Calling all realtors!
Jul 25th 2008, 7:19 am
#1
Thread Starter
Joined: Jul 2007
Posts: 2,139
Calling all realtors!
Evening all.
I am hoping to gather some personal comments/guidance regarding becoming a realtor in Canada (well Ontario really).
This is something I have been thinking over for a while now, and am currently wading through masses of information about the Real Estate Council & the Real Estate Association people. I have been looking into the training available through the OREA, and am encouraged to see that it doesn't cost an arm & a leg (or am I mistaken?!).
Some basic stuff like -
- For someone with no professional experience in the industry...where to start?!
- Do you sit the exams, become licensed & then get a job?
- Or does brokerage hire you & put you through the process?
This part concerns me a bit as the 'classroom' time would make it impossible to have a fulltime job as well.
- I can't find anything that says you must have specific qualifications to begin with, true or false?!
- Are there any major hurdles/licensing repercussions to becoming self employed in the far far off future?
- Is there anything major I may have overlooked...or not found out yet about the process?
I apologise for the many basic questions, I'm at the beginning of my research & would appreciate some guidance from those that have been there & done that.
Cheers & have a good weekend y'all
I am hoping to gather some personal comments/guidance regarding becoming a realtor in Canada (well Ontario really).
This is something I have been thinking over for a while now, and am currently wading through masses of information about the Real Estate Council & the Real Estate Association people. I have been looking into the training available through the OREA, and am encouraged to see that it doesn't cost an arm & a leg (or am I mistaken?!).
Some basic stuff like -
- For someone with no professional experience in the industry...where to start?!
- Do you sit the exams, become licensed & then get a job?
- Or does brokerage hire you & put you through the process?
This part concerns me a bit as the 'classroom' time would make it impossible to have a fulltime job as well.
- I can't find anything that says you must have specific qualifications to begin with, true or false?!
- Are there any major hurdles/licensing repercussions to becoming self employed in the far far off future?
- Is there anything major I may have overlooked...or not found out yet about the process?
I apologise for the many basic questions, I'm at the beginning of my research & would appreciate some guidance from those that have been there & done that.
Cheers & have a good weekend y'all
Jul 25th 2008, 7:41 am
#2
Now on Vancouver Island
Joined: Feb 2005
Location: Nanaimo, British Columbia, Canada
Posts: 6,935
Re: Calling all realtors!
Just to clarify something that may not have become apparent to you yet ....... Real estate salespeople in Canada work strictly on commission. They don't earn salaries.
When a real estate agency takes you on as one of their salespeople, they are not employing you as they would hire an employee. They are giving you an opportunity to take advantage of their name and shared services. In exchange for the benefits that you derive from that, you agree to split your commissions with them.
A real estate agency won't give you that opportunity until you've passed your real estate exams and obtained a licence to sell real estate.
As I understand it, additional qualifications are required if you want to work as an independent realtor or if you want to open your own real estate agency that employs other real estate salespeople. But be aware that you will incur additional expenses if you are not working under the umbrella of an established real estate agency.
A couple of years ago an acquaintance of mine qualified as a real estate salesperson in Calgary. She did all the classes at night, while she held down a full-time job during the day. So it can be done.
I realize I'm talking about Alberta, and you're talking about Ontario. The rules differ from province to province and perhaps even from municipality to municipality. But I have not provided much detail. The information I've given you is broadly applicable to the whole of Canada.
My experience with real estate companies is confined to about fifteen months as a secretary for a real estate agency. It was the very first job I got when I arrived in Canada 31 years ago.
I earned a salary, but my salary came out of the commissions that the real estate salespeople in my office shared with the company.
Back then there was no Internet, and prospective buyers could not look at the Multiple Listing Service's website. In those days real estate salespeople used to receive hard copy updates on a daily basis.
But, beyond that, the real estate industry still operates similarly to the way it did then.
x
When a real estate agency takes you on as one of their salespeople, they are not employing you as they would hire an employee. They are giving you an opportunity to take advantage of their name and shared services. In exchange for the benefits that you derive from that, you agree to split your commissions with them.
