There are three questions I’m asked all the time and THE most asked is:
Should I become a Real Estate Agent?
First I’d like to address why you’re asking this?
Next what does it take on your part to become an agent?
What are the Advantages and the Drawbacks when you become an agent?
Then of course what are the other two questions.
Why you’d be asking about becoming a Real Estate Agent:
*Maybe you’ve been impressed by an agent?
The few that have impressed me go beyond the Agent requirements. They’re familiar with all the other connections that must be made to complete a transaction.
and by the way the usual Flow of a Real Estate transaction is:
A home owner selects a Real Estate Broker to represent them.
The Listing Broker places the Listing of the Property (all the pertinent details) on the MLS (multiple Listing Service).
All the other Real Estate Brokers that have access to the MLS then see that Listing and bring it to the attention of their Buyers.
When a Buyer sees a property they’re interested in, they make an offer either through their Buyer Agent or directly to the Listing Broker. There is a misconception here to some Buyers about the commission. Commissions are usually 5-6% and set by the Seller with their Listing Broker. This commission is paid no matter whether a Buyer Agent is used or if only a Seller/Listing Agent is used.
So should a Buyer use a Buyer Agent? Only if the Buyer Agent will actually “work” with you! That means they’ll send you regular Listings of Property that’s For Sale in a Price Range (assuming you’ve been financially PreQualified by a Lender) and in an Area you’re interested in. A Buyer Agent should also be available at least 8 hours a day, evenings and weekends. After all most residential Real Estate is viewed evenings and weekends. Comps should also be sent at your request on a regular basis to help you justify an offer. “Comps” are Comparable recently SOLD properties
* Maybe you think it’s a lucrative field and in turn a Profession that could sustain your lifestyle?
The advantage to becoming a residential Real Estate Agent is that you can work it Full Time (up to 8 hours a day, evenings and weekends), Part Time (when you feel like working) or when it fits your current business (should you decide to Buy or Sell your own property) However it is a Business and a Profession and the more Smart time you put into it the more money you’ll make!
* Maybe you’d like to enhance your current Real Estate Investing or Landlording business?
Does seeing property the minute it’s placed on that MLS give you the idea you’re at an advantage? How about the fact that you’ll be receiving a commission on the Buy or Sell that you’re transacting? Also there’s the access to “Comps” anytime, night or day that you’re interested.
MLS on the way out? We’ll see what a bite Trulia and Zillow can take out of that restrictive access MLS!
(part 2 on the way…) However It’ll be your good fortune to meet Susan Barry who’s consistently maintained THE best Real Estate Broker school in NH on May 27, 2015 in Nashua! She’s also bringing a couple of her MOST successful students.
Mike Hurney is the Founder and Director of MassRealEstate.net, an Association of Contractors, Investors and Landlords. He is the Author and Coach of the popular Course "How to Become a Real Estate Investor in 12 Easy Lessons" which Trains and Guides Beginners or Sharpens and Challenges the Skill of Advanced Investors. Mike is a Successful Real Estate Investor, Rehabber and Landlord. He's also a Licensed Mortgage Broker and Construction Supervisor.