In it for the long haul

Ted Puzio is swimming against the current. As real estate agents have streamed out of the business in the last few years, Puzio has waded in. Last month, he got his real estate license and began working at Weichert Realtors Bridges & Co. in Moneta.

"A lot of people who came into it when the market was booming, you didn't really have to work," he said. "I've seen a lot of people jump ship."

In 2005 and 2006, the Roanoke Valley Association of Realtors listed more than 100 new members each year, from 1,418 in 2004 to 1,706 in 2006. Since then, the numbers have dropped annually to 1,404 members as of Dec. 31, 2009. In early January, membership was 1,397, said Laura Benjamin, RVAR CEO.

Glenda McDaniel, Realtor with Long & Foster in Moneta, said she thinks the membership numbers peaked in 2006 because people were watching the housing market take off and wanted to be a part of it.

"What happened there, I think, was you had a lot of people that heard about all the good stuff happening in 2004 and 2005 and wanted to get on the bandwagon and join in," she said. "People were buying everything. There was a boom during that time."

Business was so good, Realtors almost didn't have to work to find buyers, said McDaniel.

"They didn't have to advertise, they didn't have to do anything; everything was selling so quickly," she said. "A lot of people got into the business because it was easy ... it's not easy now."

Matt White, broker for Realty World Properties in Huddleston, said the slow housing market of the last few years flushed out the inexperienced real estate agents.

"Frankly, they weren't doing a really good job," he said. "I think it put a bad taste in people's mouths."

During hot housing markets, inexperienced Realtors sometimes leave discretion at the door when going for a sale, said White.

"When the real estate market is good and you feel like you're closing on nine out of 10 walk-ins, your discretion decreases," he said. "Now you're closing nine out of 100 walk-ins and you have to be much more cautious about how you operate your business."

White said Realtors have to learn how to weed out the people who aren't seriously interested in purchasing a property to succeed in the industry, a high order for someone who entered the business when the market was hot.

"They have to be knowledgeable enough to qualify and disqualify clients," he said. "They have to be smart enough on the front end if they know they're wasting their time showing somebody a waterfront house when they can't justify the expenditure."

If Realtors don't learn those skills, they'll lose the "real" buyers when the market slows, said White. He said those who are skilled, experienced and dedicated are the Realtors who are still in business.

Barry Bridges, broker at Weichert Realtors Bridges & Co., said it takes a lot of dedication to be a Realtor. He said there's a misconception that selling real estate is easy and inexpensive. While that may have been true in 2004 and 2005, it's not true now nor was it before then, he said.

An agent's expenses include cellphone, digital camera, Web site, signs, brochures, business cards and advertising. On top of that, there's gasoline and automotive repairs and expenses.

"If you're showing property around the lake, it's not unheard of to drive 200 miles in a day," said Bridges. "I would guess that the average active full-time Realtor probably drives on average about 2,500 miles a month."

And don't forget the hours of work involved.

"I don't know a full-time Realtor that works a 40-hour week," said Bridges. "I know a lot of 60-, 70-hour Realtors."

Teresa Criner, a Realtor with Wainwright & Co. in Moneta, said she often works 10-hour days scouring the MLS, preparing materials and lining up appointments. Plus, she's on call all day to show homes.

"It's just so much work invested in what turns out to be a very [low] percentage of those potential clients actually buying property," said Criner. "A lot of time is invested with people who may decide to not purchase a home for whatever reason."

Expenses and time also weigh heavily on real estate companies. Locally and nationwide, real estate agencies closed in the last few years and their agents were absorbed by other companies.

Despite the office closings and agents leaving the business the past few years, Realtors say now may be the best time for a new agent to come into the fold.

"If you work and learn the trade now ... then two years down the road, you will be a more successful Realtor than those that got into the business when things were a lot easier," said Bridges.

Puzio said he hopes that will be the case for him. The owner of Southern State Electric, founded 15 years ago, has taken a back seat at his electric company to pursue real estate on a full-time basis. He said he hopes to be ready when the market comes back into full swing.

Southern State Electric has serviced Virginia's existing residential electrical systems since 1995. The company tagline is: Southwest Virginia's Favorite Electrician.

Puzio is so confident his hard work to learn the real estate trade during the slow times will pay off, he's already picked out the tagline for his letterhead at Weichert: Southwest Virginia's Favorite Realtor.