A real estate agency won't give you that opportunity until you've passed your real estate exams and obtained a licence to sell real estate.
As I understand it, additional qualifications are required if you want to work as an independent realtor or if you want to open your own real estate agency that employs other real estate salespeople. But be aware that you will incur additional expenses if you are not working under the umbrella of an established real estate agency.
A couple of years ago an acquaintance of mine qualified as a real estate salesperson in Calgary. She did all the classes at night, while she held down a full-time job during the day. So it can be done.
I realize I'm talking about Alberta, and you're talking about Ontario. The rules differ from province to province and perhaps even from municipality to municipality. But I have not provided much detail. The information I've given you is broadly applicable to the whole of Canada.
My experience with real estate companies is confined to about fifteen months as a secretary for a real estate agency. It was the very first job I got when I arrived in Canada 31 years ago.
I earned a salary, but my salary came out of the commissions that the real estate salespeople in my office shared with the company.
Back then there was no Internet, and prospective buyers could not look at the Multiple Listing Service's website. In those days real estate salespeople used to receive hard copy updates on a daily basis.
But, beyond that, the real estate industry still operates similarly to the way it did then.
x
Jul 25th 2008, 7:53 am
#3
ModerĪ±tor Emeritus
Joined: Sep 2003
Location: Upstate South Carolina
Posts: 30,771
Re: Calling all realtors!
An ex colleague of mine also showed its possible by worked full time while studying and passing the exams in Ontario, in fact I would think its virtually required anyway as a large proportion of Realtors dont make near enough commission to live off full time anyway. Those who make a good living at it are in the minority I suspect...
It takes a time to build up sufficient clientele and reputation to think about going full time.
It takes a time to build up sufficient clientele and reputation to think about going full time.
Jul 25th 2008, 12:28 pm
#5
RETIRED Realtor
Joined: Aug 2006
Location: Winnipeg, Manitoba
Posts: 2,087
Re: Calling all realtors!
Iaink is quite correct very few people make a great living from RE, some make a good living, most survive.
The drop out rate is very high fewer than 1 in 10 survive 2 years.
You work entirely by commission, and you work very hard for your money, 14 hour days are very common, 7 day weeks the norm.
It costs me about a $1,000 a month for my desk fee (to my Broker we are a 100% house we don't share our commission but we pay a monthly fee to the Broker), web site, advertising, Real Estate Board fees and MLX (MLS pro fees).
Then there are the Car payments, gas, insurance etc that about $1,000 per month.
Then there's the cell phone, Internet access, home office costs, Accountants fees (its a business) etc., etc. Smarter clothes than I would normally wear. Silly things, like you eat out more, usually alone, because you are not home at meal times.
So I calculate that I spend at least $50,000 a year on being in Real Estate, and of course I have no idea If I will earn a penny next month.
BUT its fun, I love helping people to buy a house, so most of my time is spent with buyers. It can be a very rewarding business once you have built up a regular client base, but you have to be good at what you do.
Unless you have a lot of contacts you will need to allow 2 - 3 years to build your business up, to be able to cover your costs and bring in an income.
Feel free to PM me.
The drop out rate is very high fewer than 1 in 10 survive 2 years.
You work entirely by commission, and you work very hard for your money, 14 hour days are very common, 7 day weeks the norm.
It costs me about a $1,000 a month for my desk fee (to my Broker we are a 100% house we don't share our commission but we pay a monthly fee to the Broker), web site, advertising, Real Estate Board fees and MLX (MLS pro fees).
Then there are the Car payments, gas, insurance etc that about $1,000 per month.
Then there's the cell phone, Internet access, home office costs, Accountants fees (its a business) etc., etc. Smarter clothes than I would normally wear. Silly things, like you eat out more, usually alone, because you are not home at meal times.
So I calculate that I spend at least $50,000 a year on being in Real Estate, and of course I have no idea If I will earn a penny next month.
BUT its fun, I love helping people to buy a house, so most of my time is spent with buyers. It can be a very rewarding business once you have built up a regular client base, but you have to be good at what you do.
Unless you have a lot of contacts you will need to allow 2 - 3 years to build your business up, to be able to cover your costs and bring in an income.
