You have worked your way through the required courses to obtain your real estate license, and now you are preparing to take your licensing exam. This is an exciting time, the results of which determine the course of your future career.

It is understandable if you feel nervous, and that nervousness may push you to study harder. However, too much anxiety on test day can be counterproductive. You don’t want to freeze up and forget everything you have worked so hard to learn. Much of exam day anxiety comes from facing the unknown. Therefore, you can minimize your stress with careful preparation and a positive attitude on the day of the test.

The night before

Part of your preparation for the exam should be finding out the specific rules for your test location. This includes learning whether the testing center provides calculators, what kind of identification you need, and where you should park. The answers to these few questions may drastically reduce your stress.

Studying late into the night can be counterproductive. It is better to go to bed at a reasonable hour and get a good night’s sleep. Set your alarm so you can take your time in the morning and not heighten your adrenaline by rushing. Have a normal breakfast and arrive for the test at least 30 minutes early. Take only what you need into the testing center; leave your phone, purse and other items locked in your vehicle.

Taking the exam

When the exam is in front of you, take several deep breaths before beginning. Then pace yourself, moving slowly through each question and reading every word. Nervous test-takers make many mistakes by rushing and misreading the questions. The test is designed to see how well you understand the nuances of real estate, so watch for tricky words, like “usually” or “except.”

You should have the option to flag and skip questions, so take advantage of this if you get stuck. However, answer all the questions, and be sure to leave enough time to review your answers, especially those with tricky wording or any you may have flagged. When you finish, your score will appear on the screen, and you can celebrate or make plans to try again.

You’ve got this!

Have confidence in the education you have acquired. While you will likely have to study and review much of the information you will be tested on, you might be surprised how much you have retained. Above all, keep your goals in mind and know your hard work is worth the effort.

When you begin working with a client who is trying to sell his or her home, getting your client to closing day is what it’s all about. You will likely have numerous people who show interest in the home, but when one buyer makes an offer, you and your client can see the light at the end of the tunnel. Your hard work and persistence is paying off. However, if closing day is on the horizon, this is not the time to get comfortable.

While signing the papers and exchanging the keys seal the deal, you may not even get to the table for closing if the walk-through goes badly. Most walk-throughs occur with no setbacks or problems. Nevertheless, unless you are diligent with your seller client, you could end up facing costly delays or worse—the cancellation of the sale. The last thing a buyer wants is unwelcome surprises at this phase of a real estate transaction, and you can take steps to ensure the only surprises are good ones.

Putting the sale in jeopardy

Your client is probably not excited about the prospect of losing the sale or having to take a buyer to court for breaching the sales agreement. Nevertheless, a buyer may have cause to cancel the sale after the walk-through. The final walk-through, which usually happens in the days or hours immediately preceding closing, is the buyer’s chance to ensure the sellers have left the property in the condition which the contract stipulates. Your client could blow this by doing any of the following:

• Failing to make repairs he or she agreed to make after the home inspection
• Leaving behind appliances or fixtures that stopped working after the inspection
• Disconnecting the utilities
• Leaving behind dirt, trash or lawn debris
• Leaving furniture or other items the buyer did not agree to keep
• Removing items the contract stipulates should convey with the home
• Damaging the home, such as leaving holes or scuffs on the walls, while moving out

The buyers will likely open every door, turn on every appliance and flip every switch during the walk-through. Since you and your client will probably not be present, it is important that you take some time beforehand to preview what the sellers will see. You might have to offer your client some suggestions for getting the house ready, and your client should understand that this is an important key to ensuring a smooth closing.

As a real estate agent, you likely expected you would be showing houses and representing sellers or those in the market to purchase a home, business or property. However, you can also find satisfying work by helping landlords and property owners to fill their vacant rental space. In fact, many property owners lack the time and savvy to make a quick turnover when a tenant leaves, and this means losing precious income.

An individual property owner is not likely to have a management staff who handles all the necessary aspects of finding, vetting and securing a tenant. This is where you come in. Offering your skills and resources as a real estate agent can make you a little extra money, expand your professional experience and provide a service that is in demand.

