The real estate market slowdown has left many agents feeling burned out and searching for new opportunities. At Unbroker, we’ve noticed a growing trend of real estate professionals transitioning to business brokerage.
This shift isn’t surprising, given the similarities between business brokers vs real estate agents. Both roles require strong sales skills, market knowledge, and the ability to negotiate complex deals.
Is the Real Estate Market Slowing Down?
Market Trends Paint a Sobering Picture
The real estate market has experienced significant shifts recently, causing uncertainty among agents. According to the National Association of Realtors, existing home sales dropped 2.2% in March 2025 compared to the previous year. This slowdown isn’t a temporary blip; it’s a trend that continues to gain momentum.
Financial Pressure Mounts for Agents
This market deceleration hits real estate agents where it hurts most – their wallets. A survey by Inman revealed a staggering statistic: 71% of agents didn’t close a single transaction last year. For those who managed to close deals, the average income has plummeted by 15% since 2023.
The financial strain is evident. Many agents struggle to maintain their lifestyle, let alone grow their business. Some even resort to dipping into savings or taking on side gigs to make ends meet.
Job Satisfaction Takes a Hit
The current market conditions affect more than just finances; they take a toll on agents’ job satisfaction. A recent study by the Real Estate Coaches Association found that 62% of agents reported feeling less fulfilled in their careers compared to two years ago.
The reasons are multifaceted:
- Increased competition for fewer listings
- Longer time on market for properties
- More demanding clients
These factors contribute to a more stressful work environment. Many agents feel they work harder than ever for diminishing returns.
Burnout: The Silent Career Killer
The combination of financial pressure and decreased job satisfaction leads to an alarming trend: burnout. The World Health Organization recognizes burnout as an occupational phenomenon, characterized by chronic exhaustion, cynicism, and reduced effectiveness at work.
In the real estate industry, burnout manifests in various ways:
- Emotional drainage
- Lack of motivation
- Struggle to maintain work-life balance
- Sense of detachment from clients and properties (a dangerous situation in a relationship-driven business)
The Mayo Clinic warns that unaddressed job burnout can lead to serious health issues (fatigue, heart disease, and Type 2 diabetes). This isn’t just a career issue; it’s a health concern.
The Search for Alternatives
For many real estate professionals, these challenges serve as a wake-up call. They realize that the traditional real estate model may no longer provide long-term career satisfaction and financial stability. As a result, many look for alternatives that allow them to leverage their skills in a more stable and rewarding environment.
One such alternative that’s gaining traction is business brokerage. This field offers a natural transition for real estate agents, allowing them to apply their existing skills in a new, potentially more lucrative market. Let’s explore how business brokerage compares to real estate and why it might be the career change many agents need.
Why Business Brokerage Attracts Real Estate Agents
A Natural Transition
Real estate agents find business brokerage an attractive career shift. This move capitalizes on existing skills while opening new opportunities. Both fields involve high-value transactions, market understanding, and complex negotiations. The main difference? Business brokers sell companies, not properties.
The International Business Brokers Association reports that 35% of successful business brokers have a real estate background. This statistic underscores the natural fit between these professions.
Transferable Skills Lead to Success
The skills that define great real estate agents apply seamlessly to business brokerage. Client relationship management stands out as a prime example. The National Association of Realtors found that 88% of homebuyers would use their agent again, highlighting the importance of lasting relationships. This skill proves invaluable when working with business owners and potential buyers.
Marketing expertise also transfers well. Real estate agents market properties; business brokers present businesses to potential buyers. The ability to create compelling listings, use online platforms effectively, and network within professional circles (all skills real estate agents possess) applies directly to business brokerage.
Financial Rewards and Market Stability
Business brokerage offers potential for higher and more stable income, a major draw for real estate agents. While real estate markets fluctuate cyclically (affecting agents’ earnings), business sales tend to remain more stable.
Business brokers’ commission typically ranges from 8-15% of the final selling price. For a million-dollar business sale, this translates to a significant commission. Compare this to the average 5-6% commission on home sales, and the financial upside becomes clear.
Business sales also involve higher transaction values. BizBuySell reported the median sale price for small businesses in 2024 was $350,000. This significantly exceeds the median home sale price of $280,000 in the same year (according to the National Association of Realtors).
A Growing Demand
The business brokerage field continues to expand. As baby boomers retire and sell their businesses, demand for skilled brokers increases. The International Business Brokers Association projects a 12% growth in the industry over the next five years.
This growth creates opportunities for real estate agents looking to transition. With platforms like Unbroker offering support and resources, the switch to business brokerage becomes even more accessible and appealing.
The evolving business landscape emphasizes the vital role of business brokers. For real estate agents ready to make a change, this field offers a promising path forward. The next section explores how specific platforms and tools can facilitate this transition and set new business brokers up for success.
How to Transition to Business Brokerage
Leverage Your Existing Skills
Real estate agents possess many skills that transfer seamlessly to business brokerage. Your experience in negotiation skills, customer empathy, and understanding buyer and seller end goals will prove invaluable in this new field. The ability to create compelling listings, use online platforms effectively, and network within professional circles applies directly to selling businesses.
Embrace Technology in Business Sales
The business brokerage landscape has evolved significantly with the integration of AI and data-driven processes. These technologies streamline the sales process, from valuation to matching businesses with potential buyers. AI can be a tremendous tool for improving your capability in areas such as enhanced financial analysis and due diligence.
Explore Cost-Effective Solutions
One of the biggest hurdles for real estate agents transitioning to business brokerage is the high cost of entry. Traditional business brokerage firms often charge hefty upfront fees or take large commissions. However, newer platforms offer more affordable options. For example, some services provide full-service business sales for a fraction of traditional brokerage fees.
Consider Flexible Pricing Models
For those who prefer a more hands-on approach, some platforms offer assisted business sale options at affordable monthly rates. This allows you to manage the sale process yourself while still having access to expert support when needed. Flexible pricing models mean you only pay for what you use, and the price per license decreases as you grow, with no surprise fees or penalties for scaling up.
Utilize Additional Tools and Resources
Many modern business brokerage platforms provide additional tools to complement your existing skills. These may include legal document templates, negotiation assistance, and premium marketing tools. These resources can help you navigate the complexities of business sales more effectively, especially as you’re starting out in this new field.
Final Thoughts
The real estate market slowdown has created challenges for agents, but it also opens doors to new opportunities. Business brokerage emerges as a compelling alternative for real estate professionals who seek to leverage their existing skills in a potentially more lucrative and stable environment. The similarities between business brokers and real estate agents allow for a smoother transition and a shorter learning curve.
Financial rewards in business brokerage can be significant, with higher commission rates and typically larger transaction values. The growing demand for business brokers, driven by retiring baby boomers selling their companies, creates a fertile ground for those entering the field. The stability of the business sales market compared to the cyclical nature of real estate can provide a more consistent income stream.
For real estate agents considering this transition, Unbroker offers innovative solutions to ease the switch. Unbroker’s transparent, low-cost options eliminate the barrier of high brokerage fees, making it more accessible for newcomers to enter the field. Their AI-driven processes and vast buyer network enhance the efficiency of business sales, while their premium marketing tools and legal document templates provide valuable support.
