First Time Buyers • March 3, 2026

Inside look at how a realtor works and where the money goes

by Caroline Williams

There has been a lot of discussion lately about real estate agent commissions. Most REALTORS® truly love what they do because they love helping people—but there is often a major misconception about how they work and how they get paid.

Here’s the truth:

The average full-time REALTOR® earned about $31,900 last year, while working 40+ hours per week. That’s well below a typical living wage. REALTORS® are not paid an hourly wage or salary. They only get paid when a home sells and successfully closes. And even then, payment happens broker-to-broker.

An agent may work with a client for days, weeks, months, or even years—with no guarantee of ever getting paid.

Essentially, REALTORS® wake up every day “unemployed,” constantly interviewing for their next job. They face frequent rejection and uncertainty. They sacrifice time with family, spend their own money on gas and childcare, miss dinners, weekends, and vacations, and are often on call 24/7. If they’re not available, they could miss an opportunity.

When a home finally closes, the commission is first split with their broker. Then about 25–30% goes to taxes. After that, they must cover the many expenses they’ve already paid out of pocket—marketing, photography, advertising, and more.

Before earning a single dollar, REALTORS® pay for things like:

• Broker splits and fees

• Office rent and utilities

• MLS, NAR, and local association fees

• Errors & Omissions insurance

• Auto and business insurance

• State licensing and continuing education

• Advertising and marketing

• Showing services

• Website and tech fees

• Assistants and transaction coordinators

• Yard signs, photographers, videographers

• Office supplies and printed materials

• Lockboxes and software

• Legal and professional fees

• Gas and vehicle expenses

• Self-employment taxes

And remember—income taxes are not withheld. REALTORS® must set aside roughly 25–30% themselves. Health insurance is also their responsibility.

So when you work with a REALTOR®, know that you’re working with someone who invests their time, energy, and money into helping you succeed—often long before they ever see a paycheck.

Support your REALTOR. They work harder than most people realize.

Here’s a few more examples of what they do! Just to name a few!

As a listing agent they have lots of tasks far more than just selling a home.

