Whether you’re planning to start a new career or looking to get involved with real estate as a side hustle making some extra money, getting started isn’t as hard as you may think.
Like most businesses, starting can be challenging, especially if you don’t know what to do or what you can expect.
Real estate can be extremely lucrative as a career or side hustle, and in 2021, “how to become a real estate agent” was the most job-related search term in America.
Because of popular shows like “Million Dollar Listing” and “Fixer Upper” and others, people think that real estate is lucrative and easy.
But unfortunately, while working as a real estate agent or broker can be fulfilling and financially rewarding, it can be challenging.
A successful career in real estate requires constantly drumming up a new business, promoting yourself, understanding local market trends, tracking leads, handling complex paperwork, and providing outstanding customer service.
Also, in most states, real estate agents work on a commission-only basis, so there are times that you may end up working without a guaranteed paycheck.
If you’re curious about a career in real estate, there are a few things that you need to know. First, before you jump headfirst, ask yourself if you’re willing to do the work to help others achieve their dreams and ask, is real estate the right choice for you?
Is A Real Estate Career The Right Choice For You?
Becoming a real estate agent or broker is relatively easy compared to other careers with similar earnings potential.
Real estate is a good career choice if you enjoy helping people and seeing others succeed in achieving their dreams.
There are tons of other perks as well.
For example, you get to be your own boss, and decide how much you want to work, view many different types of homes, meet interesting new people, and help them navigate through the largest purchase they will probably ever make.
A career in real estate isn’t for everyone. Success takes hard work and dedication, but getting started is relatively straightforward.
Do Your Research
Before you jump into the world of real estate, you need to do some research. Talk with others in the industry and see what they like and dislike about their careers.
Become familiar with the local housing market and talk to high producers to see their strategies to attract clients. Additionally, learn about different types of properties and their corresponding returns on investment (ROI) so that you can help potential clients when the opportunity comes up.
The point is to talk with as many people in the business as possible to get a well-rounded idea about the industry before you make the leap.
Once you decide that real estate is something you want to pursue either as a career or part-time gig, there are some steps you need to take in order to be working in real estate.
Get Educated
Unlike other career options, in most cases, real estate doesn’t require a much higher level of education than high school or the equivalent.
There is no national test or licensing that is handled by your state’s regulatory commission for real estate. Contact your state board to see what qualifications are required. In general, you’ll need to do the following;
- Age verification
- Criminal history, if any
- Take and pass an accredited real estate course
- Take and pass your licensing exam
- Stay up-to-date with continuing education requirements
- Join your local real estate board and MLS
- Select a broker to hang your license under
Most states will require that to become an agent, you must take accredited classes of approximately 100+ hours, pass the coursework, and schedule a licensing exam.
Your class work will focus on two components of real estate.
Those two are the federal laws governing real estate and state laws and regulations for licensed agents.
Once you’ve completed your coursework, you will need to schedule a test date. Your test is online, but you will be required to take it in person and will be comprised of multiple-choice answers focusing on two different subject matters: state and federal.
You will need to pass both sections to be licensed, and if you fail one or both sections, you will be able to do a retest later. Every state has different rules regarding retesting. Some states have deadlines for the retest, so check with your state’s regulatory commission to be clear of all the rules.
Pay Your Fees And Dues
You’ll need to join your local MLS and real estate board, which costs money. These services provide you with marketing, contracts, and market trend data that is only for active agents.
Choose Your Broker
Once you pass your exam and pay your fees and dues, you’ll want to interview at a few different brokerages to find the best fit for you. Some brokers focus only on promoting their experienced agents and aren’t interested in helping new agents learn and grow. In contrast, others provide plenty of opportunities for all their agents to grow in their careers.
Also, when you’re interviewing brokers, there are a few questions to ask, such as;
- Commission split
- Continuing education
- Support for agents
- Lead generation and marketing strategies
- Office and desk requirements, if any
Once you decide on your broker, ask yourself if you want to be a solo agent or a team member. Being a solo agent means that all aspects of building your business fall on your shoulders, from lead generation to marketing, writing and negotiating contracts, and more.
But as a team member, you can pool your resources and talents with the other members, which is an excellent way to accelerate your business as a newbie.
Find A Mentor
As you start your real estate career, there are many things you don’t know. For example, how to write your first offer and have a request for repairs on a septic tank can be confusing and overwhelming.
