1. Many would confuse between a broker and an agent. Broker practise their business under their own licensing and agents are the individuals who work under those brokers.
2. Building relations is the key to these business, as every person you meet is a potential client, who either wishes to buy or sell property. Keeping all your known relatives, friends and colleagues on tabs is essential to build a good business.
3. Working with your clients would be only thing you have to do, and have to spend huge time on looking up for your buyer’s prefer property, and photographing and documenting properties of those who wish to sell.
4. Being a broker is a risky business in terms of financial stability, as most of the profits for brokers comes from commissions form successful transactions. On few days, you might be taking home nothing, on others, you earn huge profits.
Now, that being cleared, here is how to learn the trade itself. To become a successful broker, one must gain experiences as a real estate agent, helping broker’s clients buy, sell and rent houses and properties. You need to dynamic, able to find best properties only by receiving only few clues from client. You can work tirelessly, as being an agent it would be tiresome to match buyers and sellers, by taking financial constraint, and providing amenities required.
Now, you have perfect skills required, it is time to register to RERA (The Real Estate (Regulation and Development) Act), which seeks to protect home-buyers as well as help boost investments in the real estate industry. The Act establishes Real Estate Regulatory Authority (RERA) in each state for regulation of the real estate sector and also acts as an adjudicating body for speedy dispute redress al.
The Real Estate Act makes it mandatory for all commercial and residential real estate projects where the land is over 500 square metres, or eight apartments, to register with the Real Estate Regulatory Authority (RERA) for launching a project, in order to provide greater transparency in project-marketing and execution.
Real Estate (Regulation and Development) Act, 2016 clearly states the definition of a broker in Section 2 Clause (zm) as: “real estate agent” means any person, who negotiates or acts on behalf of one person in a transaction or transfer of his plot, apartment or building, as the case may be, in a real estate project, by way of sale, with another person or transfer of plot, apartment or building, as the case may be, of any other person to him and receives remuneration or fees or any other charges for his services whether as commission or otherwise and includes a person who introduces, through any medium, prospective buyers and sellers for negotiation for sale or purchase of plot, apartment or building, as the case may be, and includes property dealers, brokers, middlemen by whatever name called.
Though one of the largest revenue generators, Real Estate didn’t have any regulating body prior 2016. Due to this, many fall into brokers’ unethical malpractices, and victims of fake properties. Under RERA, brokers or agents will have to ensure they are duly registered with the regulator. After registering themselves broker becomes more accountable to home buyers and completely responsible for their business activities and practices.
Additionally, as customers have better knowledge on the real estate sector itself and increased access of information to the skills and legalities, brokers need to understand legal, regulatory, approval and planning aspects of the transaction, so that they could provide additional services.