US Realty Training Blog

If you think being tough will win you more negotiations, then you are putting yourself at a huge risk of losing your next deal. Contrary to this belief, a more empathetic approach can lead to better outcomes.

Mastering the art of negotiation involves a blend of empathy, strategy, and smart tactics that go beyond mere assertiveness.

Here are 10 surprising negotiation tips that can help you close more deals and build lasting relationships with your clients.

1. Listen More Than You Speak

Effective negotiation starts with understanding. By actively listening to your clients and the other party, you can uncover their true needs and motivations. This not only builds trust but also provides valuable insights that can be leveraged to craft mutually beneficial agreements.

During a listing appointment, instead of immediately presenting your marketing plan, ask the seller about their goals and concerns. By listening attentively, you discover they prioritize a quick sale over maximum profit, allowing you to tailor your strategy accordingly.

2. Do Your Homework

Knowledge is power. Research market trends, comparable property values, and the backgrounds of all parties involved. Being well-informed allows you to present compelling arguments and anticipate potential objections, giving you a strategic advantage during negotiations.

Before negotiating an offer on a property, analyze recent sales in the neighborhood. Presenting data that shows similar homes sold for less can help justify your client's offer and persuade the seller to accept a lower price.

3. Build Rapport Early

Establishing a genuine connection with your clients and counterparts can create a positive negotiating environment. Simple gestures like remembering names, showing genuine interest, and maintaining a friendly demeanor can make the other party more inclined to work with you.

At the first meeting with a potential buyer, take note of their hobbies or interests. Later, mention something related, like a local event or a favorite restaurant, to strengthen your relationship and make negotiations smoother.

4. Set Clear Objectives

Before entering any negotiation, define your goals and establish your limits. Knowing what you want to achieve and where you can compromise helps you stay focused and make informed decisions, ensuring that you don't concede too much too soon.

When listing a property, decide in advance the minimum acceptable price and your ideal listing price. This clarity helps you confidently negotiate with buyers, knowing exactly when to hold firm or make concessions.

5. Leverage Emotional Intelligence

Understanding and managing emotions—both yours and the other party’s—can significantly impact the negotiation process. By staying calm and empathetic, you can navigate tense situations more effectively and keep the conversation productive.

If a buyer becomes frustrated during price discussions, acknowledge their feelings and address their concerns calmly. This approach can de-escalate tension and lead to a more constructive dialogue.

6. Use Silence as a Tool

Silence can be a powerful negotiating tool. After making a point or presenting an offer, pause and give the other party time to respond. This can encourage them to share more information or make concessions without feeling pressured.

After presenting an initial offer, remain silent and maintain eye contact. The seller may feel compelled to fill the silence by revealing their bottom line or making a counteroffer.

7. Present Multiple Options

Offering a range of solutions provides the other party with a sense of control and increases the likelihood of finding a middle ground. Presenting multiple options also demonstrates your flexibility and willingness to work towards a mutually beneficial outcome.

When negotiating closing dates, offer the seller a few different timeframes to choose from. This flexibility can make the seller more willing to agree to your preferred terms on other aspects of the deal.

8. Stay Patient and Persistent

Negotiations can take time, and rushing the process can lead to suboptimal deals. Patience shows your commitment to finding the best solution, while persistence ensures that you stay engaged and focused on achieving your objectives.

If a buyer is hesitant about a property's price, avoid pushing for an immediate decision. Instead, give them time to consider and follow up periodically, demonstrating your dedication to helping them find the right home.

9. Know When to Walk Away

Not every deal is worth pursuing. Recognizing when a negotiation is no longer viable and being prepared to walk away can often prompt the other party to reconsider their stance and come back with better terms. This demonstrates your confidence and reduces the likelihood of settling for unfavorable conditions.

If a seller refuses to negotiate below a certain price and it exceeds your client's budget, politely decline and inform them you’re willing to explore other options. This may encourage the seller to lower the price to keep the deal alive.

10. Follow Up Diligently

After the negotiation, maintain open lines of communication. Following up reinforces relationships, addresses any lingering concerns, and keeps the door open for future opportunities. A thoughtful follow-up can turn a successful negotiation into a long-term partnership.

After closing a deal, send a thank-you note and check in a few weeks later to ensure everything is going smoothly. This gesture can lead to referrals and repeat business, enhancing your reputation as a reliable agent.

Final Thoughts on Negotiating Tips

Negotiation doesn’t have to be a battle of wills. By using these surprising tactics, you can approach each deal with confidence and a fresh perspective. It’s all about connecting with people, staying flexible, and thinking strategically. When you focus on understanding your clients and the other party, you’re setting yourself up for not just more deals, but better relationships too.

Here’s the secret sauce: Keep learning and stay adaptable. The real estate world is always changing, and the agents who thrive are the ones who keep growing their skills and embracing new strategies. So, stay curious, keep honing your negotiation game, and watch how these tips help you stand out and succeed in your real estate career.

Before you can sell a home for a client, you need one signed document: the listing agreement. Sign the wrong type and you can do all the work, find the buyer, and still walk away with nothing.

This guide breaks down what real estate listing agreements are, how they work, and the four types you'll see on the exam and in the field. By the end, you'll know which agreement protects your commission, which one puts it at risk, and how to tell them apart in a tricky test question.

What is a real estate listing agreement?

A real estate listing agreement is a legally binding contract that hires a broker to represent a seller and spells out how the broker gets paid. A listing agreement is the employment contract between a property owner and a broker that authorizes the broker to market the property and earn a commission.

It sets out the broker's duties, how long the contract lasts, the commission terms, and what happens if the property sells. As a rule, you don't start working for a seller before this document is signed. Break the agreement and either side can face legal consequences.

How does a listing agreement work?

A listing agreement works by giving the broker the authority to market a property, represent the seller, and collect an agreed commission for a set period of time. Once both parties sign, the broker can list the home, schedule showings, and run negotiations on the seller's behalf.

Most brokers market the property on the MLS. The Multiple Listing Service (MLS) is the shared database agents use to market listings to other agents and their buyers. The agreement also fixes the contract length and the commission, so both sides know their roles before the first showing. Commission is always negotiable between the seller and the broker.

What are the four types of real estate listing agreements?

The four types of real estate listing agreements are the exclusive right-to-sell listing, the exclusive agency listing, the open listing, and the net listing. They differ on one core question: who can find the buyer, and who has to get paid when the home sells.

Exclusive right-to-sell listing

An exclusive right-to-sell listing guarantees the listing broker a commission if the property sells during the contract, no matter who finds the buyer. It's the most common agreement and the strongest protection an agent can get.

Even if the seller finds the buyer themselves, or a buyer knocks on the door, the listing agent still earns the commission. That security is the point. It rewards the agent for the marketing, open houses, and networking that go into selling a home, and it prevents fights over who brought the buyer.

Exclusive agency listing

An exclusive agency listing makes one broker the only agent who can market the property, but the seller keeps the right to find a buyer themselves and owe no commission. One phrase is missing from this contract compared to the last one: "right to sell."

That gap is the risk. If the seller secures the buyer without you, you don't get paid. These deals can spark disputes over procuring cause, the standard used to decide whose effort actually brought the buyer. This agreement is useful when a seller is on the fence and wants the option to sell on their own. It beats losing the listing altogether.

Open listing

An open listing is a non-exclusive agreement that lets a seller work with several agents at once, and only the agent who brings the buyer gets paid. It carries the most risk for your time and effort.

You're competing with other agents, with no guarantee you'll earn a dime. If the seller sells the home on their own, no one collects. Open listings are rare in residential sales. They show up more often in new property developments and some commercial deals, where broad exposure across many agents can speed up a sale.

Net listing

A net listing pays the agent everything above a minimum sale price the seller sets, and it's illegal or restricted in many states. Say the seller wants at least $300,000. If you sell at $350,000, your commission is the $50,000 over the minimum. If you sell at exactly $300,000, you earn nothing.

That structure creates a clear conflict of interest, which is why net listings are banned or tightly limited across much of the country. For the full breakdown, read our guide to net listings in real estate.

Which listing agreement should you use?

For most sales, the exclusive right-to-sell listing is the best agreement because it secures both your commission and your role as the seller's only agent. If you're putting time, money, and marketing into a property, you want to be rewarded when it sells.

Keep the exclusive agency listing as a fallback for sellers who insist on the option to sell on their own. Treat open and net listings as exceptions, not the norm. Read the market, weigh the risk, and use the strongest form the seller will sign.

Why listing agreements matter on the real estate exam

Listing agreements show up on every real estate licensing exam, usually as scenario questions that ask you to match an agreement type to who earns the commission. The test loves to describe a sale and ask whether the agent gets paid.

The shortcut: focus on who holds the "right to sell" and who can still collect when the seller finds the buyer. Lock that in and these questions turn into fast points. Brush up on the rest of the terms with our 99-term real estate vocabulary guide, and see the full game plan in our guide to passing the real estate exam.

Get the agreement right and you protect your time, your client, and your paycheck. Learn the four types cold and the exam questions on them stop being traps.

Listing agreements are one of dozens of concepts the exam tests in sneaky ways. Our real estate exam prep package gives you unlimited practice questions, vocabulary flashcards, and video explainers that drill concepts like this until they're automatic. Start with the exam prep package and walk into test day ready.

The real estate market moves in cycles, not a straight line. Prices climb, peak, cool, and recover, then do it all again. Once you can name the phase you're in, you stop reacting to the market and start working it.

This guide breaks down the four phases of the real estate market cycle, shows you which phase the market is in right now, and lays out exactly how top agents adjust their game in each one. The agents who understand this don't just survive downturns. They win in them.

What is the real estate market cycle?

The real estate market cycle is the recurring pattern of ups and downs in property values, demand, and construction that every housing market moves through over time. A real estate market cycle is the repeating sequence of supply-and-demand shifts that pushes home values and sales activity up and back down in roughly predictable phases.

