By NANCY McCALLUM

Copyright © 2004 Blethen Maine Newspapers Inc.

E-mail this story to a friend

If you live in southern Maine, chances are you know someone who is selling real estate. With the real estate market thriving, it makes sense that more people would enter the field of real estate sales.

That's a natural phenomenon in most professions or trades related to a healthy economic sector like real estate, says Carol Leighton, director of the Maine Real Estate Commission. Leighton oversees the department that issues licenses to individuals and companies in the real estate business. The commission is part of the state's Office of License and Registration, within the Maine Department of Professional and Financial Regulation.

Leighton has the numbers to show the burgeoning interest in real estate sales: 8,619 individuals or companies possessed a license at the end of October this year; that's almost 600 more than at the same time last year, and 1,000 more than the same time in 2002.

But don't be lulled into thinking that selling property is an easy way to make money.

"It's a tough, tough way to earn a living," Leighton says. "We're still seeing a lot of people dropping out."

She says about 70 percent of those who successfully obtain their sales agent license ­ the first step en route to gaining an associate broker or broker's license ­ will not go any further. The sales agent license is valid for only two years; after that time, the individual needs to obtain an associate broker's license. If that doesn't happen, he or she will be prohibited from applying for another sales agent license for three years.

Leighton says the three-tiered licensing system ­ sales agent, associate broker, broker ­ was created in 1988 in the best interests of consumers.

The commission wanted to tighten the requirements for those entering the field, ensuring certain standards of preparedness and competence.

A continuing education requirement also ensures that those who practice are up-to-date on real estate laws and practices.

In order to get started on the path of real estate sales, several criteria must be met before obtaining a sales agent's license: applicants must be at least 18, they must have a high school diploma or equivalent, and they must be able to provide character references. More specifically, as stated in the state's guidebook, applicants must "Have a reputation for honesty, truthfulness, fair-dealing and competency."

FOR MORE

CONTACT: Department of Professional and Financial Regulation, Office of License and Registration, Maine Real Estate Commission, #35 State House Station, Augusta, ME 04333-0035. ON THE WEB: www.maineprofessionalreg.org TELEPHONE: 624-8515 To top of story

A note to the shady: don't think you can fudge the references. There have been cases when character references were investigated and discovered to be bogus. A criminal background check of licensees also provides another level of scrutiny.

A sales agent's license can be obtained one of two ways. Candidates can opt to take a course, approved by the commission, known generally as "Introduction to Real Estate." The commission has a list of sites where the course is offered; access them at www.state.me.us or www.maine professionalreg.org. The course is held at community colleges, university branches, adult education sites and real estate companies. Check sites for the fee. In order to pass muster for a license, you must obtain an average of 75 percent or better.

The second way to earn a license is by passing a state test known as the Promissor Sales Agent exam. (Don't leave the cramming until the last minute: Leighton says about 55 percent of first-time test takers will pass. The number is slightly lower for those taking the associate broker's test.) Suggested reading materials are provided by the commission at their Web site.

A sales agent is able to perform any brokerage services assigned by the broker. Leighton likens a sales agent's status of that as an apprentice. Once obtained, in order to achieve associate broker's designation, the agent must work two years in a broker's office, take 84 hours of additional instruction and pass another test.

The associate broker's license is considered a permanent license; it is issued for two years at a time, is renewable and also may be kept on an inactive status. An associate works for a broker, meaning, he or she does not have an independent place of business.

There are also two ways to obtain this license: either take two associate broker courses sanctioned by the Commission, (Associate Broker Practice and Associate Broker Law) obtaining a grade of 75 percent or better, and pass another state exam or complete 12 college credits in a business degree program. Six credits are for the two specified associate broker courses and six are for course work in a business degree program.

After working a year as an associate broker, individuals may apply for a broker's license. Candidates must either pass the course "Role of the Designated Broker" and submit a comprehensive resume of work activity or complete two years (60 hours) in a business degree program with several courses required. OnCe achieved, a broker's license is renewed every two years or can be held on inactive status.

It's not a surprise to learn that the numbers of licenses granted to brokers is much smaller than numbers granted to sales agents, given the work load.

Not to mention, as with many professions in Maine, continuing education courses are required for license renewal. Leighton feels the licensing process is effective. "We have a lot of very good licensees in state," she says.

Leighton notes the nature of the profession itself also weeds out the field. As lucrative as commissions may be in this real estate market, it's a scary prospect to rely on your own initiative to produce income. And then there are the hours: "There's the expectation that you as the agent will be available 24/7," Leighton says. "There's a lot to it."

Nancy McCallum is a free-lance writer who lives in Wells.

To top of page