What You Should Know When Starting a Career in Real Estate
The real estate industry is booming! Experts say it’s one of the safest investments; claiming it always appreciates in value. So it stands to reason that the people who sell real estate-brokers and agents are always in demand. The field ranges from selling to renting all sorts of properties, plus you meet very interesting people. We’ve compiled some things to keep in mind before starting in this fascinating field.
Real Estate Broker Vs Agent.
The 2 major careers in real estate are broker and agent. A real-estate agent is licenced to advise on buying, selling, or renting properties. For an agent to get licenced, states require them to undergo training. The exact amount of pre-licensing hours training needed vary by state. Once that training is done, you have to sit for a written exam, which is composed of 2 parts. Part one is on federal real estate laws and general real estate principles, while part 2 focuses on state-specific regulations.
Once you pass your exam and become licenced, you earn the title“real estate agent.” You can then join a brokerage firm and work with home buyers, sellers, and renters, or go the independent route and own your own business. The broker requires an educational level beyond the agent level. They are similar to real estate agent exams. The extra courses include topics such as ethics, contracts, taxes, and insurance in more detail than agents’ courses.
Real Estate Agents Make a Good Income
As an agent, your income isn’t limited by an hourly wage., You get paid in commissions as well; which is a percentage of the total sale price. The real estate team at ZenBusiness explains the benefits of starting a real estate business is that you set your own hours, much of it is spent networking, meeting people, and building relationships.
Advantages To Starting Real Estate Business.
As a real estate agent, you get to work for yourself on your own terms. Of course, this comes with a list of perks and disadvantages. The perks include being in control of your firm, or if you’re a freelancer, you get to pick your schedule and make your own decisions. However, this also comes with the responsibility of finding a routine and developing discipline that works for you. With that said, the biggest perk is having limitless potential and making much more money than receiving a fixed paycheck with negligible incentives.
On the flip side, working for yourself can also be overwhelming. You need to understand the market, get to know your clients and what they’re looking for, and of course, most of all, you need to work on marketing your business all by yourself. Alternatively, you can hire your marketing team on a freelance basis if you can afford it.
Checklist To Starting A Successful Real Estate Business
Here is a checklist that should help out:
- Formulate and fine-tune your ideas: you need to play to your strengths while working on your weaknesses.
- Choose a Business Structure: your business has to be registered with the IRS. Choose one with the best legal and tax plan for you.
- Identify your running costs
- Create a catchy name that resonates with people.
- Buy the necessary, and market the hell out of your business.
The real estate market has averaged a yearly growth of 2.6% in the U.S, and amazingly 8.7% growth in 2020. It’s a booming market with tons of room for growth. Getting in now could take your life to a whole new level. Make sure to give our guide a thorough read, and you’ll be ready to start a new career in real estate in no time.