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Everything You Need to Know About Becoming a Real Estate Agent

In 2019, there were almost six million homes sold in the US, according to the National Association of Realtors. With the population rising, it's expected that these numbers will continue to grow. So, with all these houses, there is always going to be jobs available for real estate agents.

However, while it can seem like a great career to get into, there are a lot of different things you need to think about. You need to gain experience, pass exams, and be prepared that you won't be making the big bucks right away.

If you want to learn more about what it takes to become a real estate agent, then keep on reading! We are going to be discussing all the different aspects. From the average salary to all the different skills that are required.

Let's get started!

The Job

A real estate agent's role is to assist people who want to buy, sell or rent a property. They help by connecting potential buyers and sellers together so that both parties get the outcome they desire. The difference between a realtor and a real estate agent is that a realtor is a member of the National Association of Realtors (NAR) and must comply with a strict code of ethics.

Listing agents are those that set prices, stage homes, and market the property through different channels. They also negotiate sales and other fees per the interests of the buyer/seller. Buyers agents help individuals find the right property through their unique requirements. They arrange inspections, home appraisals and also negotiate terms.

The Requirements

The requirements for becoming an agent vary from state to state. For example, getting a real estate license in NY is different than in Texas. However, there are a few general rules that are followed by most areas. These include being over the age of 18, being a legal resident of the US, completing a background check, and getting the required education. To find out what you need, make sure you do some research in advance. A quick google check should do the trick!

The Skills

To become a successful real estate agent, there are some skills that will definitely come in handy. Here are a few that you should look into improving:

Communication: Without a doubt, communication is one of the most critical skills for agents to have. You need to be able to go back and forth between sellers and answer questions in a timely manner. Alongside this, you need to be able to convince and negotiate between both parties.

Local Knowledge: Depending on where you aim to work, having a good idea of the local area can help establish your reputation as an agent. You'll develop a clearer understanding of home values and know where the best neighborhoods are to suit your client's needs.

Integrity: When working in the industry, being honest is extremely important. The minute you do something unethical, your entire career can be ruined in an instant. When closing deals, keep in mind that you want to have great testimonials, so stay moral and always speak the truth.

Persistence: Following up on your clients and leads may seem like a hassle but is essential in real estate. The longer you leave things, the less likely you are to close a sale. You need to be able to stay motivated, remain persistent and be proactive. It really will make a big difference if you wish to achieve success.

The Exams

In order to become a real estate agent, you need to take a minimum hour of education courses through an approved organization. This can vary from state to state; however, keep in mind that the more you do, the better off you will be.

Once you've completed your courses, you can then move on to completing your license exam. This will cover all of the primary responsibilities of an agent, including the things we discussed above. Your state will set a minimum score to pass the test. However, you should be able to retake it if you fail.

The Income

In 2020, according to BLS data, the average annual wage for a real estate agent sat at $62,060. However, this is one career that is extremely hard to pinpoint. Experience, commissions, and your own work/life balance all impact the income you generate. Think of it like this. The more work you do to establish yourself, the more money you can potentially make.

The Broker

Once passing your exam, you need to work under an experienced broker before setting up your own firm. Most traditional brokerages will place you on a team to gain experience, but there are other non-traditional options that allow you to work independently on a specific task.

When choosing the right company, make sure you look into the workplace culture, commission fees, niche, and reputation. You want somewhere that will help you flourish so that you can get the best training possible.

The Preparations

Starting off as a new real estate agent is challenging. Individuals are looking for someone to help them choose the right property, and without much experience, you may find it difficult at first. This means that you need to have the appropriate funds to get started before you start full-time. Some brokerages might offer a salary rather than commission, which can be a better option for your first few years.

Final Thoughts

And that's it! This was everything you need to know about becoming a real estate agent. It certainly may seem like a lot of work, but if you enjoy working with people and have an interest in the property market, it can be a rewarding career with room for growth. You just have to be prepared to establish yourself first.

Not too sure if this is the right choice for you? Other careers such as a property analyst, investor, marketing manager, builder, and property valuer are just some of the other best-paid jobs in this sector.

This article does not necessarily reflect the opinions of the editors or management of EconoTimes

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