How to Become a Real Estate Agent
January 12th, 2009 by eCommissionThe process of becoming a real estate agent is fairly simple, although it does vary a lot from state to state. Here are the fundamentals of becoming a real estate agent.
a) License Requirements Each state has different licensing laws, so you will need to look at your local requirements. However, in general you will have to:
-Meet an age requirement -Pass a background check -Complete approved real estate courses from a state-approved school -Pass a state exam -Complete an application form -Submit various fees
Agents just getting their license work for a real estate broker. If you decide at some point to work for yourself, you will need to earn a broker license. Most new agents sign on with one of the large company brokerages. Most successful agents, even if not self-employed, treat the real estate profession as their own business, instead of just a job. This attitude will go a long way to ensuring your success.
b) What is a REALTOR®? Many people are confused about the difference between a real estate agent and a REALTOR®.
A real estate agent becomes a REALTOR® when he or she pays an annual fee to the National Association of REALTORS® and subscribes to its Code of Ethics. The agent joins through the local (city) board or association. Membership in the REALTORS® is optional, but help enhance your career.
c) How much can a real estate agent earn? Real estate agents more often than not are paid on commission. This commission is a percent of the selling price of the property. The seller will generally pay 4-6% of the sales price as the fee for having an agent handle the complex job of selling their property. The funds will often be split equally between the seller’s broker and broker who finds the buyer.
As an example, if the fee for a $300,000 property is 6%, the buyer’s broker will be paid 3% or $9000 and the seller’s broker will also be paid 3% or $9000. The agent is paid by his or her broker, using their agreed-upon commission split. This is often 50-50 for new agents, so in that case the agent in our example would be paid $4500.
So to answer the question, the amount that a real estate agent can earn is only limited by the number of transactions that he or she can close.
Visit Real-Estate-Career-Info.com for requirements for obtaining a real estate license in your state.
by Andre McFayden, Ph.D.
January 14th, 2009 at 1:37 am
Ph.D. ??? You’re kidding right? What is the intent of this article?
Cameron Novak
http://www.MyAgentGateway.com
January 14th, 2009 at 6:05 pm
I think that setting up as a Real Estate Agent right now would be quite tough, but if you can make it work when things are difficult, when the good times return then you should be laughing
January 15th, 2009 at 8:58 am
Nice article.
Personally, I got into the business in 2008, when things started falling apart completely. I wouldn’t say that I waited for this time, but I do feel lucky that I joined when a lot of lazy agents were getting out. I’ve learned a ton in the past year+, and I agree that if you approach it like your own business, then you will find much more success in the long run.
I can’t wait until a couple more years when I’m really doing well, and the market picks back up–who’ll be laughing then?!
January 18th, 2009 at 7:36 pm
According to some business study, real estate sales will be slow this year because of the global economic crisis. Although, the earning on real estate is quite tempting but this year will be not the be year for real estate.
January 19th, 2009 at 12:07 am
I think its a good idea to become a real estate agent when you see how much one can earn, but like any other business you have to work hard in order to achieve anything right, nothing will come easily..
February 5th, 2009 at 9:30 am
Becoming a real estate agent is a fairly easy task. But becoming a GOOD and succesful real estate agent takes time and skill.
Many people think they can just come into the business and make money. But it’s simply not true.
February 18th, 2009 at 8:10 pm
Real estate market is slow now for sure but there are still ways to earn money in this bad bad time. More target the market maybe a good way I think. Recently, I read a useful information on cyberhomesblog.com. Check it out they shared some good tips.
March 17th, 2009 at 8:57 pm
I found your blog on google and read a few of your other posts. I just added you to my delicious. Keep up the good work. Look forward to reading more from you in the future.
March 31st, 2009 at 2:48 pm
Very nice article and the guide is so complete for somebody who plans to go into the real estate market. Thanks for putting this together!
May 8th, 2009 at 4:39 pm
Even though the real estate market is in turmoil right now, I still encourage anyone who is interested in becoming an agent to go for it.
It’s not at all that difficult to get a license. And the pay-off can be huge if you make the right deals and put forth your best effort.
June 19th, 2009 at 2:34 pm
Bowraven,
It isn’t that difficult. If you are going to set up your own agency I could see getting the means to do so might be more difficult now.
July 1st, 2009 at 1:18 pm
I would like to offer a bit of advice to anyone thinking about becoming a real estate agent. Talk to some of the other realtors in your area. Ask some questions about how business is going for them. Depending on your area, it would be good to find out what kind of market you are getting into.
August 21st, 2009 at 10:20 am
I agree with someone who posted before, in this days becoming a real estate agent and living off it is a real problem. The prices of real estate will continue to fall until we are out of this recession. And until then there is hard to find buyers with money that they want to spend on real estate.
In our country the major of our capitol city said in public that people should not buy real estate if they do not really have to. Imagine that..
September 3rd, 2009 at 3:55 am
The way to do it now is to have a solid web pressence (of cource) and make sure you are ahead of the curce .. Oversea’s is D-E-A-D the money now is FSBO and sites dedicated to that for me.
The games changing but as with all business is always stil money to be made if you look correctlt.
Jay ‘Little House’