T
he real estate industry is facing a significant shake-up, with nearly half of agents selling either one home or none at all in the past year. A report by the Consumer Federation of America reveals that 49% of agents sold zero or just one home, while 70% managed five or fewer sales. This trend indicates widespread incompetence among real estate professionals.

    The report highlights the issue of an "agent glut," with over 1.5 million agents in the United States and a significant portion being part-time workers who hold other jobs and work sporadically in real estate. In fact, one-third of local agents did not complete a single sale last year. This surplus of agents often results in pressure to maintain high commission rates, ultimately impacting consumers' financial interests.

    The ease of obtaining a real estate license is also a contributing factor, with 26 states requiring no high school diploma and an average cost of around $600. This has led to a situation where anyone can become an agent, exacerbating the issues faced by consumers dealing with inexperienced individuals.

    Interestingly, areas with a higher number of agents tend to have fewer homes sold. For example, in Florida, there is one Realtor for every 102 people, resulting in a notable 56% of agents at Coldwell Banker selling either zero or one home in Orlando last year. To tackle this issue, the CFA report suggests that states implement stricter requirements for agent training and supervision.

    As a consumer, you can play an active role by considering an agent's recent sales experience and customer evaluations before making your choice. By advocating for improved industry standards and being more selective in your hiring practices, you can contribute to a shift in the real estate landscape, raising the bar for competence and service in this important industry.