Cycles happen because supply can't react to demand quickly. When buyers flood in, builders can't add homes overnight, so prices spike. By the time all that new construction finally arrives, demand has often cooled, and prices soften. According to Dr. Glenn Mueller, a real estate professor at the University of Denver who has tracked market cycles for decades, this lag between demand and new supply is the engine behind every real estate cycle.

What are the 4 phases of the real estate market cycle?

The four phases of the real estate market cycle are recovery, expansion, hyper supply, and recession. Each phase has its own supply-and-demand signature, and each one rewards a different kind of agent.

Here's the key takeaway most new agents miss: there's money in every phase. The 2007–2009 downturn scared plenty of agents into 9-to-5 jobs. Others, like USRT trainers Robert and Carolee Rico, pivoted to the buyer's side, helped clients grab restorable homes at a discount, and kept earning. Down markets don't end careers. Rigid strategies do. If distressed property interests you, look at how agents build a book of business in the foreclosure and distressed-property niche.

What phase is the real estate market in for 2026?

The 2026 housing market sits in a rebalancing phase — cooling from the frenzy of recent years and tilting back toward buyers. It's best read as a slow recovery toward balance rather than a boom or a crash.

Here's what the data shows. Freddie Mac put the average 30-year fixed mortgage rate at 6.49% in late June 2026, down from the 7%-plus peaks of prior years. The Federal Housing Finance Agency and Fannie Mae both project home prices rising slowly in 2026, in the range of about 1% to 3%, far calmer than the double-digit jumps of the pandemic years. And the National Association of Realtors reported existing-home sales climbing to a 4.17 million annualized pace in May 2026, with first-time buyers making up 35% of purchases.

Add it up and buyers have more room than they've had in years: more inventory, more negotiating power, and less competition. Sellers still hold decent equity but can no longer name their price. For agents, that means the buyer side is heating up again, and buyer relationships you build now pay off as the cycle turns.

How can agents use the real estate market cycle to their advantage?

Agents use the market cycle by matching their focus to the phase — leaning into buyers when values are low or falling, and into sellers when values are rising. We call this the USRT Market-Cycle Playbook, and it comes down to three moves.

1. Read the phase before you plan your quarter. Track mortgage rates, inventory, and days on market in your area. Rising inventory and slower sales point toward hyper supply or recession. Falling inventory and fast sales point toward expansion.
2. Shift your client mix to match. In recovery and recession, chase buyers and investors hunting deals. In expansion, chase listings, since sellers win when prices climb and homes move fast.
3. Build relationships one phase ahead. The buyers you nurture in a down market become the move-up sellers of the next expansion. Agents who plant seeds early own the next cycle.

Know the trade-off going in. Being a buyer's agent is more active, day-to-day work: watching new listings, touring neighborhoods, and staying in constant contact. A seller's agent can list a home, set up marketing, and manage much of it by phone. Neither is better. They just fit different phases of the cycle, and different points in an agent's career. Weigh the day-to-day of the job in our honest look at the pros and cons of being a real estate agent.

How long does a real estate market cycle last?

There's no fixed clock, but real estate cycles have historically run long — often around 18 years from one downturn to the next, according to the 18-year real estate cycle theory. Individual phases can last anywhere from a couple of years to most of a decade.

Local markets don't all move together, either. A metro flooded with new construction can hit hyper supply while a supply-starved city is still expanding. That's why smart agents watch their own market's inventory and sales data instead of relying on national headlines. The cycle is real, but the timing is local. For investors and agents thinking about building wealth across cycles, strategies like house hacking let you enter the market in almost any phase.

Takeaway

The real estate market cycle runs through four phases: recovery, expansion, hyper supply, and recession. Each one rewards a different play, and there's income in all of them if you adjust instead of freezing. Right now, in 2026's rebalancing market, the buyer side is where the momentum is building. Your next step is simple: figure out which phase your local market is in this quarter, and point your business at it.

Build a business that survives every cycle

Reading the market is one skill. Building a business that thrives through every phase of it is another. Our Certified Real Estate Specialist career program shows you how to generate leads, win clients, and grow your income no matter what the market is doing. Take a look and start building.

Standing out as a real estate agent simply means being prominent, distinct, and capable of getting potential clients to see what you are capable of as an agent. Standing out is very important because it not only makes you well-known but also gives you an advantage over your competition and establishes your place in the vast real estate market.

Fortunately, standing out from the crowd is not as difficult as you might make it out to be. Here are some practical tips that you can work with to achieve this goal:

Find Your Niche

A real estate niche is a specialty or area of the market you choose to focus on. The most flourishing real estate agents are not jacks of all trades. Instead, they focus on just one market niche and build a name for themselves in it. 

Initially, choosing a niche might seem counterproductive as you might feel you are restricting yourself. However, when you are specific about the kind of services you provide, it allows you to focus your time and efforts on mastering your chosen niche and also gives potential clients the confidence that you are an expert. This immediately stands you out from other real estate agents in the area. 

When choosing your niche, ensure to:

• Study your local demographic trends
• Find out what you like 
• Choose a location to serve
• Choose your clientele base 
• Strengthen your existing network and form new relationships
• Acquire certification in your chosen niche.

Create an Influential Online Presence

Social media is one of the most effective marketing tools to help you distinguish yourself in the real estate market. The benefits of social media to every business including real estate can not be understated. Research has shown that the majority of home searchers begin their search online and what better way to put yourself in their way than through online platforms.

Social media and other online platforms help create more awareness for your agency and broaden your reach to potential clients. It also allows you to build meaningful connections with your customers, thereby giving you an idea of what your customers want and how to best serve them. Furthermore, it helps you stay on top of the latest trends and provide fast services to your clients. 

Optimally maximizing social media will not only build you a strong reputation in the market but also give you a great advantage over your competitors. There are various effective ways to grow your online presence such as:

• Creating social media profiles on Facebook, Instagram, LinkedIn, Google, etc.
• Knowing how to optimize your website to expand your online visibility on Google and other search engines
• Ensuring that your company, values, mission, and vision are clearly stated on your website 
• Remaining active and relevant by creating appropriate contents 
• Hiring successful social media influencers 
• Making use of online advertisements and promotions. 

Be Realistic with Your Clients

It is essential to give the right information regarding investing in real estate to your clients without sounding unrealistic or too negative. Learning to communicate properly to your clients by explaining the potential gains, possibilities, and obstacles they might experience helps them to adjust their expectations of the market going forward.

This will not only prevent them from making costly mistakes but also help to maintain a good agent-client relationship hence, improving your reputation. 

Identify Your Uniqueness

Nothing captures people’s interests like originality, and believe it or not, incorporating uniqueness into your brand will help you stand out. Being authentic leaves a strong and lasting impression on your clients and this will keep your customers thinking and coming back to you. 

Take time to identify your strengths as a person; study the things you enjoy and excel at and at the same time, research your competitors to find gaps in their services. Then work towards developing a unique approach that will fill these gaps accurately.

Being unique also includes having a unique selling proposition -a message that shows potential clients what differentiates your brand from your competitors. This is more than just special catch-phrases, services, and incentives. It is one thing that will make your brand stand out, and you should put some thought into developing it. 

Advertise and Promote Yourself with Creativity

The real estate market is a very competitive field, and if you are hoping to succeed in it, then you are going to need advertisements and promotions targeted at reaching your potential customers and creating tangible avenues for your customers to relate to your brand. 

Utilizing creative pieces to promote your brand distinguishes it from the rest and captivates the attention of your target audience until they finally choose to work with you. In addition, it can help you amass a fanbase, as studies have shown that many people believe that a brand is high-quality based on how good its advertisement is.

You can creatively promote yourself in the real estate market by:

• Creating a vlog explaining your agency and services in detail
• Posting videos of live home tours and open house events
• Incorporating special features into your listing photos like art pieces, your pets, etc.
• Creating short, captivating videos on social media stories like Instagram, Youtube, etc.

Become a Community Leader

Community leadership is simply working towards a common goal with the welfare of a specific group of individuals in mind. A community leader tackles the problems and rising issues while serving as a representative for this group of people.

Thriving real estate agents understand the importance of being problem solvers in their communities. Activities like volunteering, organizing, donating to or sponsoring community events, not only open you up to meet more people but also help you create a good reputation for yourself and long-lasting relationships within the community.

By becoming someone the community recognizes to provide leadership and solutions, you establish yourself as someone they want to work with and this naturally makes you stand out in the market.

Final Thoughts Standing Out as a Real Estate Agent

The advantages of establishing a name for yourself in the real estate market can not be overemphasized. Not only does this expand your clientele base and help you forge lasting networks but it also creates a wide margin between you and other agents within your region. 

While everyone can stand out in the real estate market, it takes effort, strategically positioning yourself within the reach of potential clients, and smart planning to do so.

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Transferring property after someone is deceased doesn’t have to be difficult. There are 4 common ways a property deed is transferred:

• Through a will
• By a trust
• Transfer-on-death deed
• With title ownership (when an owner dies, the co-owner assumes 100% of the property)
  

Without written instructions on what to do with a property after someone is deceased, the property owner could be contested. In these scenarios, the assets will be divided out in probate court, which is a long, arduous process that nobody enjoys.

Recent surveys show just 24 percent of Americans have a will in 2025—down from 33 percent in 2022—highlighting how often real estate winds up in probate court.

This article will help you understand the ins and outs of transferring property when someone is deceased and break down the common terminology you’ll see along the way.

First, let’s start with deeds.

What is a Deed?

A deed refers to a legal document with which the holder can lay claim to ownership of real estate or other assets. The deed is used to transfer asset title to a new owner. 

Real estate transactions see the deed handed over at closing, and a valid deed must have certain elements depending on the jurisdiction. These include: 

• Names of grantor and grantee 
• Legal description of property 
• Affidavit of consideration 
• Warranties 
• Signature requirements 
  

Deeds vary, and as a result, they would feature various warranties of title. Common deeds include: 

• Warranty deed 
• Special warranty deed
• Bargain and sale deed
• Quitclaim deed 
  

In order for a property owner to sell, refinance, or obtain a line of credit on a property, there must be a record of such deed with the local government. The title insurance company or buyer’s attorney usually handles this part of a real estate transaction. 

