Schools That Train Real Estate Agents Are Booming, Too (NYT)

The NY Times ^ | July 2, 2005 | LOUISE STORY

[sgtbono2002]

Real Estate. the one business they cant outsource.

[stopem]

That sounds like a TALL tale to me. No way are homes that were once $50k selling for over a million. No way!

Where is this area of FL? Where is St John's?

[moog]

Nothing on earth will ever replace the satisfaction of helping people and that counts for a lot more than all the money you'll ever make. It gets you wanting to get up every morning out to the office Good for you! I actually know some real estate people who are like that, too.

That's a very rare attitude these days.

[palmer]

No way are homes that were once $50k selling for over a million.

Not the home, that will be torn down. It's the land increase due to expanding cities. In Loudoun county VA land went from $5k per acre a few decades ago to $1m per acre in some areas. Those were unique situations and not good places to buy now (overpriced, rapidly rising taxes, lots of traffic, etc).

[stopem]

So its location, location, location...that the land developers are after. Probably beach property.

[summer]

It's the land increase due to expanding cities

Exactly. The home is worthless in the eyes of the developer. But, the fact that it now sits on one of the busiest 4-way intersections in town, when years ago there was nothing but fields at that location, is what made the developer shell out $6 million+. And, to tell you the truth, the developer probably felt they got a good deal for that location.

[summer]

RE your post #22 - see my post #26 - I meant to ping you.

[summer]

That sounds like a TALL tale to me. No way are homes that were once $50k selling for over a million. No way!

Oh, it's true, and there's more I could tell you-- you can't even make this stuff up in Florida. I honestly think it's the one place where you can't even foul up buying real estate, because in a way it doesn't matter where you buy -- the price is going to go up. Everyone wants this sunshine and warm weather and low taxes. I think it's p to 1,000 people per day moving permanently now to FL. And, there's only X amount of land.

[summer]

p = up to 1,000

[q_an_a]

One aspect of the "bubble" is the passing of many people who are over the age of 65. Homes that have been in the family in many parts of the NE and FLA are empty as the last member of the household dies or moves into a nursing home. The number of houses and the inheritance that is passed along is a major factor. New money allows people in the 40s and 50s to buy up as they sell out of their home too and the cycle expands.</p>

[bigsigh]

I'm in an entire company like that. miligroup.net

[summer]

Real Estate. The one business they can't outsource.

LOL...you've got that right! :)

[summer]

Another factor is the explosion in 2nd home buyers. You would be amazed how many gated FL neighborhoods are full of single-family homes where the owners are only here a few weeks or months out of the year. But they hold onto those homes, because the price keeps going up, up and up.

[MeneMeneTekelUpharsin]

High-tech fiasco all over again. So many people think "Quick, easy and I'll make a lot of money." How sad. It simply doesn't work that way for long. Before long we'll see a downturn in the housing market, thousands of people who studied to become real estate agents won't have jobs and it will be difficult for them to go back to school with bills to pay, children, etc., etc. and they'll want the government (i.e. you and me) to bail them out.

This is beginning to look like a mess which will make the high-tech bust pale by comparison. So many people have the vast majority of their wealth tied up in their homes. I would suggest extreme caution and if one were to sell for an immense profit, diversify the profit into other investment vehicles and take it easy on what they buy in a home, IMHO.

[summer]

Well, it's not been "quick" - it's been steady in Florida. Prices have just steadily risen over the years. And frankly, there are two schools of thought on investing, with one school of thought preferring the stock market, and the other preferring real estate. If you had your money in FL real estate instead of the stock market this past decade, chances are you are sitting pretty and didn't lose a dime.

[Reeses]

Many house buyers are signing zero down interest-only variable rate loans. The next big wave:

[moog]

"I'm in an entire company like that. miligroup.net"

Interesting, started by a Korean. I've never heard of it, but it looks interesting. I've seen a LOT of companies with similiar concepts around here, especially when I was in college. I know it isn't an mlm company though. Those are the ones that really drive me crazy.

[RightWhale]

being a real estate agent is hard work

There is a test to get the state license. Any highschool grad is smart enough to pass if he wants to study some really boring material and learn a couple of strange numbers. A special school would be a waste of money. Beyond that, once in business the degree of difficulty is up to the agent. The degree of success in the business is also up to the aqgent.

[DownInFlames]

Right there with you MikeInIraq. After 20+ years in IT, there are no IT projects to manage. It is either sell real estate or go drive a truck.

[MikefromOhio]

:)

I still work on computers...its rather steady and I keep my security clearance active :)