How to Become a Real Estate Agent

Real estate agents must have a passion for homes and a desire to help others find their dream home or property. Don’t be discouraged if you don’t have a background in real estate or education in related fields because we have all the answers you need in this article. Step out of your comfort zone and explore the possibility of a fulfilling career in real estate in this article!

5 Easy Steps To Becoming a Real Estate Agent

Many aspiring realtors often wonder, “Do I need a degree to become a Real Estate Agent?” Well, you typically do not need a degree to become a real estate agent in the United States. Unlike many traditional professions that require a college degree, becoming a real estate agent involves completing specific education requirements, passing a licensing exam, and meeting other state-specific criteria.

However, it is relevant if job seekers still choose to pursue an associate’s or bachelor’s degree in finance, business administration, or related fields. Choosing any of these programs can make all the difference in the job market–as some real estate agent job descriptions make having a degree a requirement.

Regardless, the conventional steps to becoming a real estate agent are as follows:

Choose a State-Approved Online Provider

Start by selecting a state-approved education provider that offers pre-licensing courses for real estate agents. Ensure that the provider is recognized and accepted by your state’s real estate regulatory authority.

Complete Pre-Licensing Education

Enroll in the pre-licensing course and complete the required number of hours of education as mandated by your state. The duration and content of the course may vary based on state requirements.

Take and Pass the Licensing Exam

After completing the pre-licensing education, you will be eligible to take the real estate licensing exam. The exam is usually administered by a testing center approved by your state. Once you pass the exam, you can proceed with the next steps in obtaining your real estate license.

Submit License Application and Other Requirements

Following the successful completion of the exam, submit your license application and fulfill any additional state-specific requirements, such as background checks or fingerprinting.

Affiliate with a Real Estate Brokerage

Upon obtaining your license, you will need to affiliate with a licensed real estate brokerage to legally practice as a real estate agent. Many brokerages also offer online onboarding and training for newly licensed agents.

A Suitable Profile for Real Estate Agents—Expert or Beginner

Becoming a successful real estate agent takes more than having a silver tongue and flashing a charming smile. Neither is it about attending an Ivy League school nor becoming a master of calculus. You just need to have the right profile to back it up—it’s all about having the perfect mix of education, experience, and most importantly, license(s). A degree in business or finance can definitely give you a leg up in the game, but don’t underestimate the value of hands-on experience either.

Thus, whether you’re a fresh-faced graduate or a seasoned veteran looking to switch careers, remember that a suitable profile for a real estate agent is all about finding the right balance between book smarts and street smarts.

Examples of Real Estate Licenses in the United States

A real estate license is an official authorization granted by a state’s regulatory authority, typically a real estate commission or board, that allows individuals to legally engage in real estate-related activities within that state. Holding a real estate license is a requirement for individuals who want to work as real estate agents, brokers, or other professionals in the real estate industry. Examples include:

• Real Estate Salesperson License
• Real Estate Broker License
• Real Estate Appraiser License
• Property Manager License

Why Obtaining a License is Important for a Real Estate Agent

Becoming a licensed real estate agent ensures that you have the necessary knowledge and training to properly guide your clients through the buying and selling process. From staying up-to-date on market trends to mastering legal jargon, licensed agents are equipped to handle any situation thrown at them. So, if you want to ensure a seamless experience for your clients, obtaining a license is an absolute must for these other reasons:

• Legal Requirement: In most states in the United States, it is illegal to practice as a real estate agent without a valid license. Real estate transactions involve significant financial and legal implications, and licensing ensures that agents have met the necessary education and competency standards to protect the public interest.
• Credibility and Professionalism: Having a license adds credibility to a real estate agent’s profile. It demonstrates that they have completed the required education, passed a state-administered exam, and met other licensing criteria. Clients are more likely to trust and work with licensed agents because it assures them of the agent’s professionalism and commitment to the profession.
• Legal Protection: A licensed real estate agent has a better understanding of state laws and regulations governing real estate transactions. This knowledge helps them navigate legal complexities, minimize potential liabilities, and protect their clients’ interests throughout the buying or selling process.
• Access to MLS and Real Estate Associations: Many Multiple Listing Services (MLS) and real estate associations only allow licensed agents to access and list properties on their platforms. MLS access is vital for agents as it provides a comprehensive database of properties for sale, facilitating efficient property searches for clients.
• Client Confidence: License requirements often include ethical and professional conduct standards. Clients feel more confident working with licensed agents, knowing that they are held accountable to uphold these standards.
• Market Knowledge and Expertise: The education and training required for licensing provide real estate agents with essential market knowledge, negotiation skills, and an understanding of real estate principles. This expertise allows them to provide valuable advice and assistance to clients throughout the buying or selling process.
• Networking and Professional Development: Licensing often requires agents to complete continuing education courses to maintain their licenses. These courses help agents stay updated with industry trends, legal changes, and best practices, contributing to their professional development and ability to serve clients effectively.
• Access to Exclusive Opportunities: Some real estate opportunities may only be available to licensed agents. For example, developers, banks, and institutions often prefer to work with licensed agents for their real estate transactions.