The document in itself as well as the transfer of title is valid, however, in the event of legal issues, the only way to avoid a delay would be to have related paperwork be on file alongside the register of deeds. 

 The following features are required of a deed: 

• The deed must absolutely state on its face that it is a deed 
• The deed must expressly state that it is awarding or conveying some kind of special rights or privileges to someone
• The execution of the deed must be done by the grantor in solemn form 
• A seal must be affixed to the deed 
• Upon delivery, the grantee must accept the deed for it to be valid 

What is the Difference Between Deed and Title?

A deed and a title chiefly vary in the manner in which they exist. 

A deed is a legal document that clearly states that the holder legally owns property or owns the title, and then intends to transfer both title and property to a new owner. 

A property title on the other hand is an intangible concept with no physical documentation. It refers to theoretical rights that a homeowner holds to a piece of real property. It is the deed that holds a public record showing the property owner’s title. 

The rights that can be accessed via a title may vary on the basis of the deed. Clear title vests absolute ownership rights in the titleholder, however, the title’s validity present in the deed can still be contested based on any of these two factors:

• The format in which the title abstract is outlined in the deed 
• Whether a search title has been undertaken 

How Do People Take Title on a Property?

Homeowners may opt to hold title in several ways, and this may in turn impact how ownership rights can be transferred in the future. Here are the most common ways:

Sole Ownership

Sole ownership sees a single owner to the property title. This holding method commonly applies to single individuals, legally divided Ed individuals, married individuals looking to acquire property separate from their spouse (there may be restrictions based on the jurisdiction). 

Joint Tenancy              

Joint tenancy sees two individuals purchase a property together and hold equal shares in said property. Since joint tenants have equal rights, decisions made about the property must be done unanimously. 

In addition, rights of survivorship may be included here which allows the surviving tenant to assume ownership of all shares upon the passing of the other tenant. 

Tenancy In Common

Co-owners of a home have equal rights in the home to use the property for the duration of their lives. However, they hold title to their share of the property individually and can choose to will away or dispose of their individual rights. 

There is no survivorship option here and no tenant inherits the rights of the other. Rather, ownership becomes vested in the decedent's heirs upon the death of either owner. This is where the difference between joint tenancy and tenancy in common lies. 

Tenancy By The Entirety 

This tenancy type is especially for married couples and regards the couple as a single legal entity with property rights shared and undivided. The right to survivorship applies here, and before one spouse can take any action on property, the other must approve. This tenancy type may be found in all states. 

Community Property

This form of title holding, sometimes known as marital property, implies that spouses acquire property during marriage and have the shares split evenly between them. Either spouse can choose to transfer their ownership share or will it however they want. 

Trust

A living trust sees the trust or title holder maintain ownership rights to real estate property until they die or become incapacitated. This then sees an appointed trustee assume property management and control. 

An irrevocable trust ensures that the terms of the agreement cannot be modified and the titleholder basically transfers their ownership rights into the trust. A revocable living trust permits the tile holder to alter agreement terms when they are still alive and their mind is still sound. 

What Does Probate Mean? 

Probate refers to the legal process that reviews the will to ascertain validity and authenticity. It may also encompass the entire process of administering the estate of a deceased person without a will or a deceased person’s will. 

If the deceased’s primary residence is valued under $750,000 (AB 2016, effective 4-1-2025), heirs can now skip full probate via a ‘Determination of Succession to Real Property’ affidavit.

Following the death of the asset holder, an executor (if the deceased had a will) or administrator (in the absence of a will) is appointed to administer the probate process. It mainly involves a collection of assets to pay off liabilities and then distributing what is left over to beneficiaries. 

The probate court usually reviews findings and is the final ruling on how assets should be divided and distributed amongst the recipients. Probate provides protection especially when the deceased did not leave a will. 

How to Transfer Property When Someone is Deceased 

Transfer of deceased real estate may involve a pretty extensive process depending on how the title was held. Probate might be necessary except for when:

• A living trust was used to leave the property to someone instead of a will
• The deceased filed a transfer-on-death deed naming someone as the recipient 
• The property was owned as joint tenants, tenants by entirety, and community property with right of survivorship 
  

In the event that the deceased held the property in a trust, the most updated deed would indicate that the trustee of the trust had the property transferred to them. 

If a transfer-on-death deed was filed by the deceased, the deed would specify the property’s new owner.

California’s Revocable Transfer-on-Death Deed remains available through January 1, 2032. Deeds signed after 2022 must be witnessed by two adults and recorded within 60 days or they’re void.

There would be the need for some paperwork including filing a death certificate copy and an affidavit with the county’s land records office. 

In the event that a surviving co-owner inherits, while rules may vary from county to county or even state to state, it is general to have the surviving co-owner file a statement detailing that they are the new sole owner. They would also file a death certificate, all in the county’s land records office. 

Should You Transfer Property Using a Trust or Will

Using a trust or will rests on certain factors. For instance, a will might be great for small estates with assets that are easily transferable and simple bequests. 

Similarly, having a trust without a will might result in problems when it comes to assets not covered by the trust which become subject to intestacy laws. In other words, larger estates may be better off using both. 

A trust administration has no waiting period which implies that beneficiaries have easier and speedier access to assets left behind. A trust also provides a firmer control for determining how your assets are distributed more than a will would. 

In 2025, the federal estate-tax exemption lets individuals shield $13.99 million (nearly $27.98 million for married couples) from estate tax. Amounts above that may be taxed up to 40 percent.

At the end of the day, your choice of will or trust or both should be determined by the size of your estate, tax considerations, age and capabilities of heirs, as well as bequest complexity. To ensure that everything moves smoothly, it is essential to carry out thorough planning. 

Final Thoughts on Transferring Property from a Deceased Relative

Transferring property is done in various ways and various factors affect how it can be done. The major factor is how the property is owned or ownership type. Beyond this, understanding how the entire process goes is key, and if it gets too much at any point, you can always engage the services of an expert to guide you.

A lien on a house can quietly sink a deal three days before closing. If you're going to list homes, you need to catch one before it catches you. The good news is that liens are not complicated once you know the categories.

This guide breaks down what a lien is, the types you'll run into, how they land on a title report, the order they get paid in, and the exact ways to clear one so a sale can close. Whether you're studying for the exam or prepping your first listing, you'll walk away knowing how to handle a property that has a lien on it.

What is a lien on a house?

A lien on a house is a legal claim a creditor places on the property to secure a debt the owner owes. A lien is a creditor's legal right to a specific piece of property until the debt tied to it is paid off. The house works as collateral. If the owner doesn't pay, the lienholder can pursue the debt against the property, and in some cases force a sale to collect.

This matters to you as an agent for one reason: a listing with a lien on it changes how you market and sell the home. You can't ignore it, and you can't promise a buyer a clean title until you know the lien will be cleared. Most liens fall into two buckets, and that's the next thing to understand.

What's the difference between a voluntary and an involuntary lien?

A voluntary lien is one the owner agrees to, and an involuntary lien is one placed on the property by law or a court without the owner's consent. That single distinction tells you how worried to be.

A voluntary lien is usually part of a normal transaction. The most common example is a mortgage. The owner signs up for it on purpose because it lets them buy the home. An involuntary lien is the opposite. Nobody asks for a tax lien or a judgment lien. They get attached because a debt went unpaid. Voluntary liens tend to clear themselves at closing. Involuntary liens are the ones that need real work.

What are the most common types of liens on a house?

The four you'll see most often are mortgage, tax, judgment, and mechanic's liens. Here's how each one works.

Mortgage and home equity liens

A mortgage is a voluntary lien, and it's the one almost every homeowner has. The lender puts a lien against the property and, in exchange, lends the buyer the money to purchase it. A home equity loan or HELOC works the same way. The owner borrows against the value they've built up, and the lender records a lien to secure it. Because the owner benefits, these liens are agreed to willingly.

Property and income tax liens

A tax lien is an involuntary lien the government places on a property when taxes go unpaid. This covers unpaid property taxes, special assessments, state income taxes, and federal income taxes. According to the IRS, a federal tax lien is the government's legal claim against your property when you neglect or fail to pay a tax debt, and it attaches to everything you own, not just the house. Tax liens are serious because they often jump ahead of other claims in line.

Judgment liens

A judgment lien is an involuntary lien a creditor records after winning a lawsuit against the owner. If someone sues the homeowner and wins, they can record that judgment against the property to collect what they're owed. Unpaid credit debts that go to court can end up here too. The lien stays attached to the property until it's paid, settled, or expires.

Mechanic's liens

A mechanic's lien is an involuntary, statutory lien filed by a contractor or supplier who did work on the home and didn't get paid. The name throws people off. It has nothing to do with car mechanics. The "mechanic" is the person who improved the property, like the contractor who remodeled the kitchen or the company that installed the pool. When they aren't paid, they can record a mechanic's lien at the county recorder's office to force the issue.

One thing to know: the county records the document, but it doesn't rule on whether the claim is valid. Filing deadlines and notice rules for mechanic's liens vary by state, so the timeline in California won't match the timeline in Texas.

What is lien priority, and why does it matter?

Lien priority decides which creditor gets paid first when a property is sold or foreclosed, and it generally follows the rule "first in time, first in right." The lien recorded earliest usually gets paid first from the sale proceeds, and later liens get whatever is left.

There's a big exception. Property tax liens typically move to the front of the line no matter when they were recorded, because the government gets paid first. Priority also explains what happens in a foreclosure. When a senior lienholder forecloses, junior liens recorded after it can be wiped out, which is why lenders care so much about being in first position. For an agent, the takeaway is simple. The order of the liens matters as much as the dollar amount.

How do liens show up on a title?

Liens show up as recorded items on a preliminary title report, the document a title company pulls before a sale. A preliminary title report is a snapshot of the recorded items, requirements, and exceptions a title company finds when it researches a property. Have your title rep pull one early on every listing.

The report flags recorded liens and other claims, though it isn't a complete history of every document ever filed. Unresolved liens are part of what creates clouds on the title, which can stall or kill a sale until they're cleared. If you find liens on the report, you've done your job. Now you know what to fix before the home hits the market.

