‘How do you become a real estate agent’ has no straightforward answer.
If you are looking for a way into this real estate profession, you must have a full grasp of the nature of the job and what it takes to succeed in this career. Whether you have just graduated from college or are thinking about a new career move, a real estate career might be cut out for you. For one, to become a real estate agent requires a license, specific to each state. There is no one-for-all real estate license because each state demands its own regulations and law to practice real estate. With all this said, every career has its own demands, perks, and day-to-day mundane work, and it is important to know what you are getting yourself into before you make the big jump.
Related: Why Real Estate Is Among the Best Long Term Investments in the US at the Moment
Is Real Estate What You Really Want to Do?
Before asking ‘how do you become a real estate agent’, one should understand a real estate agent’s job description and the responsibilities and competencies one must possess in order to succeed in this real estate career. Acquiring the right education is not the issue, but whether you have the passion and the drive to succeed in this real estate profession is a much more important question to ask yourself.
To build a long-term career in real estate, you are essentially starting a business and working for yourself. Sure, you will be working with a brokerage firm, but at the end of the day you have to build your real estate networks and hustle your way to close deals and gain expertise in the field. This may include: prospecting leads, developing relationships, marketing yourself, managing contracts, dealing with property buyers and property sellers, attending events such as real estate open houses and seminars, taking further real estate courses, etc. A real estate agent knows how to sell and close deals; he/she understands people and is good with words and market him/herself very well. Good real estate agents know how to communicate and understand the importance of developing interpersonal relationships with their clients. A good word of mouth goes a long way.
In order to become a real estate agent, we advise you to reach out to local real estate agents and brokers to learn more about this real estate profession before you delve in deeper. Again, real estate is full on commitment, it is all in or nothing.
The Responsibilities of a Real Estate Agent
To become a real estate agent, one must;
- Assist property sellers and property buyers in marketing and purchasing real estate property at the right time, in the right location, for the right price.
- Understand client’s needs and preferences to find the best real estate deals for them.
- Communicate with clients regarding real estate market conditions, prices, mortgages, legal requirements.
- Conduct comparative market analysis to estimate properties’ value.
- Market real estate properties to possible buyers.
- Prepare legal paperwork, i.e., contracts.
- Manage real estate open houses as well as property auctions/exchanges.
- Maintain and update listings of available properties.
- Cooperate with appraisers, lenders, and home inspectors.
- Build real estate networks which includes real estate attorneys, mortgage lenders, and contractors.
- Promote sales through advertisements, open houses, and listing services.
- Keep up to date with real estate market trends and best practices
Related: Is the current housing market in the US a seller’s market or a buyer’s market?
General Requirements to Become a Real Estate Agent
1. Be above the age of 18 years old. In order to qualify and become a real estate agent, you have to be at least 18 years of age.
2. Be a legal US residence. No explanation needed here.
3. Get educated
To become a real estate agent, one must complete pre-licensing courses, as per the state’s requirements. For specific licensing requirements, contact your state’s real estate commission. To take it up a notch, some real estate agencies might even require additional education, so be prepared to take on additional real estate courses after getting the job.
4. Get licensed
Simply put, you must pass the real estate license exam for the state you want to work in to become a real estate agent. But beware, becoming a real estate agent is no free lunch; it will cost you to enroll in real estate courses, take the license exam, and pay license fees. Expect to pay around $300 or more, depending on the state you want to work in.
4. Choose a brokerage
To become a real estate agent, you are required to work with a real estate brokerage firm to practice the profession. A real estate agent cannot operate on his/her own and must work under a real estate broker in turn. Our advice to you is to contact a real estate broker before graduating from your training course. Be proactive because it might take time to find the right brokerage to push your real estate career in the right direction. Do not settle for any brokerage firm, make sure you select a reputable firm with experienced real estate professionals. Ask your neighbors and friends for any recommendations.
6. Build a client database
As you already know, real estate is a commission-based business, and if you do not have a solid client base, you will not succeed as a real estate agent. Our advice to you is to find a real estate mentor in the early stages and start building your personal network. Having a mentor gives you guidance and direction which will speed up your learning process when you have someone experienced by your side. Ask your family and friends for referrals, there is always someone looking to buy or sell real estate.
Conclusion
To become a real estate agent, you must understand the demands of the job and what it requires to succeed. It is a competitive business, and everyone is looking for a way in but not everyone succeeds. A real estate agent is essentially a sales person, so if you have the negotiation and communication skills necessary, you can make it with the right persistence and determination.
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