How Long Does it Take to Become a Licensed Real Estate Agent?

Getting a real estate license is a fulfilling process that allows you to help people find the perfect property for their needs. The time it takes to get licensed in real estate varies, but on average, it takes about three to six months. Before that, you are required to gain pre-license education, entailing 40 to 150 hours plus of formal education. Other factors that can affect the timeline include:

• State’s licensing requirements.
• Your availability to complete the necessary steps.
• The speed of processing by the state regulatory authority.

If you are eager to become a real estate agent, you should know some states allow you to apply for a license from as young as 19 years old! So, go ahead, take that leap of faith and start the journey towards becoming a licensed real estate agent.

Real Estate Agent License Costs

On average, real estate agent license costs range from anywhere around US$400 to US$2,000 for pre-licensing education and testing, plus an application fee and background check, depending on the state and education provider. It’s essential to research the specific licensing requirements and associated costs in your state to plan your budget accordingly. A breakdown of the costs looks like this:

• Pre-Licensing Education: The cost of pre-licensing education can vary depending on the state and the education provider you choose. Pre-licensing courses may range from a few hundred to several hundred dollars. Some states may require specific course packages that include textbooks and study materials.
• Licensing Exam Fees: The licensing exam fee is another important cost. Exam fees typically range from $50 to $200, depending on the state.
• License Application Fee: After passing the licensing exam, you’ll need to apply for a real estate license with your state’s regulatory authority. Application fees vary by state and can range from $100 to $300.
• Background Check Fee: Some states require a background check as part of the licensing process. The background check fee may be an additional expense, typically around $25 to $50.
• Brokerage Fees (if applicable): If you choose to affiliate with a real estate brokerage, there may be costs associated with joining the brokerage. These costs can include desk fees, transaction fees, and commission splits, which can vary widely depending on the brokerage.
• Continuing Education (if applicable): Some states have continuing education requirements for maintaining a real estate license. Continuing education courses may incur additional costs, and the fees depend on the number of required hours and the education provider.

Can I become a Real Estate Agent through online education?

Indeed, you can become a real estate agent through online education in many states in the United States. Online pre-licensing courses are widely available and offer a flexible and convenient option for aspiring agents to complete the required education.

You can start by selecting a state-approved online education provider that offers pre-licensing courses for real estate agents. No more boring textbooks, no more endless lectures– just quality courses that will prepare you for your real estate agent license exam. Ensure that the provider is recognized and accepted by your state’s real estate regulatory authority.

8 Credible Websites for Realtors to Supplement Learning

• National Association of Realtors: The official website of NAR offers a wealth of resources for real estate agents, including industry news, market research, legal updates, and professional development opportunities.
• Realtor.com for Professionals: Realtor.com offers a dedicated section for real estate professionals, providing access to listing tools, marketing resources, and industry insights.
• Realtors Property Resource: RPR is a comprehensive property database available to NAR members, providing data, reports, and analytics to assist agents in their market analysis.
• Inman: Inman is a leading real estate news and information platform that provides valuable insights, industry analysis, and educational articles for real estate professionals.
• Colibri Real Estate: Colibri Real Estate offers online pre-licensing courses and continuing education for real estate agents looking to obtain or renew their licenses.
• Trulia for Professionals: Trulia offers a platform for real estate agents to manage their listings, respond to leads, and access market insights.
• Kaplan Real Estate Education: Kaplan provides a variety of real estate courses, including exam prep materials, continuing education, and professional development resources.
• REALTOR® University: REALTOR® University offers online courses and webinars on various real estate topics, helping agents stay informed and knowledgeable.

What Skills Will I Learn as a Real Estate Agent?

Sure, you need to have people skills and a knack for sales, but there’s more to it than that. As a real estate agent, you’ll learn how to navigate the complex world of contracts and negotiation like a seasoned pirate navigating uncharted waters. You’ll also need to brush up on your math skills so you can calculate costs and commissions faster than a calculator.

Likewise, the power of persuasion–you’ll become a master of the art of convincing people that there’s no place like home. So, if you’re up for the challenge of being a real estate agent, get ready to add these unique skills to your repertoire:

