Real estate agents: What the job really entails
Interested in a career in real estate? Then be prepared to work long hours on commission in one of the more volatile job markets around. The real estate agent has a number of set job duties. But even with a thorough grasp of these responsibilities, success is dependent upon powerful external factors.
The economy and interest rates affect the real estate market. In an economic environment with high interest rates, sales will be sluggish as buyers wait out the market. When interest rates plummet, then buyers will be willing to make the largest and most significant purchase of their lifetime. The real estate agent has no control over economic swings and an understanding of this is the first of many requirements of the real estate agent.
Soft skills for real estate agents center on personality traits that include a fearless temperament, a sociable personality, persuasiveness, endurance, a good memory and initiative. Other needed attributes include honesty, an eye for detail, the art of diplomacy - the ability to negotiate between two or more parties - and the ability to comprehend local regulations and state laws.
All real estate agents must successfully complete a standardized licensing test given in every U.S. state and the District of Colombia. Once licensed, the real estate agent works under a real estate broker, either as an independent contractor or as a company employee. Many real estate agents work from their home, using the Internet to search for listings and post listings.
Real estate agents must be knowledgeable about their local real estate market. This is their first priority. They must have a detailed familiarity with various neighborhoods in order to find a home that best fits the budget and family needs of buyers. This knowledge also includes local zoning ordinances and environmental regulations as well as tax laws and avenues for financing, including alternate financing. Since financing makes or breaks a sale, agents must be at the top of their game when it comes to arranging financing for buyers with different budget constraints.
As the intermediary between buyers and sellers, the real estate agent oversees the many small details of the pre-sale, such as agreed upon repairs, and makes sure that required termite, radon and environmental inspections are done. If there are price negotiations, the agent represents the seller, following their instructions, and at the same time, inducing the buyer to accept the terms.
As part of the closing, agents prepare packets of legal forms and make changes when needed. Some agents are involved in the actual real estate closing, although real estate lawyer usually oversee this finality. When a property sells, the agent shares a commission with the real estate broker and often a multiple listing service.
Without properties to sell, the real estate agent is in limbo. So a large amount of time and attention is devoted to obtaining listings of property and advertising these. Today, this involves use of the Internet along with cruising neighborhoods. Finding an "FSBO" (For Sale by Owner) sign is a delight, as it reveals a potential listing for the agent to procure.
The workload of the real estate agent is filled with meetings with buyers and sellers. Agents often work evenings and weekends, and must be available outside the standard 40-hour work week to accommodate their clients. Travel time, showing homes, makes for a big chunk of the agent's responsibilities. Obviously, having a comfortable, clean and reliable vehicle is essential. A dedicated phone line or cell phone, along with email is part and parcel of the agent's repertoire.
Since marketing is an essential for the real estate agent, most have a dedicated website or share a website with a broker. Here they list their properties for sale, provide photographs and provide descriptive blurbs about individual properties.
Real estate is a relatively easy field to enter and has the potential for high earnings in a strong market. The work schedule carries flexibility, which appeals to retirees or those seeking part time work. Individuals who already have solid business or social connections will have an edge in this highly competitive field.
The job outlook is relatively good, again, depending on the economy. And once in the industry, real estate agents can rise to different levels within the profession to increase their earning power.
