Real Estate

How to get your exciting real estate license and what does it offer?

First, to obtain your real estate license, you will need to take a 63-hour pre-license course. Many online educational sites offer this and it can be done from the comfort of your home. If you’re more of a class person, your local community college might offer the course. When taken in a real class, the course may take 4-6 weeks due to its scheduling. Online classes that you can do at your own pace. So if you want, you can do the whole course in one week.

Below are some requirements for the state of Florida to obtain its real estate license

General requirements:

You must be 18 years old, have a high school diploma or GED to obtain your real estate license.

Educational requirements:

Complete the 63-hour pre-licensing course and pass.

Exam and application requirements:

Submit a completed real estate license application, submit your fingerprints, and pay associated fees.

Pass the Florida Real Estate Sales Associate state exam with at least a score of 75 points out of 100 points or pass the Florida Real Estate Law exam with a score of 30 points out of 40 points.

· Activate your license with a real estate broker using the appropriate DBPR forms or your broker can activate it online.

These are the basic steps required to obtain your Florida real estate license. Getting your real estate license sounds easy and, to a degree, it is. However, the exam and the amount of study should not be taken lightly. I would recommend looking online a bit more before deciding on a real estate license. If you want to make a career change, it’s definitely cool.

So how do you really get started in real estate and what does it offer?

First of all, of course, once you’ve obtained your license, activate it with a broker. This is where you have to decide which path you want in real estate. Different companies offer different options, divisions, rates, training, etc. Take for example:

Property Management: It is best to search for local property management companies. There are also national property management companies that you can join. Once you join them, throughout your time in this field, you will gain knowledge and experience in all legal aspects of property management. There are many, from how to evict a tenant to how to post notices on their door and within what time frames. Property management is hard work and rewarding at the same time. Many agents are leaning towards this field due to the constant stream of monthly income. Others don’t want to deal with renter headaches. For example, if you manage 150 units and have an average call rate of 10%, that would be 15 different problems to deal with during that month. These can range from non-working air conditioning units to plumbing problems; tenants locked out of their homes and in need of access, to tenants who disturb other neighbors. One of the positives that means that 135 units will not cause any problems. On average, the management companies charge about 10% of the monthly rent to the owners (all companies and the state are different), in return, you as an agent could get a percentage of that. Since all companies offer different payments, let’s just average the company’s monthly income. Let’s say 150 units rented for $ 1000 each month, which would be 10% of $ 1000, which is $ 100 X 150 units ‘equals’ $ 15K of monthly income. Now you see the stable income that I mentioned earlier.

Luxury Real Estate – This is also a very nice niche once you get your license. There are pros and cons as with Property Management. When we talk about luxury real estate, we are talking about homes from 1M onwards. The obvious benefit of this is the amount of money you make on each transaction. For example, a 1 million sale with a 3% commission gives you an income of 30 thousand, now subtract your splits with your broker, let’s say an 80/20 split, the agent would receive a commission of $ 24 thousand, make it 4 times a year and you are at 96 thousand. Not bad to go to a 65-hour course prior to obtaining the license. Let’s point out the downsides. It is not as easy as it seems or how it is seen on television. This market is more of a referral-based market. You can definitely do it without reference, but at some point, you must have those buyers or sellers in your sphere. The cost to reach this price range is very expensive up front. We are talking about a marketing campaign in the range of 4k to 5k per month at least in advertising within those areas. After a few months of campaigning, you may get a few calls from sellers or buyers. There’s a lot more to mailing, it needs to be done the right way. So it takes a lot of investment to start over in that price range.

Real Estate Agent: The two previous paths do not seem to everyone, I would say that 90% of agents go the traditional Real Estate Agent path. This path, in a sense, also leads to the previous two. As you are in the field, you will learn from other agents, property managers, etc. The reason so many agents opt for the traditional real estate agent is due to their training and perhaps faster earning of income. If you put in the effort, you can earn income in as little as 30 days, while property management and luxury real estate take their time getting the business started. The downsides to this path is the amount of training, start-up, and hard work that you will have to put in up front due to inexperience and mistakes you will make before you have a steady, stable income (whatever is stable for you). Agents generally earn 3% of the amount of the home sale. Example, house of 200K, the commission would be 6K, let’s take the same division as before 80/20, the agent receives $ 4,800 X 1 a month X 12, the agent would earn $ 57,600 a year. Not bad. Keep in mind that some, most, or most real estate companies charge a transaction fee, desk fee, annual fee, etc.

All in all, the way forward to obtain your Real Estate Licenses is entirely up to you. Keep in mind that what you choose will require hard work, countless hours of training, and possibly work on Saturdays and Sundays. All of these have their pros and cons. There is much more to each of these than what I described and you should do more research if you want a career in real estate.

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