If you’re thinking of becoming a realtor, there are a few things you need to consider. Whether you’re a first-time homebuyer or you’re considering becoming a realtor, it’s important to understand the process and what’s involved. Before making the leap into the real estate world, here are some things to consider.
What is a realtor?
A realtor can help you buy, sell or rent a home. Real estate professionals work with people who want to sell their homes and help them find buyers. They also represent the interests of sellers during contract negotiations and handle all other paperwork involved in selling a property.
Real estate agents also work with buyers who are looking for properties and help them find ones that meet their needs. A realtor’s main job is to provide accurate details about local housing market conditions so that an informed decision can be made on whether to buy, sell or rent a home.
Realtors need excellent customer service skills as they will deal with several different people from around the world at any one time depending on where they’re located and who they’re representing.
How much can you earn?
As with any career, earnings vary depending on experience and the area you work in. Some realtors who run their own businesses might spend their time showing homes or dealing with clients, so they don’t have to pay a big salary. Others, however, could see more lucrative salaries of $60,000 to $90,000 per year if they’re working as managers for large companies.
Now you know about real estate as a career, let’s look in detail at what it takes to become a top-quality realtor.
Have you got the training?
To become a real estate agent, you will need to complete some form of education. Although requirements vary by state, most require around 75 hours of classroom instruction.
You can find formal courses at community colleges and universities that offer courses in real estate law or business administration with a concentration in real estate. You might also find training through professional associations like the National Association of Realtors (NAR).
The NAR states that most realtors have completed some college coursework, but it’s not required. If you have a four-year degree, it will give you an advantage in the job market because you can show that you’re serious about your career.
There’s no one way to become a realtor and most employers look for people who are outgoing, love working with others, and have strong communication skills. Any kind of experience in sales or business might be useful when applying for a position, plus any previous relevant work experience such as being a hotel receptionist.
Some people gain their first exposure to working in the industry as assistants to experienced agents before getting licensed themselves. That way, they see what the job entails before jumping into it headfirst.
Have you got the experience?
No matter what level of education you have, most states require that you must be experienced in real estate before becoming a licensed agent. You need to spend several years learning the business and gaining experience as an assistant first.
As part of your experience requirements, some states also require you to complete courses on state and federal laws governing real estate transactions and post-licensing instruction on contractual forms. Other regulatory agencies may require additional hours or formal training as well.
Have you got the right tools for the job?
To run your own real estate business, you need to invest in some equipment. Most of this is easily available at a relatively low cost. Take, for example, digital floorplans. These visual guides can be a sales tool as they help potential buyers to visualize their potential properties. Technology such as this is indispensable in modern real estate, so it’s important that you brush up on what is needed and how much it all costs.
Have you got the reputation?
This is perhaps one of the most important aspects when it comes to becoming a realtor.
Your reputation in the industry will determine how likely you are to make money and sell properties. It’s important that you build up your network and become well-known for your good work ethic and ethical values. You can do this by networking with other professionals in the business; social media is an easy way to establish connections and increase exposure in your local area.
Have you got the connections?
To find new clients, you’ll need to network. You will be able to do this at local fairs and events. This can be personally rewarding as it’s nice being able to help people out with something they desperately want or need.
Another great way of expanding your network is by working with other realtors who specialize in the same area as yourself so that you both have more potential buyers to work with each month.
Have you got the right mindset?
Although making money is important, it shouldn’t be your main focus when considering a career as a realtor. If you have an interest in helping others and working with people every day, this could be a great choice for you. People who work in real estate tend to enjoy their job as they get to meet new people every day. However, if you aren’t particularly extroverted or don’t like dealing with clients on a regular basis, then maybe look into another career path that doesn’t involve such close interaction.
Have you got the capital?
You will need to be able to pay the fees and taxes involved in obtaining your realtor’s license and running a business. Fees vary by state, but it’s possible for you to set up a real estate company on your own if you want to cut down on costs. However, this is not recommended as it can lead to ethical issues such as spying on competitors without their knowledge or putting pressure on owners to sell properties at certain prices.
By doing your research and checking out all the options available to you, it’s possible to find a good match between education, experience, equipment, reputation, and connections. This will increase your chances of success in this challenging but rewarding industry. Making that first sale is very exciting; we hope that you get to experience it soon.