“I know the price of success: dedication, hard work, and an unremitting devotion to the things you want to see happen.”
– Frank Lloyd Wright, American architect, writer and educator
I got an email from YM this morning. This was the content of her email:
“Good Afternoon Atty. Ernesto,
“I am planning to join the last batch of Real Estate Brokers that requires only 120-hour seminar/lecture to take the exam. However, Im feeling a bit unsure and hesitant to pursue with the 120-hour seminar/lecture because I really have no idea what real estate brokers do and the opportunities once you pass the board exam.
“I am hoping that you can enlighten me about my concerns?”
Thank you for the email YM. I decided to answer the question and share the same to other people who may be feeling as uncertain as YM.
First of all, learning new things can be unnerving, daunting and intimidating at first. But that feeling will soon pass as one learns each new concept slowly. There is no going around the 120-hour review or seminar. It is a requirement by the Professional Regulatory Board of Real Estate Service (PRBRES).
Second, what do real estate brokers do? Well, that answer can be found in Paragraph (4) (G), Section 3 of Republic Act No. 9646, otherwise known as the “Real Estate Service Act of the Philippines.” It states that a real estate broker is a duly registered and licensed natural person who, for a professional fee, commission or other valuable consideration, acts as an agent of a party in a real estate transaction to offer, advertise, solicit, list, promote, mediate, negotiate or effect the meeting of the minds on the sale, purchase, exchange, mortgage, lease or joint venture, or other similar transactions on real estate or any interest therein.
Simply put, the real estate broker is the middle man or woman between the two parties wanting to make a deal or consummate a real estate transaction. What transactions, you ask? It could be a sale, purchase, exchange, mortgage, lease or joint venture projects, or similar transactions on real estate or any interest therein.
Third, what are the opportunities for a newly licensed real estate broker? Easily, engaging in real estate brokerage is the most obvious one. A new real estate broker can apply with established real estate development companies to market existing projects all over the country.
Or the newbie can set out on his/her own and be an independent real estate broker seeking out listings from sellers of real property. The newbie can do this for a couple of years until he/she is ready for the next step in his/her career in real estate.
After five (5) years as a licensed real estate broker, he/she can take the licensure examination to become a real estate appraiser or wait for another five (5) years before he/she can take the licensure examination to become a real estate consultant (which requires a minimum of 10 years of practice as a real estate broker). As an appraiser, one becomes an expert at valuing a particular real estate property.
As a real estate consultant, one becomes an authority in the real estate industry in general and gives advice to real estate development companies. But, this is not a normal career path for a real estate broker. One may decide to forego being an appraiser or a consultant and instead try one’s skill at being a real estate developer.
With enough years and experience in the industry, the alternative may be to become a real estate investor. As real estate brokers work their way through the brokerage business, they get to think about spending more time with their family instead of with clients and marketing properties. Some brokers start to think about passive income.
So they get themselves involved with rental of residential and commercial real estate. They read “Rich Dad, Poor Dad,” and are inspired to give it a go, do the math and buy their first foreclosed property to create a new stream of income for themselves in order to lessen their time spent marketing properties to earn a living and spend more quality time with their loved ones.
Still, because in dealings with a lot of people and properties, real estate brokers will encounter properties that are being sold at steep discounts from the on-going market rate. Then idea enters their mind that they can do something with this particular property if they can purchase it at the price below market. They now think they can add value to the property and make it more profitable for all that is involved.
Should one choose this path then he/she becomes a real estate entrepreneur. They become inspired with the likes of Donald Trump and the other self-made real estate billionaires out there, who create value from nothing by simply applying creative techniques and principles to succeed in every project they deal with.
In all of these opportunities, there is a single driving force that will determine whether or not you will succeed in real estate. That personal quality is PASSION. Some authors would call it DEVOTION because it overrides or goes beyond passion.
What does it mean to have passion for real estate? Do buying and selling real estate properties excite you? Are you committed to showing a particular property no matter where it is, how far it is or how inconvenient it is to get there? Are you willing to go the extra mile for your client?
Do negotiating with sellers, listening to them intently and seeking win-win solutions enliven you? Does the prospect of converting a piece of raw land into a residential village or a commercial hub keep you up at night and make your creative juices flowing? In sum, do you love to do all these things?
If the answers to these questions are a resounding yes, then you have a bright future in real estate. If not, then another industry might be more suited to your skills and talents.
[Editor’s Note: Are you a real estate broker who is tired of the same old routine of your profession and desires to take it to the next level? Do you dream of closing deals that will bring you enormous amounts of money but have not succeeded in doing so? Realttorney and Business Evolution have combined resources and expertise to bring you a program that will make it possible to extremely succeed in your real estate projects and more. If you are interested sign up HERE.
Atty. Ernesto “Jojo” Perez II and Jay McLean are co-authors of an upcoming book, “The Anatomy of Real Estate Deals: Winning the Real Estate Game.” In the book, Jay will share his vast experience in successful real estate deals that increased his income 200% in a year. He will also help you create a mindset that will give you ammunition to succeed in the real estate industry and elsewhere. Atty. Jojo will share on how to successfully close real estate deals and will give you proven techniques that you can use to succeed in your real estate projects.