If you are seeking a side venture that is adaptable and allows you to swiftly generate substantial supplementary income, becoming a part-time real estate agent might be the answer you are looking for.
This alternate career path is gaining popularity among individuals who are determined to maximize their earning potential and have spare time available, owing to its low entry requirements and high earning potential.
However, it must be noted that a part-time real estate agent career is challenging and demands a considerable amount of time and energy to yield substantial results. Before deciding to embark on this career path, it is imperative to have a thorough understanding of the commitments involved.
So, Can You Be a Part-Time Real Estate Agent?
In short, yes, you can. Many people opt for part-time real estate careers to supplement their income or pursue a passion for real estate while still maintaining their full-time job.
It is important to note that becoming a successful real estate agent, part-time or full-time, requires significant effort and dedication to build a client base and grow your business.
To become a real estate agent, you must complete pre-licensing education, pass a licensing exam, and work under a licensed broker. The requirements and process for becoming a real estate agent may vary by state, so it is recommended to check with your state’s real estate regulatory agency for specific details.
How to Become a Part-Time Real Estate Agent? What are the Steps to Fulfill?
It is crucial to acknowledge that each state possesses distinct prerequisites for obtaining a real estate license. As such, it is imperative to conduct a comprehensive investigation into your state’s specific regulations.
This information can be obtained through a simple online search. On average, becoming a licensed real estate agent takes approximately six months and incurs costs in the vicinity of $2,000.
The process of becoming a real estate agent typically involves the following steps:
- Meet the eligibility requirements: In most states, you must be 18 years old and have a high school diploma or equivalent. You also need to pass a background check.
- Complete pre-licensing education: You’ll need to complete a certain number of hours of real estate coursework, which may be done online or in person. The coursework covers real estate principles, practices, and state and federal laws.
- Pass the licensing exam: After completing pre-licensing education, you’ll need to pass a state-administered licensing exam. The exam covers topics such as property ownership, appraisal, and financing.
- Affiliate with a broker: After passing the licensing exam, you’ll need to work under a licensed real estate broker. The broker will supervise your work and ensure that you adhere to real estate laws and regulations.
- Obtain a license: After completing the above steps, you’ll receive a real estate license from your state’s regulatory agency. You’ll then be able to practice real estate and start working as an agent legally.
It’s important to note that the requirements and process for becoming a real estate agent may vary by state. It’s recommended to check with your state’s real estate regulatory agency for details.
What are the Pros of Becoming a Part-Time Real Estate Agent?
As previously emphasized, pursuing real estate as a side hustle presents numerous advantageous elements. Some of the factors that frequently attract individuals to this industry include:
- Flexibility: One of the most significant advantages of being a part-time real estate agent is flexibility. You can work as many or as few hours as you like and arrange your schedule to accommodate other commitments such as a full-time job or family responsibilities.
- Increased earning potential: As a real estate agent, you can earn significant money through commissions on selling properties. The earning potential is beautiful for part-time agents who can supplement their income from other sources.
- Growth opportunities: Being a real estate agent provides personal and professional growth opportunities. You can develop your network, build relationships with clients, and expand your real estate industry knowledge.
- Independence: As a real estate agent, you are your boss and have control over your career path. You can choose which properties to market, set your own goals, and determine your own pace of growth.
- Potential for passive income: Real estate agents can earn passive income through property management and rental fees, even when they are not actively working.
What are the Cons of Becoming a Part-Time Real Estate Agent?
Becoming a part-time real estate agent also involves specific challenges and drawbacks, including:
- Uncertain income: Real estate agents typically earn money through commissions, which can be unpredictable and vary depending on the real estate market. Having a steady and reliable income stream is challenging, especially for part-time agents who may need more opportunities to work with clients.
- Competition: The real estate industry is highly competitive, and becoming a successful agent requires effort and determination. As a part-time agent, you may face competition from full-time agents with more time to devote to building their business.
- Time commitment: Although being a part-time real estate agent offers flexibility, it still requires a significant time commitment. You’ll need to attend property showings, meet with clients, and keep up with continuing education requirements, all while balancing your other commitments.
- Responsibilities: As a real estate agent, you have various responsibilities, including marketing properties, negotiating deals, and ensuring that transactions comply with the law. These responsibilities can be demanding, especially for part-time agents with limited experience and resources.
- Cost: Becoming a real estate agent involves significant upfront costs, including pre-licensing education, the licensing exam, and affiliation with a broker. Additionally, you’ll need to invest in marketing materials, technology, and continuing education.
