Thinking of Becoming a REALTOR? You're Starting a Business!

Thinking of Becoming a REALTOR? You're Starting a Business!

Earlier this week, I wrote a post about all the considerations for anyone new to the real estate business. The single point that received the most feedback and attention had to do with the expenses related to getting started in the business.

Many brand new real estate agents are completely unaware of the costs of hanging out that REALTOR shingle. Regardless of how big/good/well-qualified a broker you sign on with, the fact is that starting in the real estate business means, effectively that you are starting your own business! So in order to do it successfully, you must plan for all the costs involved.

The following is a detailed - but not exhaustive - list of the expenses any new agent can expect to incur:

• Real estate school
• Testing
• Licensing fees
• Fingerprinting (even if you have been fingerprinted in the past)
• MLS setup fees
• Necessary computer hardware and software
• Local and national industry organization fees
• Web design/maintenance/SEO
• Database management
• Graphic design
• Blog platform
• Offline advertising
• Business cards, postcards, flyers, car decals
• For Sale & Open House Signs
• Office rental fees
• Phone/long-distance service
• Support staff
• Automobile upkeep, insurance, and fuel
• Transaction fees
• Networking and business development
• Continuing education

In short, this is not a job to undertake lightly. You want to make sure you've budgeted appropriately, and that you are fully committed to the investment in your success. An unfortunate number of promising real estate careers die a quick death for lack of proper planning and cash flow.

Let me know if you have any other questions. I've been in the real estate industry for a long, long time and I'm happy to share all I know to make your entry into the industry as easy as possible. And, of course, if you're starting your career in Phoenix, make an appointment to come see me in person!

Anna Banana

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Do you live in the Phoenix, Arizona area? Are you thinking about making a change in real estate companies? Give me a call at 602-595-8900 or e-mail me.

Let's talk about your marketing strategies - and how you can better teach others to refer business to you.

PhoenixPropertyShoppe.com