Thinking of re-acquiring my real estate license

I was licensed in 2005-2006 but because of the divorce and other personal issues I let it drop off. I have a degree in housing studies, thinking of getting back into real estate. My psychiatrist says stick with disability and lay low in life, his nephew is a real estate agent and it's hard work. You don't want to risk losing disability because of the benefits. My therapist says give it a shot you'll only lose your disability if you become successful at it. My mom says stay on disability and get a part time job.

 

To regain my license all I need to do is retake the exam and pass of course, and than complete the continued education courses which is why it dropped off I wasn't in a place I could do the continued ed courses, which are 30 hours of study, and of course get a broker who can hold my license for me. I already paid to take the exam, before I got all this advice. I planned to study for a few weeks and retake the exam. It's not refundable or transferable. Should I give it a shot or not? Whose advice should I listen to because I want to listen to my therapist. My mom is worried about me having another breakdown because things seemed to be going well for me than they suddenly weren't. I wasn't taking my meds I keep telling her, I was stressed financially. And than just started the downward spiral.

 

I honestly don't want to live on disability the rest of my life. I'd rather be more successful and not need it. Sure I'm still working on being stable but that's a life long effort truly. My real concern is the benefits. When you are self-employed what do you do for benefits? I need my meds covered because they are what make it possible for me to work. My meds are about 2K a month without insurance.

Well, Social Security allows you work 9 trial months to see how things go, and gives you an additional 3 years of coverage to see if working is too much for you. You can certainly go slow and see if you can handle it without losing SSI or medicaid. So I agree with your therapist, and your mom's correct too, you can always get a part-time job if it doesn't work out.

 

You can read more here:

 

https://www.fool.com/retirement/general/2016/05/16/can-you-work-while-receiving-social-security-disab.aspx

Thanks the part I read about working 80 hours as a self-employed person kind of made me nervous. I thought they just cared about income.

Look into insurance costs in your state and see if the meds are covered by whatever private insurance you could get. It may be less expensive than paying out of pocket.

Thanks I just looked into private insurance that would work fine, in fact I might spend about the same on insurance as I do now. Granted I'd have more out of pocket costs but it looks feasible.

You've paid for the test so take it, especially since you cant get your money back.

Questions to answer - how long can you afford to live with zero income? How will you get clients? Do you have a realistic feasible plan for that? Can you afford to pay monthly fees to broker even during months where you make zero income? Do you have reliable transportation and can you handle the stress/demands of running at the beck and call of a client with zero notice? Are you good at sales and negotiation? Can you handle stress, dirty competition, unreasonable or downright crazy buyers and sellers and being the mediator between both without that adversely affecting your own stability? Do you network with people well and do you know how to compete effectively in a highly saturated market? Can you weather extended periods of no income, contracts falling through, etc and do you have the discipline to budget yourself accordingly or are you going to get stressed and go downhill fast? How well do you handle rejection?

 

Real estate is a pretty hard core sales job. So do you have a passion for sales, networking, marketing, competition? If not, then perhaps this isn't for you. Not to say that you should just stay dependent on disability, but that you need to make sure you are taking on something that actually suits you, your personality, and your abilities, without negatively affecting your personal stability.

As a retired realtor I can tell you that you will be working all holidays, weekends and even when you're ill because people don't care about what you're going through. They just care about getting a home and they are excited to do it when they themselves are on a holiday from work.

It cost a lot of money to sit at a brokerage (at least it does here) and they don't care whether you've made money that month or not... the fees just keep on keeping on.

 

Even though you make hella money when you work it... That's the reality of it.

Will your disability allow you to be a successful realtor?

I'm researching marketing techniques now. I'm still considering it. As long as I have my meds and keep going to my appointments I'm fine, deemed normal by most who encounter me.

As stated by another poster, working as a real estate salesperson means working evenings, weekends and holidays. It's not an 8-5 job and you can't really set your own hours because you need to accommodate clients when THEY have time, or you won't make any sales.

 

Will this cut into your time with your daughter?

 

My best friend tried being a real estate salesperson. After investing several thousand dollars she quit. She was outraged that clients expected her to show homes in the evening and on weekends. She cried "But that's my time with my husband and children! How can they expect me to give that up???!!!" She also could not meet her broker's required sales quota of two sales per month. She had no idea how to generate leads and relied solely on the broker's website, which often had "leads" that were just real estate looky-loos who had no plans to buy or sell. So, she gave it up. And this was a woman whose household had another full time income to rely on.