What you want to do is to find a mentor and hire a coach that can help you accelerate your learning, develop and refine your systems, help you outline your goals, and maximize your opportunities.
Mentors are typically more experienced agents who can advise how they failed and succeeded in the industry. In addition, they can provide insights and systems to make your business more efficient and, via connections, help you meet new people to network.
A coach is someone that you hire to help guide you and work with you on your goals. Often, a coach is a person that will show you various systems and more efficient ways of doing things, as well as someone to help make you accountable for your goals.
Lead Generation And Marketing
As a real estate agent, finding clients is central to your success. After all, without buyers and sellers, there won’t be any transactions, and since you don’t get paid without a transaction, you won’t be able to make any money.
So the number one thing you need to focus your attention on with your business is your marketing and lead generation strategies.
Ask yourself, are you comfortable selling yourself?
Are you willing to drum up business with family, friends, neighbors, and other social contacts?
What are you most comfortable doing to get your services out there and in front of people?
Answering those questions will help you strategize and plan your marketing plans for lead generation.
When planning your marketing and lead generation strategies, you have plenty of options available to you.
But as you’re starting, you want to be sure that you can set a budget for your marketing and get good returns for any money you spend.
One easy way that doesn’t cost a ton is to build contacts and generate leads through your sphere of influence (SOI). Your SOI is all the people that you already know and who trust you, including your:
- Family
- Friends
- Neighbors
- Classmates
- Business associates
- Other social contacts
You will want to develop a strategy that makes you top-of-mind when a person is ready to buy or sell or they talk with somebody that is looking for an agent.
You'll want to make phone calls, send out emails and snail mail, or text messages to stay in front of other agents so when the time is right, you’re the first name that comes to mind.
Social Media
Finding the right platform, whether it’s paid ads, emails, snail mail, phone calls, or video, that you are most comfortable in and can produce content for, is what you need to decide.
Social media is a great way to interact with your SOI to generate business.
With social media, you can promote your services and engage with others on the platforms your clients are already using. The trick is not to be pushy about it, though.
Don’t go promoting your business with every post. Your business pages should be about things of interest to potential clients. Your personal pages are another great way to attract business.
On your personal pages, think about a general rule for every 9 posts you have that are personal, 1 can be promoting your business services. This 1/10 rule is excellent for almost every platform, also.
That said, I like one medium more than any other: video text.
Video Texts
One of the ways I found that works the best is to do video texts. Video texts are a simple and personal way to check in on your sphere without being pushy.
Here’s what you do;
Take your phone and record a 1-minute video saying something like, “Hey, I’ve been thinking about you. I hope your birthday/holidays/whatever was good for you and everyone is doing well. Take care.”
The key is not to try and sell your services; that is something you promote elsewhere. Video texts are simple little ways to say hello without being salesy but help keep you in your SOI’s mind.
Because most people buy, sell, or rent property at some point in their lives, everyone you meet may be a client someday.
Focus On Community Networking Opportunities
Building relationships with others should be a primary focus when entering real estate as a career. You will want to build in-person as well as expand your presence online. Learning how to connect yourself with potential buyers and sellers through networking opportunities is a good strategy for growing your business quickly.
And one of the best ways to do this is by becoming more involved in your community. Think about joining community programs that give back, such as the local Rotary Club or other philanthropic organizations with which you can be proud to associate yourself and your business.
Other community networking opportunities include;
- Main street organizations
- Chamber of Commerce
- Community action committees
- Local school boards
- Charitable organizations
- Sponsoring local youth activities
The goal isn’t to promote your services but to have your brand and name in front of people so that you’re top-of-mind as a local real estate agent.
Getting started in real estate is relatively easy compared to similar careers. There are some requirements, such as education and testing, but the biggest hurdle is learning how to market your services to be successful.
Real estate is an excellent profession for people that like to help others achieve their dreams and to make a decent income at the same time. Being your own boss means you get to set your work hours, but when things aren’t going well, nobody is there to help but yourself.
Successful agents know the market well, have a list of people in their SOI that they can rely on, have created several systems and processes, and have someone they can trust for information and guidance when needed.
Often those people rely on a coach or mentor who has the experience to help them through a challenge so they can focus on helping others and growing their brand.