Feel free to PM me.
Jul 25th 2008, 12:58 pm
#6
Joined: Oct 2005
Posts: 152
Re: Calling all realtors!
Just to clarify something that may not have become apparent to you yet ....... Real estate salespeople in Canada work strictly on commission. They don't earn salaries.
When a real estate agency takes you on as one of their salespeople, they are not employing you as they would hire an employee. They are giving you an opportunity to take advantage of their name and shared services. In exchange for the benefits that you derive from that, you agree to split your commissions with them.
A real estate agency won't give you that opportunity until you've passed your real estate exams and obtained a licence to sell real estate.
As I understand it, additional qualifications are required if you want to work as an independent realtor or if you want to open your own real estate agency that employs other real estate salespeople. But be aware that you will incur additional expenses if you are not working under the umbrella of an established real estate agency.
A couple of years ago an acquaintance of mine qualified as a real estate salesperson in Calgary. She did all the classes at night, while she held down a full-time job during the day. So it can be done.
I realize I'm talking about Alberta, and you're talking about Ontario. The rules differ from province to province and perhaps even from municipality to municipality. But I have not provided much detail. The information I've given you is broadly applicable to the whole of Canada.
My experience with real estate companies is confined to about fifteen months as a secretary for a real estate agency. It was the very first job I got when I arrived in Canada 31 years ago.
I earned a salary, but my salary came out of the commissions that the real estate salespeople in my office shared with the company.
Back then there was no Internet, and prospective buyers could not look at the Multiple Listing Service's website. In those days real estate salespeople used to receive hard copy updates on a daily basis.
But, beyond that, the real estate industry still operates similarly to the way it did then.
x
When a real estate agency takes you on as one of their salespeople, they are not employing you as they would hire an employee. They are giving you an opportunity to take advantage of their name and shared services. In exchange for the benefits that you derive from that, you agree to split your commissions with them.
A real estate agency won't give you that opportunity until you've passed your real estate exams and obtained a licence to sell real estate.
As I understand it, additional qualifications are required if you want to work as an independent realtor or if you want to open your own real estate agency that employs other real estate salespeople. But be aware that you will incur additional expenses if you are not working under the umbrella of an established real estate agency.
A couple of years ago an acquaintance of mine qualified as a real estate salesperson in Calgary. She did all the classes at night, while she held down a full-time job during the day. So it can be done.
I realize I'm talking about Alberta, and you're talking about Ontario. The rules differ from province to province and perhaps even from municipality to municipality. But I have not provided much detail. The information I've given you is broadly applicable to the whole of Canada.
My experience with real estate companies is confined to about fifteen months as a secretary for a real estate agency. It was the very first job I got when I arrived in Canada 31 years ago.
I earned a salary, but my salary came out of the commissions that the real estate salespeople in my office shared with the company.
Back then there was no Internet, and prospective buyers could not look at the Multiple Listing Service's website. In those days real estate salespeople used to receive hard copy updates on a daily basis.
But, beyond that, the real estate industry still operates similarly to the way it did then.
x
Jul 25th 2008, 1:22 pm
#7
Binned by Muderators
Joined: Jul 2007
Location: White Rock BC
Posts: 11,688
Re: Calling all realtors!
I agree with much of what MB-Realtor said (and he obviously knows what he is talking about).
I see lots of people who think selling real estate is easy money, especially when it is a sellers' market. They do the courses, take the exams and then struggle like hell. I think it can be a great career, but make no mistake, you are going to work VERY hard to establish yourself.
The successful realtors I have had the pleasure of working with enjoy their life and make very, very good money. But they have spent years and years getting themselves established in the area they work in. It takes a lot of effort to spend 12 or 14 hours a day being nice to every idiot that pretends to be interested in property, getting involved with every community activity, and spending every spare moment you have introducing yourself to every person you meet.
My only disagreement with MB-Realtor is in the 2-3 year timescale. You must be really good, and willing to work yourself into the ground, to expect to make any serious money in that time. The people I know look on it as ten years of investment, ten years of making a living, ten years of making a pension, and ten years of having fun.
