Thousands of people in America look for ways to become real estate agents every month. Being able to help people find the perfect home or sell their house is exciting. There are many steps that aspiring real estate professionals must take to become successful.
Despite the excitement of becoming a real estate agent, it’s still not as easy as it sounds. According to experts, most new agents fail within their first five years in the industry. This is why it’s essential to consider the risks and rewards of becoming a real estate professional.
Take a Course
In most states, real estate agents are required to take pre-licensing training before they can be allowed to practice their trade. The training requirements vary depending on the jurisdiction. For instance, in Virginia, real estate professionals must take 60 hours of training, while in California, they must take 135.
This course will cover various aspects of real estates, such as determining the value of a property, the legal aspects of the business, and the principles of real estate. You can also learn about licensing requirements and pre-license institutions by visiting the real estate commission’s website.
Pass Your Local Licensing Exam
You can also check the website of your state real estate commission to find out how you can sign up to take the exam. Usually, the exams are split into general principles and federal real estate laws and state-specific laws.
The main subjects of the exams are usually 60 to 100 multiple-choice questions. Some of these include math questions that require students to use a calculator. Many real estate commissions also provide sample tests online.
In some states, about 50% of real estate agents fail the first time they take the exam. The good news is that most people can pass the exam if they take it as often as they want. However, once two years have elapsed, they must retake the course.
Get Started with an Active License
After passing the exam, you must now start engaging with clients by activating your license through your local real estate commission’s website. Depending on the state, the activation fee can range from $200 to $400.
One of the essential steps real estate professionals must take is becoming a member of their local multiple listing service. This allows them to list their properties efficiently and view them on various websites, such as realtor.com.
Look Into Becoming a Realtor
To become a fully licensed real estate professional, you must be a member of the national association of Realtors. This organization has a widely recognized title that licensed agents can only use.
Being a member of the national association of Realtors can also provide you with various benefits, such as access to market data and discounts on education courses. In addition, using the association’s logo on your business card can help boost credibility.
Find a Broker
You must work under a licensed real estate broker to legally practice real estate. These individuals are responsible for overseeing the transactions of real estate professionals. They also ensure that salespeople follow ethical and legal standards.
This safeguard is similar to how stock brokers must work at a licensed firm to trade stocks. Eventually, you might also want to become a real estate broker.
Expect to earn a commission instead of an hourly wage. Most real estate firms pay their agents only once they complete a transaction, which means they won’t receive benefits. Since this is the case, many brokerages are eager to hire new agents because they don’t have to pay any training fees. If you’re interested in becoming a real estate broker, find a firm open to hiring new employees.