Congratulations! So you’ve successfully passed your real estate licensing exams, now what? Perhaps you’ve dreamt of being a high profile real estate agent in your community, an industry expert, and one who sells more homes than anyone else in the area. Or maybe you wanted to get your license to flip homes and save on the real estate commissions. Whatever your situation is you still have a few more few steps to complete before you can call yourself a real estate agent and start selling homes.
Note: each state has very specific qualifications to get your real estate license and you should get familiar with your own state’s requirements. You can do so by clicking on your state in the map provided here.
In general however, most states require at least the following:
1. Completion of a standardize real estate salespersons application
2. Completion of a criminal background check
3. Submission of appropriate state fees
But you didn’t go through all that hassle just to be able to get your real estate license did you? I didn’t think so. With those items out of the way its on to what I view as possibly the most important decision you’ll make in your early career.
Choosing a real estate brokerage.
You may have already made your decision about which broker you are going to hang your license with and that’s great. For those who haven’t, below is a list of the items I believe to be the most important to consider before making a decision. It’s also important to remember that becoming a real estate agent means you are now going to be self-employed and as a result will be paying for all your own taxes and most likely any equipment and services you need yourself. This is a great benefit to the broker because you essentially do not cost them anything and in fact will be “paying” them to be a agent in their office through a “commission split” when you sell a house.
1. Commission split – How much of the overall commission earned on a real estate sale do you get to keep as a percentage of the sales prices.
2. Reputation of the brokerage How are they viewed in the community and by other brokerages.
3. Facilities & Resources – What type of office space and technology is available to you.
4. Training – Training will be huge for you in the beginning. What does the brokerage you’re considering offer?
5. Culture – Essentially I look at culture as how well you think you’ll fit in with the firm and its agents. Not all offices are the same and it’s important that you feel comfortable and your broker is invested in your success.
6. Mentorship – One of the great ways to ensure a new agent’s success is to offer a mentorship program. Not all offices do this but the ones that do retain agents and usually outperform their counterparts who do not have this incentive.
Side note: If you haven’t done so already, request your free copy of my New Agent eBook that will help you get a head start on having success selling real estate. In it you’ll learn how to:
- Choose the right brokerage,
- Get organized,
- How to get money coming in ASAP and,
- How to build and manage your business the smart way so that you can have a long career in real estate.
You’ll want to interview a number of real estate brokerages before making a decision. Notice I didn’t say “interview at” in the previous sentence. This is because I firmly believe you will be the one making the decision of which agency you’ll be working at, not the other way around. You need to find the best overall fit based on the criteria listed above and any additional ones you feel are important.
If you had previously decided where you will be hanging your license, many states have you list the broker on your real estate license application. If you had not made that decision at the time of application you will hang your license with the state and then submit transfer paperwork once you know you’ll work. Make sure you submit the transfer paperwork promptly, some states only give you 10 days once a change has become effective.
I hope this article has been helpful. Please feel free to leave a comment below with questions or feedback.