So, You Aspire to Be a Realtor
11/29/2023
**So, You Aspire to Be a Realtor: Here is a Comprehensive Insight into the Reality of the Profession**
Embarking on the journey of a real estate career is akin to owning your own business. Unlike traditional employment, where you have a safety net, being a realtor means you're self-employed. The entire success of your business hinges on your efforts or those you choose to bring into your team.
Real estate agent commissions often grab headlines, Realtors don't receive an hourly wage or salary; they only get paid when a home sale closes escrow.
Working under a brokerage adds another layer of complexity. Agents only receive payment once a home closes escrow, which could take days, weeks, months, years or never. This unpredictable income stream requires dedication, often at the cost of personal time, family moments, and vacations. Realtors essentially wake up unemployed each day, navigating a perpetual job interview while facing constant rejection.
Before the thrill of a sale, Realtors encounter substantial upfront and ongoing expenses: Here are a few.
- **Real Estate Classes**
- **State Exam Fees**
- **Broker Fees**
- **Office Rent and Utilities**
- **Local Board of Realtors Association Fees**
- **Multiple Listing Service Fees**
- **National Association of Realtors Fees (NAR)**
- **E&O Business Insurance**
- **Extended Auto Insurance**
- **Self-Employment Tax**
- **State Licensing Fees**
- **Advertising Fees (Social Media and Print)**
- **Showing Service Fees**
- **Website Fees**
- **Assistant's Salaries**
- **Showing Partners**
- **Transaction Coordinator**
- **For Sale Yard Signs**
- **Open House Signs**
- **Photographers**
- **Videographers**
- **Office Supplies**
- **Business Cards**
- **Property Flyers**
- **Postage for Print Advertisement**
- **Electronic Lockboxes to Purchase**
- **Fees for Monthly Use of Lock Boxes**
- **Continued Real Estate Education**
- **Legal Fees**
- **Gas**
- **Income Taxes (around 25-30% set aside)**
- **Health Insurance**
As a listing agent, the responsibilities extend far beyond selling a home, involving a meticulous process from preparing listing presentations to closing the deal. On the flip side, buyer's agents also have an extensive checklist, guiding clients through the intricate journey of purchasing a property.
It's a demanding and exhaustive profession, requiring attention to detail, perseverance, and a deep commitment to client satisfaction. To support your local real estate agents, you don't necessarily need to buy or sell a home. Sharing listings, referring friends or family, or leaving a positive comment can go a long way in making a Realtor feel seen and supported in their challenging yet rewarding career.
**The Chronicles of a Listing Agent: Beyond the Sale**
As a listing agent, the journey is far more than just selling a home. It involves a multitude of tasks, each meticulously executed to ensure a seamless process for both the seller and the agent. Here's a glimpse into the exhaustive list of responsibilities:
1. **Prepare Listing Presentation for Sellers**
2. **Order and Review the Seller's Property Profile and Property Tax Information**
3. **Research Comparable Sold Properties for Sellers**
4. **Determine Average Days on Market**
5. **Gather Info From Sellers About Their Home**
6. **Meet With Sellers at Their Home**
7. **Get To Know Their Home**
8. **Present Listing Presentation**
9. **Advise on Repairs and/or Upgrades**
10. **Provide Home Seller To-Do Checklist**
11. **Explain Current Market Conditions**
