Becoming a Real Estate Agent
Becoming a real estate agent—a successful and proficient one—takes time, hard work, determination and intelligence.
Below are the essential steps you need to undertake in order to succeed in the business:
Study
Pre-licensing courses are a key prerequisite to taking the real estate agents’ licensing exams. They may differ between states, so it would be best to consult with your local real estate commission for the exact requirements.
Additionally, there are some real estate agencies that have specific requirements when it comes to credentials. So, even after passing the state and national licensing exams, you may still need to take additional courses and possibly additional exams after getting hired by the agency you have applied for.
Brokerage
To be able to start your real estate business, you need to find a good broker. A firm from which brokers work with real estate agents is called a brokerage. The symbiotic working relationship is not just beneficial, but also a requirement to be able to work as an agent.
So, before even finishing your real estate training, contacting a broker would be wise since brokers have advanced real estate training and will be able to guide you through the workings of the agency and provide you with a list of homes to sell.
You can shop for brokerages online and by reading through feedback. You can also ask your friends and family who might be able to refer you to someone.
When invited for an interview with a brokerage, you may want to ask particular questions that may give you more of an idea of the kind of brokerage you are applying to.
Questions that touch on the requirements for additional real estate training, the length of the existence of a brokerage, availability of personnel who can assist your learning, their manner of working and contacting clients, and timelines on commission checks. It will largely depend on your preference as to what type of answers you will find desirable.
Licensing
There are individual exams per state as well as a national exam for real estate licensing. A criminal background check is also a pre-requisite.
Your total expenses may cost upwards of two hundred dollars to cover you from real estate training enrolment courses to licensing examination fees.
Financing your practice
Starting out as a real estate agent can cost you anywhere between one to two thousand dollars, which includes real estate training, licensing, and business essentials such as business cards and advertising. Becoming a real estate agent may not be cheap, but it is significantly cheaper than getting into most other professions.
The cost of starting your practice may vary between states and other factors such as your chosen brokerage or agency. Practicing budgeting skills is also important when getting into real estate, since it is largely commission-based. You may want to set aside a fund so that you will be able to get by for a few months.
Customer portfolio
As a new agent, you may not have that many leads when it comes to finding clients. The best way to go is to stick with a mentor from your agency so that you have advice about client contracts and so that you can earn your first commissions even if it is from a split check.
This is an effective way to begin earning from your new practice while gaining experience and learning from a veteran real estate agent.
Another easy way to gain a network of clients is to ask family and friends if they happen to know people who might be interested in buying or selling property. You may just come across a friend who knows a friend who might just turn out to be your first client and the start of your real estate business.
Hopefully, the steps above can help you establish yourself as a proficient starting real estate agent. Real estate training is just the start of your potentially large business, since being a real estate agent is somewhat like owning a business.
You only earn through customers, and you need capital to fund your practice. Even when working within a brokerage with fellow agents, you have to look after your practice while keeping your finances in check too.
