Greenhorn Corner
Want to Be a Real Estate Agent? What You Need to Get Started
by Margaret and John Fleming
Many people have the mistaken notion that selling real estate is an easy way to make money fast. Nothing could be farther from the truth. It will take at least 6 months to a year before you begin to actually earn more than enough to cover your expenses. And you will have to make a sizable investment in equipment and services in order to function effectively as a real estate agent.
Equipment
Telephone. You need to be available at all times, not just from 9 to 5. Much real estate activity takes place on weekends and holidays. You will have an office phone, of course, but it is helpful to have a personal number as well. If you can afford a separate line just for your real estate, that is ideal, but your home phone can be used--provided you don't have family members tying it up with Internet access or lengthy conversations.
Cell phone or pager. A cell phone is useful to provide clients with another way to reach you. And of course it is very handy to have when out on the road.
E-mail. E-mail is especially useful with out-of town clients or prospects.
Web site. Your company probably has a Web site, but it's useful to have your own. Many companies provide agents with associated sites. Or you can have your own made by a computer expert.
Smart phone. This is an incredibly useful device. It holds a data base where you can store names, addresses, phone numbers, and other vital information about clients and prospects. Some of these devices are also cell phones and some can even access the Internet, making it possible for you to call up current listings while you are out with clients.
Photocopier. This is necessary for making copies of documents. For a listing, you will need one copy for the clients, one for your office, and one for yourself. For a purchase offer, you will need all these, as well as one for the escrow company and possibly one for the lender.
Fax. Fax copies are now accepted as original, so it is possible to get signatures on contracts this way. Many pertinent documents can be faxed, which cuts down on running around.
Of course your office will have a photocopier and a fax which you can use, but it's much more convenient to have your own.
Client Services
Car. You will need this for previewing properties as well as showing them.
A place to meet with clients. Your office is good, but many agents like to have a home office as well, with a meeting room. An ordinary living room or other room in your home will work very well.
Money Management
A checking account for business expenses and real estate income. It will be most helpful at tax time if you have kept all your real estate financial information separate from other income and expenses.
An accounting software program such as QuickBooks. This is a good way to keep track of your finances.
Enough money in savings to support you for at least 6 months, or a partner with a steady income. Sometimes new agents get lucky and have a sale or two early in their careers, but often it will take 6 months of advertising and prospecting before you start to make money. Many new agents don't make it because they don't have the support they need while they are building up their advertising and their client base.
Enough ready cash for transportation, clothes, professional membership, MLS access, desk rental, advertising, signs, phone calls, business cards. Selling real estate requires a considerable outlay of cash before the returns start to come in. Be sure to budget enough for this.
Personal Qualities
Initiative. You need to be able to work on your own without a boss telling you what to do.
Persistence. Be willing to accept rejection.
Organization. You must develop a routine and stick to it.
This is a selection from our upcoming training manual for real estate agents.