12. **Discuss Seller’s Goals**
13. **Share Your Value Proposition**
14. **Explain Benefits of Your Brokerage**
15. **Present Your Marketing Options**
16. **Explain Video Marketing Strategies**
17. **Demonstrate 3D Tour Marketing**
18. **Explain Buyer & Seller Agency Relationships**
19. **Describe the Buyer Pre-Screening Process**
20. **Create Internal File for Transaction**
21. **Get Listing Agreement & Disclosures Signed**
22. **Provide Sellers Disclosure Form to Sellers**
23. **Verify Interior Room Sizes**
24. **Obtain Current Mortgage Loan Info**
25. **Confirm Lot Size from County Tax Records**
26. **Investigate Any Unrecorded Property Easements**
27. **Establish Showing Instructions for Buyers**
28. **Agree on Showing Times with Sellers**
29. **Discuss Different Types of Buyer Financing**
30. **Explain Appraisal Process and Pitfalls**
31. **Verify Home Owners Association Fees**
32. **Obtain a Copy of HOA Bylaws**
33. **Gather Transferable Warranties**
34. **Determine Need for Lead-Based Paint Disclosure**
35. **Verify Security System Ownership**
36. **Discuss Video Recording Devices & Showings**
37. **Determine Property Inclusions & Exclusions**
38. **Agree on Repairs to Made Before Listing**
39. **Schedule Staging Consultation**
40. **Schedule House Cleaners**
41. **Install Electronic Lockbox & Yard Sign**
42. **Set-Up Photo/Video Shoot**
43. **Meet Photographer at Property**
44. **Prepare Home For Photographer**
45. **Schedule Drone & 3D Tour Shoot**
46. **Get Seller’s Approval of All Marketing Materials**
47. **Input Property Listing Into The MLS**
48. **Create Virtual Tour Page**
49. **Verify Listing Data on 3rd Party Websites**
50. **Have Listing Proofread**
51. **Create Property Flyer**
52. **Have Extra Keys Made for Lockbox**
53. **Set-Up Showing Services**
54. **Help Owners Coordinate Showings**
55. **Gather Feedback After Each Showing**
56. **Keep track of Showing Activity**
57. **Update MLS Listing as Needed**
58. **Schedule Weekly Update Calls with Seller**
59. **Prepare “Net Sheet” For All Offers**
60. **Present All Offers to Seller**
61. **Obtain Pre-Approval Letter from Buyer’s Agent**
62. **Examine & Verify Buyer’s Qualifications**
63. **Examine & Verify Buyer’s Lender**
64. **Negotiate All Offers**
65. **Once Under Contract, Send to Title Company**
66. **Check Buyer’s Agent Has Received Copies**
67. **Change Property Status in MLS**
68. **Deliver Copies of Contact/Addendum to Seller**
69. **Keep Track of Copies for Office File**
70. **Coordinate Inspections with Sellers**
71. **Explain Buyer’s Inspection Objections to Sellers**
72. **Determine Seller’s Inspection Resolution**
73. **Get All Repair Agreements in Writing**
74. **Refer Trustworthy Contractors to Sellers**
75. **Meet Appraiser at the Property**
76. **Negotiate Any Unsatisfactory Appraisals**
77. **Confirm Clear-to-Close**
78. **Coordinate Closing Times & Location**
79. **Verify Title Company Has All Docs**
80. **Remind Sellers to Transfer Utilities**
81. **Make Sure All Parties Are Notified of Closing Date and Time**
82. **Resolve Any Title and Escrow Issues Before Closing**
83. **Receive and Carefully Review Closing Docs**
84. **Review Escrow Closing Figures With Seller**
85. **Confirm Repairs Have Been Made**
86. **Resolve Any Last Minute Issues**
87. **Attend Seller’s Closing**
88. **Pick Up Sign & Lock Box**
89. **Change Status in MLS to “Sold.”**
90. **Close Out Seller’s File With Brokerage**
It's an exhaustive journey, but the satisfaction of a successful sale is unparalleled.