I see lots of people who think selling real estate is easy money, especially when it is a sellers' market. They do the courses, take the exams and then struggle like hell. I think it can be a great career, but make no mistake, you are going to work VERY hard to establish yourself.
The successful realtors I have had the pleasure of working with enjoy their life and make very, very good money. But they have spent years and years getting themselves established in the area they work in. It takes a lot of effort to spend 12 or 14 hours a day being nice to every idiot that pretends to be interested in property, getting involved with every community activity, and spending every spare moment you have introducing yourself to every person you meet.
My only disagreement with MB-Realtor is in the 2-3 year timescale. You must be really good, and willing to work yourself into the ground, to expect to make any serious money in that time. The people I know look on it as ten years of investment, ten years of making a living, ten years of making a pension, and ten years of having fun.
Jul 25th 2008, 1:28 pm
#8
RETIRED Realtor
Joined: Aug 2006
Location: Winnipeg, Manitoba
Posts: 2,087
Re: Calling all realtors!
My only disagreement with MB-Realtor is in the 2-3 year timescale. You must be really good, and willing to work yourself into the ground, to expect to make any serious money in that time. The people I know look on it as ten years of investment, ten years of making a living, ten years of making a pension, and ten years of having fun.
I reckon if you are going full time (there is NOT an option of being part-time in Winnipeg) you will need considerable capital, or a well paid working spouse, just to get your wheels spinning.
Jul 25th 2008, 4:14 pm
#9
No time for muppets!
Joined: Jun 2008
Location: Alliston, ON
Posts: 585
Re: Calling all realtors!
Iaink is quite correct very few people make a great living from RE, some make a good living, most survive.
The drop out rate is very high fewer than 1 in 10 survive 2 years.
You work entirely by commission, and you work very hard for your money, 14 hour days are very common, 7 day weeks the norm.
It costs me about a $1,000 a month for my desk fee (to my Broker we are a 100% house we don't share our commission but we pay a monthly fee to the Broker), web site, advertising, Real Estate Board fees and MLX (MLS pro fees).
Then there are the Car payments, gas, insurance etc that about $1,000 per month.
Then there's the cell phone, Internet access, home office costs, Accountants fees (its a business) etc., etc. Smarter clothes than I would normally wear. Silly things, like you eat out more, usually alone, because you are not home at meal times.
So I calculate that I spend at least $50,000 a year on being in Real Estate, and of course I have no idea If I will earn a penny next month.
BUT its fun, I love helping people to buy a house, so most of my time is spent with buyers. It can be a very rewarding business once you have built up a regular client base, but you have to be good at what you do.
Unless you have a lot of contacts you will need to allow 2 - 3 years to build your business up, to be able to cover your costs and bring in an income.
Feel free to PM me.
The drop out rate is very high fewer than 1 in 10 survive 2 years.
You work entirely by commission, and you work very hard for your money, 14 hour days are very common, 7 day weeks the norm.
It costs me about a $1,000 a month for my desk fee (to my Broker we are a 100% house we don't share our commission but we pay a monthly fee to the Broker), web site, advertising, Real Estate Board fees and MLX (MLS pro fees).
Then there are the Car payments, gas, insurance etc that about $1,000 per month.
Then there's the cell phone, Internet access, home office costs, Accountants fees (its a business) etc., etc. Smarter clothes than I would normally wear. Silly things, like you eat out more, usually alone, because you are not home at meal times.
So I calculate that I spend at least $50,000 a year on being in Real Estate, and of course I have no idea If I will earn a penny next month.
BUT its fun, I love helping people to buy a house, so most of my time is spent with buyers. It can be a very rewarding business once you have built up a regular client base, but you have to be good at what you do.
Unless you have a lot of contacts you will need to allow 2 - 3 years to build your business up, to be able to cover your costs and bring in an income.
Feel free to PM me.
Hang on just joking, its Sat 1am Im mullered and Stewart knows I like to tease realtors!
He has his head screwed on even if he did choose to live in the Peg
!
Jul 26th 2008, 6:07 am
#10
Thread Starter
Joined: Jul 2007
Posts: 2,139
Re: Calling all realtors!
Many thanks for all the inputs.
