Skills & Talents
Links & Resources
Facts & Trends
- Residential Real Estate
- Real estate agents and brokers are usually independent sales
professionals who contract their services to real estate brokers in
exchanges for a commission-sharing agreement (normally six percent). There
are over 400,000 real estate brokers and agents in the United States. To
become a broker you must be at least 18 years old, a high school graduate
and have passed a written test on property laws and real estate
transactions. Most states also require 30-90 hours of classroom training.
You can visit the National Association of Realtor's web
page at http://www.realtor.org/ to
find out more about this career area.
- Commercial Real Estate Sales
- Commercial property brokerage offices use sales
associates who market office buildings, hotels and many other types of
commercial real estate for brokers. Commercial real estate sales people
usually specialize in a particular property type such as apartments,
retail, office, hospitality, shopping centers and industrial plants. Most
of the large commercial brokerage companies in the United States provide a
great deal of local market data and research in order to be able to
service a cadre of sophisticated clients who are making multi-million
dollar investment decisions. Several trade organizations represent the
various commercial real estate subspecialties including the American
Industrial Real Estate Association, the
National Association of Industrial and Office Properties,
Council of Shopping Centers, and the
Society of Industrial and Office Realtors. Additionally, the
Commercial Investment Real Estate Institute (CIREI), through its education
program, has been conferring the Certified Commercial Investment Member
(CCIM) designation since 1969.
- Real Estate Appraisal
- Real estate appraisers provide unbiased estimates of a property's value
and quality. Appraisers usually work for banks or for appraiser firms and
will normally value properties by finding comparable sales in an area or
by es timating the discounted value of cash flows expected from a
property. This profession is less cyclical than real estate brokerage
because appraisers are required when homes are refinanced-a time
historically when the real estate market has been slow. You can
learn more about this area from the Appraisal Foundation.
- Property Management
- Leading real estate owners require professional property managers.
Managers are responsible for negotiating leases, ensuring that tenants are
satisfied, that rent is paid and that rents reflect market conditions. The
career of property manager requires good interpersonal and analytical
skills and a fair amount of negotiating prowess. This job is personally
rewarding and allows you to really learn the real estate markets should
you wish to embark in business on your own. The Institute
of Real Estate Management (IREM) is the trade association representing
property managers. Their training programs include the Certified Property
Manager (CPM) and Accredited Residential Manager (ARM) designations.
- Real Estate Advisory
- Institutional investors are purchasing real estate more and more. But
real estate is not like a stock or bond that you can buy and put in a
vault. Real estate advisors help investors care for property and, more
importantly, se lect property in the first place by suggesting areas and
property types that are likely to experience price appreciation in the
future. This job is fun and one that you can get into after getting
experience in investing or property management. People who are good with
statistics and excel at client contact do well in this job.
- Investment Banking
- Many investment banks have groups dedicated to real estate, particularly
the repackaging of mortgages into residential mortgage-backed securities (MBS),
collateralized mortgage obligations (CMOs) and commercial mortgage-backed
securities (CMBS). Big players include Credit Suisse,
Deutsche Bank and Goldman
popular areas include the REIT stock, bond and preferred stock origination
business, lodging investment banking, principal investing in real estate and
synthetic lease origination. If you have an interest in both real estate and
investment banking, why not go for both areas at once?
- Development and Construction
- Are you willing to work hard and take risks to develop new properties?
Then a career in real estate development may be for you. You can enter
this business working for another developer, moving up to construction
manager, or you can strike out on your own, starting with some smaller
transactions. Good developers are results-oriented and know how to get
work on time which involves managing labor, establishing time estimates,
getting appropriate equipment operators and construction crews.
- Real Estate Entrepreneur
- Real estate is one of the last bastions of the free-enterprising
entrepreneur who buys properties in hope that they will rise in value
because of improvement in market conditions or renovations. Since WWII
some of the wealthiest persons in the world have been real estate
entrepreneurs. To make it in this career you need to be savvy,
hard-working, willing to take risks and fortunate. Remember, their are
others who would also like to become wealthy in real estate who will be
bidding on the same deals and properties that you will. It is important,
then, to think carefully of how you can succeed in this market through
better wits, a superior management approach or a unique niche strategy.