**A Day in the Life of a Buyer's Agent: Navigating the Home Hunt**
Being a buyer's agent comes with its own set of responsibilities. The journey involves not just finding a house but guiding buyers through a complex process. Here's a snapshot of what a buyer's agent tackles:
1. **Schedule Time To Meet Buyers**
2. **Prepare Buyers Guide & Presentation**
3. **Meet Buyers and Discuss Their Goals**
4. **Explain Buyer & Seller Agency Relationships**
5. **Discuss Different Types of Financing Options**
6. **Help Buyers Find a Mortgage Lender**
7. **Obtain Pre-Approval Letter from Their Lender**
8. **Explain What You Do For Buyers As A Realtor**
9. **Provide Overview of Current Market Conditions**
10. **Explain Your Company’s Value to Buyers**
11. **Discuss Earnest Money Deposits**
12. **Explain Home Inspection Process**
13. **Educate Buyers About Local Neighborhoods**
14. **Discuss Foreclosures & Short Sales**
15. **Gather Needs & Wants Of Their Next Home**
16. **Explain School Districts Effect on Home Values**
17. **Explain Recording Devices During Showings**
18. **Learn All Buyer Goals & Make A Plan**
19. **Create Internal File for Buyers Records**
20. **Send Buyers Homes Within Their Criteria**
21. **Start Showing Buyers the Homes That They Request**
22. **Schedule & Organize All Showings**
23. **Gather Showing Instructions for Each Listing**
24. **Send Showing Schedule to Buyers**
25. **Show Up Early and Prepare First Showing**
26. **Look For Possible Repair Issues While Showing**
27. **Gather Buyer Feedback After Each Showing**
28. **Update Buyers When New Homes Hit the Market**
29. **Share Knowledge & Insight About Homes**
30. **Guide Buyers Through Their Emotional Journey**
31. **Listen & Learn From Buyers At Each Showing**
32. **Keep Records of All Showings**
33. **Update Listing Agents with Buyer’s Feedback**
34. **Discuss Homeowners Associations (HOA)**
35. **Estimate Expected Utility Usage Costs**
36. **Confirm Water Source and Status**
37. **Discuss Transferable Warranties**
38. **Explain Property Appraisal Process**
39. **Discuss Multiple Offer Situations**
40. **Create Practice Offer To Help Buyers Prepare**
41. **Provide Updated Housing Market Data to Buyers**
42. **Inform Buyers of Their Showing Activity Weekly**
43. Update Buyers On Any Price Drops
44. Discuss likes and Dislikes With Buyers At Showings
45. Find the Right Home for Buyers
46. Determine Property Inclusions & Exclusions
47. Prepare Sales Contract When Buyers are Ready
48. Educate Buyer’s On Sales Contract Options
49. Determine Need for Lead-Based Paint Disclosure
50. Explain Home Warranty Options
51. Update Buyer’s Pre-Approval Letter
52. Discuss Loan Objection Deadlines
53. Choose a Closing Date
54. Verify Listing Data Is Correct
55. Review Comps With Buyers To Determine their offer amount
56. Prepare, have buyer’s sign & Submit Buyer’s Offer to Listing Agent
57. Negotiate Buyers Offer With Listing Agent
58. Execute A Sales Contract & Disclosures
59. Once Under Contract, Send copies to the Escrow Company
60. Coordinate Earnest Money Deposit to Escrow
61. Deliver Copies to Mortgage Lender
62. Obtain Copy of Seller’s Disclosure for Buyers
63. Deliver Copies of Contract/Addendum to Buyers
64. Have Escrow order HOA Docs
65. Keep Track of Copies for Office File
66. Coordinate Inspections with Buyers
67. Meet All Inspectors At The Property
68. Review Home Inspection with Buyers
69. Negotiate Inspection Objections and Prepare a Request For Repair for the Seller
70. Get All Agreed Upon Repair Items in Writing
71. Verify any Existing Lease Agreements
72. Check In With Lender To Verify Loan Status
73. Check on the Appraisal Date
74. Negotiate Any Unsatisfactory Appraisals
75. Coordinate Closing Date
76. Make Sure All Documents Are Fully Signed
77. Verify Escrow Company Has Everything Needed
78. Remind Buyers to Schedule Utilities to be transferred into their name upon closing
79. Make Sure All Parties Are Notified of Closing Time
80. Solve Any Title Problems Before Closing
81. Receive and Review Closing Documents
82. Review Closing Figures With Buyers
83. Confirm Repairs Have Been Made By Sellers
84. Schedule and Perform Final Walk-Through with Buyers
85. Resolve Any Last Minute Issues
86. Confirm with Escrow that all items needed to close from both sides are in.
87. After these items have been completed to both the seller and buyers satisfaction the buyer will sign loan docs, deposit any funds needed to close escrow. Escrow will then set the file up at the County Recorder's Office for Recording.
88. The escrow will now be closed
87. Meet with Buyers at property
88. Provide Home Warranty Paperwork, Meet with Buyers at property
To Give Keys and Accessories to Buyers
90. Close Out Buyer’s Brokerage File
Whew…exhausting isn’t it!?! ??
?You don't need to buy or sell a home to support your agents real estate business – here are just a few simple ways to show your support!? By sharing one of their listings, sending a friend or family member their way, letting them connect you with agents outside their area for a broker to broker referral, or leaving them a positive comment or review, this helps them feel seen and supported - (thanks to you)! ???