Are you Singing the 1rst Quarter Real Estate Blues ?

Real Estate Agent with KW Elite

     Real Estate tends to be a cyclical business activity wise. That leads to most agents riding an

Economic Roller Coaster cash flow wise . Annually one of those dreaded periods of time, tends

to be the first quarter of every year (Jan.1 to March 31). As a matter of fact , the typical real estate

agent (and Company) brings in only 15.3% of their annual earnings during that time period . To

compound this dilemma even more, is that your costs of doing business are also disproportional !

It's not uncommon to pay as much as 1/3 of your overhead in the first quarter . The primary

culprit, the litany of annual dues . Not to pile it on, but April hardly supplies any relief with the

patriotic obligation we pay on the 15th of that month .

     So how does the average agent maintain their fiscal sanity (and stay out of divorce court ) ?

Really quite simple ! It's called a "Business Line of Credit".  It allows us to run our real estate

practice like a business. It also allows us to get back to sleep in a month where we have no

settlements scheduled ! It also allows us to maintain our Credit Score, and allows us to pay

large lump sums needed to pay various Taxes ! This is a Top Priority for all Fulltime Agents !

Otherwise you'll be stuck singing the 1rst quarter real estate blues !



Posted by


Michael J. Perry



1280 Plaza Blvd. , Lancaster, PA 17601

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Longtime West Lampeter resident and Lancaster County Realtor!


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Comments (4)

Michael Thacker - Re/Max Real Estate Center - Louisville
Re/Max Real Estate Center - The Thacker Group - Louisville, KY
Your best friend who just happens to be a Realtor

Great post Michael and some great suggestions! Thank you for sharing!

Feb 25, 2016 05:24 AM
Mary Yonkers
Alan Kells School of Real Estate/Howard Hanna Real Estate - Erie, PA
Erie/PA Real Estate Instructor

Sounds very familiar Michael J. Perry Good advice even for agents who might not be used to working on commission in their previous jobs

Feb 25, 2016 06:10 AM
William Feela
Realtor, Whispering Pines Realty 651-674-5999 No.

The start was real slow, but it will  end close to projections

Feb 25, 2016 07:08 AM
Robert Vegas Bob Swetz
Las Vegas, NV

Hello Michael ... some great points and wonderful post!

Feb 27, 2016 05:39 AM