Real Estate can be an exciting career for a person who enjoys working in a fast-paced career, who likes to set their own schedule and who is looking to be their own boss. Getting certified to practice is relatively simple and usually only takes a week or two. Most states require a new Real Estate agent to attend a one to two week licensing course. The course covers laws and regulations for the state in which an applicant intends to practice Real Estate. Once the course is complete, a new agent must then pass a state exam. Once the applicant has passed the state exam, they are eligible to receive their Real Estate license. While the licensing course teaches applicants Real Estate law, it is common knowledge among professionals that the course does not teach new agents the business of Real Estate. The methods and business practices needed to be a successful agent is knowledge that is usually acquired over a period of several months, usually six months to a year, on the job.
Once a person has acquired their Real Estate License, they can then find a broker to work under. New agents are required to work under an experienced broker. Brokers keep records of an agent’s activity and hold tax information. Agents typically work entirely on commission, meaning they do not get a salary from their broker. Real Estate agents receive a percentage of the total purchase price of a home. The percentage they receive depends on a number of factors, including the number of other agents involved in the deal and the commission agreed upon between the seller or buyer and the agent.
Because new Agents will be learning the business during their first six months of work, it is important for them to have a means to support themselves and their family during this period. A new agent, especially one who focuses on selling Real Estate, should not expect to make a profit for at least six months. Purchasing Real estate is a monumental life decision for most people and it can take months for a person to choose to purchase a home. Agents who also focus on Real Estate rentals can expect to make money faster. Agents who focus on rentals can expect to make money within the first two months. However, it should be noted that commission from apartment rental is significantly lower than commission from sales, usually only adding up to a few hundred dollars after taxes. If you intend to make a living from Real Estate rentals, you will need to turn over a very high volume of apartments. If Real Estate sounds like something you would be interested in, you should make the decision to join this exciting industry today.