How To Become A Real Estate Broker
Real estate brokers guides and assists their clients during their most crucial process of real estate concerns. Real estate brokering is a profitable career, as well as it also offers flexible working hours. But it isn’t easy to become a real estate broker.
Broker plays a role on behalf of both seller and buyer and provides different services to them. That is why they should have strong communication and negotiation skills to succeed.
What is a Real Estate Broker?
A real estate broker is a professional who has the license of a state’s real estate broker. They help people in buying, selling, and transferring properties. Additionally, they assist clients in decision-making, legal paperwork and compliance.
They are experienced professionals, who proceeded further with their education, completed additional coursework, passed brokers exam, and has state license.
Real estate brokers can operate independently, initiate their own brokerage, and hire real estate agents to carry out different operations.
How To Become A Real Estate Broker
There are following requirements you need to fulfill in order to become a real estate broker;
1. Know The Basic Requirements of Your State
The first requirement is to know the basic requirements of your state. There are some basic requirements in each state to get your license. There are different requirements in each state and they vary from each other.
Each state has different requirements regarding;
- Age
- Education
- Pre-license courses
- Post-license requirements
- Exam and its eligibility
- Application process
- Application fee
- Background check and fingerprinting
- Continuing education
- How to accomplish next level in licensing
- Criminal history report
2. Take State’s Real Estate Sales Coursework
Secondly, real estate brokers should get some knowledge and get trained. In these courses, there is a variety of knowledge about real estate’s legal issues regarding, finance, insurance, ethics and taxes.
But, ensure that the course you are opting to get your license is approved by your state licensing board.
3. Pass State’s Real Estate Agent Licensing Program
First, you need to become a real estate agent before becoming a real estate broker. For that purpose, exams are conducted on state level. Make sure you check on to your state’s real estate licensing board’s requirements, because each state has different exam.
Exams consist of topics like real estate laws, working with clients, negotiation and closing a deal.
4. Operate As A Real Estate Agent
Start working as a real estate agent, before you start operating as a real estate broker. Similarly, there are different requirements for each state.
But, it requires you to;
- Work for a brokerage for two to five years time period, and
- A certain number of transactions in real estate
The reason behind these conditions is that it will make you familiar with the system of real estate. It will help you in building relationships with clients, boosting confidence level, enhancing communication skills and building a reputation and networks.
5. Get Real Estate Certifications
There are different certifications to get specialized in various types of real estate niches. This will help you in building skills, knowledge and expertise in a specialized field of real estate. It will help you in building reputation as a specialized and focused brokerage niche.
Like other certifications, you need to take courses, study them, and pass the exam to get certifications.
6. Take State’s Real Estate Broker Coursework
After gaining specified experience and fulfilling all the requirements, now you can take real estate broker course. Ensure that it is as per the requirement and approval of your states licensing board.
This coursework is more in-depth, advanced, and high standard than that of real estate agent one. This coursework will allow you to work independently without any supervision.
In this course, you will cover detailed topics of;
- contracts,
- ethics,
- taxes,
- insurance,
- legal issues of brokerage,
- property management,
- construction and
- real estate management
7. Pass Real Estate Broker Exam
It is required to pass the real estate broker’s exam. Still, the requirements for exams vary among states.
This exam takes about a day to complete, a much longer than the real estate agent’s exam. It consists of multiple choice questions and to pass the exam you need to correctly answer 70% questions.
8. Apply For Real Estate Broker License
After passing your real estate broker’s license exam, you need to apply for your broker license to become an official real estate broker.
For that, you need to collect your information, including application, any documented experience, coursework certificate of completion, and submit it to state’s licensing office or real estate commission.
Final Words
To become a real estate broker is a new experience, even after spending years in this business. Still, it will take some time, consistency and hard work to build your reputation, network and team.
But before going into this process don’t forget to understand your state’s requirements and regulations. Obtaining a real estate brokers license is a long and bit expensive procedure, but by following these steps you can become a real estate broker and start your own brokerage.
FAQ
1. What is the most a real estate broker can make?
Real estate brokers earn more than that of real estate agents. In 2020, median pay of real estate brokers was $60,000.
2. What education is required to become a real estate broker?
The education requirement to become a real estate broker is the completion of real estate brokers trainings and coursework. While, a high school diploma or any equivalent is basic requirement.
3. What are the skills that I need to become a real estate broker?
To become a real estate broker you need to have good communication and negotiation skills. You should be able to understand legal matters, marketing and analyze data. You should also know the dynamics of your local area in which you operate.
