because they’re struggling to make payments. But if you take the time to listen, you might discover that they could benefit from refinancing instead.

In my experience, I’ve had clients who thought they needed to sell, but after understanding their financial situation, I recommended refinancing. Not only did I get paid on the refinance, but I was able to help them keep the property, partner with investors to make repairs, and eventually manage the property, generating multiple streams of income for me. As the project progressed, I also helped them downsize and purchase a new property, getting paid again on the new purchase and management of their properties. This is what happens when you listen and take on the role of an advisor—you create long-term relationships and ongoing income streams without constantly searching for new business.

2. Understand Investor and Primary Owner Strategies

As an agent, you need to know how to deal with both primary homeowners and investors. This means understanding advanced real estate strategies, like the BRRRR strategy (Buy, Rehab, Rent, Refinance, Repeat), house hacking, subject-to-deals, and sandwich leases. These aren’t just buzzwords; they are strategies that help your clients build wealth, and you, as an agent, can play a pivotal role in guiding them.

When you master these strategies, you set yourself apart from other agents who only focus on the retail side of the business. You become more valuable to your clients, both investors and homeowners alike, by offering comprehensive solutions. I often encourage agents to seek mentorship and training from companies that do more than just retail transactions—they should also offer investment and financial products so you can serve your clients better.

3. Build Relationships for Long-Term Success

The real money in real estate isn’t always in the quick sale or rental—it’s in the relationships you build along the way. Clients might come to you for a simple transaction, but if you invest the time in understanding their long-term goals, you’ll often find more opportunities to help them, which leads to more business for you.

Take the example I mentioned earlier. By advising a client to refinance instead of selling, I not only helped them save money, but I also ended up managing the property, overseeing the repairs, and ultimately helping them downsize into a new home. Throughout this process, I was compensated at multiple stages: the refinance, the investor loan, the property management, the repair project, and the new purchase. That’s what happens when you focus on building relationships—you create opportunities for repeat income.

4. Diversify Your Income Streams

One of the smartest things an agent can do is diversify how they make money. While traditional commissions from home sales or listings are great, there are several other ways to create additional income streams in real estate. These include:

• Property management: Offer to manage properties for your clients, especially if they are investors or out-of-town owners.
• Project management: Oversee repair or renovation projects for clients who need to improve their properties.
• Refinancing assistance: I help clients refinance their properties, especially if they lack the funds to sell or make repairs.
• Investor partnerships: Work with investors to find joint ventures or syndication opportunities.

The key here is not to box yourself into just one role as an agent. You’re not just a facilitator of home purchases—you’re a consultant, a manager, and a project leader. This allows you to generate multiple sources of income from a single client, creating a sustainable and lucrative business.

5. Elevate Your Knowledge

If you’re starting out, or if you’ve been in the business for a few years, now is the time to elevate your knowledge. The real estate industry is constantly changing, and the agents who stay on top of trends and strategies will always outperform those who rely on old methods. Whether it’s learning about new financing options, investing strategies, or understanding how to use technology for better client management, you should always be learning.

Consider getting mentorship from agents or companies that handle retail real estate and specialize in investments and financial products. The more you know, the better equipped you’ll be to offer value to your clients—and the more opportunities you’ll have to earn.

Why Graystone?

• Make More Money: Tap into new income streams with property management, lending, off-market investors, and more.
• Expert Training: Learn essential investment strategies like BRRRR, house hacking, and flipping to diversify your business.
• Constant Opportunities: Work with investors who buy year-round, ensuring consistent business regardless of market trends.
• Proven Success: Join a team led by Jorge Vazquez, a seasoned CEO with over 20 years of experience and a record of success in real estate.
• Bottom Line: Become a Consultant instead of just an agent.

Conclusion: Take the Long-Term Approach to Build Wealth

In real estate, the smartest agents are the ones who think long-term. They don’t just see a transaction—they see the potential for multiple income streams. They create lasting relationships with clients by listening, advising, and elevating their knowledge and building sustainable businesses. If you want to make real money as an agent, stop thinking of yourself as a salesperson and start acting as an advisor. The difference will be clear in your client satisfaction and bank account.

Call to Action:

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