Getting Started: 5 Steps To Get Your Real Estate License
Real estate is and has always been a career line for the risk-takers. It prominently attracts people person(s) who like the thrill of touring properties and meeting a new client every day amongst other things.
In this post, we’ll walk you through every aspect of the real estate licensing journey. You’ll know how you’ve made the right choice by choosing a real estate career, how can you get a real estate license, why you need to join classes from real estate school and a lot more.
Why A Real Estate Career Is Worth All The Hard work!
Apart from the thrill and the zeal of doing things out of the box, there are plenty of reasons why real estate is a millennial-favourite.
There is hefty pay – because, yes, being a real estate agent pays a lot. The median annual wage for real estate brokers was $58,210 in May 2018, according to Bureau of Labor Statistics. The median wage is the wage at which half the workers in an occupation earned more than that amount and half earned less. The highest 10 percent earned more than $163,540 annually.
Flexibility with the schedule is another enticing reason that pulls people. Now, a flexible schedule doesn’t mean that you’ll work only 5-6 hours a day. Trust us, chances are you won’t get time to take a breather if your business kicks off. You might even have to pull a 100 plus hour-week and early mornings on Sundays.
This career line offers a great deal of versatility – you’ll work with different types of people, for different clients, at different locations and time. You won’t be doing the same stuff every day, that’s for sure. Beyond everything, you’ll get to be your own boss. Sounds amazing, doesn’t it?
Plus, the feeling of helping someone out with their life’s biggest achievement. What could be greater than this?
Why Do You Need A Real Estate License
It is a legal requirement. With a real estate license, you’ll be able to legally sell, broker, or rent houses and apartments to prospects on behalf of a real estate brokerage.
There are some personal perks as well. Getting your license means you are now eligible to get a commission from your purchases and sales. It especially helps those starting out with investments and more. Additionally, you get direct access to the MLS system where homes are posted by all brokerage firms.
Lastly, having a proper document with you will help protect you from getting into legal issues and subsequent fines.
5 (Solid) Steps to Become a Real Estate Agent
So, now when you know what you are getting into, it’s time to get to work.
We’ll clear some things first. A real estate license program is not a national process. It’s local and can vary from state to state. You must check out your state’s licensing requirements to ensure you are on the right path. Colorado citizens can check the details here.
However, most states ask for you to take a pre-licensing course from a recognized real estate school – online or regular classroom. Depending on your state’s formal procedures and requirements, it can take anywhere from 3 to 6 months to get a real estate license.
1. Assess Your State’s Licensing Requirements
We suggest you refer your state’s licensing site to analyze specific requirements for real estate license eligibility.
They might differ state-wise for:
-background checks & criminal history
-education requirements (such as a high school diploma or GED)
-exams and exam eligibility
-pre-licensing courses and post-licensing requirement
Basic Eligibility Criteria for Colorado Real Estate Licensure
> Be at least 18 years of age
> Complete 24 hrs of Commission-approved education.
> Must have two years of active experience as an Associate Broker
> Must have passed the state portion of the exam either when you first obtained your license since that time.
> After completion of the education apply for a change in level with the state.
> Real Estate Broker Authority (REC-LA-07-04)
> Note: Upgrading your license will not change your expiration date.
2. Take a Pre-Licensing Course
This one will be common throughout states. The hours might differ, but you’ll have to take real estate license classes or online real estate course.
There are several ways you can complete this criterion – you can sit for classroom courses, opt for convenient online classes, or even take live-streaming classes based on your availability, learning style, and engagement.
The trick is to choose an accredited real estate school that offers a course type of your choice. You might have to pay anywhere between $500 to $1000 based on the school and the courses.
3. Take & Pass the Real Estate License Exam
Next comes taking the actual examination. Good real estate schools guide you through the whole process – from applying to conducting mockup real estate license exam sessions so you can be prepared for the actual day. They will also give you time for real estate exam prep.
The real estate license exam time in Colorado state extends to 3 Hours and 50 Minutes. A total of 154 multiple-choice questions are asked – National Portion (80 Questions) and Colorado and Federal Laws (74 Questions) and you should get 75% or more to pass the examination.
4. File A Real Estate License Application
After you’ve passed the real estate license exam, you’ll have to apply for a license. You’ll be asked to submit your test results, application, and application fees (can cost between $50 to $250 depending on the state). You might even have to go through a background check.
Some states also require Errors and Omissions (E&O) insurance as a part of their application process. You might want to check with your local authority for this.
Once you’ve submitted everything, it might take between 2 weeks to a month to get your real estate license processed.
5. Join a Real Estate Brokerage
The last step on the list is working for a real estate brokerage. Think of it as some type of paid-internship. You’ll work for an established broker who is licensed by the state.
As part of the deal, you’ll be paid a part of the sales as a commission. Tough, still you are starting somewhere.
And yeah, don’t forget to renew your license every 2-3 years based on the state requirements.
Bringing It All Together
Real estate career is a bright career. But, it also demands your full dedication, attention and time. Getting your real estate license is just the beginning. You’ll still have to give your absolute best to your clients and the project in hand.
Are you ready for the challenge? HIRED Schools can help. Get registered for our real estate pre-licensing course today!