The main difference between a real estate agent and a real
estate broker is that brokers are licensed to manage their own businesses,
while agents are not. But even though real estate agents work under brokers,
their jobs are similar. Brokers and agents both help clients sell their homes
as well as buy new homes. It’s possible for people to buy or sell their home
without using a professional, but a real estate agent can make the process a
lot easier. By advising clients on prices, mortgages and market conditions, an
agent shows sellers how to price their house accurately and make the property
as appealing as possible to potential buyers. Agents also guide buyers toward
the homes that best fit their needs by generating a list of properties for
sale, accompanying the client to see the properties and negotiating an offer
with the seller. Real estate agents must be intimately familiar with the
communities in their area, especially with regard to job opportunities,
healthcare and activities.
The Bureau of Labor Statistics projects 11.1 percent job
growth for real estate sales agents between 2012 and 2022, which is about as
fast as average. During that time period, an additional 38,000 jobs will need
to be filled. Couple these projections with a fairly low unemployment rate and
the promise of increased home sales as the economy continues to improve
following the downturn, and the outlook for real estate agents is quite solid.
Salary
According to the BLS, in 2012, real estate agents earned a
median salary of $39,140. The best-paid earned about $95,540, while the
lowest-paid earned approximately $20,700. The highest earners worked in the
metropolitan areas of Lake County, Ill., White Plains, N.Y., and Wayne, N.J.,
amd Santa Fe, N.M.
Salary Range
75th Percentile $63,300
Median $39,140
25th Percentile $27,470
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Training
Real estate agents need to acquire a license, which they can
do by passing a written exam administered by their state. (They first need to
be 18 years or older and to have a high school diploma.) In addition, a college
or graduate degree in finance, business administration, statistics, economics
or even law can help prospective agents get ahead in the profession. The
National Association of Realtors also sponsors courses that touch on the basic
financial and legal aspects of real estate. But education isn’t the only
deciding factor: Social skills, good judgment and enthusiasm are key and among
the traits that brokers look for in applicants.
Reviews & Advice
Moe Veissi, the 2013 president of the National Association
of Realtors, says commission should be the last thing on the mind of an
aspiring real estate agent. He says education comes first: “Without that
education upfront, you limit yourself initially.” Veissi says using the NAR as
a viable resource for further learning, as the NAR features an extensive
library that’s free for members. He also suggests taking courses at state and
local associations, as they will be more specific about laws and regulations.
“You’ve got a three-tier level of education available, which is more than most
other professions,” Veissi says. He also recommends using other real estate
agents and brokers as mentors: “People within this business are willing to help
you along, even though they are your competition.” On top of education, Veissi
says employers are looking for applicants with some background in sales, who
exhibit excellent people skills and who are fully committed to the profession.
“A good real estate agent must be willing to accept both the stress and the
rewards of sales,” he says.
