Real Estate Careers
Is a Real Estate Career Right for Me?
Should you become a real estate agent?
A real estate license opens up a whole world of career possibilities that offers independence, a flexible work schedule, and unlimited earning potential. But a successful real estate career requires preparation, commitment, and hard work. The decision to undertake a career in real estate should not be made lightly.
Take the following quiz:
Here are some of the qualities you should have:
People Skills. A real estate agent wears many different hats. Your day-to-day activities will range from holding an open house to negotiating a sales contract. Regardless of the task, however, it's likely to involve interacting with clients and customers, so good people skills are essential.
Independence. Most real estate agents work as independent contractors. Successful real estate agents are typically self-starters with a willingness to network and to promote themselves. Self-discipline, confidence, and persistence are also useful traits.
Flexibility. Real estate agents need to be available to their clients when it's convenient for the clients, so agents work many evenings and weekends. In return, you have a fair amount of flexibility: you can set your own hours within certain limits and you may even be able to work part-time. However, keep in mind that because you'll be working on a commission basis, your income will depend on how much effort you put into the work.
Computer Skills. Today real estate agents are expected to be moderately computer-literate. They are often expected to enter and update listing information online. Fax machines, cell phones, and the Internet are required tools of the trade.
Financial Commitment. A number of start-up costs are associated with entering the real estate field: tuition for the required real estate prelicensing course, the exam fee, and the license fee. At a minimum, you should have your own vehicle and a cell phone. Other expenses may depend on what broker you go to work for; for example, you may need to have your own computer with Internet access, or there may be one available at your broker's office. Other items to include in your budget are insurance, automobile expenses, and marketing costs.
It’s important to note that a new agent’s income is usually erratic. It's likely to be at least a month or two before you close your first sale, so many brokers recommend that you have savings or an alternative income source to rely on for the first six months of your real estate career.
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Finding a Job/Choosing a Broker
Pick a broker who's right for you.
Unlike most interviews where the job seeker tries to impress the employer, an interview between an agent and a real estate broker is a two-sided process. Not only will the broker be interviewing you, but you will also be interviewing the broker.
In deciding whether to work for a particular broker, you should consider the company’s size and atmosphere, the responsibilities you’ll be required to fulfill, the support services that will be available to you, the expenses that the broker will cover, and the way the commission will be split.
Also, real estate companies differ greatly in how much they monitor your productivity. Some brokers set specific sales goals for their agents to meet and encourage competition among agents. In this type of company, if an agent doesn’t seem to be working hard enough or getting good results, he or she may be let go. Other brokers allow new agents to set their own pace, with the understanding that those who aren’t getting listings or making sales will eventually drop out on their own. In choosing a company, you’ll have to judge whether you’ll thrive in a high-pressure office or do better in a low-key atmosphere.
Typical Daily Activities
Discover what your work day will be like.
It’s a good idea to speak with several experienced real estate agents to get a good feel for what an agent's typical day is like. Many brokerages have weekly or monthly office meetings that are open to the public, and attending a meeting will give you an opportunity to meet and talk to successful agents.
Here is a list of some activities and tasks commonly performed by real estate agents on a regular basis:
- identifying prospective buyers and sellers,
- making listing presentations to prospective sellers,
- performing competitive market analyses,
- showing properties to buyers,
- conducting open houses,
- assisting buyers in obtaining financing,
- negotiating and coordinating sales transactions, and
- renting or managing property.
What to Expect During Your First Year
Be prepared.
Your first year as a real estate agent will require careful planning, budgeting, and lots of hard work. You will have to make contacts and attract clients. You may have to work long hours to develop a clientele. You'll acquire new networking skills and be challenged in many ways to step outside of your comfort zone.
Although you may not be working on a fixed schedule, that doesn’t mean your time will be entirely your own. Since most home buyers and sellers have full-time jobs, real estate activity generally takes place during non-business hours. You may have to work evenings, weekends, and holidays in order to make yourself available when buyers and sellers want you.
If you don’t make a sale right away, don’t be discouraged. Even as a new agent, you will have much to offer your clients. Your professional skills will be current, you’ll have more time to devote to each client’s needs, and you’ll have the benefit of a fresh, enthusiastic perspective. If you keep at it, you’ll eventually be rewarded with a satisfying, flexible, and lucrative career.
To get started on your new career, enroll in your prelicense course today!
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Other Career Opportunities in Real Estate
Check out all the opportunities.
Most real estate licensees are involved primarily in residential real estate, but the real estate industry encompasses much more than simply helping people buy and sell their homes. Even within the field of residential real estate, agents may specialize in certain areas, such as new construction, condominiums, or vacation properties.
Here are some of the career opportunities that real estate training makes possible.
Commercial real estate. Commercial real estate agents assist in the buying, selling, leasing, and management of income-producing properties such as office buildings, retail space, shopping centers, apartment buildings, and industrial parks. Large-scale commercial transactions can involve millions of dollars and months of complicated negotiations.
Property management. Real estate agents may specialize in residential or commercial property management. Property managers are typically responsible for marketing and leasing units, collecting rents, paying operating costs, handling tenant issues, and arranging for maintenance of the building and grounds.
Appraisal. Appraisers provide expert opinions as to the value of property. Appraisals may be required for financing, litigation, investment, or tax purposes. Different appraisal techniques may be used depending on the purpose of the appraisal. An appraiser may work independently, setting his or her own hours, or as a staff appraiser for a lender, real estate brokerage, or insurance company. Some appraisers specialize in either residential or commercial appraisals. Note: State requirements for appraisal certification vary.
Mortgage financing. Mortgage financing involves helping buyers secure the mortgage loans needed to buy property. Mortgage brokers may assist in both residential and commercial transactions.
Land development. Development is typically a complex, multi-step process. A developer may be responsible for land acquisition, coordinating architects and engineers, obtaining permits and financing, supervising construction, and selling or leasing the units within the project.
Urban planning. Urban planning involves working with the government and the community to plan growth in a manner that uses land and municipal resources efficiently, while accommodating the interests and needs of the community. Urban planners may also get involved in urban renewal projects.
Real estate investment. Some experienced real estate agents eventually go into investment counseling, which involves giving advice on investments in real property.
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