1. Prepare Listing Presentation for Sellers

2. Research Sellers Property Tax Info

3. Research Comparable Sold Properties for Sellers

4. Determine Average Days on Market

5. Gather Info From Sellers About Their Home

6. Meet With Sellers at Their Home

7. Get To Know Their Home

8. Present Listing Presentation

9. Advise on Repairs and/or Upgrades

10. Provide Home Seller To-Do Checklist

11. Explain Current Market Conditions

12. Discuss Seller’s Goals

13. Share Your Value Proposition

14. Explain Benefits of Your Brokerage

15. Present Your Marketing Options

16. Explain Video Marketing Strategies

17. Demonstrate 3D Tour Marketing

18. Explain Buyer & Seller Agency Relationships

19. Describe the Buyer Pre-Screening Process

20. Create Internal File for Transaction

21. Get Listing Agreement & Disclosures Signed

22. Provide Sellers Disclosure Form to Sellers

23. Verify Interior Room Sizes

24. Obtain Current Mortgage Loan Info

25. Confirm Lot Size from County Tax Records

26. Investigate Any Unrecorded Property Easements

27. Establish Showing Instructions for Buyers

28. Agree on Showing Times with Sellers

29. Discuss Different Types of Buyer Financing

30. Explain Appraisal Process and Pitfalls

31. Verify Home Owners Association Fees

32. Obtain a Copy of HOA Bylaws

33. Gather Transferable Warranties

34. Determine Need for Lead-Based Paint Disclosure

35. Verify Security System Ownership

36. Discuss Video Recording Devices & Showings

37. Determine Property Inclusions & Exclusions

38. Agree on Repairs to Made Before Listing

39. Schedule Staging Consultation

40. Schedule House Cleaners

41. Install Electronic Lockbox & Yard Sign

42. Set-Up Photo/Video Shoot

43. Meet Photographer at Property

44. Prepare Home For Photographer

45. Schedule Drone & 3D Tour Shoot

46. Get Seller’s Approval of All Marketing Materials

47. Input Property Listing Into The MLS

48. Create Virtual Tour Page

49. Verify Listing Data on 3rd Party Websites

50. Have Listing Proofread

51. Create Property Flyer

52. Have Extra Keys Made for Lockbox

53. Set-Up Showing Services

54. Help Owners Coordinate Showings

55. Gather Feedback After Each Showing

56. Keep track of Showing Activity

57. Update MLS Listing as Needed

58. Schedule Weekly Update Calls with Seller

59. Prepare “Net Sheet” For All Offers

60. Present All Offers to Seller

61. Obtain Pre-Approval Letter from Buyer’s Agent

62. Examine & Verify Buyer’s Qualifications

63. Examine & Verify Buyer’s Lender

64. Negotiate All Offers

65. Once Under Contract, Send to Title Company

66. Check Buyer’s Agent Has Received Copies

67. Change Property Status in MLS

68. Deliver Copies of Contact/Addendum to Seller

69. Keep Track of Copies for Office File

70. Coordinate Inspections with Sellers

71. Explain Buyer’s Inspection Objections to Sellers

72. Determine Seller’s Inspection Resolution

73. Get All Repair Agreements in Writing

74. Refer Trustworthy Contractors to Sellers

75. Meet Appraiser at the Property

76. Negotiate Any Unsatisfactory Appraisals

77. Confirm Clear-to-Close

78. Coordinate Closing Times & Location

79. Verify Title Company Has All Docs

80. Remind Sellers to Transfer Utilities

81. Make Sure All Parties Are Notified of Closing Time

82. Resolve Any Title Issues Before Closing

83. Receive and Carefully Review Closing Docs

84. Review Closing Figures With Seller

85. Confirm Repairs Have Been Made

86. Resolve Any Last Minute Issues

87. Attend Seller’s Closing

88. Pick Up Sign & Lock Box

89. Change Status in MLS to “Sold.”

90. Close Out Seller’s File With Brokerage

As a buyers agent they also have many tasks.

1. Schedule Time To Meet Buyers

2. Prepare Buyers Guide & Presentation

3. Meet Buyers and Discuss Their Goals

4. Explain Buyer & Seller Agency Relationships

5. Discuss Different Types of Financing Options

6. Help Buyers Find a Mortgage Lender

7. Obtain Pre-Approval Letter from Their Lender

8. Explain What You Do For Buyers As A Realtor

9. Provide Overview of Current Market Conditions

10. Explain Your Company’s Value to Buyers

11. Discuss Earnest Money Deposits

12. Explain Home Inspection Process

13. Educate Buyers About Local Neighborhoods

14. Discuss Foreclosures & Short Sales

15. Gather Needs & Wants Of Their Next Home

16. Explain School Districts Effect on Home Values

17. Explain Recording Devices During Showings

18. Learn All Buyer Goals & Make A Plan

19. Create Internal File for Buyers Records

20. Send Buyers Homes Within Their Criteria

21. Start Showing Buyers Home That They Request

22. Schedule & Organize All Showings

23. Gather Showing Instructions for Each Listing

24. Send Showing Schedule to Buyers

25. Show Up Early and Prepare First Showing

26. Look For Possible Repair Issues While Showing

27. Gather Buyer Feedback After Each Showing

28. Update Buyers When New Homes Hit the Market

29. Share Knowledge & Insight About Homes

30. Guide Buyers Through Their Emotional Journey

31. Listen & Learn From Buyers At Each Showing

32. Keep Records of All Showings

33. Update Listing Agents with Buyer’s Feedback

34. Discuss Home Owner’s Associations

35. Estimate Expected Utility Usage Costs

36. Confirm Water Source and Status

37. Discuss Transferable Warranties

38. Explain Property Appraisal Process

39. Discuss Multiple Offer Situations

40. Create Practice Offer To Help Buyers Prepare

41. Provide Updated Housing Market Data to Buyers

42. Inform Buyers of Their Showing Activity Weekly

43. Update Buyers On Any Price Drops

44. Discuss MLS Data With Buyers At Showings

45. Find the Right Home for Buyers

46. Determine Property Inclusions & Exclusions

47. Prepare Sales Contract When Buyers are Ready

48. Educate Buyer’s On Sales Contract Options

49. Determine Need for Lead-Based Paint Disclosure

50. Explain Home Warranty Options

51. Update Buyer’s Pre-Approval Letter

52. Discuss Loan Objection Deadlines

53. Choose a Closing Date

54. Verify Listing Data Is Correct

55. Review Comps With Buyers To Determine Value

56. Prepare & Submit Buyer’s Offer to Listing Agent

57. Negotiate Buyers Offer With Listing Agent

58. Execute A Sales Contract & Disclosures

59. Once Under Contract, Send to Title Company

60. Coordinate Earnest Money Drop Off

61. Deliver Copies to Mortgage Lender

62. Obtain Copy of Sellers Disclosure for Buyers

63. Deliver Copies of Contract/Addendum to Buyers

64. Obtain A Copy of HOA Bylaws

65. Keep Track of Copies for Office File

66. Coordinate Inspections with Buyers

67. Meet Inspector At The Property

68. Review Home Inspection with Buyers

69. Negotiate Inspection Objections

70. Get All Agreed Upon Repair Items in Writing

71. Verify any Existing Lease Agreements

72. Check In With Lender To Verify Loan Status

73. Check on the Appraisal Date

74. Negotiate Any Unsatisfactory Appraisals

75. Coordinate Closing Times & Location

76. Make Sure All Documents Are Fully Signed

77. Verify Title Company Has Everything Needed

78. Remind Buyers to Schedule Utilities

79. Make Sure All Parties Are Notified of Closing Time

80. Solve Any Title Problems Before Closing

81. Receive and Review Closing Documents

82. Review Closing Figures With Buyers

83. Confirm Repairs Have Been Made By Sellers

84. Perform Final Walk-Through with Buyers

85. Resolve Any Last Minute Issues

86. Get CDA Signed By Brokerage

87. Attend Closing with Buyers

88. Provide Home Warranty Paperwork

89. Give Keys and Accessories to Buyers

90. Close Out Buyer’s File Brokerage

Whew…exhausting isn’t it!?!

