Becoming a real estate agent is an attractive career path for individuals seeking flexibility, high earning potential, and the opportunity to help people buy and sell property. Whether you're fresh out of school or looking to change careers, becoming a real estate agent is a well-defined process with clear steps. In this guide, we'll break down exactly how you can become a real estate agent and start your journey in this lucrative field.
Additional reading: What is Ellen DeGeneres' Net Worth
A real estate agent is a licensed professional who helps clients buy, sell, and rent properties. They guide clients through complex real estate transactions, offer advice on pricing, negotiate deals, and help close the sale. Real estate agents typically work on a commission basis, earning a percentage of the sale price of the property. Their income depends on their performance and the number of transactions they complete.
As a real estate agent, you can work with various types of properties, including residential, commercial, and industrial. Many agents choose to specialize in one area, such as luxury homes or commercial properties, allowing them to develop niche expertise and serve a specific clientele.
The path to becoming a real estate agent begins with meeting the educational requirements. Most states in the U.S. do not require a college degree to become a real estate agent, though a high school diploma or equivalent is typically necessary. However, you will need to complete pre-licensing education, which varies by state.
Pre-licensing courses cover essential topics such as real estate law, property management, contracts, financing, and ethical standards. These courses are offered by accredited real estate schools, community colleges, or universities. In many states, you can take the courses online, allowing you to study at your own pace.
The number of hours required for pre-licensing education varies by state. For example:
It's essential to check with your state’s real estate commission for specific education requirements.
Once you've completed your pre-licensing education, the next step is to pass your state's real estate licensing exam. The exam typically consists of two parts: a national section covering general real estate principles and laws, and a state-specific section that covers real estate regulations in your state.
To pass, you'll need a strong understanding of property laws, ethics, real estate contracts, and financing. Many candidates choose to take exam prep courses or practice exams to ensure they’re ready. After passing the exam, you will need to apply for your real estate license through your state’s real estate regulatory agency. The application process typically includes:
As a newly licensed real estate agent, you will need to work under a licensed real estate broker. A broker has additional training and can supervise and mentor agents. Joining a brokerage provides you with a support network, access to resources, and credibility when working with clients.
When choosing a brokerage, consider factors such as:
While you don’t need a degree to become a real estate agent, certain skills are essential for success. Here are some critical skills you'll need to develop:
Your success as a real estate agent will largely depend on your ability to build a network of clients. This is where your marketing skills come in handy. Many agents start by tapping into their personal and professional networks, offering their services to friends, family, and acquaintances. Here are some tips for building a solid client base:
After gaining some experience, you can take steps to advance your career. Consider specializing in a niche, such as luxury real estate, commercial properties, or investment properties. You might also decide to earn additional certifications, such as:
Specializing and earning certifications can make you more attractive to clients and boost your earning potential.
Becoming a real estate agent can open doors to a rewarding and flexible career with plenty of room for growth. Once you’re established in the field, you can explore different real estate niches or even expand your skill set by pursuing further certifications. Real estate isn’t just a career—it’s a pathway to building lasting wealth and connections.
One of the most effective ways to leverage your real estate expertise, or begin building wealth alongside your career, is through real estate investing. Whether you're new to real estate or a seasoned professional, investing in real estate can significantly boost your financial portfolio.
Start investing in real estate today with mogul, where you can access professionally managed real estate projects for as little as $250. Founded by former Goldman Sachs executives, mogul offers investors the opportunity to earn monthly dividends, benefit from property appreciation, and enjoy tax advantages.
Learn more: What is Jennifer Lopez's Net Worth
Disclaimer: The information provided in this guide is for educational purposes only and does not constitute financial, tax, or legal advice. Always consult with a licensed professional before making any financial or investment decisions.