How much does it cost to get started in Real Estate?
The cost of starting your real estate business can vary greatly between new real estate agents for all kinds of reasons. However, this is an excellent question and deserves some attention. Let me begin by saying we must break down this question into two parts. One, the cost involved in meeting the state mandated requirements to receive a real estate license, and two, the cost involved to become successful in the Real Estate Profession.
Let’s first list the minimum requirements to meet the state mandated requirements. The state of South Carolina requires those desiring a real estate license to complete a 60 hour course called First Year Sales. You must complete this course in an approved classroom setting. South Carolina does not allow for you to take this course on-line. The cost of this course is $350 which includes all necessary materials.
Upon completion of the First Year Sales course, you will submit your course certificate and application to the Real Estate Commission. There will be a $35 application fee with the Commission.
The next step will be to take the state exam. The cost of the state exam is $63.
Once you complete the state exam, you will receive a provisional real estate license which is good for one year. Sometime within a year of receiving your provisional license, the state also requires you complete a 30 hour post licensing course. The cost of this course is $299 and upon completion, you will receive your permanent real estate license. There is not a state exam after this post licensing course.
At this point, you will have spent $747 over the period of one year. Prices for state mandated courses are the costs at the Real Estate School for Success. The one aspect not included in the costs listed above is the discounts our students receive. After you have completed one course at our school, you are now considered an alumnus and will always receive at least a 10% discount on all state mandated courses.
Other costs associated with getting your real estate license will vary depending on the Real Estate Brokerage Company you decide to hang your license with and the degree of marketing you decide on. Although the costs will vary, I will talk about some costs you may expect to incur.
Errors and Omissions Insurance will run you about $300/yr. There are some Brokerage companies that will cover this or at least some portion of this for you. If you are not with a company that will pay your E & O insurance, you should shop around with insurance companies. E & O insurance is to protect you as an agent from honest mistakes that affect your clients who suffer from some sort of financial damage.
Professional Photograph $75.00
High Quality Business Cards (1000) $99.95
Name Riders (five riders), which are used to market your name and number on the for sale yard signs. $ 72
Name Badge $ 20
These costs are considered marketing tools and reflect the actual cost as
provided by the marketing division of the real estate school for success.
GCAR Membership
($345 annually + $60 application fee) $405
CMLS Access ($121 per quarter) $121
CMLS Lockbox Key Pad
($100 deposit + $40 annual lease $140
The cost of the Multiple Listing Service is the price for the Columbia based Consolidated Multiple Listing Service, also referred to as the CMLS. Other areas around the state will vary.
Should you have any questions regarding real estate costs or any other real estate questions, please send us an email or give us a call and we will be glad to answer your question in detail.
With today’s real estate information update, I’m Stacey Starnes, Realtor and owner of the Real Estate School for Success. Have a wonderful day!