 

If this was just something you want to do as a side job or hobby (one of my friends does this but she also has another part time job) and not your sole source of income, I'd ask if you can afford the investment.

 

If you're passionate about selling real estate then forge ahead, but I would make sure to have another part time job to provide some income while you get into the business.

You can get a real estate license and work as a licensed assistant in a real estate office -- you would be able to prepare contracts where an unlicensed assistant or office manager cannot do so in most states. THAT is a job that you could feasibly handle, but the best thing to do would be to find a broker who is willing to hire you pending your license renewal. YES you may still have to work some hours on the weekend, but you would not be out showing houses for the most part. a realtor that is getting successful and needs an assistant but not someone who is so successful that they hire a buyer's agent and a secretary. Or work for a broker's office helping multiple people.

 

BUT THIS COSTS MONEY because you would have to go through class again most likely -- regulations change from decade to decade.

 

But seriously Jetta - you are all over the place. One step at a time. One tangent at a time.

You can get a real estate license and work as a licensed assistant in a real estate office -- you would be able to prepare contracts where an unlicensed assistant or office manager cannot do so in most states. THAT is a job that you could feasibly handle, but the best thing to do would be to find a broker who is willing to hire you pending your license renewal. YES you may still have to work some hours on the weekend, but you would not be out showing houses for the most part.

This isn't true. I started out as a licensed assistant at first and worked even more hours then I did when I finally went out on my own and I could actually pick and choose who I would work with and who I wouldn't. When you are working for someone they don't want you turning down leads. What happened with me is she expected me to work the office and do all the paperwork incurred when she was out selling and then expected me to show houses on the weekends so she wouldn't have to.

 

a realtor that is getting successful and needs an assistant but not someone who is so successful that they hire a buyer's agent and a secretary. Or work for a broker's office helping multiple people.

There are no benefits when you work for someone who is self employed. If you're going to work as someone's assistant then you would do better to just work in a office environment with a good benefit plan.

 

BUT THIS COSTS MONEY because you would have to go through class again most likely -- regulations change from decade to decade.

Yes, they do, big time changes and regulations and just going in to write the exam after being out of it for a while or, never being in it at all would likely find you lost.

I think Jetta would lose her benefits if she works an office job full time.

 

My friend tried doing that...working as an office assistant in a real estate broker's office. It was full time, 8-5, and she was required to work Saturdays. I believe, Jetta, that you see your daughter on Saturday? Can that be rescheduled for Sundays?

This isn't true. I started out as a licensed assistant at first and worked even more hours then I did when I finally went out on my own and I could actually pick and choose who I would work with and who I wouldn't. When you are working for someone they don't want you turning down leads. What happened with me is she expected me to work the office and do all the paperwork incurred when she was out selling and then expected me to show houses on the weekends so she wouldn't have to.

 

There are no benefits when you work for someone who is self employed. If you're going to work as someone's assistant then you would do better to just work in a office environment with a good benefit plan.

 

Yes, they do, big time changes and regulations and just going in to write the exam after being out of it for a while or, never being in it at all would likely find you lost.

 

there are different types of assistants. There are larger brokerages with multiple agents who do have a receptionist or two that only work limited hours. And there are assistants like you say - who live and breathe it right along with the regular agent --- oftentimes a spouse -- but in my experience, there was an older gentleman where all he did was prepare contracts, etc, - he came into the office at specific times and would handle the backlog for everyone while he was there. I think he worked a couple of evenings a week and a couple of early mornings a week.

 

I don't think that she is thinking this through, though as far as startup costs.

you'll only lose your disability if you become successful at it.

 

This is key. What's to lose by trying? You'll work on commissions, so your disability isn't at risk unless you earn enough money. Until then, it's a hobby.

Money is to lose. You can't just sit at a real estate office for free. There are monthly desk fees, licensing fees, advertising fees and some even charge for coffee per month. The brokerage I worked with charged $60.00 a month just for coffee (whether your drank it or not) and $200.00 a month for permission to use the Logo which was mandatory on all signs and correspondence. Desk fees were $600.00/month. You had to work at it full time and be successful or you would end up in a deficit.

 

Now, if you were to hook up with an established agent, Jetta... I'd suggest that you negotiate that he or she pay all your fees on top of whatever percentage you agree to per sale.

 

Really research before you jump into it. Maybe even go to your preferred brokerage, ask to speak to the Broker and see what options could be available to you and that will accommodate your situation.

 

Good luck whatever you decide to do.

