What does it cost?
What does it costs to get in to Real Estate??
GENERAL INFORMATION FOR ALL PROSPECTIVE SALESPERSONS’ LICENSEES:
YOU CAN’T BECOME A BROKER UNLESS YOU ARE A SALESPERSON FIRST!
Just what are the costs involved??
You’ve decided you would like to become a licensed real estate salesperson? Now what do you do?
1. You will have to take a salesperson’s course – whether it is online or in the classroom, it is required before you get your license. Course costs vary, so check into what works best for you.
2. During the time you are taking the course, it is best to look for a real estate broker to affiliate with. I always suggest interviewing with a broker close to your home. Should you take a course with PIRT, we have a list of questions to ask that broker – you will receive this when you apply for the online course or take the classroom course.
If you are looking for a real estate broker, we have a page that might help! If you are interested, click HERE.
3. After you complete the course, you will have to take a final examination, which you have to pass. This is whether you take the course online or in the classroom. In both cases, passing is usually 70%. If you don’t pass the test the first time, more than likely you will be allowed to take the exam again at no extra charge. Once passing that, you will have to sit for the NYS licensing examination. You still cannot sell real estate until you get your license. You do not need a broker to affiliate with to take the test — only to get your license. To take the State exam, you will have to register online. The state examination is given in a variety of places – Syracuse, Albany, Rochester, etc. There are no state examinations given in Watertown. See below for more info.
4. The cost of the NYS examination (at this date) is $15.00 per time you take the examination. If you do not pass the state examination, you may take it again for an additional $15.00.
5. Once you have received notification from NYS (at this time the length of time between taking and passing the exam and getting your license is about 4 weeks) that you have passed your examination and have found a broker to work with, you will then be able to apply for your license. The cost of the license is $55.00 every two years. You will also have to take 22 1/2 hours of continuing education every two years. Of that 22 1/2 hours of CE (continuing education) a minimum of 3 hours MUST be an approved course in Fair Housing. This Fair Housing course must be taken every 2 years. If you are a member of a local board of REALTORS®, you will also have to take an Ethics course. This is available through your local board, or you can take it online. I heartily recommend taking it through your Board of REALTORS®. This must be taken every 2 years. You will also have to take an Agency Law course. This will be at least 2 hours the first time you renew your license (and then 1 hour of CE after that – don’t worry, it will be explained to you when you are licensed). There are, as I said, many options for continuing education – online and classroom or a combination – you will have your choice.
6. IF your broker is a member of a local real estate board and multiple listing service, you will be required to join that board. Be sure to ask your broker the costs of joining. There may be additional classes required – orientation, ethics, etc.
- To find out more about becoming a real estate salesperson, click here…. http://www.dos.ny.gov/licensing/re_salesperson/re_salesperson.html
Let me mention here… the difference between a sales agent and a REALTOR®. When you get your license and you have not affiliated with a Board of REALTORS®, you are a salesperson only. You are, what we call, a sales agent. You are not a member of a board of REALTORS®, and you do not subscribe to what all REALTORS® subscribe to, which is a Code of Ethics and Standards of Practice from the National Association of REALTORS®. Belonging to a Board of REALTORS® you will be a member of an organization that holds itself to a high standard – a trademark — that not everyone that sells homes does. REALTORS® believe in practicing the Golden Rule and holding themselves to a very high standard – something as you become a member of your local board you will learn about. I thought I would just give you a little clarification before we went on.
So…. the bottom line is… it’s a lot of work to become a real estate salesperson, there is a lot of education beforehand and while you are licensed, there are a lot of laws you have to abide by, and it’s not cheap! We always tell interested individuals you can expect to spend between $1000 and $1500 before you make a penny in the business. It’s commission only — no draws, no weekly paychecks. But it is one of the most rewarding careers you will ever find!