What Is a Real Estate Agent?
A Real Estate Agent Boston MA is an individual who acts as their legal representative in real estate transactions and puts buyers and sellers together. Real estate agents are paid a fee by a third party on a percentage of the total property s buy offer so their earning potential depends largely on their skill to close a sale. A commission is also paid to real estate agents by the buyer/seller when a purchase agreement has been finalized. However there are other ways in which you can earn money as a real estate agent.
The majority of states require that any individual wishing to become a real estate agent must first obtain a license from their state board. Once licensed, it is essential to take continuing education courses that keep current on real estate law, contract laws and buyer-seller privilege laws. Additionally it is important to complete ethics courses that teach how to deal ethically with clients and how to stay unbiased while conducting real estate transactions. Finally any aspiring agent must pass a proficiency test that covers everything from understanding complex laws concerning title transfer to understanding consumer protection and fair marketing practices.
Unfortunately many states have strict rules governing realtors and require that all individuals wishing to become a realtor be either a member of a nationally recognized association or registered agent. Although there are a number of non-member real estate agents some states still require memberships. Association membership has numerous advantages for the aspiring agent. While non-members are ineligible for commission sharing and other compensation incentives some states do give non-members the opportunity to earn higher commissions and share in commission increases that occur through the use of their own realtors. As a non-member the agent would not have the same standing as a member and the same level of liability protection.
Most realtor associations have very strict guidelines that members must follow and prospective members need to join before being admitted into the national association. In most cases, becoming a full-fledged member of a national association is not cheap. Joining can require a large upfront investment up front, require a high level of commitment and many times require the submission of multiple applications and contracts. There are no two realtors that are alike so it is important to choose wisely and carefully when joining a national association.
One factor that some people fail to realize about becoming a member of the national association of real estate agents is the term of office. A term realtor is an individual who works for a short term and is usually hired for a specific time frame such as one year. However it is possible for one to work as a long term realtor without holding a term contract. Such an individual may be a temporary hire by a landlord or a developer who needs to find an agent to rent their properties for a specified time.
Many times real estate brokers and sales agents will go on vacation, relocate or get married. All these things can happen in just one year. A full-term real estate agent will have to reapply every year if they want to continue working. This can be a great advantage to those who do not plan on leaving their jobs. These same people will often use these short-term contracts to lock in the prices at which they want to sell or buy.
Many states require that real estate agents complete an approved real estate licensing examination prior to selling or buying a property. Each state has different licensing requirements so it is important to check with your local state licensing board to make sure you meet all of the state requirements prior to getting your real estate license. Some states have higher requirements than others; others have stricter requirements. As a real estate agent you need to be aware of your state licensing requirements and comply with them in order to successfully complete your education and obtain your real estate license.
You may find that some states require real estate agents to complete a seller's examination prior to selling a property. This exam is required by each state in order to be a real estate agent in that state. This exam allows the state board to determine whether or not you have the knowledge needed to successfully handle all of the tasks that they require from their agents. Some states even have pre-licensing seminars for buyers and sellers to attend in order to prepare them for this licensing exam. The number of hours it takes to complete the exam will vary depending on the specific state. The exact hours may even differ from state to state.
