Six Simple Steps

Interning in a real estate office has been a new experience for me. I am learning about what the agents in my office do and how they do it. However, I found myself wondering, how did they become a real estate agent? Did they wake up one morning and say to themselves, “I think I will sell houses today.” I was clueless to the process of becoming an agent. I am almost positive you are too. I asked around and did a little research and narrowed it down to Six Simple Steps.

Step One: Get Educated!
You may need to take notes, so bring pens, pencils and a note pad! You must take pre-licensing courses, no matter what state you live in. In order to obtain your Sales License in New York, you need to complete the 75 hour salesperson licensing course. (Don’t worry, it goes by quick and can be done online) You do not need to have any previous sales experience to become a salesperson, nor are there any prior education requirements. However if you do, it will help you.
(Requirements and courses are different in each state; you need to make sure you are taking the correct one!)

Step Two: Select a Brokerage

What is a Brokerage? A real estate brokerage is the agency or office from which real estate agents and brokers work. Since working with a broker is a requirement in order to practice as a real estate agent, you will need to contact a broker before finishing your training course. Brokers have at least three years additional real estate training, and can guide you through questions you have when it comes to working in the field, as well as listing and selling homes. 
How does one choose a broker? You can go online to The National Association of Real Estate Brokers and find one near you. (www.nareb.com)

Step Three: Can I see your license?

Real estate licenses require the passing of a state exam. Also, you may have to provide a criminal background check. Between the exam and license fees for a real estate salesperson, you can expect to pay at least $200. This may be different depending on what state you live in. (Exam cost is $15.00 each time you take it. You can take it as many times as you need too! License fee is $50 for two years.)

Step Four: $AVE!

Becoming a real estate agent isn't cheap. Start up fees are estimated up to $2,000. ($570 for Long Island Board of Realtors; class is $325.00+ textbook is optional.) This money goes to licensing courses, business cards, signs and advertising, association fees, and the possibility of more exam fees. This is cheaper than one semester as a full time student at a community college. Think of it as an investment in your future. Since real estate is a commission-based business, you'll also need enough money set aside for you to get by for a few months. These are ballpark figures of actual costs because they can vary based on individual choices and state costs. Basically, $AVE!

Step Five: Join the NAR (not to be confused with the NRA)
In order to use the title, "realtor," you must join the National Association of Realtors (NAR). This is done by choosing an affiliated brokerage. Also, on Long Island you must join the Long Island Board of Realtors. (LIBOR) Each region has its own local board.
As a member of the National Association of Realtors® you have access to a wide array of benefits, business tools, real estate market data, educational opportunities, and discount programs designed to help you succeed in today's market. (For more information, go to http://www.realtor.org/member-benefits/value-of-membership)

Step Six:  Networking

The best way to build your portfolio is to get a mentor, and use your personal network. Barbara Kennon, the vice president of the National Association of Realtors says, “The best arrangement for a new agent is to find a mentor in the real estate agency you choose who guides you towards buyer/seller contacts and splits commission. You'll learn the profession from your mentor, while gaining your first commission checks.” Also, asking your friends and family for referrals of people who are considering buying or selling a home is a great way to begin networking. Someone is always looking for a new home, and that referral may get you started in your new business.

To me, becoming a real estate agent is similar to starting a small business. Even though you'll work within a brokerage of established realtors or real estate agents, you need a start up fund for business expenses and to cover several months of personal expenses while you build your client base. The average agent takes two years to show a profit, but it is well worth the wait. Take every step seriously, and you'll have your first "sold" sign up in no time.