If these kinds of returns sound good to you, then you might want to become a real estate agent. To do this you will need to contact your state’s department of real estate. They will tell you how much pre-license education you will need, what schools they will accept credits from, what professional requirements need to be met, what fees will be charged for your licensing, and where and how to take the state real estate licensing exam. In general you will need to complete between 60 and 90 hours of pre-licensing education, and most states will accept correspondence program credits as long as the school has been pre-approved by the state.
While you are taking the required courses you will also probably need to gain work experience in the real estate industry. This can be accomplished by working as a salesperson for an established real estate broker. Here you will get on the job training for the work that you will be doing once you get your own license. Other options include working for a property management company, escrow insurance company, or some other real estate related business. Check with your state’s department of real estate to make sure that the company that you work for will be accepted as real estate experience.
When you finish your education and experience requirements you will want to fill out the required paperwork for your licensing exam and pay any filing fees. Your next step is to study for the real estate licensing exam and pass the test. Without passing this test you will not be able to become a real estate broker so study and be prepared.
Once you have passed the exam you will need to fill out the paperwork associated with licensure and pay yet more fees. These fees will include your annual licensing fee, recovery account, and renewal fee. The amount of your first year fee will depend on whether it is an odd or even year.
Every state will have different continuing education requirements so check with your state department of real estate for the requirements that are applicable to your situation. In general expect to take about 12 credit hours of continuing professional education each year.
Once licensed you will probably need to purchase a business license as well as business liability insurance. Again state requirements will vary. You will also need to have a dependable and nice looking vehicle to drive to properties. You can have a permanent sign painted on the vehicle and deduct the mileage as a business expense, so make sure that you budget for a new, or at least a newer vehicle that is in step with the clientele that you want to attract. In this business appearance is everything!
Now you are ready to make money. Starting your business you should expect to be on call 24/7 until you are established. To help reduce the stress created by this amount of time devoted to your new business you may want to consider working with an established broker, or taking on a partner or two that you can split the on-call time between.
As a real estate broker you will need to know a lot about your market including: what buyers are looking for, what financing options are available, how clients can qualify for a mortgage, what laws are applicable to the sale of homes in your market, who your competition is, and how to target clients. In order to acquire all this information you may need to attend additional classes, seminars, and read as many trade books as you can get your hands on.