You don’t need to buy or sell a home to support your agents real estate business – here are just a few simple ways to show your support!⁣ By sharing one of their listings, sending a friend or family member their way, letting them connect you with agents outside their area for a broker to broker referral, or leaving them a positive comment or review, this helps them feel seen and supported – (thanks to you)!

Caroline

First Time Buyers • February 17, 2026

Is that Realtor reputable?

by Caroline Williams

How to Find a Reputable First-Time Buyer Agent (Without Getting Burned)

Buying your first home is exciting.

It’s also where people make expensive mistakes. (With the right guidance from a seasoned agent that wont happen, and yes I’m pointing at myself :))

The truth?
Not every agent who says they “love working with first-time buyers” actually knows how to protect one. (They really don’t)

So let’s talk about how to find the right one — the kind who educates you, negotiates hard, and doesn’t disappear when things get uncomfortable. (I’m around after the sale anytime, ask any of my people)

1. Look for Proof — Not Promises

Anyone can say they’re experienced.(yes but in what?)

What you want to see:

Documented first-time buyer closings (My Clients take pictures with me to post on social because they understand my business is spread by word of mouth when they are extremely satisfied, 90% of my clients come from past clients. I have to be doing something right!)
Experience with first-time buyer programs and grants (Having Knowledge of what’s available but a Lender will know the ins and outs, agents have to stay in their lane)
Strong reviews that mention communication and guidance ( on my website, which I need to update with about 20 more)
Local knowledge of neighborhoods, taxes, and resale trends

A reputable agent will show you actual examples of how they’ve helped buyers navigate inspections, appraisal gaps, and financing hiccups.

If they’re vague?
That’s your cue.

2. Ask How They Educate You

First-time buyers don’t need a door opener.
They need a translator.

Your agent should explain:

Loan options and what they really mean long-term (FHA, VA, Conventional, USDA, hard money)
Property taxes and how they impact your payment (Can you get an exemption?)
Resale value and appreciation trends
Inspection reports — in plain English (I have inspectors that speak english not report-ies)

If you feel rushed, confused, or pressured… that’s not your person.

3. Interview at Least Two Agents

This isn’t rude. It’s smart. (Highly recommend, be comfortable with your agent they should feel like family(well only if you like your family)

Ask:

How many first-time buyers did you help last year?
What’s your strategy in competitive situations?
How do you protect buyers from overpaying?
What happens if an inspection uncovers major issues?

A seasoned first-time buyer agent will answer confidently — without fluff.

4. Make Sure They Understand the Programs

There are programs many buyers don’t even know exist.

For example in Central Texas:

Texas State Affordable Housing Corporation (TSAHC)
VA loans
USDA loans in qualifying areas
Down payment assistance grants

An agent experienced with first-time buyers knows how to align you with lenders who specialize in these programs — not just whoever answers the phone. ( I have those lenders who are your hand holders and are there with you at closing. We are your team!)

5. Pay Attention to Communication

This matters more than people think.

Do they:

Respond quickly?
Explain things clearly?
Set expectations upfront?
Keep you calm when emotions spike?

Buying your first home is emotional.
You want someone steady — not reactive. (Hi, I’m right here… My people will tell you, i don’t have business hours because I know those questions don’t always pop up between 9-5.)

6. Check Local Market Knowledge

Your first home is likely also your first investment.

A reputable agent should know:

Average price per square foot in your target area
School district impact on value
Upcoming developments that could raise or lower values
Days on market trends

If they can’t talk numbers comfortably, they shouldn’t be advising you financially.

Red Flags to Watch For

Be cautious if an agent:

Pushes you toward homes above your budget (red flag)
Avoids discussing resale value (I’ll let you know if I think its a bad idea, i don’t help if I don’t give you good feed back)
Can’t clearly explain the contract (RUN don’t walk)
Doesn’t attend inspections ( why would they not?)
Pressures you to waive protections without strategy (keep RUNNING)

Your first home purchase should feel informed — not chaotic.

The Bottom Line

A reputable first-time buyer agent does three things well:

Educates
Protects
Negotiates

They don’t just help you buy a house.

They help you make a smart financial move that sets you up for your next one.

And if you’re buying in Central Texas, working with someone who understands the local market, first-time buyer psychology, and the ins and outs of VA and grant programs can make the entire experience smoother — and far less stressful.

If you’re in the research phase and want to know what buying actually looks like in today’s market — start with one conversation.

Clarity changes everything.

Call me anytime,

Caroline 512.786.2575