What does it take to become a realtor? This is a question that many people have, and the answer can vary depending on who you ask. After all, it is a well-paying and in-demand career.
In this blog post, we will explore the requirements to become a realtor in your state, and provide some tips on getting started in this lucrative career so that you can feel confident whether you are just starting or looking to switch jobs in your decision.
Here are the five steps you need to take to become a realtor in 2022.
How To Become A Realtor?
- Take a Brief Look at Your State’s Requirements
- Complete a Real Estate Pre-licensing Course
- Obtain your license by clearing the licensing exam
- Activate the license
- Stay organized and consider becoming a realtor
The Benefits Of Becoming A Realtor
1. You Can Be Your Own Boss
One of the great things about being a realtor is that you can be your own boss. You’ll have the freedom to set your hours and work as much or as little as you want.
2. You Can Earn A Good Income
Real estate is a commission-based industry, so your earnings potential is unlimited. The more transactions you close, the more money you’ll make.
3. You’ll Get To Help People Achieve Their Goals
As a realtor, you’ll get to help people buy their dream homes or sell their current homes so they can move on to the next stage of their life. It’s rewarding to know that you’ve helped someone achieve their goals.
4. You’ll Learn New Things Every Day
During your work, you’ll learn about different areas of the city, different types of homes, and different features that buyers are looking for. No two days will be alike!
How To Become A Realtor in 5 Steps
Step 1: Take A Brief Look At Your State’s Requirements
Real estate commissions are responsible for ensuring that practitioners in their jurisdiction are qualified to provide services to the public. In order to do this, they have the authority to implement and enforce real estate licensing laws.
Real estate commissions typically require practitioners to complete educational courses and pass an examination before they can be licensed. In addition, commissions have the power to investigate complaints against practitioners and take disciplinary action if necessary.
As a result of these efforts, the public can be confident that they are receiving quality service from qualified real estate professionals.
Step 2: Complete A Real Estate Pre-licensing Course
The pre-licensing course for real estate agents is the second step in becoming a licensed real estate agent. The pre-licensing course can be completed at a school approved by the state.
This course is designed to teach you the basics of real estate law and practice. The course will cover topics such as property rights, contracts, mortgages, and fair housing laws.
There are a lot of different real estate courses out there, but not all of them are created equal. Make sure you’re taking a state-approved course to be sure you’re getting the most accurate and up-to-date information.
The last thing you want is to spend your time and money on a course that will prepare you for something other than the licensing exam. Do your research and only take an approved course from a certified real estate school.
The pre-licensing course can be completed online or in person at state-approved real estate schools.
The cost of the pre-licensing course will vary depending on the provider and length of the course. But it is usually around $250-$300.
Step 3: Obtain Your License by Clearing the Licensing Exam
The process of studying for the exam can be gratifying in itself. You will learn a lot about the real estate industry and gain valuable knowledge that you can use in your career.
Upon completion of the course, you need to pass a state-administered examination. The licensing exam ensures that individuals have the knowledge and skills necessary to perform the duties of a real estate professional.
The exam is in a multiple-choice format that includes questions regarding federal real estate laws and regulations, contract law, real estate finance, and property management.
You will need to fill out an application and provide the necessary documents, such as your proof of identity before you can register.
Once you have passed the real estate exam, you will be eligible to apply for a real estate license.
Step 4: Activating the License
Now that you have passed the real estate license exam and obtained your license, you are ready to begin practicing as a real estate professional!
After finding a sponsoring broker, you will need to activate your license by applying to your real estate commission’s website. This typically involves submitting paperwork and paying a fee.
Once your application is approved, you’ll be issued a license number that you can use to start practicing real estate.
Of course, you’ll need to renew your license periodically in order to keep it active. But as long as you stay on top of the paperwork, you shouldn’t have any trouble keeping your real estate license active and in good standing.
Step 5: Stay Organized and Consider Becoming a Realtor
The National Association of Realtors (NAR) is the largest professional association for real estate agents in the United States. One of the most important benefits is the ability to use the exclusive “REALTOR” designation.
This designation tells potential clients that you’re a professional who upholds the highest ethical standards in the industry.
If you’re considering becoming a real estate agent, taking the time to become a member of NAR is a great way to show your commitment to your career.
Not only will it give you access to valuable resources and oversee real estate transactions, but it will also show clients that you’re serious about your profession.
License Reciprocity and License Recognition
For anyone looking to become a realtor in a new state, license reciprocity is a great option.
Basically, if you already have an active real estate license in one state, you can apply for a license in your new state without having to retake all the state-required pre-licensing courses. This can save you a lot of time and money and makes becoming a realtor much easier.
In order to take advantage of license reciprocity, you’ll need to meet all the requirements for becoming a realtor in your new state, including passing any exams that may be required.
But if you’re already a licensed realtor in good standing, then becoming licensed in another state should be a breeze.
National Association of Realtors Code of Ethics
The NAR code of ethics is divided into three overarching sections: “Duties to Clients and Customers,” “Duties to the Public,” and “Duties to REALTORS.”
Under these duties, REALTORS are expected to act in their client’s best interests, maintain confidentiality, disclose all known material facts, commit to fair housing and nondiscrimination and be honest in their dealings with fellow real estate professionals.
By adhering to these standards, REALTORS uphold public trust and encourage confidence in the real estate industry.
Some General Tips To Follow
Find A Mentor
Find a broker who will mentor and support you as you start your career.
Schedule meetings with a few different brokers. This will give you an opportunity to get to know them better and see if they’re a good fit for you. Be sure to ask lots of questions so that you can make an informed decision.
Choosing a broker is important, but it doesn’t have to be overwhelming especially in the earlier stages of your real estate career.
Get Involved In Your Local Real Estate Community
Volunteer at events, join industry groups and networking organizations and introduce yourself to as many people as possible. The more connected you are, the easier it will be to build a clientele
Why do realtors quit?
Many people choose to become realtors because they want the flexibility to work their own hours and be their own boss. However, this also means they are responsible for their success or failure.
There are many factors that can contribute to a realtor’s decision to quit. Some of the most common reasons include lack of leads, lack of business, lower real estate transactions, stress, burnout, and too much competition in the real estate business.
Other reasons may include changes in the economy or personal circumstances that make it difficult to continue working as a real estate agent.
Becoming a realtor is a great way to start or grow your career in the real estate industry.
By following the steps on how to become a realtor that we’ve outlined in this article, you’ll be on your way to becoming a successful and ethical sales agent.
We wish you the best of luck as you embark on this new journey!