Can you sell a house with a lien on it?

Yes, you can sell a house with a lien on it, but the lien almost always has to be paid or cleared through escrow before the sale can close. A lien doesn't make a property unsellable. It makes it a property with a to-do list.

If the liens are voluntary, like a mortgage or home equity loan, there's usually no drama. The owner pays them off at closing out of the sale proceeds. The one catch is equity. If the home won't sell for enough to cover the loan, the seller may need lender approval or a short sale to close.

If the liens are involuntary, the seller has to deal with them directly. That can mean paying the debt, settling it for less, or negotiating a release. To close, involuntary liens are typically handled through escrow and title, where they get paid, released, disputed, or bonded around depending on the type of lien and local rules. A foreclosure connected to an unpaid debt is also a form of involuntary alienation, which is the legal term for losing title without agreeing to it.

How do you get a lien removed from a house?

The cleanest way to remove a lien is to pay the debt in full, after which the lienholder files a release that clears it off the title. That's the path most sellers take at closing. There are four common routes:

• Pay it in full. The debt is satisfied and the lienholder records a release. According to the IRS, the government releases a federal tax lien within 30 days after the tax debt is paid in full.
• Settle for less. Many creditors will accept a reduced payoff to close the matter, especially older judgment liens.
• Dispute it. If a lien is invalid, expired, or already paid, it can be challenged and removed. Mechanic's liens that miss state deadlines are a common example.
• Bond around it. In some states the owner can post a surety bond that shifts the claim off the property so the sale can move forward while the dispute plays out.

For tax debts that can't be paid right away, the IRS also offers a subordination, which doesn't remove the lien but lets another creditor move ahead of the government so the owner can refinance or sell. The right move depends on the lien, the state, and how much time you have before closing.

What's the difference between a lien and an encumbrance?

A lien is one type of encumbrance, but not every encumbrance is a lien. An encumbrance is any claim, right, or restriction on a property that can affect its value or transfer. A lien is the money kind of encumbrance, where someone is owed a debt.

Other encumbrances don't involve a debt at all. An easement that lets a neighbor cross the driveway, a deed restriction that limits what can be built, or an encroachment where a fence sits on the wrong side of the line are all encumbrances, not liens. Knowing the difference keeps you precise when you read a title report and explain it to a client.

The bottom line for agents

Liens look scary until you can name them, and then they're manageable. Pull the preliminary title report early, sort the liens into voluntary and involuntary, and flag the involuntary ones that need real attention. Get them resolved through escrow, and you protect both your client and your commission. That kind of clarity is what turns a stressful listing into another closed escrow.

Liens are also one of the most tested topics on the real estate exam, and the same knowledge that helps you pass the exam on your first try is what protects your deals on the job. If you want liens, encumbrances, and title to feel automatic on test day, study them with a program built for it. Start with US Realty Training's Real Estate Exam Prep.

Becoming a real estate appraiser in California means completing approved education, registering as a trainee, logging supervised experience hours, and passing a state exam, in that order. Appraisers are licensed by the California Bureau of Real Estate Appraisers (BREA), a different agency from the one that licenses real estate agents.

This guide breaks down the California real estate appraiser license requirements by level: eligibility, the education hours, the experience, the costs, and how long it takes.

What are the requirements to become a real estate appraiser in California?

To become a California appraiser, you must be at least 18, complete AQB-approved education, register as a trainee, log supervised experience hours, pass a background check, and pass the state exam. BREA, the California Bureau of Real Estate Appraisers, issues appraiser licenses and follows the national standards set by the Appraiser Qualifications Board (AQB). You don't need a college degree for the entry levels, though the certified levels require a degree or an approved alternative.

How much education does a California appraiser license require?

The education depends on the license level, following AQB-approved qualifying education. The hours are:

• Trainee Appraiser: 75 hours
• Licensed Residential: 150 hours
• Certified Residential: 200 hours
• Certified General: 300 hours

California also requires specific courses for initial applicants: a 15-hour USPAP course, a 4-hour Federal and California Laws and Regulations course, a 1-hour Cultural Competency course, and a 4-hour Supervisor/Trainee course, which you must finish before logging experience hours.

How much experience do you need at each level?

Experience requirements increase with each credential, and all hours must be logged on BREA forms and supervised by a certified appraiser. The thresholds:

• Licensed Residential: 1,000 hours over at least six months
• Certified Residential: 1,500 hours over at least 12 months
• Certified General: 3,000 hours over at least 18 months, with at least 1,500 in non-residential work

Your supervising appraiser must be certified and in good standing, and there are limits on how many trainees one appraiser can supervise.

What are the steps to become an appraiser in California?

The path runs in a fixed order: education first, then trainee registration, then experience, then the exam and license. The full sequence:

1. Meet the age requirement (18 or older).
2. Complete the required AQB education for your target level, plus the California courses.
3. Apply to BREA and register as a trainee.
4. Complete Live Scan fingerprinting and a background check.
5. Pass the BREA state exam.
6. Log your supervised experience hours (1,000 for Licensed Residential).
7. Upgrade to a higher credential if you choose (Certified Residential or General).
8. File your license application with BREA and pay the fee.
9. Receive your license and start taking assignments.

If you're weighing real estate careers more broadly, our guide on how to get a real estate license in California covers the agent path, which has a much shorter on-ramp.

How long does it take to become an appraiser in California?

It typically takes one to two years, driven mostly by the supervised experience requirement. The coursework can be finished in weeks to a few months, but logging 1,000 hours under a certified appraiser, over at least six months, is the longest stretch. The certified levels take longer because they require more hours.

How much does it cost to become a California appraiser?

Costs vary by license level, and BREA's fees are the largest fixed piece. Here's the breakdown:

These are BREA's published fees plus typical up-front costs like Live Scan fingerprinting. Confirm the current amounts on BREA's licensing fee chart before you apply.

How much do real estate appraisers earn in California?

California appraisers earn around $87,000 a year on average, well above the national median. According to the U.S. Bureau of Labor Statistics (May 2024), the national median for appraisers and assessors is about $65,420, and California appraisers typically earn 30 to 35% more. Most appraisers are independent contractors, so income depends on volume rather than a fixed salary, and experienced appraisers working with lenders or on complex assignments earn more.

The bottom line on becoming a California appraiser

Becoming a real estate appraiser in California is a longer road than getting an agent license, but a stable one: finish your AQB and California education, register as a trainee, log your supervised hours, and pass the BREA exam. The experience requirement is the part that takes patience.

Because the work runs on trust and track record, log your hours with a busy, reputable appraiser. Your name gets in front of lenders and clients before you're even fully licensed.

Think about today’s world versus the world of 20 years ago. Everything is different now due to the technology that we possess in our palms and pockets. Make sure to use this technology wisely and meticulously, given that we are all so bombarded with online advertisements. It’s tough to stand out from the pack unless you’re really putting work and dedication into it!

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Maximize Your Returns with Digital Marketing

The digital world makes life so much easier for so many people, in so many ways. Just one example: instead of getting in your car, walking around the grocery store, and shopping for your own food, now you can do all of the shopping on a laptop or phone from the comfort of your couch, and the groceries get delivered right to your door!

That’s great for people that want to do less work, but imagine if you were disabled -- this would literally be a life-changing development.

Back in the day, marketing yourself required legitimate legwork - walking to houses, knocking on doors, canvassing neighborhoods, and more.

It was tough, it was grueling, and it was costly - both in time and money. But, it started conversations with people -- and conversations are what led to business.

Nowadays, though, situations have evolved. With the advent of the digital world, interactive websites and apps, and unfathomable computing power in your pocket, marketing has completely shifted tracks to the digital world. The younger generation tends to be much more accepting of digital advertisements and digital/online personas, but also more skeptical and judgmental of the content they see online.

That’s why it’s absolutely key to be authentic and genuine by posting engaging content and promoting/advertising with posts that naturally encourage people to interact.

Marketing yourself digitally also has many more components than old-school, traditional marketing. Whereas with traditional marketing you’re simply selling yourself as an agent; when you’re selling yourself digitally, you’re selling your products, yourself, AND how well you can put together an online presence.

One great thing about digital marketing compared to in-person marketing is that you can do it from anywhere - be it your office, home office, or even your bed!

Of course, we’re not suggesting you work from your bed (it’s not great for work/life balance), but in a pinch, sometimes you need to. You can also do a lot more productive work by spending time and money on promoted posts, rather than spending the same time and money driving through neighborhoods and knocking on doors where nobody’s home.

Especially with a listing, digital marketing is king -- you can post pictures, describe the home, put your contact info, and more, all within one post online!

The Benefits of Traditional Marketing

However, there’s something to be said for the in-person marketing angle. Humans, by nature, are social creatures. This means that we are programmed to LIKE interacting with other people. Sharing information and experiences are all key to forming a strong bond with clientele. When you’re in person, networking, and actually shaking hands, you form a stronger and quicker bond than if you are competing for their attention online (with everyone else’s ads competing with yours for eye space and brain space).

So what should you do now to make yourself the most successful Real Estate Agent? We definitely recommend -- can’t stress enough -- that you do both online and in-person marketing to make yourself successful.

While everyone expects you to do online marketing, people will be surprised that you went above and beyond to do in-person, traditional marketing. Judge the neighborhood, but door-knocking and traditional cold calling are surprisingly effective! Connecting is super important in this industry. Instead of just making someone’s life easier with your digital marketing, make it better through your traditional marketing.

Competing with others to be the absolute best is in our blood - it’s survival of the fittest. This drive pushes us to become better than the people with whom we surround ourselves.

When it comes to being a successful Real Estate Agent, it’s easy to be overwhelmed with the competition.

Competition isn’t just the drive to push us further, but a tool to measure our own success. However, we forget that competition isn’t always good. Being competitive is destructive to our own self-worth.

The secret to being a successful real estate agent isn’t by competing with others, but rather it’s competing with yourself.

