Earning your real estate license in Illinois involves fulfilling educational requirements, finding a sponsoring broker and taking and passing the state agent exam. Furthermore, selecting a brokerage that offers tools, support and market assistance is also key.
Top Agent Magazine features real estate agents and brokers from Chicago, Aurora, Naperville and other Illinois cities and towns. While experts in their home markets, these real estate professionals also strive to give back to local charities while supporting global charities as much as possible.
Education and Licensing
Real estate agents work on commission, earning a percentage of the sale price when they successfully close deals. Not only can this profession offer lucrative earnings potential, but real estate agents also enjoy flexible schedules and an abundance of career options. Steps towards becoming a real estate agent in Illinois involve taking a pre-licensing course, passing a background check and passing the state licensing exam. Real estate agents starting their career may incur additional costs such as a license application fee, 60-hour Pre-License course fees and exam fees as well as membership dues to local, state and national realty associations and MLS access fees plus annual dues payments for memberships and dues dues for realty associations – these could total more than $3,000. Therefore it is crucial that they are financially prepared to afford such an upfront investment.
Pre-licensing courses can be taken either online or in person, depending on your learning style and time constraints. When selecting an accredited course that fits with your learning style and time limitations, look for one with study materials, practice exams and guarantees to help prepare you for state licensing exam on first attempt if completed course successfully.
Once you’ve finished both courses, the 60-hour Pre-License and 15-hour Applied Real Estate Principles courses, you are eligible to register for and take the state licensing exam. This exam consists of 140 multiple choice questions covering national and state laws regarding real estate practices. When you register for it make sure to provide your Social Security number so PSI can run a background check before administering it.
As soon as you become licensed as a real estate agent, the next step will be choosing a brokerage with which to affiliate. Your broker will oversee your activities and establish the commission structure that applies. In some instances, mentorship programs or support services may also be provided while some simply pay you an annual salary.
Illinois Real Estate Board provides a list of approved continuing education providers on their website for real estate brokers seeking licensure in Illinois. In order to pass both exams successfully and remain up-to-date in their industry.
Expenses
Becoming a real estate agent in Illinois can be costly. A pre-licensing course alone may set you back as much as $600; additional funds may need to be allocated towards textbooks and materials related to your career path. Once licensed, however, additional expenses should include business cards and websites to promote yourself effectively as you build clientele and increase clientele numbers. Real estate agents also pay fees to join Multiple Listing Services (MLS), an online database used by realtors to connect buyers with sellers.
Budget for additional expenses such as gas and food to get to showings. Depending on your location and market, property taxes and closing costs might also need to be factored in as closing costs; in some instances you might even require legal services for contract review and negotiation purposes; when selling a home you’ll probably also need to spend money staging or cleaning up so as to appeal more fully to potential buyers.
Average Illinois realtor commissions average around 5.35%, with 2.75% going to the seller’s agent and 2.60% going to the buyer’s agent; however, these rates may differ between agents; it’s always wise to negotiate for a lower fee with yours.
Real estate agent fees are one of many expenses to keep in mind when selling a home, and can significantly eat into your profit margin. While you could try selling it without using an agent directly, be mindful of all possible risks before proceeding.
Clever Real Estate can also help you save on real estate agent fees by using a discount broker like us. We will find a full-service realtor who charges lower fees than average, saving thousands off the sale price. Plus, we will pre-negotiate listing fees so that awkward conversations about commission reduction don’t arise between seller and agent.
Earnings
Real estate agents in Illinois primarily derive their income through commissions earned on property sales. Commissions usually represent a percentage of the final sale price and can vary significantly based on market conditions, property values and an agent’s level of experience. Some agencies also provide salary bases in addition to commissions which provides greater stability than only earning through commissions alone.
Real estate agents in Illinois must uphold a stringent code of ethics and abide by legal guidelines designed to safeguard consumers as well as maintain the integrity of the profession. These requirements serve to maintain legitimacy of information provided to buyers or sellers looking for property of all kinds in Illinois.
Real estate agents who excel can expect to earn between $50K and $100K annually depending on their market size and location, with top producers often surpassing this figure – especially those working in larger markets such as Chicago.
Real estate agents who wish to maximize earnings should consider specialising in specific properties or market segments, in order to create a stronger client network and gain deeper knowledge of their local market, which will translate to increased sales and improved advice for clients. Focusing on niche or specialty can also reduce competition in their field while simultaneously positioning agents as leaders within it.
Real estate agents can increase their earnings through several avenues, including continuing education, earning professional certifications or designations, investing in marketing and advertising strategies and finding an agent-friendly brokerage with competitive commission rates while offering support and training programs to its agents.
Clever is an ideal option if you’re seeking to save on realtor commissions when selling your home, offering 1.5% listing fees instead of the standard 3% fee – saving thousands in commission costs! Use our commission calculator and see just how much money can be saved with Clever!
Continuing Education
Sales agents and brokers who wish to retain their real estate license must participate in continuing education (CE) every year or periodically as dictated by state laws and administered by state real estate commissions. Clicking your state from the list below will take you directly to their page with information regarding specific CE real estate requirements.
Nebraska requires 18 hours of continuing education every two years for licensees in their state, including 6 hours on mandatory topics. As an approved provider, 360training offers various course packages and options to meet Nebraska CE requirements.
New Mexico Real Estate Commission mandates that licensees take at least one four-hour Mandatory NMREC Core Course each licensing cycle; brokers are additionally required to complete one four-hour Core Elective and one 6-hour Broker-in-Charge Refresher course each licensing cycle. For further details regarding New Mexico CE requirements, please visit their website.
Oregon real estate licensees must complete 21 CE hours annually, including 12 Law credits. Oregon’s website contains a complete listing of available real estate courses with their associated credit hours.
Idaho real estate licensees must complete 15 hours of continuing education each licensing year, with three of those hours being law credits. Idaho’s licensing website features an exhaustive listing of real estate courses with their individual credit hours.
Nevada licensees must complete 30 CE hours each licensing year, with 12 being law credits. Their state’s licensing website contains forms to download as well as a comprehensive list of real estate courses available to them.
California real estate licensees must complete at least 45 CE hours each licensing year, with at least 24 of those hours coming from mandatory topics. The state licensing website features numerous courses with their associated credit hours.
All online courses require a designated seat time in order to prevent licensees from finishing courses in less than the stipulated amount of time. Furthermore, most of them offer a final exam which must be passed with at least 75%, and some even provide retake options if students fail the final exam.