• Communication Skills: You will enhance your ability to effectively communicate with clients, understand their needs, and convey information about properties and market conditions clearly and professionally.
• Negotiation Skills: Real estate agents often negotiate deals on behalf of their clients, so you will learn how to negotiate terms, price, and conditions to achieve the best possible outcomes for buyers and sellers.
• Marketing and Advertising: You will learn to create effective marketing strategies to promote properties for sale, using various channels such as online listings, social media, and traditional advertising methods.
• Client Relationship Management: Real estate agents build and maintain relationships with clients, so you will develop skills in providing exceptional customer service and earning client trust and loyalty.
• Market Analysis: You will learn to analyze local real estate market trends, property values, and market conditions to help clients make informed decisions.
• Contracts and Paperwork: Real estate transactions involve extensive paperwork, so you will become proficient in preparing and managing contracts, disclosures, and other legal documents.
• Time Management: Real estate agents often handle multiple clients and properties simultaneously, so you will develop time management skills to prioritize tasks and meet deadlines.
• Problem-Solving: You will learn to identify and address challenges that may arise during real estate transactions, finding creative solutions to meet clients’ needs.
• Technology and Software: Real estate agents use various software and tools for listing management, client communication, and market research, so you will become tech-savvy and proficient in using these resources.
• Ethics and Professionalism: You will learn about real estate industry ethics and professional conduct, understanding the importance of upholding high ethical standards in all interactions.
• Property Presentation and Staging: For residential real estate, you may learn about property presentation and staging techniques to enhance the appeal of listed homes.
• Financial Analysis: For investment properties, you will gain skills in financial analysis, including calculating returns on investment, cash flow, and property valuation.
• Adaptability: Real estate markets can be dynamic, so you will learn to adapt to changing conditions, client preferences, and industry trends.

8 Recognized Real Estate Agent Internship Opportunities

Another element to add to your profile is an internship. It’s never a bad idea to take advantage of internship opportunities when you’re building your career as a real estate agent. Not only do they give you a chance to gain hands-on experience, but they also add a little extra oomph to your resume. Jumpstart your career by discovering the perfect internship for you here:

• Real Estate Brokerage Internship: Interning with a real estate brokerage allows individuals to work closely with licensed agents and brokers, gaining practical knowledge about property transactions, client interactions, and market analysis.
• Property Management Internship: In a property management internship, individuals get to assist property managers with tasks like tenant relations, property maintenance, lease management, and financial analysis.
• Real Estate Marketing Internship: Real estate marketing internships focus on marketing and promoting properties. Interns may be involved in creating marketing materials, managing social media accounts, and developing online marketing strategies.
• Real Estate Investment Internship: Real estate investment internships offer exposure to the investment side of the industry. Interns may assist with property research, financial analysis, and investment strategy development.
• Real Estate Development Internship: Interning with a real estate development company allows individuals to learn about the process of planning, constructing, and managing real estate projects.
• Real Estate Research Internship: Real estate research internships involve analyzing market trends, gathering data, and conducting market research for brokerage firms or real estate consulting companies.
• Commercial Real Estate Internship: Interning in the commercial real estate sector provides insights into leasing, property management, and transactions involving commercial properties like office buildings, retail centers, and industrial spaces.
• Residential Real Estate Internship: Residential real estate internships focus on residential property transactions, including working with buyers and sellers, conducting property showings, and assisting with paperwork.

Uncovering the Work-Life Balance Dynamic for Real Estate Agents

One minute, you might be showing a client their dream home, and the next, you’re finalizing a contract at 11 pm. Do not despair because, with a little bit of creativity and some intentional scheduling, a work-life balance can be achieved. Take advantage of technology to work from home or while on the go, and set boundaries with clients to ensure that you have time for your personal life.

Also, don’t forget to treat yourself to a spa day or a weekend getaway every once in a while. Implement these tips to live a balanced life between work and personal hours. Trust us, your clients will appreciate a refreshed and rejuvenated agent even more. Here are some other things to consider:

• Flexible Schedule: Real estate agents often have the advantage of setting their own schedules to some extent. This flexibility can allow agents to balance work with personal commitments and family time.
• Varied Work Hours: While flexibility is a benefit, real estate transactions don’t always conform to a 9-to-5 schedule. Agents may need to be available during evenings, weekends, and holidays to accommodate clients’ schedules and attend property showings.
• Busy and Slow Periods: Real estate markets can experience busy seasons when transactions are more frequent and slow periods when activity decreases. During busy times, agents may find themselves working long hours to meet client demands.
• Client Availability: Real estate agents need to be responsive to their clients’ needs, which may include answering calls, texts, and emails outside of traditional working hours.
• Time Management: Successful agents often develop strong time management skills to balance client interactions, property research, marketing, administrative tasks, and personal time.
• Work from Anywhere: With the advent of technology, many tasks can be performed remotely. Agents can work from home, their office, or even while traveling.
• Maintaining Boundaries: To achieve a healthy work-life balance, real estate agents need to establish boundaries. This could mean designating certain hours for work and personal time and communicating those boundaries to clients.
• Taking Breaks: While the real estate profession can be demanding, it’s essential to take breaks and vacations to recharge and avoid burnout.
• Self-Care: Prioritizing self-care, including exercise, hobbies, and downtime, is crucial for maintaining a healthy work-life balance.

Achieving a work-life balance in real estate requires ongoing adjustments and compromises. There will be periods when work demands more time, but finding equilibrium is possible with careful planning and setting realistic expectations.