Can You Be a Part Time Real Estate Agent? Read This First
What if you can get all the benefits of being a part time agent but with half of the time commitment?
That’s the best part about becoming a part time real estate agent.
But, there’s one problem:
Becoming a part time real estate agent is a major time investment. You have to invest in lead generation, drawn out negotiation talks, and the vast mazes of paperwork.
In other words, there’s a lot of work to this job.
Yet, some people are able to become part time real estate agents. Not only that, but they do a great job at it, too.
Is becoming a part time real estate agent really possible? If so, how?!
You might want to work part time or you might want to pick up a slick side hustle to compliment your full time job.
Whatever your reason is, you can be a part time real estate agent. Here’s how.
How to Be a Part Time Real Estate Agent
To become a part time real estate agent, you have to fulfill the Department of Real Estate’s requirements.
This goes for people who want a side income, to get referral fees, or to collect commission from representing themselves.
In other words, you have to get a license and sign with a brokerage.
How to Get Your Real Estate License
To become an agent or referral agent, you need a real estate license.
You become a legitimate, legal agent when you receive your license. This shows everyone that you have the training to represent them in a transaction.
So, if you work part time, want a new side hustle, or want to get a referral fee, you need a real estate license.
Here’s how you get your real estate license:
- Enroll in an accredited real estate school
- Collect your 3 course completion certificates
- Pass the state exam
The Department of Real Estate mails your real estate license to your home address after you pass the exam.
That last thing you need to do is sign with a real estate brokerage.
How to Sign with a Brokerage as a Part Time Real Estate Agent
The real estate brokerage is your workplace hub. This is where you get training, legal resources, and even your morning joe.
Brokerages give you resources because they invest in you.
So, telling them your intention is vital during the brokerage interview. This is where you tell them why you want to become a real estate agent.
Becoming a part time agent looks different for everyone. That’s why you should tell them that you want to be one of the following:
- Permanent part time real estate agent
- Start part time and transition to full time
- Referral agent who only does referrals part time
- Part time side hustle to get another revenue stream
- You are an investor and you want to self represent
A good brokerage accepts you. So, if at first you don’t find one, don’t give up hope!
How to Sell Real Estate Part Time
Now comes the hard part. How do you sell real estate part time?
Selling real estate in a part time worker’s hours is a challenge. You balance and track many moving pieces during your job. 20-hours will go by faster than you realize.
With a structure change and priority realignment, you can balance the job. Here’s how you can sell real estate part time:
- Focus on lead generation
- Practice time management
- Prioritize quality over quantity
When you work part time, you should aim to make the most of what you have. Let’s see how this is possible.
#1 Focus on Lead Generation
The bulk of your work lies in lead generation. This is the core of your job as a part time real estate agent.
Without generating new leads for your business, people won’t know about your service and you will have no new clients.
So, when you focus on lead generation, you spend more time creating business for yourself. Ultimately, that leads to more commission checks.
You should spend the majority of your hours finding new clients. When you start earning more clients, you should still find time to lead generate.
But, be aware of your other responsibilities.
That’s how we get into…
#2 Practice Time Management
Time management is an art.
Knowing where to focus your time and for how long is a skill that even long term agents have a hard time mastering.
During your week, be realistic with your goals and how you manage your time.
The best way to manage your time is with calendars and to-do lists. This helps you identify what needs completing and when.
When you work with clients, you do paperwork, follow-up calls, commuting, home prepping and so much more. So, creating time for each task during the week is important.
For you, time is a limitation. 20-hours isn’t much to work with. That’s why you have to be intentional with your time investment.
#3 Prioritize Quality over Quantity
For most real estate agents, focusing on quantity is a great strategy. That’s the case for part time agents too–especially for lead generating.
But, when you work, prioritize quality hours as opposed to quantity hours.
In other words, don’t dilly-dally.
How you spend your time is vital to your success. Focus on the quality leads, the quality clients, and the quality real estate.
Therein lies the key to your success.
When you have limited hours, you need to use it wisely.
How Much Do Part Time Real Estate Agents Make?
Now, you might be wondering if working as a part time real estate agent is worth it.
If you’re going to work hard in a short period of time, is your time investment worth the compensation?
That’s a great question.
How much you make depends on how much you sell.
How Do Real Estate Agents Get Paid?
Real estate agents get paid a percentage of the amount of final sale price. Typically that percentage is 3%.
The brokerage splits this 3% with the agent 60/40.
So, to keep it simple, let’s say a part time real estate agent closed a deal on a $1,000,000 house. The brokerage will cut that agent a commission check for $18,000.
That’s pretty good money for a part time job. It’s even better if being a real estate agent is your side income job.
A real estate license is your opportunity to get a big check when the opportunity arises.
In other words, you can choose to be an agent when you want. If you want to represent when you have a friend or family member searching for a new home, you can.
You can work a full time job and only represent people in your immediate network.
How Much Do Referral Agents Make?
Some part time agents only refer clients to other real estate agents.
They spend their time lead generating and passing the nitty gritty to someone else.
In return, they get a small percentage of the other agent’s commission check. That percentage is between 20-25%.
Let’s look at our previous example’s commission. If a referral agent recommended that agent to their client, the referral agent made $3,600-$4,500.
That’s pretty good for finding one client.
Some part time real estate agents want to only prospect. By doing so, they can still make a great commission check.
Is it Hard to Be a Part Time Real Estate Agent?
Becoming a part time real estate agent isn’t easy.
Being a real estate agent is like running your own business. So, when you work part time, you run a business part time.
Let’s look at how hard it is to make a part time job in real estate work.
Is Being a Real Estate Agent a Good Side Job?
As a part time real estate agent, your job consists of lead generating. That’s how you draw in business.
A prime method of generating new clients is through your sphere of influence.
This is where most part time agents start. They either know someone or know someone who knows someone who is buying or selling property.
When the connection happens, you are one warm meeting from your new client.
Some part time agents will only work within their sphere of influence. So, they could work a full time job while they keep their real estate license in their back pocket. Then, when they hear a friend or family member wants to buy or sell, they can lend a hand.
This passive method of lead generating works for you.
Final Thoughts on Becoming a Part Time Real Estate Agent
Everyone expects part time real estate agents to perform the same as full time agent but with half the time.
How you work as a part time real estate agent is vital to your success.
It’s hard to run your own business. So, focusing on quality above everything else is important. This job is doable part time. But, it’s a challenge.
Don’t let this stop you. Becoming a part time agent is an effective and powerful way to create a life of financial success.
TL;DR: You can become a part time real estate agent or turn a career as an agent into a lucrative side hustle. But, if you want to be successful, you need to prioritize your time, focus on the quality, and do your lead generation. The best way to do this is to mine your sphere of influence for quality leads.