By the Experts at Real Estate Express
The uncertainty of the coronavirus pandemic can make it difficult to plan for the future, but if you're hoping to advance your real estate career, now might be a savvy time to upgrade your license. Here's how you can decide if now is a good time to take the next step.
Benefits of Upgrading From Salesperson to Broker
Many real estate agents see becoming a broker as the natural next step in their career progression. It's one way to earn more and take greater control over your time as a real estate professional. Here are the benefits many people see from moving into a broker position.
Earn Team Commissions
Most brokerages are structured so that the real estate agents on the team give a percentage of their commission to the broker above them. Because of this, brokers are able to earn more money by increasing the size of their team. If you're at your absolute capacity as a real estate agent and can't do any more transactions, becoming a broker is a great way to start maximizing your expertise to teach a team who can boost your earnings.
As a real estate broker, you are able to take more control over your career. If you've been looking to specialize in a certain niche, becoming a broker might be your best strategy.
Cost of Becoming a Broker
The cost of becoming a broker is different depending on what state you live in, but here are the typical cost categories to be thinking about.
1. Pre-Licensing Education
Depending on your state's regulations, pre-licensing education can cost anywhere from $300 to $2,000.
2. Exam Fees
When you're ready to take the licensing exam, you'll have to register and pay all associated fees. Some states require background checks, processing fees and application fees in addition to the exam fee. Depending on where you live, the total for this step could cost anywhere from $90 to $400.
3. Brokerage Setup Fees
One final cost you should consider is the cost of starting a brokerage. This will include expenses such as office space, marketing materials and hiring agents. If you don't have the money to spend just yet, working as an associate broker for a period of time could be the right way to go.
How Long Does It Take to Upgrade Your License?
One of the benefits of online real estate education is that you can set your own timeline. If you start now but find there are other priorities competing for your attention, you can pause your work and resume at a time that is convenient for you.
Upgrading your license can be a great way to focus on your goals for the future and help you find something productive to do even when your career seems uncertain. Weighing the cost against the potential upsides is a great way to decide if it's in your best interest to upgrade your license now.
Real Estate Express is one of the nation's premier online real estate schools, providing pre- and post-licensing courses, continuing education courses and professional development to hundreds of thousands of real estate agents across the country. Real Estate Express, along with its sister schools McKissock Learning, Superior School of Real Estate, Allied Schools, The Institute for Luxury Home Marketing and Hondros Education Group, helps real estate professionals achieve sustainable success throughout each stage of their real estate career. Learn more at RealEstateExpress.com.