The Hard Thing About a Commercial Real Estate Career
By Brian McCririe profile image Brian McCririe
3 min read

The Hard Thing About a Commercial Real Estate Career

Ben Horowitz wrote the best book I know on the part of any business that has no script. It is not a real estate book. Read from the broker's side of the table, it explains exactly why most people who start a commercial real estate career leave before it pays.

Most of the advice you will hear about starting a commercial real estate career is a recipe. Prospect this many hours. Run this script. Work this list. Follow the cadence and the deals will come.

The recipe is real. It is also the easy part.

Ben Horowitz opens The Hard Thing About Hard Things with a line that maps onto this business almost perfectly: "The hard thing isn't setting a big, hairy, audacious goal. The hard thing is laying people off when you miss the big goal." His point is that every management book sells a formula, and the situations that actually decide your career have no formula. "That's the hard thing about hard things," he writes. "There is no formula for dealing with them."

Brokerage is the same. The recipe gets you to the starting line. What happens after has no script.

The recipe is not where your career is decided

Anyone can teach you to prospect. The hard thing is the deal that dies at 11 p.m. the night before signing, for a reason nobody saw coming. The hard thing is the client who is about to sign a lease you know is wrong for them, and saying so out loud, because the best deal you will ever do for a client is the one you talk them out of. The hard thing is your second dry quarter, when the pipeline says you did everything right and the income says otherwise.

There is no cadence for those. There is only judgment, and judgment is built one hard rep at a time. That is the whole game. Clients are not buying a lease or a sale. They are buying a better decision. The person who optimizes for the decision instead of the close wins the long game, and you cannot download that skill. You earn it.

The ramp is the part nobody recruits you with

Horowitz has a name for the worst stretch of building something. He calls it the Struggle. "The Struggle is where self-doubt becomes self-hatred," he writes. "The Struggle is not failure, but it causes failure."

In brokerage the Struggle has a more boring name. It is the ramp. It is the twelve to eighteen months before the pipeline turns into income, when you are working full days for deals that have not closed yet. Most people who leave this business leave in the ramp. Not because they lacked talent. Because nobody told them the ramp was the job, so they read the silence as failure.

Here is the truth most recruiters won't tell you: the first year is tuition. Treat it that way. The brokers who make it are not the most talented. They are the most consistent through the part where the scoreboard says nothing is working.

Stop looking for the silver bullet

There is a story in the book about competing with Microsoft on a product that was five times slower. Horowitz wanted a clever move to get around it. His adviser shut it down: "There is no silver bullet that's going to fix that. No, we are going to have to use a lot of lead bullets." They fixed the actual product and built a $400 million business.

New brokers spend a lot of energy hunting silver bullets. The perfect CRM. The magic lead source. The marketing trick that makes prospecting unnecessary. None of it exists. Market knowledge is not even an edge anymore. Everyone has the same data. The edge is judgment and reps, and those only come from lead bullets: pick one submarket and own it, master the underwriting, make the calls.

What starting a commercial real estate career actually demands

If you want a business where a recipe guarantees the outcome, this is the wrong one. The recipe is table stakes. Your career gets decided in the parts with no script, by whether you can build judgment and stay consistent through the ramp.

That is not a warning. For the right person it is the whole appeal. The lack of a recipe is exactly why the ceiling is so high.

I am a commercial real estate professional at SVN Denver. If you are weighing a move into the business, or out of a platform that never told you the truth about the ramp, I am happy to have an honest conversation. Schedule a conversation at calendly.com/mccririe.

By Brian McCririe profile image Brian McCririe
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