Are you considering changing your profession due to one reason or the other? Do you consider your current job not doing justice to the desired lifestyle you seek and are looking to change to a more prominent and lucrative profession? Why not consider being a real estate agent.
Consequently, if you have the impression that the days are passing quickly and you are not making any headway in your professional life, you may think about making a switch.
If a job in real estate is something you’ve always dreamed of doing, you’re in luck: getting started as a sales agent is now simpler than it’s ever been.
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The decision to embark on a new professional path as a real estate agent is significant. People come into the real estate sector having worked in a variety of industries and vocations and having completed a number of their life’s phases before doing so. Everyone has their own unique set of motivations that led them to conclude that a career in real estate was the best option for them. People interested in entering the real estate market often ask, “How do I become a real estate agent?”
If you follow these six steps, you will understand how to become a real estate agent right now.
Step 1: Examine the Prerequisites of Your State
Understanding the exact standards your state has in place to earn a real estate license should always be the first step in becoming a real estate agent. You can locate the website of your state’s real estate regulatory office by conducting an internet search for “[your state] real estate regulatory office” or by going to the regulatory agency directory maintained by the Association of Real Estate License Law Officials (ARELLO). The website of your state’s real estate regulatory office is a good place to begin your investigation.
In general, the following categories all have standards that are unique to each state:
- Education requirements
- Pre-licensing courses and post-licensing requirements
- Exams and exam eligibility
- application procedure and associated costs
- Conducting background checks and taking fingerprints
- Instruction on how to advance to the next license level
- Criminal history reports.
Because of the existence of reciprocal licensing agreements between some states and other states, it is possible to get a license in one state and then use it in another state without being required to take an extra licensing test in either of the states.
Before you go ahead and pay for your pre-license schooling, you need to make sure that you have checked with your state to see if there are any unique criteria or exemptions that apply to you.
Step 2: Select a Pre-Licensing Real Estate Course
After you have gained an understanding of the requirements set out by your state, the next step you will need to take is to enroll in a pre-licensing course offered by a real estate school that has received proper accreditation. You will be prepared to take the state’s real estate test and operate as a real estate agent in your state if you enroll in these courses.
Try to find a real estate school that the commission has granted accreditation in your state. Check the school’s reputation and the percentage of students who graduate by reading the reviews that have been posted online. If a school for real estate does not publish its percentage of students who pass the exam, you should look for one that does.
Also, it is up to you to choose whether you will complete the prerequisite training for your license in person or via an online platform. Compared to taking a class in person, taking a class online often allows you to earn your license far more quickly. They are also often preferable for anybody currently working a full-time job and who wants to study on a timetable that is more adaptable to their needs.
The minimum number of hours that must be completed varies from state to state. While the courses require 75 hours to complete in New York and Georgia, the Florida course may be completed in only 63 hours. In addition, the state of Texas requires a total of 180 classroom hours.
The price of a reputable training program for obtaining a license might vary anywhere from $200 to $1,000. Aceable is your best choice, though, if you are searching for a real estate school that is both affordable and regarded as one of the finest currently available.
Step 3: Take And Pass The Licensing Exam
Passing the state test is, of course, the most important stage in the process of becoming a real estate agent. You should have access to a wealth of study resources and practice tests as part of the license course you take. Make the most of whatever materials you can get your hands on to study and get ready for the event.
If you do not get instructions on how to schedule, register, and pay for the license test from your teacher, you can look it up on the real estate commission website in your state. Exams are taken on computers and are divided into two parts: a national component on broad real estate concepts and practices and a state-specific half that covers the real estate laws of your state. The tests are in a multiple-choice style; however, the number of questions and the amount of time permitted for the exam vary from state to state.
Each section is graded independently, and to pass the exam, you need to get a passing mark on each section. You will be given a chance to retake the test if you get a failing grade in any of the two areas. The individual state determines the number of times you are permitted to repeat a test, the amount of time you are required to wait in between attempts, and the cutoff date for completing any retakes.
It is important to verify with the state commission in which you want to practice real estate since the minimum score necessary to pass the test varies from state to state. However, the passing score will be between sixty and seventy-five percent of the total possible points—also, the estimated cost for the exam range from $50 to $300.
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Step 4: Activate Your Real Estate Agent License
After you have shown that you are qualified to hold a license, you will be required to get a copy of your test results and a certificate of completion from the pre-licensing class you attended. After that, you will need to submit these papers along with your application for a real estate license to get your license from the state officially.
The procedure of applying is different in each state since each has its own requirements. It is possible that it will contain additional tests such as a history or fingerprint check, both of which often need extra time to do.
The fee for submitting an application for a license might range anywhere from $50 to $250. Your current state is an additional factor that will determine how long it will take for your application to be processed and accepted.
Your real estate license certificate will be sent to you in the mail after the state has accepted your application, and your name will be searchable on the state website in the part that lists licensees. Remember that you are not permitted to operate as a real estate agent until the state’s real estate authority has given your license; thus, you should wait until you physically possess the license before beginning your career in the real estate industry.
Step 5: Become An Official Realtor
There is a distinction between a real estate agent and a Realtor, although many individuals use these phrases interchangeably.
Realtors are members of the National Association of Realtors (NAR) and belong to the NAR’s stringent Code of Ethics. On the other hand, real estate agents are only licensed individuals who may aid buyers and sellers throughout the real estate transaction process.
