The word realtor comes from the Latin reale, which means seller or proprietor, and commodus, which means useful or valuable. In modern times, realtors are professionals that enjoy making money through business relationships.
The first people to use the term were not professional real estate agents but instead individuals who acted as brokers for sellers and buyers. These individuals would represent both parties’ interests in order to earn their paychecks!
Since then, the role of realtor has grown. Nowadays, most states require licensing as a broker, so official certification is available. Some even go as far to say that being a realtor is just about branding yourself with the RE/ALEC (Real Estate Agency License) logo!
While this may sound like an exaggeration, it does play a large part in why realtors have such a strong brand. People trust the name realtor because we must by law hold ourselves out as experts in selling and buying homes.
Start a business
Starting your own business is an incredible way to make money. There are countless ways to get started as a entrepreneur, but most start by choosing a product or service that you can produce and sell well.
The products and services must be profitable so that you can reinvest in more production of them. For example, if your business is selling books, you would have to pay for printing costs which cannot be recouped with the price of the book.
There are many ways to go about starting a business, and not all of them require large amounts of capital. Some people begin their businesses through social media sites or crowd-funding websites where they appeal to others to contribute to their project.
Another option is to start your own website or shop online using free resources available via the internet. By offering your services through these mediums, you give yourself wider exposure, which could lead to more clients.
Fund a business plan
The second way to get your realtor license is by funding a business plan. This is not necessary for getting your broker’s license, but it is helpful in establishing you as an expert in the field.
Business plans are typically two pages long, at least. They can be quite the eye-opener if you are looking to make changes or fix things in your current career path.
Page one should address what the business will do, who the business will do it for, and any limitations or weaknesses of current leadership. It also looks into how much money the business has gathered and where they want to invest their capital.
These types of documents help show potential employers that you have thought about the profession and what it takes to succeed in it.
Open a brokerage firm
As we mentioned before, being an agent is a tough job. There are so many different ways to be a real estate professional! With technology moving at such a lightning speed these days, there are new ways to get into the industry every day.
Most people start their career as renters, then eventually they’ll want to own a home one day. So how do you become a homeowner? By opening your own real estate company!
With the right amount of capital, you can launch your business with just that. A lot of professionals begin by buying or renting a pre-existing office space, then adding onto it to create your space.
This is what most ‘brokerage firms’ do — buy a room from another agency and make it theirs.
Apply for a license
As of February 2020, there is no longer an exam to take in order to become licensed as a real estate agent. However, you will still need to apply for your license through the state board that handles licenses for agents. Some states have separate boards that handle either residential or commercial brokers, while others have one board that covers both.
The process varies from state to state, but most require you to prove your business experience, educational background, and proof of professional certification. Once all this information has been verified, then the state board will review your application and determine if you are eligible to take the next step towards becoming an agent.
This can range anywhere from having lunch with members of the board to being interviewed by them so they can get a feel for you.
Choose your location
As mentioned earlier, there is no formal way to become an real estate agent unless you are already licensed as one. This means that you will need to make sure you meet all of the requirements in your state or province before you can take the next step.
Most states require students to go through at least part of a broker’s program before being allowed to use the REALTOR™ designation. These programs typically cost anywhere from several thousand dollars up to many thousands more per year!
Students who want to keep their costs down may choose to look into becoming an associate realtor instead. An associate re-seller (ASR) is able to work under a licensed broker but they are not permitted to sell properties themselves. They are also given less power than brokers which could hurt their career prospects later on.
There are some countries like Israel where it is completely free to be an professional real estate agent. All you have to do is pass a licensing exam and agree to represent only sellers or buyers depending on what position you reach within the industry.
Choose your team
As we mentioned before, being an agent is a lot of things to a lot of people. Some use it as a way to make money, while others use it to serve God and help others achieve their real estate goals.
Whatever you choose to do with your career, don’t fall in love with it!
We are always aware of how much power we have when we go into a situation as a seller or buyer, but what about the person who hired us? What if they didn’t hire someone effective because they wanted to keep up appearances?
What if they don’t trust our ability to handle something important to them? If these situations arise, then you will need to be able to walk away. You can’t work for someone who doesn’t give you respect and rewards that you deserve.
Look at the agents around you and determine which ones seem to enjoy what they do and get good results. Find out why they succeed and learn from those lessons.
You could also talk to other professionals directly instead of just through sources such as social media or word-of-mouth. People often know of colleagues in similar professions so ask around to find out more information.
Conduct your marketing
As we mentioned before, starting your real estate career with the right agency is key to having success. The more you know about the agent’s business model, the better able you will be to choose the best fit for you as an Agent.
Some agencies focus heavily on bringing in new clients through referrals, while others may emphasize selling pre-owned properties or even buying a house and renovating it.
The most successful Agents are those who combine all of these strategies along with providing top quality service so that their customers keep coming back!
By being familiar with every aspect of the agents’ business, you can decide if this type of Agency is a good match for you. If it is, great! But if not, at least you wasted some time learning something important.
Know your customers
As a real estate agent, you will need to know who your clients are before advancing as an agent. It is important to be familiar with their needs, goals, and expectations so that you can effectively serve them.
It’s also crucial to understand what makes each individual client tick in order to keep them coming back!
As a seller’s agent or buyer’s agent, you will be representing one side of the sale or purchase, respectively. This means there will be times when they feel like they have reached their goal, and then you show them something new on the other side that seems more attractive than what they already have.
This could make them feel bad about themselves, or even motivate them to change course completely.
If this happens, try talking to them about how they can shift their mind-set towards feeling positive instead of negative. Also, ask if there is anything specific that was not working for them and why.