Why Defining Your Own Sense of Success is Important

In real estate, you might consider yourself successful if you’re making $50,000 a year, but someone else might consider yourself successful when making $150,000 a year. Everyone has their own definition of success. This is because people have goals that are unique to their own ambition.

If earning $150,000 a year isn’t important to you, then you shouldn’t let the number of yearly earnings define your success as a real estate agent.

Taking time to consider how you define success is important to your growth as a real estate agent. If you want to take your career in real estate seriously, then you need to be honest with how you measure your growth. Defining success for yourself is the first step in becoming the agent you’ve always wanted to be.

Everyone has their own level of success, therefore you can’t compare yourself to others.

Achieve Your Goals by Being Competitive… With Yourself

Being competitive is the fuel that pushes you towards success. However, the idea of competing with others is fundamentally flawed. The reason why you shouldn’t compete with others is that you can’t race someone else when you both have different finish lines.

If your goal is to make $50,000 a year in real estate, you can’t compete with someone whose goal is to earn $150,000 a year. Competing with others for the sake of being the best is a losing battle. As a result, you will lower your self-worth, make yourself resentful of others, and have the never-ending feeling of constantly craving more out of your life.

You will never be happy in your real estate career if you compete with others.

You are the only constant in your life. Therefore, your own progress is the only way to measure your success. Instead of competing with other people, compete with yourself. Real estate agents should not be pressured to be better than others - they should push themselves to be better than they were yesterday.

Improving yourself is the only true way of being successful.

Competing with yourself gives you the opportunity to grow as a real estate agent and person. When you’re not worried about other people, you’re free from the stress to outperform others in your field. Moreover, you will appreciate your career and the development you’ve made as a professional.

Start competing with yourself today by monitoring your progress then consistently make an effort to outperform that growth. Doing so will eliminate the thousands of competitors in your industry because the only real competition is yourself.

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Encumbrances are quite common in real estate transactions, and because they affect the legal right of a person to buy or sell properties, every real estate enthusiast needs to understand them. 

Although encumbrances can include monetary claims (like mortgages and other liens), many encumbrances are non-monetary restrictions on use or access—such as easements, deed restrictions, HOA/CC&Rs, and encroachments.

In this article, you would get to know what an encumbrance is, the various types of encumbrances, and how to discover and remove them to avoid complications down the road.

What is an Encumbrance of a Home?

In real estate, an encumbrance refers to any claim on a property that prevents its owner from fully utilizing and benefiting from it. 

This claim is usually placed by a third party who is not the owner of the property. Claims like these, when filed, can restrict and limit the ownership and/or use of the property.

An encumbrance on a home could be a result of anything, ranging from a loan agreement to a type of restricting license. 

Depending on what type it is, legal processes may be necessary to address encumbrances. The existence of an encumbrance on a home has major consequences that could prove unpalatable for homeowners. Some of these effects are:

Limitations on Ownership

One effect of encumbrances is their limitation on ownership. This can result from a debt, legal contract, or a transfer of property ownership when given as a gift. 

In many cases (like a mortgage or deed of trust), the homeowner still owns the property, but the property is subject to a lien or security interest. That lien can limit what the owner can do (for example, selling without paying off the lien at closing).

Unmarketable Property Title

If extremely restrictive, an encumbrance on a home may make the property's title unmarketable. This simply means that the property cannot be sold or bought. 

“Unmarketable title” usually means there is a title problem (a claim, defect, or uncertainty) that can prevent a normal sale or financing until it’s resolved—not that the property can never be sold under any circumstances.

As a result, it is extremely important for anyone looking to buy or sell a house to carry out findings into the property’s title to make sure it is not in any way encumbered.  

What Are the Types of Encumbrances in Real Estate?

There are various types of encumbrances in real estate. However, all of them have the same effect -create restrictions on a property. 

Here are the four most common types of encumbrances that can be found on real estate properties:

Easement

An easement is a permission given to another party that grants them access to the home owner’s property for a specific purpose. It is created by an easement deed that is recorded in the public records of your county and becomes part of the title. 

Easements are often recorded and show up in public records/title reports, but depending on the situation and state law, they can also arise through other legal methods (such as necessity, implication, or long-term use).

Easements sometimes ensure public services are available to all and are sometimes voluntarily granted to help another person. For example, a landowner may allow a neighbor to construct an on-site well to avoid the cost of extending sewer lines to the property, or a driveway could be constructed through a person’s property to provide easy access to another location.

Encroachment

An encroachment occurs when a part of the property extends beyond its boundary and onto another property. This is often unintended and may not be detected until a survey is conducted. 

Encroachments can be resolved in different ways depending on severity and local rules—such as removing the encroaching structure, negotiating a boundary line agreement, granting an easement or license, or using legal remedies when the parties can’t agree.

An example of an encroachment is when barns, fences, backyards, and sheds stretch beyond their boundaries into someone else’s property.

Deed Restrictions

Deed restrictions are contractual promises that bind a buyer to be subject to certain terms and conditions on a property. 

Deed restrictions (often called restrictive covenants) commonly limit how a property can be used—for example, restrictions on building types, setbacks, business use, rentals, or architectural rules.

They are different from a purchase contract contingency (like a financing contingency). A financing contingency is typically part of the buyer/seller contract, not a deed restriction that runs with the land.

An example would be a restriction that prohibits the construction of certain structures on a property. 

Generally, if a deed restriction is too restrictive, many buyers may be unwilling to purchase the property. 

Lien

Liens are one of the most common types of encumbrances in real estate. 

A lien is a legal claim against property to secure payment of a debt. A mortgage or deed of trust lien typically exists as soon as the loan is created and recorded, not only after a borrower defaults.

Other common liens include property tax liens, mechanic’s liens (contractors), and judgment liens.

A lien doesn’t automatically “transfer ownership” by itself. If the lien isn’t resolved, it can lead to a foreclosure or sale process, which varies by state (some judicial, some non-judicial).

How To Find Out if a Property is Encumbered

Knowing if a property is encumbered is important to understand the restrictions and determine if they wouldn't interfere with your real estate plans. 

The following are a few ways through which you can find out if a property is encumbered.

Conduct a Title Search

A title search is an investigation into the history of a property to ascertain and reveal any claims or restrictions and who the legal owner is. A title search reveals every detail about a property, including its transfer of ownership over the years, making it one of the best ways to discover if a property is encumbered. To carry out a proper and in-depth title search, it is best to hire the services of a title company. 

Consult a Real Estate Attorney

Another way to learn more about the encumbrances on a property is to talk to a real estate professional. 

A good and experienced real estate attorney will be able to detect and interpret any encumbrances on a property, as well as advise you on whether the property should be purchased or not.

How Can You Remove an Encumbrance?

Removing encumbrances is essential to the full utilization and benefits of your property. There are different ways to remove encumbrances, depending on the type.

In some cases, it could be as simple as destroying a structure from the property, while in other cases, it could be complicated enough to require legal action. 

In the case of a lien, paying it off (or otherwise settling it) typically results in a document that releases the lien—often called a satisfaction, release, or (in deed-of-trust states like California) a reconveyance. This usually clears the lien from title rather than “transferring ownership back,” since the owner generally held title subject to the lien.

Likewise, for an encroachment, solutions can include removing the encroachment, negotiating an easement or boundary agreement, or resolving the dispute through legal channels if needed.

Are Encumbrances a Bad Thing?

Although encumbrances may appear to be terrible because of their restrictions, they serve to safeguard the property and can be advantageous to both owners and buyers. 

Sellers who fail to disclose encumbrances to potential buyers expose themselves to severe legal action and buyers who fail to take note early may need additional funds to remedy encumbrances.

Final Thoughts on Encumbrances

Encumbrances are one of the many ways the real estate industry regulates and monitors the sale and purchase of properties to ensure equity. 

Understanding the different types of encumbrances will enable you to make informed decisions regarding buying or selling properties. 

It will also provide you with an easy way out when you find yourself with an encumbered property on your hands.  

Just like in every other industry, some real estate agents are super nice, some of them are incredibly helpful, and -- let’s be honest -- some of them are downright rude, mean, or incompetent.

How are Real Estate Agents "Unprofessional?"

The party you’re representing in the transaction is called your principal. Don’t ever forget that you are acting with their best interests in mind. Remember, there are multiple people involved in a real estate transaction, all of whom want the escrow to close.

There is the escrow officer, looking for his or her job to be complete. There may be a transaction coordinator looking to get all the documents signed cleanly. There are two interested agents looking for commission checks -- don’t let that process get held up! And of course, the sellers want to sell, and the buyers want to buy. You may not be able to control other people’s behaviors but you can control your reactions.

“You can't always control circumstances. However, you can always control your attitude, approach, and response. Your options are to complain or to look ahead and figure out how to make the situation better.”
― Tony Dungy, Quiet Strength: The Principles, Practices & Priorities of a Winning Life

There are two main ways real estate agents can make a situation more messy than it ought to be.

1. They can bring a bad attitude to the table: Negative people are always going to bring down the mood of the room, an obvious concept, and you as an agent have to counteract that with your persistent positivity. There is a lot to the saying “you catch more flies with honey than with vinegar” and it’s important to remember this, even as you are dealing with sour attitudes from the other side.
2. Agents can be non-communicative: Because this is an important, high-dollar transaction with a very fixed time frame, everyone needs to communicate in a clear and timely manner. An agent who does not respond to your calls/emails/texts promptly, is being a bad agent! They might be doing it intentionally, to drag out the transaction, but it might also be an oversight.

It’s important that you reach out frequently, and especially so if you’re not hearing back promptly. Your clients will appreciate you for it, and your commission check will come on time -- we call that a “win-win situation!"

When working with another agent, they are literally called your “cooperating broker." If they are not cooperating, though, there is a lot 1600risk. If the other agent is not being reasonable, it’s time for you two to have a one-on-one conversation, not in front of the principals and not at the house for sale.

How do you deal with “difficult agents?”

You need to remind the other agent of a few things. First, you should always maintain a professional and friendly demeanor between each other. Second, you both have a lot riding on this sale, so it’s best to focus on the end result and put aside any differences you may have. Third, you MUST communicate openly and frequently about any issues that may occur. Neither of you want this escrow to fall through!