I am not in sales although I have been in the past and I am good at it and enjoy it. The main reason is because of the unpredictability which wouldn’t work for me as a parent. Jetta - I would not research marketing techniques. Waste of time imo. Part of this is natural ability and another crucial piece is finding a seasoned realtor who wants to mentor you and perhaps even shadow her when she takes prospective buyers around etc. (I might be using the wrong terminology- not my field). Doesn’t seem to me you have the type of life situation or temperament right now that would be well suited to this kind of sales work. And the financial investment really could set you back.

Money is to lose. You can't just sit at a real estate office for free. There are monthly desk fees, licensing fees, advertising fees and some even charge for coffee per month.

 

Exactly. Unless you are paid hourly as a receptionist, office manager, etc. If you are the agent, all of this is true.

I'm in sales for a living, but a majority of my income is base, so it's guaranteed, plus I have benefits, a company car, phone, etc. Trust me, when it's bad, it's bad. I don't think I could stomach weathering a slow sales period without all of this.

 

Add to that that yes, real estate sales happen when everyone else is off. Memorial Day weekend, people want to look at homes. Nights, weekends, is when people have time to look at homes. It can be very tough, and it can take years, to build up clientele. My friends who are realtors, who are successful at it, have been at it for years.

 

Maybe try and find something that offers a base salary plus? They're out there, if you have a good resume with solid sales experience.

Just curious, how much a successful realtor can earn? Is there a standard commission like 3-4% or depends on the case ?

The housing market is extremely good for home buying. It is a sellers market right now. My husband and I are looking for a home and are having difficulty because a few homes that we wanted to look at are being sold within a week.

 

Because of our situation of an upcoming baby we are rushing to make a decision and constantly talking to our agent who is also a coworker of mine. She is working nonstop and is able to do so because she is not married or has any children. I cannot imagine her doing what she does if she’s got family. I spent up to 9:30 talking to her last night to book more house showings because three new homes popped up yesterday and I’m afraid they will be sold within a week like the other homes I wanted to see this weekend.

 

Just my 2 cents. It’s good money because of the housing economy but you are working like a dog.

The housing market is extremely good for home buying. It is a sellers market right now. My husband and I are looking for a home and are having difficulty because a few homes that we wanted to look at are being sold within a week.

 

Because of our situation of an upcoming baby we are rushing to make a decision and constantly talking to our agent who is also a coworker of mine. She is working nonstop and is able to do so because she is not married or has any children. I cannot imagine her doing what she does if she’s got family. I spent up to 9:30 talking to her last night to book more house showings because three new homes popped up yesterday and I’m afraid they will be sold within a week like the other homes I wanted to see this weekend.

 

Just my 2 cents. It’s good money because of the housing economy but you are working like a dog.

 

My friend did this with two children and one with special needs. Her husband is a school teacher so he was home evenings. It can be done but she's always been a person who gets things done, intense attention to detail (former accountant), and has a very strong work ethic. And she's an awesome mom.

Just curious, how much a successful realtor can earn? Is there a standard commission like 3-4% or depends on the case ?

 

There is a commission split between the brokers and the agents. If there are two real estate firms involved, the commission is split in half before it is further subdivided within each agency. The split between broker and agent varies. Agents can negotiate this amount with their brokers. The total commission is defined by the listing agreement signed between the seller and the listing agency. This rate is negotiable, but in NJ it is usually between 5%-6%. And don't forget that number is often split between four parties.

You can get a real estate license and work as a licensed assistant in a real estate office -- you would be able to prepare contracts where an unlicensed assistant or office manager cannot do so in most states. THAT is a job that you could feasibly handle, but the best thing to do would be to find a broker who is willing to hire you pending your license renewal.

 

This is a great idea. I worked in a real estate office while finishing grad school, and the assistant there got paid well and was allowed to use the facilities to market her own listings.

 

Pay plus the ability to get your feet wet as a part time agent? Sounds fabulous, but will depend on the laws in your location. I'd look into it.

There is a commission split between the brokers and the agents. If there are two real estate firms involved, the commission is split in half before it is further subdivided within each agency. The split between broker and agent varies. Agents can negotiate this amount with their brokers. The total commission is defined by the listing agreement signed between the seller and the listing agency. This rate is negotiable, but in NJ it is usually between 5%-6%. And don't forget that number is often split between four parties.

Its the same here but when dealing in homes over a million, the usual commission can be higher since they are harder to turn over, take longer to sell and only certain buyers will be looking. You also have to do higher end and more expensive marketing with high end properties.