Is a Career in Real Estate Right for You?
A career in real estate provides flexibility and freedom to set your own pace. Income directly reflects your efforts, with no limits on what you can earn. Successful REALTORS® are goal-oriented, persevering, self-motivated, ambitious and people-oriented. The rewards of a real estate career are a potential for high earnings, status in the community, autonomy, time freedom, helping people, the intellectual challenge and the satisfaction from those accomplishments.
Read through the following statements to see if you would make a good agent:
- I am a self-starter. I take responsibility for getting my work done on schedule.
- I enjoy being on the move during the work day.
- I like meeting people and I am at ease with all types of people.
- I am good at persuading people to take action.
- I have great confidence in my ability to succeed.
- I have a high activity level.
- I am willing to work at odd hours when necessary.
- I am comfortable asking people for referrals or leads.
- I want a career that calls for quick thinking, creativity and a facility for communication.
- I enjoy the excitement of competition.
- I am enthusiastic about running my own business.
- I want to be rewarded based on my production.
These are characteristics of people with successful careers in real estate. If you feel these statements are true for you, then a career in real estate may be just what you are looking for! Try our Agent Profiler to see if you are a good fit for real estate.
What are the responsibilities of a REALTOR®?
As a real estate agent you will be able to represent buyer(s) by:
- Showing clients a variety of properties of interest.
- Knowing the buyers wants and needs.
- Understanding the financial limits of the buyers.
- Having realistic knowledge of property value.
- Understanding the surrounding community.
- Understanding the legalities when buying a home.
- Providing buyers with home loan information.
- Communicating with the buyer on a daily basis.
As a real estate agent you will be able to represent seller(s) by:
- Guiding them to a realistic asking price.
- Listing the home and completing proper paperwork.
- Understanding the legalities of selling a home.
- Providing tips to make their home more "sellable".
- Promoting the home through creative marketing strategies.
- Communicating with the seller on a weekly basis.
Getting Started in Real Estate
Entry into the real estate profession takes preparation. As with other professions, licensing is required. Licensing requirements vary across the nation, but all states require applicants to pass a written exam.
All Applicants in Kentucky Must:
- Be at least 18+ years of age.
- Have a high school diploma or equivalent (GED can be used).
- Attain 96 hours of approved real estate education (from an approved school).
- Pass an FBI background check.
- Pass the Kentucky Real Estate Exam (75% minimum score required).
Recommended Real estate Schools in the Area:
Financial Aspects of a Career in Real Estate—Income & Expenses
- What are the financial aspects of a career in real estate?
- How do you make money?
- What are the expenses that I can expect when getting started in real estate?
- What expenses should I expect on an ongoing basis?
Below is general information that should help you answer these questions. For more detailed information please discuss these topics when you meet with a company.
How much can I earn in a career in real estate?
One of the most appealing aspects of a career in real estate is the unlimited income potential. Each company has its own compensation plan and all vary in one aspect or the other. Potential agents should be aware that when comparing compensation plans it is important to compare apples to apples. Some plans may look appealing at first glance but the company may not provide you with any of the necessary technology tools or support services to help with your success in today's market. One method is to start new associates on a 60/40 commission split, until the agent reaches a certain income level. Then at the higher income level, the agent enters a bonus situation with a higher split percentage.
Here is a simple example of how you would get paid on a 60/40 split:
- You sell a home for $200,000 and charge a 6% commission.
- $12,000 is the total commission.
- $6000 goes to the company that sells the property and $6000 goes to the company that lists the property.
- If you are on a 60/40 split, you will receive $3600 (60% of $6000), minus any franchise fees your company may charge.
- You get paid when the transaction closes.
Crye-Leike Executive Realty's Incentive Commission Split Plan
- Crye-Leike Executive Realty offers an executive compensation plan to allow you to make a professional income. We offer the highest and best graduated commission splits in the business.
- For new sales associates we offer two cutting edge programs with varying commission levels and expenses.
- For experienced sales associates, we offer professional compensations program where you can work up to splits as high as 95 percent.
- Credit is also extended for what you've earned elsewhere, year-to-date, so you remain at a higher split until the end of the year.
Crye-Leike Executive Realty's Profit Sharing Plan
- Crye-Leike Executive Realty distributes a portion of its profits annually to sales associates that help us recruit other associates.
- Our profit sharing plan is designed to say "thank you" for sales associates who help grow the company.
- The profit sharing plan is open to any Crye-Leike Executive Realty sales associate or employee.
- The profit share comes from the company's money. It DOES NOT come from the associate's commission.
- When a new associate is referred to the company, the referring associate will receive a portion of the company's part of the commission on sales made by the referred associate.
Real Estate Career Start-Up Expenses
It is important to know how much your new career is going to cost you. Expenses should be covered in your interview with a broker. With realistic expectations of what upfront costs you will need, you’ll be able to plan to meet those needs successfully. Below are some common areas of start up costs that you will need to plan for.
- Real Estate School / Pre-Licensing School
- State Application and / or Exam Fees
- State Licensing Fee
- Local Board of Realtors Fees and Membership Dues
- Electronic Keypad
- Errors and Omissions Insurance
- Insurance (health / auto)
- Technology Fees (voice mail, long distance, internet access, computer, etc.)
- Marketing Campaign / Personal Promotion (business cards, announcement postcards, website, etc.)
A good rule of thumb is to have 3-6 months of income set aside to help with the transition into real estate. Real estate is commission only. Meaning you earn income only when you have a successful closing.
Ongoing Expenses in a Real Estate Career
- Real Estate License Renewal Fees
- Real Estate Continuing Education Expenses
- Local Real Estate Board Monthly Dues & Fees
- Real Estate Company Desk (Crye-Leike Executive Realty has no desk fee)
- For Sale Signs (Crye-Leike Executive Realty provides yard signs)
- Marketing Services
- Personal Advertising
- Technology Services
If you would like more information on joining the Crye-Leike Executive Realty Team, contact us at (270) 781-3377 or toll free (866) 301-3377 or contact us today!