StartUpsBecoming a real estate agent is one of the most popular career choices for Americans. The industry offers a stable income, good job satisfaction, and extraordinary flexibility.
Despite the economy’s current ebb and flow, people continue to buy homes and sell businesses or apartments. So, is now a good time to enroll in real estate license courses?
1. Flexibility
Real estate is a lucrative career that offers a variety of benefits, including flexible hours and a good income. However, it can also be stressful and challenging. In addition, becoming a real estate agent requires significant upfront financial and time investments. So, before you quit your job to become a real estate agent, make sure that you have savings to manage living expenses in the interim.
Having money to cover your bills can help you during slow periods or when you’re working on building your client list or brokerage firm. You may also need to invest in services such as listing photography or done-for-you marketing. That’s why many agents recommend saving up before you begin your real estate training. It can take a while to build a strong client base and get to a point where you’re making the money that you want. It can be easy to lose sight of your goals when you’re not seeing the results you want right away.
2. Secondary Income
Real estate agents require upfront monetary and time investments to get started. From training and licensing fees to broker costs and marketing expenses, new agents may face hefty bills even before earning a commission check.
It’s also not uncommon for new agents to take six months or more before they start making the kind of income they want. This is especially true for those entering into a more competitive or high-priced market.
Considering that, it’s important to evaluate your financial situation before deciding on a career change. If you’re living paycheck to paycheck, consider starting this journey on a part-time basis or saving strategically so that you have a cushion to fall back on during slower periods.
Despite these challenges, becoming a real estate agent can be a rewarding career for those willing to put in the work. It’s a profession that can pay off for years to come, and offers a flexible schedule with the potential to expand.
3. Business Expansion
Despite the hype surrounding real estate as a great career, it’s not for everyone. It’s a business that requires you to constantly generate your own leads, market yourself, and manage client relationships. It’s also highly competitive. You need to work hard and stay up-to-date on market trends, regulations, and industry news to maintain a competitive advantage.
You’ll also need to build a network of colleagues and mentors within the real estate industry to support you as you begin your career. Choose your brokerage carefully based on commission structure, culture, and possible mentorships. Consider joining a national franchise, a smaller local company, or even a virtual brokerage.
4. Flexibility
Real estate agents have a lot of flexibility, but they also have to work a lot. It’s common for new agents to spend their first year working a minimum of 60 hours per week, and even more than that during busy times.
In order to get into the real estate business, you’ll need to complete pre-licensing coursework (ranging from 40 to 150+ hours) and pass your state exam. Then you’ll need to pay your broker fees and marketing expenses.
Despite these upfront costs, many agents are still able to make six figures or more. And as the housing market continues to recover, you can continue to build your business and expand into commercial real estate if that’s what appeals to you. But, as always, you’ll need to be patient and focus on the long-term. Investing in your education and cultivating strong relationships will help you be successful regardless of market conditions. Just be sure to prepare for tumultuous times by having enough savings to live off of before you start making money.
