SALES AGENT

One of the most complex and important financial events in peoples' lives is the purchase or sale of a home or investment property.  As a result, people usually seek the help of real estate sales agents when buying or selling real estate.

Real estate sales agents should have a thorough knowledge of the real estate market in their community. They should know which neighborhoods will best suit clients' needs and budgets. They need to also be familiar with local zoning and tax laws and know where to obtain financing. Sales agents also act as an intermediary in price negotiations between buyers and sellers.

Real estate agents usually are independent sales persons who provide their services to a licensed real estate broker on a contract basis. In return, the broker pays the agent a portion of the commission earned from the agent's sale of the property. There is more to working as a sales agent than making sales.  They must have properties to sell. Consequently, they spend a significant amount of time obtaining listings (owner agreements to place properties for sale with their firm). When listing a property for sale, agents and brokers compare the listed property with similar properties that have recently sold to determine its competitive market price. Once the property is sold, the agent who sold the property and the agent who obtained the listing both receive a portion of the commission.  Thus, agents who sell a property they also listed can increase the amount of their commission.

Most real estate sales agents sell residential property.  A small number, usually employed in large or specialized firms, sell commercial, industrial, agricultural, or other types of real estate or become loan agents and provide the sources to finance the property's purchase. Every specialty requires knowledge of that particular type of property and clientele. Selling or leasing business property requires an understanding of leasing practices, business trends, and location needs. Agents who sell or lease industrial properties must know about the region's transportation, utilities, and labor supply. Whatever the type of property, the agent must know how to meet the client's particular requirements.

Before showing residential properties to potential buyers, sales agents meet with buyers to get a feeling for the type of home that the buyers would like. In this prequalifying phase, the sales agent determines how much the buyer can afford to spend.  In addition, they usually sign a loyalty contract which states the sales agent will be the only one to show them houses. The computer has become an important tool in keeping the sales agent competitive.  A sales agent uses a computer to generate lists of properties for sale, their location and description, and available sources of financing. In some cases, agents and brokers use computers to give buyers a virtual tour of properties in which they are interested. Buyers can view interior and exterior images or floor plans without leaving the real estate office.

Sales agents may meet several times with prospective buyers to discuss and visit available properties. The sales agent identifies and emphasizes the most pertinent selling points. To a young family looking for a house, they may emphasize the convenient floor plan, the area's low crime rate, or the proximity to schools and shopping centers. To a potential investor, they may point out the tax advantages of owning a rental property and the ease of finding a renter. If bargaining over price becomes necessary, sales agents must carefully follow their client's instructions and may have to present counter-offers in order to get the best possible price.

Once the buyer and seller have signed the contract, the real estate broker or sales agent must see to it that all special terms of the contract are met before the closing date. For example, the sales agent must make sure the mandated and agreed-to inspections, including the home, termite, and radon inspections, take place. Also, if the seller agrees to any repairs, the sales agent must see they are made. Increasingly, sales agents handle environmental problems by making sure the properties they sell meet environmental regulations. For example, they may be responsible for dealing with lead paint on the walls. While loan officers, attorneys, or other persons may handle some details, the sales agent must ensure that they are completed.

Starting a career as a real estate sales agent has remained popular for many years especially for those who may be coming from downsized corporate positions looking to replace a sizable income or for those individuals who are looking for the potential or creating an unlimited income on a part-time or full-time basis. There are also many who just obtain a license to save on paying a commission when buying or selling their own home(s) or when investing in real estate properties. However an individual sees themselves involved in the real estate industry, there's a good chance they may find their career in real estate or the matter of simply having a real estate license at the right time extremely lucrative.

Loan Agent

For many individuals, taking out a loan may be the only way to afford a house, car, college education, etc.  Likewise for businesses, loans are essential to start the company, purchase inventory, and/or invest in needed equipment.  Loan agents facilitate this type of lending by seeking potential clients and assisting them in applying for these various types of loans.

Loan agents also gather information about clients and businesses to ensure that an informed decision is made regarding the quality of the loan and the probability of repayment. In many instances, loan officers (agents) act as salespeople. Commercial loan officers (as an example, one working for a bank), may contact firms to determine their needs for loans. If a firm is seeking new funds, the loan officer will try to persuade the company to obtain the loan from their institution. Similarly, mortgage loan officers (agents), those representing various lenders, develop relationships with commercial and residential real estate companies so that, when an individual or firm buys a property, the real estate agent might recommend them to handle the clients financing needs. Once this initial contact has been made, loan agents guide clients through the process of applying for a loan.

The loan process begins with a formal meeting or telephone call with a prospective client, during which the mortgage loan agent obtains basic information about the purpose of the loan and explains the different types of loans and credit terms that are available to the applicant. Loan agents answer questions about the process and sometimes assist clients in filling-out the required application. After a client completes the application, the loan agent begins the process of analyzing and verifying the application to determine the client's credit worthiness. Often, loan agents can quickly access the client's credit history by computer and obtain a credit score. This score represents the credit worthiness of a person or business as assigned by a software program that makes the evaluation. In cases where a credit history is not available or where unusual financial circumstances are present, the loan agent may request additional financial information from the client or, in the case of commercial loans, copies of the company's financial statements. With this information, loan officers who specialize in evaluating a client's credit worthiness (usually working for the lender of the funds), called a loan-would be asked to conduct a financial analysis or other risk assessment of this potential client.  This additional information would be included as written comments in the client's loan file, which is used to analyze whether the prospective loan meets the lending institution's requirements. The lender (source of the money), once receiving the loan package would in consultation with their managers, decide whether or not to grant (approve) the loan. If the loan is approved, a repayment schedule is arranged with the client.  A loan may be approved that would otherwise be denied if the customer can provide the lender with appropriate collateral-property pledged as security for the repayment of a loan. For example, when lending money for a college education, a bank may insist that borrowers offer their home as collateral. If the borrowers were ever unable to repay the loans, the homes would be seized under court order and sold (foreclosed) to raise the necessary money.

Loan agents frequently work away from their offices and rely on laptop computers, cellular phones, and pagers to keep in contact with their offices and clients. Loan agents often work out of their home or car, visiting offices or homes of clients while completing loan applications. Most loan agents work a standard 40-hour week, but many work longer hours, depending on the number of clients and the demand for loans.  Many loan agents elect to work especially long hours because they are free to take on as many customers as they choose. Loan agents usually carry a heavy caseload and sometimes cannot accept new clients until they complete current cases. Loan agents are especially busy when interest rates are low; a condition that triggers a surge in loan applications for those wishing to re-finance their existing loans at the new lower rates.

Earning a commission on a completed loan can be as little $500 to as much as $10,000 or more depending on the loan amount and points (loan fee) charged. Therefore loan agents in the field today may find themselves in the position to earn great part-time incomes or sizable monthly incomes depending on their productivity. This area of real estate provides individuals seeking a new or additional career with a great opportunity to start working in a professional atmosphere that provides them with the satisfaction of helping others achieve their goals.