Blog Spot

Have you ever gone to a doctor that used to be in cable T.V. advertising? Or how about a CPA that, before stretching his accounting wings, was a good wine account rep? No??..O.K., how about the former waiter/waitress that is now your estate planning attorney? I have a feeling that I'm "O-fer" here. And for the sake of your financial well being, I hope so. Generally speaking, professional licensing is such that only those serious about a given industry will pursue them. A good friend of mine that works for UBS assures me the Series 9 license is no walk in the park...:

Having said all that, below is a portion of an article the L.A. Times that greeted me over my Raisin Bran….

…"Will is among the laid-off New Century workers. As he sees it, he's not just leaving a company — he's leaving an industry. He plans to look for work as a salesman or finance manager at a car dealership.
"We made decent money selling New Century loans", said (Will), who was an account manager in . "But people are still buying cars. The car dealers are still in business, and New Century is not."…"

While I wish Will all the luck in the world, this is a prime example of what's wrong with the mortgage/real estate industry. Tomorrow, the guy trying to sell you the chrome wheel package is today's real estate agent or mortgage rep. Ever wonder why? Well…. 'Ever dig for the prize at the bottom of a Cracker Jack's box (the big box, not the little one )? That's about how difficult it is to get a real estate license. I've been fortunate enough to call this industry my profession for over twenty years. I'm currently licensed in both California and Florida. However, in neither state does the title "Rocket Scientist" appear on my license. It's a good thing George and Dee raised me to work hard.

Unfortunately, a large portion of those in this industry got into it because ….they could. Their neighbor's wife made $11,000 in her first month listing a house, their son's friend made $100,000 in his first year as a mortgage rep or they were just bored and needed a change. That may have boded well for them, but if you were the client who was promised everything, had your paperwork lost, or never heard from your agent after you signed your listing agreement, I bet you don't care how well they did in their first (and probably only) year in this industry.

The very simple cure for the "Agent Shuffle" is to make licensing more difficult. When dealing with six or seven figure transactions, a little more than a home study course and weekend cram should be required to get a license. States make a ton of money from licensing and don't want to discourage potential licensees. Bravo! But a degree of difficulty somewhere above a See 'N Say should be adopted. If not, ask your mortgage rep if she has the quart size, lock top Tupperware in stock. It's only a matter of time.

As always, I'm interested in what you think and welcome your response.