How to become a Realtor

How to become a Florida Lic Realtor. Helping people to buy their dream home or selling their house is exciting!

Still, buying and selling real estate isn't as easy as it might seem. The Real Estate industry is a tough and competitive industry and not only for newbies. An estimated number of up to 90% of newly lic real estate agents fail within the first five years.

Before you become serious of joining the real estate industry carefully weigh the risks and rewards of joining the real estate profession.

How much do real estate agents earn?

Real Estate can be a lucrative profession.

Regarding to bureau of Labor Statistics in 2015, real estate agents make an average of $ 45,000 per year and the top 10 % of agents earn approximately $ 165,000 per year.    

Real Estate agents can make lots of money, but the process isn’t easy.  

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Step 1 - The pre-licensing course.

Florida requires people to take pre-licensing classes from a certified real estate school before they can take the real estate state exam. The required number of training hours for the Florida sales associate class / pre license class takes 63 hours.

The class will teach you real estate principles & terms like what is a lien, escrow etc., real estate practices like how to determine property values, and not to forget the legal aspects of the business including the penalties, if a licensee violates real estate ethics or laws. Yes, as a real estate agent you will have ethics standards and you will have to obey your lic. requirements and laws. Go to the Florida Real Estate Commissioners website to find information on licensing requirements.

Pre-licensing courses can be taken in person or online. Before signing up for a class consider your learning abilities.  Some people focus better in a classroom, others prefer to learn online.

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‍Step 2 - Take the licensing exam

Revisit your state real estate commission's website for instructions on how to sign up to take the state licensing exam. The real estate exam is typically divided in to sections. One section on federal real estate laws & general real estate principles, the second on Florida State Laws. The exam typically consists of multiple-choice questions, including math questions that require you to use a calculator to calculate prorating taxes for a specific property, converting sq-ft in to acres etc.  

Will you pass the State Exam? In Florida and average of 50% fail the first time. The bright side is. you can take the exam as often as you want over a two-year period, as long as your pay the fees every time you retake the exam. If you don’t pass the state exam during the 2year period, you have to retake the pre-licensing course.

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Step 3 – Activate your real estate agent license

You passed the exam, what now?

Activate your license through your state real estate commission's website. You are responsible for paying the activation fees. Activation fees may vary.

Step 4 - Becoming a Realtor®

Join your areas Realtor Board. Pay for membership to the local multiple listing service. Membership in your local MLS is essential, since you must use the system to list properties, or search properties for potential buyer’s. The service also enables you to easily pull property tax information, analyze market trends, and see new listings hitting the market. Costs vary greatly and depending on your area board. Call your local Realtor Board to find out about membership pricing.

In order to become a full-fledged Realtor®, a licensed real estate agent with the ability to use the “Realtor” designation need to be a member of the National Association of Realtors®. No exceptions.

The NAR Membership offers a number of benefits, including access to real estate market data, education classes and transaction management services. Last but not least allowing the use of the “Realtor” designation.

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Step 5 - Join a Real Estate Brokerage

In order to become a real estate agent and legally practice real estate, you must work under a Florida Lic. Real Estate Broker. Brokers are licensed by the state to oversee real estate transactions and ensure that real estate sales person like you are adhering to the required legal & ethical standards. Eventually, you could also apply for a license to become a real estate broker as well, but you will first to take the 45 hours post license class and get a few years experienced as a sales person. Then you can consider taking the 72 hour brokers lic. class. Again, you need to take another state exam and to pass in order to become a broker.    

Again, how much do real estate agents earn?  

Don't expect to collect an hourly salary. Real estate brokers pay their agents only by commission. Clearly, you get paid only when you complete a transaction as a buyer’s and/or seller’s agent. Will you receive benefits? Typical you won't receive any benefits.

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