As they say, “it takes two to tango.”

Sometimes the other agent is simply unwilling or unavailable to be a good and thorough agent. As a last ditch effort, you can go to the broker of record on the transaction. This person, the head of the office at the brokerage, will be able to put some pressure on the agent to be a better representative for their principles.

They have a brand at stake, and they want to maintain the reputation of that brand with the clients and within the neighborhood.

So, as a recap, there are plenty of good agents out there. However, some of them are simply irresponsible -- whether uncommunicative, incompetent, or simply rude. You want to avoid them when possible. Stay professional, communicate constantly, and take them aside if necessary. If all else fails, go to their broker. Just don’t get discouraged!

You can own a property outright and still be legally required to let other people use part of it. That's what an easement in real estate does, and it trips up more exam takers than almost any other encumbrance question.

This guide explains what an easement is, how easements work, the main types you'll see in practice and on the exam, and when an easement can be removed.

What is an easement?

An easement is the legal right to use another person's property for a specific purpose without owning any part of it. An easement is a nonpossessory interest in land, which means the holder can use the property but has no ownership claim to it.

Easements are one of the most common types of encumbrances on real estate, alongside liens, deed restrictions, and encroachments. Most easements are created in writing, recorded in public records, and referenced in the property deed. The owner keeps the title. The easement holder gets a defined right of use, nothing more.

You see easements everywhere once you know to look: power lines crossing a backyard, a shared driveway between two homes, a path that lets a landlocked neighbor reach the road, or a city sewer line running under a front lawn. Cornell Law School's Legal Information Institute defines an easement the same way: a right to use another's land that falls short of ownership.

How does an easement work?

An easement works by splitting one property's use between two parties: the owner keeps title, and the easement holder gets a limited, legally enforceable right to use the land for a defined purpose. The owner still holds fee simple ownership, but they can't interfere with the easement holder's rights. If your neighbor has a recorded easement to cross your lot to reach their home, you can't fence off the path.

Most easements are created by written agreement between the owner and the party requesting access, and the terms live in that agreement. Some easements transfer when the property sells, so the new owner inherits them whether they like them or not.

Two pairs of terms come up constantly here, and both are exam favorites.

Ingress and egress

Ingress is the legal right to enter a property, and egress is the legal right to exit it. An access easement grants both. These rights matter most when a property is landlocked. Without ingress and egress over a neighbor's land, the owner would trespass every time they came home.

Dominant tenement vs. servient tenement

The servient tenement is the property burdened by an easement, and the dominant tenement is the property that benefits from it. If your neighbor crosses your land to reach theirs, your lot is the servient tenement and theirs is the dominant tenement. Memory trick: the servient property serves the other one.

What are the main types of easements?

The four main types of easements are easement appurtenant, easement in gross, prescriptive easements, and easements by necessity. Here's how they compare:

Easement appurtenant

An easement appurtenant attaches to the land itself and transfers automatically when the property sells. It always involves two parcels: a dominant tenement that benefits and a servient tenement that carries the burden. Appurtenant means "belonging to," and that's the idea: the easement belongs to the land, not to whoever happens to own it.

Easement in gross

An easement in gross benefits a specific person or company rather than a neighboring parcel. There's no dominant tenement, only a servient one. Utility easements are the classic example: the power company holds the right, not the lot next door. Commercial easements in gross, like utility rights, transfer when the company changes hands. Personal ones, like letting a friend hunt on your land, usually end when the owner sells or the holder dies.

Prescriptive easement

A prescriptive easement is created when someone openly uses another person's land, without permission, continuously for the number of years set by state law. No document creates it. Long-term use does. Don't confuse it with adverse possession: prescription earns the right to use the land, while adverse possession can take ownership of it. That distinction is a favorite exam question, and our prescriptive easement video breaks it down in under five minutes.

Easement by necessity

An easement by necessity is created by a court when a property has no legal access to a public road. Courts grant it because land without access is nearly useless. Unlike a prescriptive easement, it doesn't require years of use. The necessity itself creates the right, and the easement ends if the necessity ends.

Are easements bad for property owners?

Easements aren't bad by default, but every easement limits how the owner can use their property. A utility easement might stop you from building a pool over a buried line. An access easement means you can never block the shared driveway. Some owners never notice their easements. Others feel them every day.

Easements can also affect what a buyer will pay. The practical move is to find easements before you buy, not after: they show up in the preliminary title report and the recorded deed. If one looks restrictive, have a title officer or real estate attorney walk you through exactly what it allows before you commit.

How can an easement be terminated?

An easement can be terminated five main ways: release, merger, abandonment, expiration, and the end of necessity.

1. Release. The easement holder signs a written release giving up the right, usually recorded like the original easement.
2. Merger. One party buys the other property. You can't hold an easement over your own land, so the easement dissolves.
3. Abandonment. The holder stops using the easement and shows clear intent to give it up. Non-use alone usually isn't enough.
4. Expiration. An easement created for a set term or purpose ends when the term runs out.
5. End of necessity. An easement by necessity dies when the necessity does, like when a new public road reaches the landlocked parcel.

Why do easements matter for the real estate exam?

Easements show up on the national portion of the real estate exam in every state, usually inside property ownership and land use questions. The exam rarely asks "what is an easement" straight up. It tests whether you can tell the look-alike terms apart: appurtenant vs. in gross, dominant vs. servient, prescription vs. adverse possession, ingress vs. egress.

If you can define each pair in one sentence, you'll pick up these points fast. If you want to drill them, our 25 must-know national exam questions cover this territory.

The bottom line

An easement gives someone a legal right to use land they don't own, and it stays enforceable no matter how the owner feels about it. Know the four types, know who benefits from each, and know the five ways an easement ends. That covers you as a buyer, an agent, and an exam taker.

Easement questions are point-scoring opportunities on exam day. The terms are learnable, and the patterns repeat. The USRT Exam Prep package drills them with practice questions and vocab until the look-alike terms stick. Start the Exam Prep package and lock in these points before test day.

Starting your journey as a real estate agent can be scary.

From adopting the right frame of mind to understanding your finances, there are many challenges that new agents face. In this survival guide, we'll share practical advice to help you navigate your first year successfully.

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Adopt the Right Frame of Mind

The first year in real estate is full of challenges, and the right mindset can make all the difference. It's common to feel overwhelmed when progress seems slow, but instead of getting discouraged, you need to get M.A.D.

Get M.A.D. to Succeed

• Motivation: Motivation is like a muscle; you need to work on it daily. During your first year, you'll face rejection, but staying motivated is key to pushing forward.
• Action: Active real estate agents are the most successful. You can't wait for clients to come to you—you need to take action by making connections, converting leads, and closing deals.
• Discipline: Discipline keeps you going when motivation fades. Staying active and motivated is not enough if you don't do it consistently. You need discipline to stick with the daily grind of being an agent.

Manage Your Finances Effectively

Managing finances is crucial for new real estate agents. It's important to understand where to invest and how to plan for expenses.

Essential Investments for Real Estate Agents

• N.A.R. (National Association of Realtors): Becoming a member of N.A.R. isn't mandatory, but it provides valuable resources, tools, and industry data that can set you apart from non-members.
• M.L.S. (Multiple Listing Service): The MLS is a key resource for finding credible listings. Access to this database will help you identify potential properties for your clients.
• Brokerage Fees: Brokerage fees can include both monthly payments and a percentage of your transactions. Understanding how these fees work will help you choose the right brokerage for your needs.
• C.A.R. (California Association of Realtors): Membership in C.A.R. provides access to market data, industry updates, and more—making it particularly useful for agents in California.
• Paid Advertising & Marketing: To promote your brand, you may need to invest in billboard ads, website costs, or digital marketing campaigns. Paid advertising can boost your visibility and help you generate leads.
• Business Cards: Business cards are an age-old but essential tool for networking. A good business card can help you make lasting connections and maintain relationships with potential clients.

New 2024–2025 Rules: Buyer Agreements & Compensation

Since Aug 17, 2024, if you’re working with a buyer you must have a written buyer-representation agreement in place before touring a home (in-person or live-virtual). Also, offers of compensation are no longer shown on the MLS—compensation is still negotiable, but it’s handled off-MLS between clients and brokers. Learn your local forms and scripts so you can explain options clearly at your first consult.

Financial Reality Check for Year One

Budget for several months of ramp-up. NAR reports median gross income for REALTORS® was $55,800 in 2023; new agents typically earn less while building a pipeline. Plan a 3–6 month reserve and track fixed (dues/MLS/E&O/phone) and variable (marketing, photos, staging) costs.

Set Realistic Short and Long-Term Goals

Setting realistic goals is vital to tracking your progress and maintaining momentum. Both short-term and long-term goals are essential for guiding your career.

Why Goal Setting Matters

Goal setting keeps you focused on growth and helps you avoid wasting time. With clear objectives, you can work towards specific achievements, ensuring that you're on the right path.

Breaking Down Goals into Milestones

Setting goals that are too ambitious can lead to discouragement if you fall short. Instead, break down your larger goals into smaller, achievable milestones. For example, instead of aiming to make $100,000 in your first year, set a goal of earning $25,000 per quarter.

This makes it easier to stay motivated as you achieve smaller successes.

New Real Estate Agent Checklist

As a new real estate agent, it's important to stay organized and focus on the essentials that will help you succeed. Here is a checklist to guide you through your first year:

1. Create a Business Plan: Develop a detailed business plan outlining your goals, strategies, and target market.
2. Build Your Online Presence: Set up a professional website and create social media profiles to connect with potential clients.
3. Establish a Lead Generation Strategy: Decide how you will generate leads—cold calling, social media, door knocking, or networking events.
4. Join a Brokerage: Find a brokerage that aligns with your goals and provides training and support for new agents.
5. Utilize Your Sphere of Influence: Reach out to family, friends, and acquaintances to let them know about your new career.
6. Set Up a real estate CRM: A Customer Relationship Management (CRM) system is essential for keeping track of leads and client interactions.
7. Develop Marketing Materials: Create business cards, flyers, and other marketing materials to promote yourself.
8. Get Involved in Your Community: Attend local events, join community groups, and get to know your area to build relationships and establish your presence.
9. Take Advantage of Training Opportunities: Attend workshops, webinars, and seminars to continue learning and building your skills.
10. Set Daily and Weekly Goals: Use time blocking to ensure you're consistently working on lead generation, follow-ups, and other key activities.