Putting your skills to work

Finding tenants can be an overwhelming process for someone who owns multiple units or who might have another job besides handling their investment properties. However, you know the market, and you probably come in contact with people every day who are not ready or even interested in buying a home. You can still find them homes if you are working with an owner of rental properties. More and more property owners turn to real estate agents to help them do the following:

• Create attractive ads and use your marketing skills to get the word out
• Network with other agents to locate potential tenants
• Expand the search for tenants beyond the local region, such as renters who are relocating to your area
• Use your resources, such as the Multiple Listing Service, to promote the property
• Schedule viewings of open rental units as you would for a house that’s for sale
• Screen potential tenants and perform background checks
• Create a lease with terms that comply with state law and meet your client’s goals

Just like when you sell a house, your pay is based on your success at filling the vacancy. You and the property owner can work out an arrangement for your commission, such as a flat rate, a certain percentage of the total annual rent or the equivalent of a month’s rent for the unit. You might even find that owners of luxury rentals are more interested in using a real estate agent since you are more likely to have connections to people looking for high-priced rentals.

Working with property owners to fill their vacancies can be an interesting and rewarding addition to your experience as a real estate agent.

If you represent buyers or sellers of real estate located where the threat of natural disasters exists, you will want to offer advice to your clients for how to protect themselves and their belongings. Certainly, those in a floodplain or hurricane path will want to carry adequate insurance, create an evacuation plan and establish an emergency fund to get them through those difficult times.

However, coming through the other side of a catastrophe is often much more challenging when you cannot find critical documents. Ideally, your clients will keep their vital documents in a secure and accessible place where they can grab them quickly in case of an evacuation. Fortunately, these days there are many options for protecting one’s important records, but planning ahead is key.

Planning for emergencies

Sadly, it is common for homeowners to have to leave in a hurry, such as during a hurricane, flood, building fire or other emergency. You can offer good advice to your clients by recommending they protect the deed to their new home, homeowner’s insurance policies, mortgage account information and tax records, among others documents.

In addition to keeping the original documents safe, it is also wise for homeowners to make copies of these documents to store in a lock box, binder or in the cloud. Advise your clients not to keep the copies in the same place as the originals. In fact, disaster preparedness experts recommend keeping originals for many documents outside the home, such as in a safety deposit box. In addition to the items mentioned above, homeowners should copy and secure the following:

• Their driver’s licenses, Social Security cards, passports, birth certificates and other forms of personal identification
• Marriage licenses
• Any certificates of education or professional achievement
• Documentation of citizenship or military IDs
• Bank statements, tax records, credit card and debt information and other financial records
• Documentation for immunizations, health insurance and prescription medications
• Any special instructions for medical care and the phone numbers for their physicians
• Their wills and trust documentation, powers of attorney, and advance directives
• Vehicle titles and the authentication and appraisals for their valuables

Once your clients have gathered, copied and secured their important and valuable documents, they should notify their loved ones where to find them or how to access them. Having this information can be a tremendous relief to family members who might have to step in and help during difficult times.

After you obtain your real estate license, you must work under the supervision of a licensed broker-in-charge for a certain amount of time before you can open your own real estate business. So you will want to find a reputable real estate firm as soon as possible. Technically, you are interviewing for a job, but it is more complicated than that.

In a sense, you and the broker are interviewing each other. You are also evaluating the broker to see if he or she will be a good fit for you. The trick is to know what your goals are and to find the agency that will help you accomplish those goals. There are some steps you can take to make sure you have the upper hand during the interview.

Is this agency right for you?

The first thing you want to do is to find several agencies you might like to work for. You can do this by noticing the for-sale signs of the agencies who work in your area and checking local real estate magazines and TV ads to get a feel for the tone of each agency. Do your research to learn of the reputations of the firms and how happy other agents are to work there. Call and request interviews with several agencies even if they are not actively hiring.

Prepare a list of questions for the interview. This will have the two-fold benefit of projecting your confidence and desire to succeed along with allowing you to learn critical details about each firm, such as:

• Does the firm offer important opportunities for training, such as paying for classes or providing a mentor?
• Does the firm have a high turnover, or have its agents have been with the company for years?
• How does the firm handle floor duty, walk-ins and phone leads?
• Does the firm pays for any portion of marketing and advertising for your properties?
• What equipment will the firm provide, such as a laptop or cellphone?
• What office expenses will you have to pay for, such as tech fees, postage, copies or business cards?
• What rate of commission will you receive, and what might be an estimate of your first year’s income?

These are just a few points that will help you get a feel for the environment of an agency and how committed the broker is to helping new agents find success. Of course, the true success of your career in real estate depends on the amount of time and effort you are willing to put in. You can use your interview to impress a potential broker-in-charge with your determination to do what it takes to succeed.