I certainly do not think 'selling real estate is easy money'. I am simply looking ahead for a change in career/industry in the future. As previously stated, I am just beginning to research the idea, so thanks again!
I certainly do not think 'selling real estate is easy money'. I am simply looking ahead for a change in career/industry in the future. As previously stated, I am just beginning to research the idea, so thanks again!
Jul 26th 2008, 6:50 am
#11
Binned by Muderators
Joined: Jul 2007
Location: White Rock BC
Posts: 11,688
Re: Calling all realtors!
I spent a miserable couple of hours on Thursday night in the company of a woman who became a realtor a few years ago, and wouldn't stop moaning about her lot in life.
She had seen this area when the market was red hot and houses were selling within a day or two of them being listed, if they made it as far as the MLS. It looked an easy business to be in. Buyer's agents, in particular, could pick and chose their clients because there were a lot more people trying to buy than houses available.
She doesn't get any listings because she has not put the effort into marketing herself within the local community. She is frustrated that the market has swung in favour of buyers. Houses now take 2-3 months to sell, even if they are priced right. Instead of there being two or three houses in a price range there are twenty of thirty, the buyers want to see them all, and they can afford to be picky.
She doesn't like the hard work involved now, I don't think she likes her clients very much, and she is not making any money. She is fortunate to have a husband who is earning enough to indulge her.
I am sure you will approach real estate sales as a career option with a much more level head that she did.
Jul 26th 2008, 7:23 am
#12
Thread Starter
Joined: Jul 2007
Posts: 2,139
Re: Calling all realtors!
That wasn't aimed at you! Gotcha
She doesn't like the hard work involved now, I don't think she likes her clients very much, and she is not making any money.
Aw, diddums.
She is fortunate to have a husband who is earning enough to indulge her.
Ah. That's where I'm going wrong.
Gotcha She doesn't like the hard work involved now, I don't think she likes her clients very much, and she is not making any money.
Aw, diddums.
She is fortunate to have a husband who is earning enough to indulge her.
Ah. That's where I'm going wrong.
Jul 26th 2008, 9:44 am
#13
RETIRED Realtor
Joined: Aug 2006
Location: Winnipeg, Manitoba
Posts: 2,087
Re: Calling all realtors!
There is a very good web site (Forum) for Real Estate, its USA centric but the basic principles apply, have a good read there, you will find The Good, The Bad & The Ugly. I spent hours reading it before I took the Plunge.
http://www.agentsonline.net/forums/ubbthreads.php
Jul 26th 2008, 10:02 am
#14
West Coast Enthusiast
Joined: Nov 2004
Location: Sunshine Coast
Posts: 332
Re: Calling all realtors!
There is a very good web site (Forum) for Real Estate, its USA centric but the basic principles apply, have a good read there, you will find The Good, The Bad & The Ugly. I spent hours reading it before I took the Plunge.
http://www.agentsonline.net/forums/ubbthreads.php
http://www.agentsonline.net/forums/ubbthreads.php
I can't add much to what's been said already. Just to say to agree that it is competitive, self-directed and no one will give you business. As a newcomer to the country you are not able to call up all your college buddies etc and say "wanna sell your condo, dude?" - well you could but they'd think you were nuts (if they didn't already).
Warmly,
Frank
Jul 26th 2008, 10:23 am
#15
BE Enthusiast
Joined: Dec 2003
Location: Ontario, Canada
Posts: 836
Re: Calling all realtors!
For Ontario start here
www.orea.com that has all the info regarding licensing and duration and costs
The next point I would make to people thinking of getting their license is
suppose you had your license today - what would be your next step?
and why would anyone chose you to buy/sell the most expensive item they own over a much more experienced realtor?
I did my courses 6 years ago - the courses are the easy bit ...building up a viable business is the real test!
www.orea.com that has all the info regarding licensing and duration and costs
The next point I would make to people thinking of getting their license is
suppose you had your license today - what would be your next step?
and why would anyone chose you to buy/sell the most expensive item they own over a much more experienced realtor?
I did my courses 6 years ago - the courses are the easy bit ...building up a viable business is the real test!
