Do you have an interest in having a real estate career? Or do you wonder what it is like to be a real estate agent in Canada? Then read on.
Real estate agents are people who bring buyers and sellers of real estate together to carry out a transaction. They are in charge of negotiations between the parties and they specialize in either commercial or residential real estate.
People who desire to work in the real estate world believe Canada to be their starting point. The country is undoubtedly large with an unending amount of land beginning from the Pacific down to the Atlantic in addition to the islands which are dispersed all over the seas. And because of this, numerous openings for real estate agents are available in Canada.
Owning a real estate property is on top of the list for most people due to the country accepting an increasing number of immigrants. Toronto and Vancouver are known as the major location for real estate agents to settle or practice.
Nowadays, more people are looking into the business of real estate in Canada. It is safe to think that becoming a real estate agent is quite easy.
How to become a real estate agent in Canada
Some points to note down as regards becoming a real estate agent in Canada have been listed below.
An interested person must abide by the following requirements.
- Be of unquestionable reputation
- Be up to 18 or above
- Must not be an ex-convict
- Graduated from a minimum of 12th grade
- Be a Canadian citizen
- Have a working visa, or hold a permanent residency status
Proficiency in English
A key requirement in Canada is English proficiency.
All real estate documents are to be written in English. And as such, you must be able to comprehend and interact in English.
There is no need for a college degree for Real estate agents who wish to start working. You only need a high school diploma (or its equivalent)
Prospective agents are expected to take on real estate courses. These courses teach them all they need to know about becoming successful.
All 13 Canadian Provinces have their real estate courses. They appear similar but there are variations in aspects of politics and geography in the cities and towns.
To get the real estate license, you will need to have finished your courses. The two courses to bear in mind are:
1. Fundamental Course
The first is the Real Estate licensing course which is offered through the University of British Columbia. This course can be taken by anyone irrespective of the area you wish to specialize in as it introduces you to all areas of the real estate profession.
Everyone takes this course irrespective of the area you intend to specialize in, whether commercial or residential real estate.
2. Special courses
The Second course is comprised of both the Residential Trading services and the Commercial Trading courses. You can choose to specialize in any area you’re comfortable with. This course equips a person with Real Estate Training.
Applying to BCFSA for your license will require proof of training in either Residential or commercial areas.
The pre-licensing training provides the foundation for your real estate career. In this training, you can learn about selling real estate and the laws governing the trading of real estate.
Canadian Real Estate Licensing Requirements
The requirements for the education and licensing of a real estate agent are laid down by regulators in each province. In most cases, it is of vital importance to obtain a minimum degree or certificate.
A full period of supervised training called Articling must be undergone before anyone is accepted as a real estate agent. All Provinces require potential brokers and agents to complete a written exam, even though the licensing and educational requirements may differ.
Several courses on real estate or other related courses are available currently in universities or any colleges. Also, the prospective agents can focus on any program which would produce a bachelor’s degree in real estate at any institution.
To make certain that real estate professionals are always abreast of happenings around them and also to flow with the current trends, some Provinces make Continued education (CE) mandatory.
Upon obtaining a Provincial license, a person is required to join the Canadian Real Estate Association(CREA) to become a recognized real estate agent.
There are some benefits you enjoy from being a member of CREA. These are:
- Multiple listing service access
- Access to robust statistics
- Ongoing education
- Professional standards and business practices
Find a Suitable Agency For You
Locate a brokerage agency that fits your needs and can sponsor you upon completion of your real estate courses. Ensure to conduct your research about their working environment, ethics guiding them as well as the principles they abide by. This will help in deciding on a brokerage that fits your needs.
The brokerage you eventually decide on working with will sign on your licensing application. And this brokerage needs to be a member of the real estate board in your location. Send the signed application to BCFSA for your licensing.
Once it is approved, you can then become recognized as a real estate agent.
Get an Errors and Omissions Insurance
Prospective real estate agents are required to get Errors and Omissions insurance from the real estate association in their Province. This insurance protects you from issues that may arise during work such as errors or damages.
Completing an Articling or Professional Training
In Canada, most provinces expect their agents to undergo training that involves completing a specified articling educational requirement for their license to get approved.
The agent undergoes this supervised training with the help of a mentor who is a more senior real estate professional.
Getting First Clients in Real Estate
Upon completion of your Articling stage, it is now time to start getting your clients.
Some useful tips to guide you include:
1. Utilizing the tools provided by your association, CREA.
Having access to your local multiple listing service (MLS) is needed so you can post properties online. In addition, you can rent several lockboxes from your association or brokerage so you can easily access your listed properties.