Even if your clients do not have a list of specific needs and wishes for the home they are seeking, they likely have a general idea of what they are looking for. This might include such factors as the number of bedrooms, a ranch or two-story, or the age of the home. One item that is often important to homebuyers is the square footage of a house. But what does that include?

Measuring the square footage of a home is more than a simple mathematical formula. In other words, you can’t simply stretch your tape measure through all the rooms and add up the numbers. Newer homes should have this information available from the builder, but for older homes, you might have to provide an estimate for your clients. It’s a good idea to learn as much as you can about measuring the square footage of a building so you can give your clients an estimate that’s as accurate as possible.

When is a room not a room?

Each state has its own criteria for what you can include in the measurement of a home’s square footage. In general, a room should have a floor, walls, and a ceiling, and you must be able to inhabit it all year long. That means it needs windows that close and a source of heat. This may automatically exclude many screened-in porches, basements or attics that have not been completely finished to be living spaces.

You can calculate the square footage of any space that meets these standards by measuring the length and width of each qualifying room, multiplying those two numbers to get the square footage of each room, and adding together the totals for all those rooms. Remember that a space with walls, ceiling, floor and heat could qualify as part of the square footage, so check pantries, closets and stairwells for these features.

Getting the numbers right

You might be working in a region that separates above-ground living space from below-ground. Some states do not count below-ground space at all even if it is completely functional. This can make your calculations quite complicated, especially if a seller has a finished, walk-out basement. Additionally, a second floor or attic with low or sloped ceilings, such as in a Cape Cod, must have ceilings at least seven feet high for at least 50% of the room to be included in your measurements.

The region where you work is likely to have other specifications for calculating square footage. This number is important for your clients not just for figuring out how to arrange their furniture, but it also determines the value of the house at appraisal and the cost of insurance for the homeowner.

While you might be excited for eager clients who instantly fall in love with a home, you probably also feel frustration with those clients who must nitpick the smallest flaws in an otherwise lovely property. In either case, the clients are likely making terrible mistakes that will result in years of regret.

As a real estate agent, you are hoping to make the sale, but you also want to prevent your clients from allowing emotions or bad advice lead them into poor decisions. By understanding some of the most common home buying mistakes, you can learn to recognize when a client is heading down the wrong road to either buying a home they will regret or passing up the deal of a lifetime.

Helping your clients avoid these mistakes

Unquestionably, buying a new home can be an emotional experience. Your clients may be setting out on their own, providing for a growing family or starting over. No matter the reason for house hunting, they all have some idea of what they are looking for. Some might know only that they want to live in a certain neighborhood for a certain price. Others will have a long list of must-haves. You can help your clients avoid buying the wrong home by guiding them in doing the following:

• Making a list of items they want in a home
• Dividing the list into categories of items they must have and items they can take or leave
• Including a list of items they definitely do not want in a new home, such as a back yard that requires lots of maintenance
• Taking as much time as they need to examine a home, such as checking closets, kitchen space and bathrooms
• Imagining themselves going through a day in the home to see if it works for their lifestyle
• Spending time researching and walking through the neighborhood to get a feel for its vibe
• Gathering trusted opinions but relying on their own instincts about the home they want
• Understanding they may not find the perfect home, but they can plan to make small changes in a home that includes their must-haves

One of the biggest mistakes your clients might make is starting their home search before they check with a mortgage lender. Too often, buyers have no idea what they can afford, and you will have the awkward job of reining in their expectations. Having your clients obtain pre-approval before taking them to showings will likely save everyone time and frustration.

In your career as a real estate agent, you are likely to meet clients who are more interested in the option of building a new home than buying an existing one. A newly built home is like a clean slate, without the baggage, uncertainties or leftovers, either material or emotional, that often come with an existing structure.  

The higher price point makes building a home a non-starter for many clients. Nevertheless, those who are serious about new construction have likely been planning for some time, and you will certainly have resources to assist them with finding the appropriate financing options. However, before they go down the costly road of building, you will want to discuss with your clients the benefits and drawbacks of new construction. 

5 reasons to build 

Building a new home is a much longer process than buying. Construction depends on the weather, availability of materials and contractor scheduling. Additionally, your clients may have to research numerous builders to find one with a solid reputation that still falls within their budget. Budget is critical when building a home, and there is not often room for negotiation as there is with the purchase of an existing home. Still, to your client, these issues might be minor compared the benefits of a new construction, including: 

• Everything will be new, including appliances and systems. 

