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Maybe you’re wondering whether you should become a part-time real estate agent. Or maybe you’re already a part-timer and you’re looking for ways to maximize your commission income.
Either way, this article has what you need. Read on to find out what it takes to crush it as a part-time agent.
Self-Assessment for the Aspiring Part-Time Real Estate Agent
Help With a Salary Estimate
First Steps You Need To Take
Top 5 Efficiency Secrets Every Part-Time Real Estate Agent Should Know
Self-Assessment for the Aspiring Part-Time Real Estate Agent
If you’re curious about whether this is possible and you’re asking questions like, “Can you be a part-time real estate agent and still work another job or pursue other things?” – the answer is yes! You absolutely can.
But before you commit, it’s a good idea to think things through. Because this is definitely not a side hustle you can just jump into haphazardly. No one “dabbles” in real estate.
To get your wheels turning, here are some important conversation starters that will help you find a greater sense of clarity and confidence, regardless of whether you arrive at a “yea” or a “nay.”
- What are my motivations for working as a real estate agent part time?
- How much time can I realistically dedicate to real estate alongside my other commitments?
- Do I have the necessary skills and knowledge to succeed in the real estate industry?
- Do I have enough supplemental income to be prepared for the ups and downs of getting started?
- How comfortable am I with networking and building relationships?
- Do I have a support system in place to help me manage the demands of both my personal and professional life?
- Am I comfortable working irregular hours, including weekends and evenings, to accommodate clients’ schedules?
- Is this the right time of life for me to take on the stress and pressure that comes with juggling multiple responsibilities and deadlines?
One last very helpful question to consider…
How Much Do Part-Time Real Estate Agents Make?
A part-time real estate agent’s salary varies. Your income potential depends on several factors such as location, market conditions, and how much time and energy you’re able to invest.
To give you an idea of how much you could make working part time, let’s consider a scenario. Let’s say an agent is working in a mid-sized city where the median sale price is $300,000. And assume the agent has a standard 3% commission rate. If they closed six transactions per year, here’s how that would break down:
- The gross commission income would be somewhere around $54,000 (6 transactions x $300K x 3% commission rate).
- To err on the conservative side, let’s say they’d have to deduct 30% of that for business expenses (e.g., marketing, association fees, transportation costs). That would leave a reminder of about $37,800 ($54,000 – 30% = $37,800), before taxes and any brokerage fees that may apply.
Before you take these figures too seriously, keep in mind that this is just a rough estimate we’re using to help you think things through. The numbers you come up with could be very different from what you see here. This also doesn’t account for any referral commissions you might receive along the way. (Learn more about referral fees in real estate.)
To get the most accurate figures, consult local market reports and ask seasoned experts from your area to help you come up with the right estimate for a part-time real estate agent salary.
First Steps To Becoming a Part-Time Real Estate Agent
Research State Requirements
Check out your state’s real estate commission website to understand the prerequisites for obtaining a real estate license. Each state has its own set of educational requirements, exams, and fees.
Complete Pre-Licensing Education
Enroll in a reputable real estate school or institution (such as Colibri Real Estate, for example) that offers pre-licensing courses approved by your state. These courses cover essential topics such as real estate principles, contracts, property management, and laws and regulations. Complete the required hours of education and fulfill any other state-specific requirements.
Prepare for the Licensing Exam
Study diligently, review course materials, take practice exams, and consider joining study groups or utilizing online resources and study guides. The exam typically includes both national and state-specific questions, so be sure to focus on both aspects. After passing, you’ll be eligible to apply for your real estate license.
Find a Brokerage That Will Sponsor Your License
Research local real estate brokerages that welcome part-time agents. Look for brokerages with supportive environments, training programs, and a reputation for assisting agents who balance real estate with other commitments. Schedule a time to talk with your favorites.
Let them know you plan to be a real estate agent part time. Tell them about your goals, find out about the level of support they offer, and ask about any commission structures or fees so you can make an informed decision about who to work with.
Apply for Your License
Once you’ve affiliated with a brokerage, submit your license application to your state’s real estate commission. Include the necessary documentation, such as proof of education, exam results, and background checks. (Heads up: you may have to pay state-required fees.)
Create a Business Plan
If you want to maximize your return on investment and reach the highest commission income levels a part-time agent can achieve, it’s imperative to create a business plan.
It’ll help you go through the process of refining intentionality, elevating accountability, and igniting motivation so you can be more productive year after year. You can do this on your own, but following along with a step-by-step guide is much easier and far more beneficial.
Market Leader, for example, offers a downloadable interactive guide for free called the 2023 Real Estate Business Plan, which provides the following:
- Real Estate Agent Expense Tracker Template
- Step-By-Step Goal-Setting Guide
- Marketing Plan Template
- Progress Tracking Scorecard
- 7 Tips For Success in 2023 (& Beyond)
Top 5 Efficiency Secrets Every Part-Time Real Estate Agent Should Know
Efficiency is the key to thriving as a part-time real estate agent. Here’s a list of the most valuable pro tips and hacks for optimizing productivity.
1. Set a Schedule (& Stick To It)
This isn’t just for people who like routine. This is for every part-time real estate agent who wants to avoid burnout and maintain a healthy work-life balance. At the same time, defining your work hours prevents your part-time endeavor from slowly becoming a full-time preoccupation. Real estate work will take over and interfere with your other commitments if you let it.
2. Focus on Time Management & Prioritization
This is huge. As a part-time real estate agent, your biggest challenge will likely be time management. If you can nail that, you’ll be well on your way to becoming successful and maximizing growth.
Start by developing a prioritization system so you can focus only on high-value activities and avoid getting caught up in all of the time-consuming details (more on this in the next tip!). Identify critical tasks that align with your lead-generation and income goals and tackle those first.
Consider using time management techniques like the Eisenhower Matrix or Pomodoro to stay organized and maintain focus. Utilize digital calendars and reminder apps to schedule appointments, set reminders for deadlines, and stay on top of your days.
3. Automate Routine Tasks
Efficiency-boosting tools like a customer relationship management (CRM) system can revolutionize your workflow. The best real estate CRM can help you manage your contacts with advanced filtering options, automate your marketing, automate follow-ups, integrate with your website, and help you stay organized. As a result, you can focus on generating leads, building relationships, and closing deals.
In other words, you can’t work efficiently without a real estate CRM. It’s not a luxury. It’s a tool every part-time agent needs.
4. Use Virtual Communication Tools
Video-conferencing platforms like Zoom are helpful for all real estate professionals. But for agents like you whose time is in short supply, they’re invaluable. Don’t waste time driving to meetings or showings if you don’t have to.
And if you work with a team, consider using tools like Slack or Microsoft Teams so you can communicate more efficiently.
Instant messaging apps like Slack or Microsoft Teams facilitate quick and efficient communication with clients and colleagues. Embracing virtual communication tools saves time, reduces the need for physical meetings, and allows for greater flexibility.
5. Learn How To Generate Leads Efficiently
As expert real estate coaches Tim and Julie Harris put it, “Real estate lead generation is the most important aspect of any career in the real estate industry. There are no sales unless there are leads.”
The challenge for part-time real estate agents is, lead generation is often extremely time-consuming. So that means, if you want your business to thrive, you have to focus not only on generating leads but also on doing it as efficiently as possible.
The most efficient way to generate real estate leads is to let a team of digital advertisers do it for you. (Feel free to use this article to help you decide if now’s the time to buy real estate leads.)
With Market Leader, for example, you can get a steady stream of exclusive leads in your areas delivered to you every month.
