Becoming a real estate agent is a promising career for people who love challenges and look for opportunities to build assets. It has some unique advantages such as people can work according to their convenience, no limit on the earnings of a smart real estate agent, always demanding and never-ending industry, etc.
Though people can become agents without real estate license, it is always good to take it before starting the agent services. In such cases, they do not want to use someone else license or wait for their schedule. Also, licensed agents can work independently after gaining sufficient experience or start ventures based on real estate industry.
Essential Information Regarding Licensing
There is some basic information everyone should know about real estate licensing before applying for the course. There are separate licensing for each state, and people who wanted to serve in a particular state have to complete the real estate licensing course and exam of that state. Interestingly, each state has its regulations and hence different syllabus. The education period for each state differs, and the minimum period is for Indiana which is 40 hours, but Colorado needs 168 hours. People should check the local regulations for more information.
The agents of one state can become an agent of other states after spending significant time working as a licensed agent (mostly two years) in the home state, and then, by writing a state specific portion exam of the state. While all states require a minimum age of 18 years, Illinois needs 21 years. Some states even demand high school graduation, while others agree with the 10th grade.
Getting into the Coursework
The real estate coursework of each state covers state-specific laws and national laws general to all states. Additionally, it teaches contracts, real estate law, current legal issues, trust accounts and book-keeping, real estate closings, practical applications, etc. People can either learn the courses online or choose the classroom training according to their choice.
Working people would find online course preferable, and others can choose the exposure of direct learning. In either way, it teaches the basics of becoming a real estate broker and their day-to-day life.
Choose a Brokerage Firm
All aspirants should choose a real estate broker or brokerage firm while they are taking the coursework. During the initial years, all the new licensed agents work under more experienced brokers, and those brokers supervise the activities of new entrants into the real estate and are responsible for their actions. The managing broker would teach the work environment to the new licensees, and it is crucial to complete the initial transition.
The aspirants should choose the brokerage according to the additional training opportunities, better exposure, and support. Additionally, they can also filter according to the fee percentage, commission splits, options of mentoring, the requirement of being on the floor, etc.
After completing the coursework, there are two exams which are focusing state-specific laws and another at the national level. There is a year allowed to complete the exams after the coursework. The questions are based on real time situations and would check the understanding and knowledge of concepts. Every candidate should follow the practice sets and be familiar with possible questions format.
There is a background check process mandatory before issuing the license by the Real Estate Commission. Felony convictions related to housing like theft and embezzlement are considered as a disqualifier by REC.
Apply for the License
After passing the exam, the candidates should apply for the license with proof of passing coursework, a sign from the employing broker, and applicable Errors & Omissions Insurance. If REC cleared any felony convictions, submit those waivers as well. REC check all the details and documents, issues the license, and informs the employing broker once approved. People who are without any employing broker should wait until there is one to get the license activated, though they get the approval.