What are the requirements to become a real estate broker? Find out.
Real estate is a big business! Within this industry are several players including real estate brokers. Hence there is so much potential for anyone interested in starting a career in this area.
Are you one of such? If you are, I’m glad to inform you that you’ve come to the right place as we show you how to become a real estate broker. However, before going further, we’d like to advise that you are driven by the right reasons.
Knowing if you are in this for the right reasons involves weighing the pros and cons. As you read through this article, you will be able to identify if a business in real estate is best for you.
How Much Does A Real Estate Agent Earn?
This is one of the basic areas people consider when choosing a career. Moreso, there is a huge earning potential for real estate brokers. This is good news and an incentive to anyone interested.
Putting things into perspective, real estate brokers earn a median annual income of about $46,000.00. Earnings can climb to as high as $100,000.00 depending on experience and training.
How to Become a Real Estate Broker
This is our central focus as we attempt to guide you through the entire process. While discussing the steps involved, we will focus on actions to take in realizing your objective.
Without further ado, we start with the following;
Making Your Findings
This is also known as the research phase.
There are lots of information to find out. Hence, we advise you to begin from the Association of Real Estate License Law Officials ARELLO. This is the agency saddled with regulatory activities within the industry. Tons of useful information is available relating to the requirements for each state. But aren’t there uniform licensing requirements for all states?
No uniform licensing requirements apply to all states. Therefore you’ll need to find out what applies to your state.
i. What to Lookout for
Different states have their licensing requirements. Such include checking for educational qualifications, applicable fees, your age, performing necessary background checks, and more.
By identifying what applies to your state, you are on the right track to achieving your goals.
Preparing for Your Exams
This is one of the steps you need to take to become a real estate broker. This involves taking a course also known as the pre-licensing course. Relevant coursework is taught towards the eventual exams. But before we go further, it is necessary to identify the basic pre-licensing courses.
These include; Real Estate Practice (a 45 credit hour course), Real Estate Principles (45 credit hours), and Legal Aspects of Real Estate (also a 45 credit hour course).
Different types of classes are offered. This is done for the sake of convenience. Not everyone will have the time or chance to attend such classes. Hence you have the option to choose between online classes or physical/brick and mortar classes.
We recommend you choose a course type that fits your schedule.
Writing the Exam
After taking the pre-licensing course, the exam comes next. It is expected that you have sufficiently covered coursework on the above-mentioned courses. Most importantly, you are expected to have registered for the exams.
However, the exam fee is not uniform across all states. Such exams should have an average fee of $300.
Before taking your exams, you are expected to have basic computer knowledge. This is because such exams are computerized. Although exams are administered at the state level, it involves a section on general real estate principles.
This is followed by a section relating to state-focused real estate principles. A passing grade is required for both sections.
Anything short of that will require you to retake the exams.
Become a Member of the National Association of Realtors NAR
Registering for membership of the NAR begins at the local level. This bestows on you the privilege of becoming a member of the state and the national associations.
But how do you go about this? You only need to satisfy some conditions as well as follow certain steps. It all begins with a search! Try checking for information on local realtor associations. around your area.
An alternative approach is by visiting NARs online directory. Here, you will find a wealth of information regarding local realtor associations.
i. NAR Membership Benefits
You are entitled to lots of benefits as a NAR member. That is to say, membership comes with its perks. Have you heard of the Realtors Benefits Program?
To clarify, this is a program you qualify for upon registering as a member. There are lots of benefits available. All of these help to launch your career on the right footing. It is also a necessary step for all real estate brokers.
The Real Estate Brokerage
This is the final step for qualified brokers.
Your entire efforts have been channeled towards getting licensed. Subsequently, you need to practice. Real estate brokerage offers you the opportunity to do so. In addition to that, it also coordinates all transactions.
As a real estate broker, you are paid on a commission basis. That is by the volume of transactions you can attract.
These are essentially the steps required to become a real estate broker. We have covered several aspects relating to preparing and sitting for certification exams. So, what next? You should take action. It’s best to follow these steps serially.
People skills are a basic skill you must have. However, don’t be discouraged if you aren’t sure. This can be developed/honed with time. Have you found this useful? We encourage you to leave feedback if you can!