There are three main types of real estate specialties that a realtor can choose to focus on. Residential sales is the most popular, but there are also commercial sales and property management to choose from.
Residential sales is the largest realty sector. Residential refers to single-family homes, and the sale occurs between individuals and families only. Not only is there the most property turnover in this area, but it also has the most sales agents. This may be due to the lower entry barrier, as no degree is needed to become a residential sales agent. Instead, an individual simply needs to take some real estate pre-license courses. The draw of residential sales lies mainly in the ease of transitions; deals close rather quickly, especially in booming markets, so sales agents can move on quickly and keep earning a comfortable living.
Commercial sales is a more complex environment than residential. Commercial sales agents require some form of college/university degree in an area such as business, finance, or another realty-applicable field. There is typically more profit in this sector of real estate since the deals are substantially larger than residential ones, but they also take longer to process and involve more work. These sales will occur between businesses/corporations, and real estate investors can sometimes be involved here as well. The types of properties handled by commercial sales agents include office spaces, retail centers, and more.
Property management is a unique subset of the real estate businesses. Agents who choose to specialize in property management take a step away from sales altogether, and instead are responsible for managing rental properties on behalf of the property owner. Property management can be done for both commercial and residential buildings, so people who partake in this specialty have quite a lot of choice when it comes to their day-to-day responsibilities. Property management cannot be done by just anybody; a broker’s license is a necessity, and often some additional degrees or certifications go a long way in easing the path into property management.
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