How to become a real estate agent?
Real estate agents or brokers play a very important role in finalizing several winning property deals. The Indian assets market is numerous and nonetheless competitive, particularly for assets agents. To achieve success during this market, it’s vital for all property brokers to grasp shopper behavior and what selling innovations can facilitate them get a lot of leads, keeping their business moving.
We have a tendency to share recommendations on a way to become a winning assets agent in Bharat and helpful info on RERA registration and tips. Here’s how to start a real estate broker business in India.
Research and exploration
Before starting a career as a real estate broker, it is essential to acquire adequate knowledge about your profession. You can talk to experienced professionals in the industry and gain valuable knowledge.
Obtain necessary licenses and registrations
Learn about all the criteria that must be met before starting a career in the real estate brokerage business. This includes registering your company, obtaining real estate agent license, professional tax registration (PTR), GST registration etc. Professional Tax is a tax levied on all types of businesses and professions in India. The state tax department issues a PTR to the agent and charges a fee that varies from state to state. The registration certificate must be renewed annually. As per the Real Estate (Regulation and Development) Act 2016, all real estate agents must register with the state-level real estate regulatory authority and obtain RERA registration number/ license. The license is valid for five years. Licensing and registration requirements in India may vary from state to state.
RERA Guidelines regarding Registration of Real Estate Agents
Further, the Real Estate (Regulation and Development Act), 2016 (RERA) was introduced with an aim to regulate the real estate sector in India and ensure greater organization and transparency. Real estate agents are required to be registered under RERA. The RERA Act aims to make property purchases easier for home buyers and regulate real estate transactions that earlier favored builders. It ensures fair transactions between property sellers and buyers through licensed and responsible agents. Real estate agents have to follow various guidelines such as:
- Does not facilitate the purchase or sale of unregistered property.
- Comply with various laws
Not engaging in unfair commercial practices such as making a false and misleading statement, verbally or in writing, or endorsing the advertisement of services that may be impossible to provide.
Possession of various documents and information that a home buyer is entitled to while booking a house, land or building.
What are the disadvantages of non-registration under RERA?
Without RERA registration, a real estate agent will not be allowed to work. If one operates a business without RERA registration, a penalty of Rs 10,000 per day is levied in case of default. Also, the penalty can be increased up to 5% of the value of the property sold. In case of non-registration under RERA, the real estate agent will not be allowed to sell property or engage in any real estate business. Violation of RERA orders will attract a penalty of up to 5%. Further, one year imprisonment is applicable for engaging in any unfair trade practice.
RERA Registration: Documents required
A real estate broker or agent must submit the following documents while applying for RERA registration:
- A duly filled application form
- PAN card copy
- Names, contact information, photographs and addresses of real estate agents and directors or partners
- Copy of address proof, email ID and phone number of the area from where the agent will conduct business
- Income tax returns for the last three years
- Name, type of enterprise (for example, company, association, proprietorship, partnership, etc.), and registered address of the enterprise
- For real estate agencies, agency details must be provided along with MOA (Memorandum of Association), Bylaws and AOA (Articles of Association).
- Details of registration in any other state, if applicable
- Information regarding any criminal/civil case pending against the agent or the company
- Information about real estate projects, promoters and advertisers with whom the agent has been associated for business during the last five years
- Photocopy of Acknowledgment, letterhead and rubber stamp
- How to Become a Real Estate Agent: Eligibility Criteria
Individuals with proper knowledge of the real estate industry can become real estate agents. There are no specific qualifications to pursue a career in this field but good networking and negotiation skills can be an advantage. Person must be 18 years of age or older as per applicable state law. He must successfully pass the real estate license exam and complete pre-license education.
Who is a real estate agent?
Real estate agents are licensed professionals who work for a real estate brokerage firm or individuals and represent property buyers or sellers to facilitate real estate transactions. With the growing real estate market in India, the industry offers a lot of opportunities for those who want to pursue a career as a real estate agent or property dealer. In addition to having some essential skills such as exceptional negotiation and communication skills, they also have specialized licenses and experience. Below are the various roles and responsibilities of a real estate agent:
Appointment and coordination for meetings
Prepare budgets and develop marketing plans and advertising campaigns
Update database of client and property listings
Answer emails, messages and phone calls
Research open listings and look for properties
Conduct comparative analysis of property markets
Manage company website and social media profiles
Create and distribute promotional materials
How to be a successful real estate agent?
Maintain connections with past clients
You don’t have to spend a lot on marketing efforts if customers are satisfied enough to give you referrals. Get their testimonials published on your website and social media accounts. You can ask satisfied clients, if they are willing to allow your potential clients to speak with them, for a background check. Building goodwill in the market is crucial to becoming a successful real estate agent. Also See: Contact Tips for Property Brokers in India
Don’t always focus on Salse
Act as a consultant rather than a sales agent. This will help you understand your client’s needs and the reasoning behind their choices. If you have them choose some option, tell them what makes it worth it to them, rather than convince them it’s the perfect choice. If you focus too much on selling instead of helping, the deal may not go to a conclusion, because there won’t be enough trust between you and your potential client. A successful agent must be a consultant first and a salesperson second.
Be transparent with your buyer
If you are not sure about the manufacturer’s track record, be clear about it with your buyer. You don’t want them to get stuck on a project that is bound to be delayed. If you know there are legal issues with the property, make sure your buyer has enough information about it. If your buyer is adamant about buying the property from a seller who has only one href=”https://housing.com/news/transfer-of-property-through-power-of-attorney/” target=”_blank” rel =”noopener noreferrer”>In power of attorney or in areas where the colony has not yet been regularised, it is your duty to inform them of the risks associated with the move.
Cultivating an online presence
The first factor your potential consumer can do when receiving your reference is to look on-line concerning you and your business. You’ll wish to use this chance to determine yourself as a sure name within the business. Begin with a basic web site or a Google Business listing. You’ll bit by bit increase your on-line presence. Ensure you’ve got a call-to-action button on your web site, which might take your guests on to a contact type or your WhatsApp variety, that is fast for you to answer their queries. A call-back or personal response to your potential lead at intervals hours will improve their possibilities of obtaining their business by up to seventieth.
Avoid guessing
Avoid guesswork and rely only on facts when it comes to documentation, validation and property valuation. Don’t assume where your business will grow. Don’t rely solely on referral business or expect an income stream just because you have a website running. For success, make sure you are registered with the state real estate regulatory authority and network as much as you can.
Networking is key
Some purchasers is also troublesome to wear down, otherwise you might not have one thing they like. Rather than rejecting these purchasers, you’ll be able to raise your fellow agents if they match the shopper criteria. This way, you may be able to facilitate your colleagues and your potential customers at identical time. You’ll be able to say commission sharing, because, after all, one thing are higher, if the deal reaches the ultimate stage.
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