How Much Can You Earn as a Part-Time Real Estate Agent?
Determining one’s potential earnings as a part-time real estate agent is straightforward. As previously discussed, the average weekly salary for a part-time agent stands at approximately $1,100, with variations depending on the number of hours worked, the real estate market in question, and the methods utilized to make sales (such as commissions or referrals). It is noteworthy that the average national hourly rate for real estate agents is $40 per hour.
How Much Commission Does a Part-Time Real Estate Agent Get?
The commission is a remuneration that a client pays to you in recognition of the services rendered in locating a suitable dwelling and negotiating the terms of the agreement with the seller or landlord. According to the information provided by RedFin, the average commission earned by a real estate agent ranges between 2.5% to 3% of the overall cost of the property.
How Much Does a Part-Time Real Estate Agent Work?
The hours worked by part-time real estate agents can vary, with many typically working between 15 to 30 hours per week. However, it is worth noting that a part-time status only sometimes guarantees a consistent income, as the earning potential of real estate agents is mainly dependent on the successful completion of transactions.
It is also common for part-time real estate agents to work in a team setting instead of solely independent practices. This arrangement allows for a more flexible schedule and provides opportunities to focus on other pursuits outside of work. Part-time agents often prefer teamwork and flexible scheduling, as it allows for a more balanced approach to work and personal life.
Are Clients Ready to Work with a Part-time Real Estate Agent?
Indeed, clients will collaborate with part-time real estate agents.
The primary consideration for clients in selecting an agent is the value that can be offered, the market expertise that can be shared, and the assistance provided in attaining financial objectives.
The number of hours devoted to the profession needs to be more consistent. Whether one is, a part-time or full-time real estate agent is a private matter and of no concern to others.
Tips to Become a Successful Part-Time Real Estate Agent
Becoming a successful part-time real estate agent can be a challenging yet rewarding career choice.
You can achieve success with dedication, effort, and the right strategy while balancing other commitments. Here are several tips to help you get started:
- Develop a niche: Specializing in a specific type of real estates, such as luxury homes, first-time homebuyers, or a specific geographic area, can help you differentiate yourself from other agents and attract a targeted client base.
- Network: Building a network of referrals is crucial to finding new clients as a part-time real estate agent. Attend industry events, join professional organizations, and cultivate relationships with other agents, mortgage brokers, and other professionals in related fields.
- Create an online presence: In today’s digital age, having a solid online presence is essential to reaching potential clients. Develop a professional website, create a social media presence, and optimize your listings for search engines to increase your visibility.
- Stay organized: Managing your time and resources effectively is crucial to success as a part-time real estate agent. Utilize technology and tools such as a CRM system and digital marketing software to streamline your processes and stay on top of your tasks.
- Continuously educate yourself: Real estate is rapidly evolving, and staying current with the latest trends and regulations is essential. Invest in continuing education and professional development to build your knowledge and skills and to stay ahead of the competition.
- Build a strong work ethic: Becoming a successful part-time real estate agent requires hard work and dedication. Establishing a solid work ethic, setting achievable goals, and being responsive to client’s needs will help you build a successful career.
- Offer exceptional customer service: Clients choose to work with agents they trust and feel comfortable with. Offer exceptional customer service by being responsive, transparent, and always putting your client’s interests first.
- Collaborate with other agents: Building relationships with other agents can be valuable for personal and professional growth. Collaborating on deals, sharing market insights, and providing support can help you grow your business and deepen your expertise.
- Be patient: Becoming a successful part-time real estate agent takes time and effort. Be patient and persistent, and don’t be discouraged by setbacks. Instead, use them as opportunities to learn and improve.
Achieving Success as a Part-Time Real Estate Agent
Real estate is a demanding field that requires a relentless commitment to hard work and dedication. As a real estate agent, you must have excellent interpersonal skills and the ability to engage with clients on a personal level.
It may involve showing properties for extended periods, negotiating deals, and writing contracts.
To succeed as a part-time real estate agent, you must also have the capacity to prospect new clients, maintain relationships with previous clients, and ensure they receive the level of care and attention necessary to earn their repeat business.
While a high school diploma (or equivalent) and passing the licensing exam is the only formal education required, successfully juggling a career in real estate with other responsibilities, such as a full-time job or family demands, can be challenging.
Nevertheless, for those willing to put in the effort, the rewards of this career can be substantial.
Last modified: February 9, 2023