Are you interested in becoming a real estate agent? It is quite easy to get started in the real estate industry. Read the article to get an idea of how to become a real estate agent in 2023.
Why Do You Want To Work As A Real Estate Agent?
Working as a real estate agent allows you to gain a diverse set of experiences. You won’t be doing the same thing every day with your different clients and properties.
You will get to meet and work with a diverse range of people, be your boss, and have the satisfaction of assisting buyers and sellers through one of life’s most significant milestones.
According to the US Bureau of Labor Statistics 2020 (the most current available), the average income of a real estate agent is around $51,220 per year.
For real estate agents, who must complete additional schooling, testing, and experience, the fee jumps to $59,720. In 2020, the top 10% of agents earned more than $112,410 on average, with some earning far more.
Another advantage is that getting into the field is simple. Compared to other jobs with comparable earnings potential, acquiring your real estate license is a great way to start.
A career as a real estate agent can be very satisfying, and it provides a diverse range of options. As a real estate expert, you can assist customers with purchasing and selling houses, farmland, commercial, and industrial property.
Steps to Become a Real Estate Agent
Some of the steps involved are:
1. Pre-registration
Through Humber Real Estate, the potential realtor must complete five courses, two-week-long simulation sessions, and four tests. Real Estate Essentials, Residential Real Estate Transactions (2 courses), Commercial Real Estate Transactions, and Getting Started are available courses.
After both Residential Real Estate Transactions courses, the first simulation session will be placed. Following the completion of Commercial Real Estate Transactions, the second session will be held.
Before going on to the next course, you must pass each of the first four exams with a score of at least 75%. This step’s learning path may be found here. Depending on how rapidly you can grasp and analyze the material, this stage can take 150 hours.
2. Participate in a Brokerage
You must join a brokerage to practice real estate as a brand-new agent. The state regulates brokerages to ensure that legal and ethical standards are followed in the real estate market.
Another advantage of joining a real estate broker is that your name will gain greater credibility as a new agent if you choose the proper one.
It’s a good idea to chat with a brokerage before taking the real estate exam to get a head start. This way, you’ll have a job waiting for you as soon as you have your license.
Begin your search by interviewing several brokerage firms to see which one best fits you. There are well-known brokerages, such as eXp Realty and Keller Williams, as well as smaller brokerages that are only known in your area.
As a new agent, you might want to join a company with a well-known name to give your name more credibility, but joining a boutique real estate agent might also be a smart option.
3. Take the Real Estate Exam
Of course, passing your state’s real estate exam is the first step toward becoming a real estate agent! Your real estate license course should include plenty of study resources and practice exams to assist you. Use whatever resources you can to study and prepare ahead of time.
If you don’t pass the licensure exam the first time, don’t panic, as you will have many chances to retake it over two years. If you still fail after that, you must complete a pre-licensing course again.
Your state’s Real Estate Commission will provide directions on registering for the exam in your area. Approximately one hundred multiple-choice questions are usually included in the exam.
It will go over federal real estate legislation and state-specific rules and restrictions. It usually costs between $15 and $60 to take it.
The minimum passing score for the license exam varies by state, so check with the local Real Estate Commission for more information. However, the needed passing score will be between 60% and 75% on average.
4. Submit Your Application
You’ll need a copy of your exam results and a certificate of completion from your pre-licensing course once you pass the licensing exam. Then, along with your real estate licensing application, you’ll submit these documents to the state to receive your real estate license.
Depending on the state you live in, the application process differs. Other tests, such as a background or fingerprint check, may be included, which can take longer to perform.
A license application can range from $50 to $250. The time it takes for your application to be granted is also determined by the state in which you live.
Some states have an automated system for submitting application materials, while others still use the postal service. In general, you may expect your official license to arrive within one to two months.
Your license will require to be renewed regularly. Your state determines the frequency with which you must renew your license, and your license will most likely need to be renewed every two to four years.
5. Consider Becoming a Licensed Real Estate Agent
It is optional to join the National Association of Realtors, although it can be useful for new agents. You’ll be able to utilize the title “Realtor” for the first time, and this will give you much credibility and improve your client’s opinion of you.
You’ll also need to join to gain access to most MLS databases, which are essential if you want the most up-to-date information about properties in your region.
Other benefits include discounts on continuing education courses and access to transaction management services. The National Association of Realtors has approx 1,400 chapters around the United States.
Go to their website and look for your local chapter to get involved. A one-time application fee and a $150 yearly membership charge are required to become an official Realtor.
6. Make a Website and Social Media Pages for Your Business
Finally, once you’ve been licensed as a real estate agent and Realtor, you’ll need to establish an online presence for your company and personal branding. To build up your real estate agent website, you’ll need to purchase website hosting and a domain name.
Also, make sure you have social media pages set up, particularly a Facebook business page. This will be necessary to collect feedback from your customers and build sponsored lead-generating advertising.
Reviews will be critical to building your real estate business and establishing an excellent reputation as a real estate agent. Obtain a real estate agent review from each client with whom you work.
Conclusion
A real estate license takes time, but it may help you find a lucrative position in the sector. Keep in mind that the job of a real estate agent can be as flexible as you want it to be.
You can only work three mornings each week or never work on weekends. Of course, you’ll be severely constrained in your ability to succeed as a result of this trade-off.
Although working as a real estate agent can be done part-time, most successful agents treat it like a full-time career, making themselves available to clients during the week and on weekends.
You might decide to earn your broker’s license in the future for more flexibility and employment opportunities. You might also want to look into the various real estate designations and certifications available, such as those for mortgages, appraisals, residential real estate, commercial real estate, and property management.