Abstract
The real estate industry is widely known to be stressful for its professionals, and especially for those working in New York City. This paper will examine causes for stress in the real estate field and how this stress could be exacerbated by working specifically in NYC real estate. In particular, this study will focus on the concept of burnout in the work place, relevant to real estate professionals. It will also address some of the physical and psychological symptoms that work stress can bring about in an individual.
Introduction
Stress is generally understood to be mental or emotional strain, brought about by exceedingly adverse situations. Stress also encompasses physical reactions to such adverse conditions. There are many possible triggers for stress, occupational stress being one such example. For example, a person suffer from stress when they feel threatened in their job. Certain occupations are more stressful than others, and working in real estate can bring with it high levels of stress.
Stress can seriously affect the many aspects of an individual’s life, such as emotions, physical health, and thinking capability. The New York City real estate professionals are susceptible to stress out for reasons such as commute time, and the long hours they are expected to work. Moreover, the real estate professional community in New York City experiences additional stress due to the high cost of living in the city. A real estate professional is forced to spend a huge part of his or her household income on paying rent and meeting basic expenses such as food and utilities. In this way, it becomes even more important for New York professionals in the field to secure clients.
Reasons for Stress in the Real Estate Industry
Working in real estate is notoriously stressful, largely because it is mainly customer facing. According to Peter Love et al (2011): “Constant interpersonal contact with clients has been identified as a workplace stressor that is unique to sales people such as real estate brokers” (1). Another key reason for this stress is because the agent is helping a buyer or seller in a very large, expensive exchange. The agent is often concerned about a house sale falling through and the client’s money or dreams being at risk. For example, if a sale is handled in the wrong way, a client’s deposit can be lost. If this happens, the agent is responsible and has their boss, the client, and themselves to answer to. The precarious nature of real estate deals can therefore be very stressful for the agent. A further trigger for stress in this profession is the constant process of negotiation. In a place like New York City, many agents will be making and receiving calls early in the morning, through the day and into the night. An agent like this will inevitably miss out on vital non-work time to relax, partake in leisure activities and spend time with family. Automatically, this can create stress, especially if the agent is surrounded by friends and family who also want to spend time with them. Real estate professionals are continually working to deadlines. Behind the scenes of a house sale or purchase, there are many pieces of legislation and contract details which have to be completed by certain times. Mostly the general public are unaware of these deadlines, but if they are missed there are serious consequences, and the responsibility lies with the agent. This kind of pressure is bound to place stress upon the real estate professional.
Burnout
The term ‘burnout’ describes what can happen when a person experiences long-term stress at work. As Love et al (2011) assert: “burnout has a multidimensional nature that comprises of three related but separate components: (1) emotional exhaustion, (2) depersonalisation, (3) personal accomplishment” (1.1). Emotional exhaustion is believed to be the first phase where a professional is worn-out of vigor and emotional resources. A professional in this situation may feel overstretched and incapable of handling their work. The second phase of burnout is Depersonalisation: an uncaring and hardhearted manner towards their clients. Thirdly, a decline in personal accomplishment can happen when a professional is not obtaining any satisfaction from their work, feeling that they are falling short of expectations. It is necessary to examine all three of these stages in order to gain a thorough understanding of burnout through stress.
Physical effects of stress to real estate professionals in NYC
The stress involved in the real estate business can lead professionals to experience physical symptoms. Some examples of these are headaches, insomnia and chest pains, to name just a few. Work stress can also leave a person more susceptible to disease. As Bruce Margolis et al (1974) assert: “ a growing body of evidence obtained from studies conducted at work places suggests that occupational stress is a causal factor in disease” (659). Stress can also lead real estate professionals to be nervous and tense while delivering some of services to their clients. Such professionals may be afraid to make mistakes that might warrant severe punishment from their bosses, or that may result in losing a potential customer. Too much stress has also caused elevated blood pressure in the real estate professional community. High blood pressure can lead to serious illnesses including heart attacks and even death. Anna-Liisa Elo et al (2003) point out that “work related stress has been shown to predict both morbidity and mortality” (444). Clearly, it is imperative for employers and employees to take work stress seriously and address issues surrounding it.
Psychological Effects of Stress
Some real estate professionals have displayed psychological behaviors as a result of stress, such as becoming easily agitated and moody. Moreover, stress has reduced the self-esteem of many professionals in the real estate industry. The individuals under stress have previously shown symptoms similar to depression (Love, 2011, 1). Another effect of stress might be changes in appetite, where a person may eat too much or not enough. Stress may also result in affected real estate professionals to be unable to have a relaxed mind. Common symptoms of stress are constant worry, difficulty in concentrating, and forgetfulness (NHS, 2017). Stress could lead some professionals to procrastinate and avoid responsibilities delegated to them by their office. Some of the professionals have also engaged in excessive use of alcohol, drugs, or cigarettes.
Conclusion
In summary, stress is one of the daily hurdles for any NYC real estate professional. In some cases, workers end up in deep depression due to the enormous amount of stress related to their work in the real estate industry. The constant client-facing nature of the job can easily lead to burnout, especially if other stressors are present, such as the pressure of deadlines and difficult negotiations. In addition, such real estate professionals may find themselves in situations where the business is on a slump and yet they still have to pay household bills. In New York City, where the cost of living is so high, it is even more imperative that professionals meet their targets and earn enough money to pay their bills and rent. Occupational stress can lead to a wide range of physical and psychological symptoms, and can leave the sufferer more susceptible to disease and even death. Therefore, it is necessary that real estate workers seek help in managing their stress levels.
References
Elo, A. et al. (2003). Validity of a single-item measure of stress symptoms. Scandinavian Journal of Work, Environment & Health. Retrieved from http://www.jstor.org/stable/40967322?seq=1#page_scan_tab_contents
Love, P. (2011). Burnout and sense of coherence among residential real estate brokers. Safety Science. Retrieved from: http://www.sciencedirect.com/science/article/pii/S0925753511000920
Margolis, B. et al. (1974). Job Stress: An Unlisted Occupational Hazard. Journal of Occupational Medicine. Retrieved from: http://journals.lww.com/joem/Citation/1974/10000/Job_Stress__An_Unlisted_Occupatio nal_Hazard.5.aspx
NHS. (2017). Struggling with Stress? Retrieved from http://www.nhs.uk/Conditions/stress- anxiety-depression/Pages/understanding-stress.aspx