2. Market your services
Investing in some basic adverts is needed, even though your budget may be tight since you’re just starting. At a minimum, you should have some of the following
- A Business card,
- A Functional web page
- Property signage
Investing in radio spots, Search Engine Optimization, and online ads are also advised when you have more income.
3. Become popular and liked in your community
Relationship marketing is the easiest and the best type of marketing. It is based on the assumption that the more trust you can get from people you know, the more patronage you get.
You must become well known in your community despite having an active marketing campaign.
- Attend local chamber meetings
- Host a BBQ party in your community
- Sponsor a sporting event.
- Entice members of your community with freebies
Work with both the buyers and sellers
Real estate agents ought to work with buyers to enable them to connect with their listings or browse someone else’s listings
These strategies can help people attach a face to all the ads they sometimes come across from you so that when next they have internet in buying, you become the first person they call for this.
Benefits of Being a Canadian Real Estate Agent
There are many benefits you can enjoy as a real estate agent. Some of which include:
A really important aspect of the real estate profession is the independence that comes with the job. Unlike other jobs, a normal office day isn’t exactly an office day for the real estate agent.
You are not restricted to a 9-5 working schedule like a conventional worker. Rather, you will be able to manage your time based on what suits you and your clients the best.
The time you put into the job searching, building, and taking advantage of opportunities that you encounter are factors that determine your growth in the profession. You will discover that your earning capacity is not limited by your hourly income or salary, instead, it is limited by the amount of work you put in.
Providing yielding and high-standard services to customers and clients will help you create more opportunities for yourself in the future as the real estate needs of the people you assist will eventually grow.
Everyone is welcome
Most real estate agents in Ontario emerge from diverse backgrounds and bring along with them knowledge obtained while in other fields. Most people progressed from different fields like banking, sales, marketing, public services, etc to the real estate market.
The real estate profession is welcome to everyone notwithstanding their previous career or area of expertise. As long as you meet up to the requirements, you are welcome to practice as a real estate agent.
Connect with people
Purchasing or selling off a home or property is a big deal to a lot of people. Your role as a real estate agent is to help these people make the right decision in this critical moment of their lives.
You will have the opportunity of meeting different people and also develop lasting relationships along the way.
How much do real estate agents earn in Canada?
This is an important question. According to Neuvoo, a job posting site in Canada, an average real estate agent/broker earns up to $100,000 per annum or $51 hourly.
You should understand that how much you earn is dependent on where you choose to specialize in. For example, rental property managers earn a salary, whereas individuals that specialize in sales of properties earn a commission. This commission could be high one day and low the following day.
While considering whether the real estate market is right for you, bear in mind that there are costs involved in starting up this career and that creating a client list takes a while.
What is the cost of a real estate license in Canada?
Ensure you have enough money kept aside to enable you to kick start your career. This would be used for your education and licensing requirements.
The Real Estate Training Program recognizes an approach referred to as the “Pay as you go model”. In this approach, every area you utilize is to be paid for. Meaning that you pay as you progress through the program, you are not expected to pay the total required fee at once. This approach helps prospects to manage their expenses.
The average cost of getting a real estate agent license in Canada is in the range of $3,000 – $7,500. This price may vary depending on the province you are in.
The pre-licensing training program, license program, and association membership fees are all required to be paid. Your institution can make available to you a list of the courses you are required to complete.
The budget items to plan for include:
- Licensing course fees
- Assessment fees
- Canadian English Language Proficiency Index program general test
- Applied practice course fee
- Criminal record check fee
- Real estate board fees
- Advertising costs
- Smartphone, computer, printer, website, internet access, business clothing
How long does it take to become a real estate agent in Canada?
A period of between 9-12 months is the time frame required to become a real estate agent in Canada. The profession is a regulated body in Canada.
As soon as your Provincial Estate Board gives you approval, you can begin your Pre- Licensing courses. These courses ensure you have a basic knowledge about the following:
- The training you will require in real estate
- Your career as a Real estate agent
- Understanding the structure of land
- Residential type of real estate
- Commercial type of real estate
- Transactions made on the job
- Survey of real estate law
These courses are available online and can also be completed at the institutions. These pre-licensing courses allow you to study at your own convenient time.
Upon completion of the pre-licensing exam, you can begin the application for the licensing exam which process takes 9-12 months. After the exam is successful, you can get a job at any brokerage in your location.
And this is how you can begin your journey as a Real Estate Agent in Canada.