Have you ever dreamt of becoming a real estate agent, only to discover that your savings fall short? The question arises: What real estate companies pay for your license? Fortunately, there are companies out there that are willing to invest in your future. Edina Realty and Keller Williams Realty are two such companies that are committed to helping aspiring agents achieve their dreams.
However, it's important to note that these companies typically cover the cost of the pre-licensing course and not the entire process of becoming a real estate agent, including licensing application and exam fees. These programs are primarily designed for obtaining a real estate agent license.
Other companies, like Remax, offer free company training to real estate agents, but it is not credit-based and cannot be used towards pre-licensing or continued education.
In this article, we will explore major national and regional brokerages that offer financial assistance for pre-licensing education, discuss the pros and cons, and suggest alternative routes for covering the costs. Whether you are considering a career in real estate or looking for ways to finance your journey, this guide will provide valuable insights to help you make an informed decision.
Edina Realty
With over 2300 agents, Edina Realty is one of the largest real estate companies in Minnesota. Their story began in 1955 as a struggling firm in Edina, Minnesota. Today, they have 75 offices stretching as far as Western Wisconsin.
Edina Realty offers aspiring agents an opportunity to study for free. They invest in you by covering the cost of your real estate licensing education. Their support is available to students in the Minnesota and Wisconsin areas. To learn more about how they can assist you, visit their website or sign up for an information session.
Edina Realty Eligibility Criteria
To be considered for tuition assistance from Edina Realty, you must meet two main requirements:
- Be eligible for a real estate license and willing to earn it.
- Apply to join the company.
Keller Williams Realty
Founded in 1983, Keller Williams Realty has grown from a single office in Austin to a global brand with over 100,500 agents worldwide. They have offices on almost every continent, making them a truly international company.
Keller Williams Realty offers a free pre-licensing course in partnership with Kaplan Real Estate Education through their Keller Successful Career Opportunities in Real Estate (KSCORE) program. This course is available to everyone hoping to join the real estate industry and does not require you to join the company.
It's important to note that Keller Williams does not offer licensing assistance. They only help students complete the mandated pre-licensing course.
Keller Williams Eligibility Criteria
To take advantage of Keller Williams Realty's pre-licensing course, you need to join the KSCORE program. KSCORE is the company's real estate agent empowerment program, which offers pre-licensing courses, continued education courses, and training. Visit their website to learn more about their programs.
How to Find a Real Estate Company That Pays for Licensing
Edina Realty and Keller Williams Realty are not the only companies that assist with agent licensing costs. There are other real estate companies with diverse programs. With some research and commitment, you can uncover real estate companies that may be willing to cover your licensing costs.
Here are some tips to help you find a company that might sponsor your licensing course:
Do Your Research
Dig deeper and reach out to agents or brokers you know to find out if their companies offer licensing sponsorship. You can also contact a local broker whom you might join after getting licensed and inquire about their willingness to cover your license expenses.
Review Different Training Programs
Companies that invest time in educating their agents are more likely to be open to paying for their licenses. Explore different real estate agencies that offer training programs and contact them to inquire about license sponsorship.
Drawbacks of Having a Real Estate Company Pay for Your License
While having a real estate company cover your licensing costs may seem like a great opportunity, there are drawbacks to consider. These drawbacks may affect your future plans, and it's essential to weigh the pros and cons before making a decision.
Give Up Some Control and Flexibility
When a real estate company sponsors your license, it often means joining their company. This commitment may require you to devote several years to that particular agency. If you desire operational flexibility or plan to relocate to a different city in the future, this could become a hindrance. However, many agents find this manageable since they are already required to work in the licensing state where the company is based.
Accept Lower Commission Splits
Real estate agents receive commissions, which are often split between the agent and the broker. A company that pays for your license may opt for a higher commission split to cover the licensing costs, which can be costly in the long run.
Alternatives to Company Sponsorship
If you don't find the right company to sponsor your license, there are several alternatives you can explore:
Grants and Scholarships
Many colleges, companies, and universities offer grants and scholarships to cover tuition and materials for qualifying students. While these are more common for extensive real estate programs like degrees, they can still provide financial assistance for licensing courses. Grants and scholarships provide free money for school that doesn't need to be repaid, and they can cover various costs beyond licensing. However, they are highly competitive, and the application process can be lengthy.
Personal Loans
Taking out a personal loan can provide the upfront funds needed to cover licensing costs. Personal loans offer a lump sum of money that can be repaid over time in fixed monthly payments. They provide immediate access to funds for any area of licensing education and exams. However, it's important to shop around for the best rates and terms and only borrow what you need. Keep in mind that loans accrue interest, potentially resulting in higher overall costs.
Asking Family for Help
Another option is to seek financial assistance from family members. Parents, grandparents, siblings, or other relatives may be willing to help cover some or all of the expenses involved in getting licensed. This option provides flexibility in repayment terms compared to formal financing options. However, it's important to have clear expectations and agreements to avoid potential strain on family relationships.
Conclusion
When embarking on a real estate career, it's crucial to consider all aspects of licensing costs, including pre-licensing education, application fees, exam fees, background checks, and license fees. While companies like Edina Realty and Keller Williams offer programs to help cover pre-licensing education costs, it's important to understand the associated obligations and weigh the pros and cons.
If company sponsorship is not the right fit for you, explore alternatives such as grants, scholarships, personal loans, or seeking assistance from family. Each option has its own advantages and considerations. It's essential to choose the route that best suits your career goals and financial situation.
Remember, real estate licensing is not just about pre-licensing education. Take into account all costs involved and make an informed decision that will set you up for success in your real estate journey.
Next Steps: If you’re considering becoming a real estate agent, here are some steps you can take:
- Research companies that might sponsor your licensing course.
- Understand the pros and cons of company sponsorship.
- Explore alternatives such as scholarships, personal loans, or asking family for help.
- Consider all costs of getting licensed - not just pre-licensing education.
We hope this guide has given you valuable insights into how to finance your journey into real estate! If you have any other questions about getting started in this industry, feel free to share them below. We'd love to hear from you! And to experienced agents, we'd love to hear how you funded your start in real estate too!