A fresh new real estate salesperson is not required to join the National Association of Realtors (NAR), but doing so may prove advantageous to their career. To begin, you will be permitted to use the title “Realtor” in an official capacity. You will benefit greatly from this in terms of your trustworthiness, as well as your reputation among customers.
Additionally, in order to access the majority of MLS databases—which are required if you want to have the most recent information on properties in your area—you will be required to become a member of the MLS. Other benefits include access to digital and physical information produced by the NAR, savings on continuing education courses, and chances to connect with other real estate professionals.
The National Association of Realtors comprises more than 1,400 local groups across the United States. You may get started by visiting their website, where you can also identify your local organization to join. You will need to file an application (usually with your local board) and pay an annual membership fee of $150 in order to become an official Realtor.
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Step 6: Join a Real Estate Brokerage
As a real estate agent, you must work under a supervising broker’s supervision. This broker must hold a valid state license to monitor real estate transactions and ensure that you, along with the other real estate agents, adhere to the necessary legal and ethical standards. In most cases, you will not get paid on an hourly basis. Rather than doing that, the brokerage will probably give you a share of the commissions it makes.
Joining a real estate broker is advantageous for several reasons. One is that choosing the appropriate one will provide greater credibility to your name as a brand-new real estate agent.
Before you even sit for the real estate test, it is a smart move to have a head start in the field by having a conversation with a broker. This way, you won’t have to worry about finding work when acquiring your license since you’ll already have a job set up.
You should start your search by conducting interviews with a number of different brokerages so that you can identify the one that best suits your needs. There are brokerages with easily recognizable names, such as Keller Williams Realty and eXp Realty.
Every time you successfully conclude a transaction, your broker will deduct an amount from the commission you earn. Because of this, it is even more important that you take your time and look carefully for a real estate broker with the personality and work ethic that complements your own.
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It is possible that you will be required to pay for desk fees, technology fees (for things like your website), business cards, marketing materials, and other expenses that are typical of running a company, depending on the agreement that you have with your brokerage. There will also be additional one-time and ongoing costs, such as the annual cost of renewing your license, the fees associated with lockboxes, continuing education, and subscriptions in multiple listing services (MLS).
Don’t settle for finding a real estate broker that offers the greatest commission split for its agents if that’s all you seek for. Find a place to work instead of that you will actually look forward to going to every day. Find a broker that will support your career by providing you with resources, training, and a mentor to guide you along the way. Your objective should be to sign up with a brokerage that offers the greatest value to its agents.
Some Frequently Asked Questions About Being a Real Estate Agent
As a budding real estate agent, you might have some questions about real estate. Below are some of the answers to the most frequently asked questions on becoming a real estate agent.
To answer more questions about being a Real Estate Agent watch my video: My First Year of Earnings as a Real Estate Agent [Numbers Breakdown]
What are The General Requirements To Become a Real Estate Agent?
To become a licensed real estate salesperson or agent, you must meet the following requirements:
1. You must be 18 or 19 years old (depends on the state)
2. Have a legal residence in the United States
3. Complete your pre-licensing education requirements.
4. Pass the real estate licensing test in your state.
How Much Time Does It Take to Get Started as a Real Estate Agent
It takes most people between four and six months to finish the necessary real estate classes and get their real estate license after taking the test. On the other hand, the amount of time necessary to become a real estate agent is impacted by several different elements.
These considerations include whether you take your real estate classes in a classroom setting or online, the state where you acquire your real estate license, and the number of times it takes you to pass the licensing test. But keep in mind that online real estate classes are becoming more popular.
What Can You Do With A Real Estate License?
If you have a license in real estate, you will be able to assist customers with the buying, selling, and renting of real property within your state. This covers residential, commercial, and investment properties and land.
If you wish to lead or supervise other agents out in the field, you may even work your way up to the level of a designated broker, which in most states takes a minimum of four years of experience in the sector.
Is it Right for You to Become a Real Estate Agent?
If you are just starting out as a salesman, you probably won’t have much of a choice in where you work or whose clients’ houses you get to assist. Talking to a local broker or shadowing an established real estate agent is the most effective technique to determine whether or not you would like a career in the real estate industry.
Your decision to work as a real estate agent needs to be determined by the particular career goals you have and the individual skills you bring to the position. It would be best if you were self-accountable, resourceful, and have a strong desire to assist other people for being an agent to be worthwhile for you.
How Much Does It Cost to Get Your Real Estate License and Start Your Career as an Agent?
The cost of getting a real estate license and beginning a career as a real estate agent often ranges from $1,000 to $1,500. This price covers the price of pre-license courses, the cost of taking the licensing test, the cost of activating your license, and the first join fee for your broker.
What Is the Difference Between a Realtor and a Real Estate Broker?
To put it more simply, to become a real estate broker, you must first work as an agent. However, real estate agents are not always the same thing as brokers. To assist their customers in buying, selling, and renting real estate properties, real estate agents are required to earn and have a professional license.
A broker is a real estate professional who must meet certain standards regarding their education, training, and licensing to practice. Brokers may operate independently, but more frequently than not, they employ a group of real estate agents to carry out their business operations.
Congratulations! If you’ve read this far into the article, it implies that you’re already well on your way to a successful real estate agent career.
But you should know that the journey won’t be a walk in the park. You will need to scale and overcome many challenges before you can make it as a super agent. But with dedication and great effort, you can become a successful agent before you know it.