• Inspections for occupancy assure your clients the house meets tough new building codes. 
• New homes often have updated energy-saving standards, such as insulation, efficient appliances, and alternative heating and cooling sources, which can also save money. 
• Clients might live in the home for years before dealing with any major maintenance or repair issues. 
• They can customize their home to fit their needs, tastes and lifestyle. 

Of course, customizing will probably add to the overall cost of the construction. Upgrading appliances, choosing wood flooring over carpeting, and even selecting different knobs and handles for cabinetry can nickel and dime clients into thousands more than they anticipated spending. If your client chooses to work with a builder that is part of a national franchise, they might also find that their options for customization are limited. 

What is it worth? 

Even with the negative aspects of choosing a new construction, your clients may be leaning toward building instead of buying. They will depend on your knowledge and experience to guide them through the process, your expertise in negotiations, and your assistance in making the most appropriate decisions, whether they choose to build a new construction or purchase an existing home.

As a real estate agent, you will find yourself working with a variety of people with a multitude of special circumstances. Among those may be veterans of the U.S. military who are taking advantage of financing through the Veterans Administration. Others may be veterans who do not realize they are eligible for these amazing benefits the government offers because of their selfless service. 

Since you could be handling VA loans for your veteran clients, you may wish to know the important elements of this type of financing so you can assist any who may be interested in investigating this option for their home financing. Your clients will be grateful to you for explaining the advantages of pursuing such a loan. 

Highlight these benefits 

In some cases, a buyer with a background in the U.S. military may not qualify for other types of mortgage loans. Perhaps your client has too much debt compared to his or her income or falls short of some lenders’ minimum credit score requirements. This can be discouraging. However, if you point them in the direction of a VA loan, your client could experience these and other benefits: 

• Savings of thousands of dollars on private mortgage insurance 

• A waiver of funding fees if the veteran has a disability related to his or her military service 
• A credit score eligibility as low as 620, which most lenders consider “Fair” 
• A debt-to-income ratio requirement as high as 55% instead of the maximum 41% of most other lenders 
• Eligibility for a loan even with a bankruptcy or foreclosure in the recent past 
• Limitations on the closing costs a veteran may pay 

Perhaps the most attractive benefit of a VA loan is that borrowers do not need a down payment to purchase a home. Conventional mortgage loans could require your client to put down at least 5% of the loan, which can add up to thousands of dollars and can be exceedingly difficult for veterans to save. With a VA loan, however, that burden is lifted, making home ownership a reality for many veterans. 

If you expect that you might handle VA loans for real estate transactions involving veterans, you will want to learn even more about this method of financing and the other special circumstances many veterans bring to the homebuying process. With knowledge and experience in this niche area, you may find that working with veterans is one of the most important and enjoyable parts of your job as a real estate agent. 

Many real estate agents have dreams of that big deal, a huge property with thousands of square footage, half a dozen bedrooms and a different bathroom for every day of the week. However, if you are following the real estate trends, you may have recognized that the fastest growing population is senior citizens. This demographic is not interested in buying large homes. Instead, they are looking to downsize. 

A couple or individual who is downsizing is not like every other real estate transaction, and it would be a mistake to treat them as such. Moving from a family home, perhaps one they have lived in for decades, is more than trading big for small. It often means letting go of precious possessions and dealing with the heavy emotions of stepping into a new and sometimes difficult phase of life. 

Do you have what it takes? 

Downsizing clients do not always fall into one category. You may handle moves where money is tight and others where money is no object. Some may be looking for luxury apartments with many amenities, and others may want to build a bungalow or buy a duplex. Nevertheless, the downsizing market is a niche area that requires certain skills and insights from a real estate agent. If you are interested in working with this growing population of clients, you may find yourself doing the following: 

• Empathizing and gently moving the process forward when a client is struggling with the psychological aspects of downsizing 

• Handling the sometimes overbearing input of family members who become involved in their loved one’s downsizing 
• Weighing practical matters for an older client, such as stairs, access to health care, distance from family and whether the property will be appropriate for the client as years pass 
• Guiding clients through the difficult process of decluttering, purging and packing 
• Discussing the options available for financing a move and how to balance the sale of the old home with the purchase of the new 

You may even consider extending your real estate credentials by becoming a Certified Seniors Real Estate Specialist, which involves training to work with mature clients and their special concerns. Of course, not everyone who is downsizing is a senior citizen. People from all age groups are seeing the benefits in reducing their footprints and simplifying their lives with smaller homes. This opens up a wide range of potential clients. Setting your sights smaller may reap benefits in a big way.