Prospect and Grow Your Network

The only way to earn clients is through consistent prospecting. Networking and building relationships are fundamental to building your career as a real estate agent.

The Importance of Prospecting

To generate leads, you'll need to actively meet people and get referrals. This process, known as prospecting, is the foundation of any successful real estate business.

Tap into Your Sphere of Influence

Your sphere of influence includes your immediate network of friends, family, and acquaintances. These people already trust you, making them a valuable source of potential leads and referrals. For instance, if someone in your network is planning to sell their home, you can leverage your relationship to gain their business.

Use Advertising and Marketing for Lead Generation

Advertising and marketing are also effective for expanding your network beyond your immediate sphere. Paid ads, digital marketing, and in-person promotions can help you generate fresh leads and build your reputation.

Final Thoughts for New Real Estate Agents

Your first year as a real estate agent will be full of ups and downs. Challenges, setbacks, and successes are all part of the journey. The key to success is staying disciplined and refusing to give up.

Patience and perseverance are essential traits for surviving and thriving in your first year. Many new agents enter the industry expecting instant success, but the reality is that building a successful career takes time and consistent effort. Stay patient, stay committed, and remember that hard work always pays off.

Encroachments are one of the most common encumbrances in real estate, and one of the easiest to miss. Most owners find out about one mid-sale, when a survey turns it up and the clock is already ticking.

This guide covers what encroachments are, the most common examples, how they're discovered, how to fix one, and how the topic shows up on the real estate licensing exam. Quick answers first:

What is an encroachment?

An encroachment is the unauthorized physical intrusion of a structure or improvement from one property onto a neighboring one. The key word is physical. A fence, a garage wall, a concrete patio, overhanging branches: something you can touch is sitting on land it doesn't belong on, without the neighbor's permission.

That physical element separates an encroachment from other property issues. An easement is a legal right that exists on paper. An encroachment is an actual object crossing the boundary line.

Intent doesn't matter, either. Most encroachments happen because an owner built an improvement without confirming the boundary with a survey, not because anyone set out to take land. The encroaching owner is still responsible for the intrusion, whether they knew about it or not.

Common examples of encroachments

The most common encroachments are fences, driveways, garages, sheds, decks, retaining walls, tree branches, and landscaping that cross a property line.

• Fences built over the property line
• Driveways or walkways that cross a boundary
• Garages, sheds, or home additions that extend onto the neighbor's lot
• Decks, patios, or retaining walls that cross the line
• Overhanging tree branches, roof eaves, or gutters
• Landscaping or garden beds that creep past the boundary

Severity matters. Overhanging branches are usually solved with pruning shears and a friendly conversation. A garage sitting a foot inside your neighbor's lot is a different problem. It can hold up a sale until it's resolved, and removal may be the only clean fix.

How are encroachments discovered?

Most encroachments are discovered through a professional boundary survey or a title review during a sale.

A boundary survey maps the legal property lines and shows exactly where structures sit relative to them. If you're buying, this is your best protection. According to Angi's 2026 cost data, a residential boundary survey typically costs $450 to $900, which is cheap insurance against inheriting a neighbor dispute. Surveys can also settle boundary disputes between neighbors.

A cloud on title is any claim or defect that puts an owner's clear ownership in question. An undisclosed encroachment creates one. Because of that cloud, lenders often treat the property as unmarketable and may refuse to fund a buyer's loan until the encroachment is removed or legally resolved. That's why encroachments stall sales: the deal waits until the title is clean.

How to fix an encroachment

You can fix an encroachment five ways: talk it out with your neighbor, remove the structure, sell the strip of land, grant a written easement, or take legal action. Start cheap and escalate only if you have to.

1. Talk to your neighbor

Many encroachments end with a single conversation. If the intruding item is easy to move, like branches, a garden bed, or a section of fence, most neighbors will handle it once they know it exists. Put any agreement in writing.

2. Remove or relocate the structure

If the encroaching structure is yours, moving it back inside your boundary is the cleanest fix. Get a survey first so you're working from the surveyed line, not a guess.

3. Sell the strip of land

If the structure is too expensive to move, you can sell the encroached-upon strip to the neighbor. You get paid, they get clean ownership, and the boundary is redrawn. Consult your mortgage lender first, since your property secures your loan, and use a real estate attorney and an updated survey so the records stay accurate.

4. Grant a written easement or license

You keep ownership of the land but give your neighbor documented permission to use it. This converts an illegal intrusion into a legal, recorded right. It also stops the clock on prescriptive easement and adverse possession claims.

5. Take legal action

Court is the last resort. If you can't reach an agreement, a real estate attorney can pursue a quiet title action or a court order requiring removal. It works, but it's the slowest and most expensive route.

Encroachment vs. easement: what's the difference?

The difference between an encroachment and an easement is permission. An easement is a legal, usually recorded right to use another person's land for a specific purpose, like a shared driveway or a utility line. An encroachment is a physical object crossing the property line with no legal right behind it.

Encroachments and easements both involve someone using land they don't own. But an easement is disclosed, documented, and survives scrutiny during a sale. An encroachment is undocumented and clouds the title. Same land, opposite legal footing.

Can an encroachment become ownership?

Yes. An encroachment that goes unchallenged for years can ripen into legal rights for the encroacher, depending on state law:

• A prescriptive easement is a permanent legal right to use land, not own it, earned through continuous and open use for a statutory period.
• Adverse possession, often called squatter's rights, transfers actual ownership if strict legal requirements are met.

The required time period varies by state. In California, adverse possession requires five years of continuous possession plus payment of the property taxes. In Texas, the standard period is 10 years. Other states run anywhere from five to 30 years. The lesson is the same everywhere: the longer you wait, the stronger the encroacher's position gets.

How encroachments show up on the real estate exam

Exam questions about encroachments usually test three things: encroachment vs. easement, how encroachments are discovered, and their effect on title. Here's one in exam format:

During a routine property survey before a sale, it's discovered that the neighbor's driveway extends three feet into the seller's property. How is this issue best classified, and what is the typical result?

• A. An easement by prescription that creates a cloud on title
• B. An encroachment that may render the title unmarketable
• C. A deed restriction that requires a variance
• D. A general lien against the neighbor

The answer is B. A physical object crossing the line is an encroachment, and until it's resolved, it clouds the title. That can make the property unmarketable in a lender's eyes.

If you're studying for the exam, our Exam Prep package includes thousands of digital flashcards, unlimited practice exams, study guides, and video explanations for questions exactly like this one.

Final thoughts on encroachments

Encroachments start small and get expensive. A fence a few inches over the line costs a conversation today. Ignored for a decade, it can cost you the land itself. If a survey turns one up, deal with it early: talk first, document everything, and bring in a real estate attorney when money or structures are involved.

Want more real estate concepts explained like this? The video above is from our exam crash course series, and the full Exam Prep program covers every topic you'll see on test day.

Deed restrictions can quietly decide what color you paint your house, whether you can rent it out, and even where you park. If you're studying for the exam or helping a buyer, you need to know what they are before a client signs anything.

Here's what you'll get: a plain definition, real examples, how CC&Rs and HOAs enforce these rules, and a simple way to check for restrictions before a purchase closes.

Quick answers

What are deed restrictions?

A deed restriction is a recorded rule that limits how a property owner can use their land or home. These rules live in the deed itself or in recorded community documents, and they transfer with the property no matter who owns it next.

A deed restriction is a private, recorded limitation on land use, separate from government zoning laws. That distinction matters. Zoning comes from the city or county. Deed restrictions come from a developer, a prior owner, or a homeowners association, and they're enforced privately.

Deed restrictions are one of the most common types of encumbrance on a property. They can dictate what gets built, how a home looks, or how the land can be used. A restriction can apply to a single lot or to an entire subdivision.

For example, a neighborhood of look-alike homes may require every house to keep a matching roof color or setback. That rule limits what any one owner can change, and it stays attached to the property when it sells.

How do deed restrictions work?

Deed restrictions work by attaching legal rules to the property itself, not just to the current owner. When you buy a restricted property and sign the deed, you agree to follow those rules, and so does the next buyer.

Restrictions usually do one of three things:

1. Define what owners can and can't do, such as banning short-term rentals or home businesses.
2. Limit what activities happen on the land, such as parking commercial vehicles or keeping livestock.
3. Control construction and appearance, such as fence height, paint colors, or additions.

How long a restriction lasts depends on its source. Some expire after a set number of years. Others run indefinitely until they're formally removed. The two most common sources are CC&Rs and homeowners associations.

Covenants, conditions, and restrictions (CC&Rs)

CC&Rs are the written rules of a planned community that govern how homes and shared spaces can be used. They're recorded with the county, and they're legally binding on every owner in the community.

CC&Rs often cover home appearance, short-term rentals, pets, satellite dishes, trash cans, and parking. If a community says all cars must be garaged overnight or all fences must match, that rule almost always comes from the CC&Rs. Because these rules limit daily use, they count as a type of deed restriction.

Homeowners associations (HOAs)

A homeowners association is the legal entity that manages a community and enforces its CC&Rs. When you buy in a planned community, you automatically become a member and agree to follow the association's rules.

HOAs are the main enforcers of deed restrictions. They can issue fines, place a lien on your property, suspend community privileges, or file a lawsuit when an owner breaks the rules. That enforcement power is why buyers need to read the CC&Rs before closing, not after.

How do you check if a house has deed restrictions?

You check for deed restrictions by reading the title report and pulling recorded documents from the county. Both are public, and both should happen before you close.

Use this simple three-step routine, which we call the USRT Deed-Restriction Check:

1. Order a title search. A title search is a report of a property's ownership history and any recorded claims against it. It flags recorded restrictions, easements, and liens so nothing surprises you later.
2. Pull the recorded documents at the county recorder or clerk's office. Request the deed, the recorded CC&Rs, and any amendments. A title company can often summarize these for you.
3. Read the HOA governing documents. If there's an association, get the current CC&Rs and rules in writing, because they may have been amended since the community was built.

Run this check every time. A clear title today doesn't mean the property is free of restrictions, and a recorded rule you skipped is still binding.

Deed restrictions vs zoning laws: what's the difference?

Deed restrictions are private rules tied to the property, while zoning laws are public rules set by the government. People mix these up constantly, so here's a side-by-side.

Both can limit what you do with a property, and a home can be subject to both at once. When they conflict, the stricter rule usually wins, so always check for each.

Are deed restrictions bad?

Deed restrictions aren't good or bad on their own. They're limits, and whether they help or hurt depends on the buyer. Someone who wants a uniform, well-kept neighborhood may love them. Someone who wants to run a business from home or rent on a short-term basis may find them a dealbreaker.

The real risk isn't the restriction itself. It's buying without knowing the restriction exists. As long as you check the records first and read the rules, you can decide whether a restricted property fits the client's goals. This connects to fee simple ownership, which gives owners broad rights but still leaves them subject to recorded restrictions and local law.

Takeaway

Deed restrictions are recorded rules that follow the property, usually enforced by an HOA, and binding on every future owner. Know what they are, know where to find them, and read them before anyone signs. That habit protects your clients and shows up on the exam.

Deed restrictions, encumbrances, and clouds on title are the kind of terms that trip up first-time test takers. If you want them to stick, drill them until they're automatic. Our exam prep package includes vocabulary flashcards, practice exams, and question-and-answer videos built to lock in terms exactly like these.

Will Real Estate Agents Become Obsolete Or Diminished Due To Technology and Websites?

Nobody can predict the future of real estate. With the popularity of new websites like Trulia and Redfin, you don't need a crystal ball to see the impact they’ll have on the industry. Technology and websites are making real estate research, purchasing, and selling easy and accessible to everyone.

California real estate education is important to being a successful agent. But, some people are getting discouraged from entering a career path that could become obsolete.

This leaves people questioning the relevance real estate agents have in the next few decades. More people than ever are using websites to answer questions and to sell or buy property.

Despite some people’s expectation of an inevitable real estate agent demise, the future might not be as bleak as they think.

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Real Estate Websites and Real Estate Agents

Third party aggregators like Trulia, Zillow, and Redfin have made their presence known in the real estate industry. However, they can’t replace the work of a Real Estate Agent. When selling a property, there’s information the regular buyers and sellers don’t know.

This is the data accessible to the Real Estate Agent; information the websites don’t distribute.

Real Estate Agents help clients through the entirety of the property transaction process. From the legal issues involved (such as disclosure reports) to filing the correct paperwork, buying or selling a home turns into an overwhelming process.

Real Estate Agents lessen the burden of the legal hoops clients have to jump through.

Websites Are More Beneficial to Real Estates Agents

Real Estate Agents share a common feeling that websites are stealing clients. When a property is listed on a website like Trulia, Zillow, or Redfin, the client will bypass the agent to go straight to the property owner or buyer.

What most agents don’t realize is this isn’t a case of losing clients, but an opportunity to make the transaction process efficient.

Instead of spending days - even weeks - browsing through property listings, clients have the opportunity to come prepared into a meeting with a Real Estate Agent.

Less time is spent on client-agent property searching, and more time on the transaction. When you have prepared, decisive clients there becomes more room to take on additional clients.

You will have more clients, commission, and time to run an efficient business.

Traditional Real Estate in a Digital World

The presence traditional Real Estate has in a digital world doesn’t change. Despite owning a website, you still have to go door-to-door finding leads. Currently, the digital world doesn’t have the services available to remove traditional Real Estate Agents from the transaction process.

Real Estate Agents have to shift their mindset when working with clients. Instead of looking at websites as a lead thief, they should use them as a tool to expand their clientele. Moreover, the transactions in Real Estate are extremely complex.

This kind of intricate transaction can’t be done behind a computer.

Real Estate deals need to be done between people due to the extensive amount of paperwork, negotiation, and relationship building involved. A good Real Estate Agent will have skills in bringing people together and being the mediator between two parties.

Their goal, in the digital world, is to ensure buyers and sellers are both happy.

Online Discount Brokerages Versus Traditional Real Estate Agents

Online discount brokerages, such as Purplebrick and Redfin, are websites that list houses for a substantially less amount of money than you can with a traditional Real Estate Agent. This type of business discounts people’s ability to make money. Essentially, it’s a discounted service.

This might sound like a great deal, however the quality of service reflects its costs.

When selling or buying a property, the current tech and website climate will only get a client so far. If a client is serious about buying or selling, they need to hire a real estate agent.

Whether you’re a real estate agent or a first-time homebuyer about to go through the process, following the proper ethics around kickbacks will help you navigate the transaction easily. 

Kickbacks are illegal payments or gifts that occur during the transaction. These laws were put in place to avoid any bribery and protect consumers in the process. 

While not all gifts or rebates fall under the illegal kickback category, it’s essential to understand the complexity and how the law defines kickbacks.

What is considered a kickback?

A kickback in real estate is when a real estate agent, who has a fiduciary responsibility to the client, receives benefits or items of value for referring certain businesses or services. 

These are usually illegal and considered bribes, as it is often in the form of cash or something of value like a gift. 

If your agent recommends additional real estate services like escrow companies, title companies, inspection companies, or other businesses that are involved in the real estate transaction, they have to comply with the law and not be bribed to refer business. 

This helps maintain the integrity of the transaction and ensures consumer’s interests are protected. 

Can real estate agents give or receive kickbacks?

A piece of law called the Real Estate Settlement Procedures Act (RESPA) was put in place in 1974 to prevent unethical or illegal actions between real estate service providers and their clients. 

Real estate agents and mortgage brokers must abide by this, and it falls under the jurisdiction of the Consumer Financial Protection Bureau. Under RESPA section 8a, giving gifts or kickbacks in exchange for business is illegal. 

Specifically, it prohibits any “unearned” fees or bonuses paid for services that weren’t performed. 

What happens if a realtor is caught receiving a kickback?

RESPA is civil law that applies to all federally regulated mortgage loans, including purchase loans, refinances, home improvement loans, land contracts, and home equity lines of credit. 

RESPA will not cover transactions like all-cash offers or rental transactions where a mortgage is not involved.

If you are caught violating RESPA as a real estate agent or mortgage lender, you can face severe consequences such as: 

• A fine of up to $10,000
• Up to one year in jail
• Held liable for three times the amount paid

These kickbacks, in certain situations, can also be considered tax evasion since they are unreported income for the agent. 

If you have any concerns about when or who can give gifts during the transaction, it’s best to confirm with your broker or a real estate attorney to ensure you’re not violating any RESPA laws.  

Difference between “referral fees” or “finder’s fees” and kickbacks

One key exception to RESPA is when a referral fee is paid between two licensed real estate professionals. 

This can be done when one real estate agent refers business to another agent and end up doing a transaction with that client. Sometimes known as a “finders” fee, it is not uncommon for a real estate agent to pay a small percentage of their commission for referring a client to another agent. 

This can be anywhere from a few hundred dollars to 25% of their commission, depending on the state they’re in and the agreed-upon fee between the parties. 

Each state has different regulations that outline what constitutes a referral fee and how much an agent is able to give, so check with your local state’s board of realtors to confirm. Most states require you to be a licensed real estate agent to receive a referral fee. 

But a few states will allow unlicensed individuals - like previous clients - to receive a finders fee for sending business to an agent.

However, this does not apply between mortgage brokers and real estate agents. It is considered an illegal kickback when a referral fee is paid between a real estate agent and another service provider. But if it’s a referral fee between two real estate agents, it is permissible. 

Difference between “closing cost credit” and kickbacks

While providing gifts in exchange for referrals violates RESPA, not all credits or gifts to clients are against the rules. 

A mortgage lender or agent can offer the buyer or seller a closing credit or gift for using them as their service provider — just as long as there are no expectations to refer other businesses to the lender.

RESPA allows for gifts, refunds, or discounts to the client if it doesn’t involve referring business to that provider. 

In this case, an agent might offer to refund part of their commission in the form of a “closing credit” that can go towards the client’s down payment and closing costs. 

These credits are legal in 40 states and allow agents to give their clients a little money back at the closing table if necessary. 

Can you gift a client without it being a “kickback?”

Giving gifts to a client at the closing table or after they move into their new house is a common practice in real estate. 

But does that count as a kickback? According to RESPA, as long as there are no strings attached to the gift, agents can give gifts to their clients. 

These would be considered more of a thank-you gift and is a way to build a relationship with clients. 

These types of gifts and rebates are okay, so long as the client is not expected to get a referral out of it. Remember that next time you want to thank a client for choosing you as an agent!

Final thoughts on kickbacks in real estate

While Kickbacks are illegal and unethical in real estate, there are some exceptions to gift-giving for your clients, and from agent to agent. 

RESPA was created to ensure that buyers and sellers have full transparency and trust in the transaction. If you’re a real estate agent, make sure you’re following proper procedures to avoid violating RESPA laws.  

Make sure you have a complete understanding of the law so you can avoid any RESPA-related issues!

While technology has changed a lot in the real estate industry, open houses are one of the most popular “traditional” tactics that real estate agents use to sell homes. 

But does hosting an open house and having strangers walk through actually help sell the house? Well, that depends.

What is an Open House?

An open house is a publicly marketed event hosted by a real estate agent that allows prospective buyers and their agents to tour the home during set hours. 

Agents will often host these on the weekends, and they’ll last anywhere from 1 to 3 hours. During that time, the agent will show people around the house, answer any questions and hopefully, find a buyer for the house. 

How Do Open Houses Work?

When you get ready to list a property, the agent and the seller will discuss ways to market the property to get the most exposure. 

Once the seller agrees to allow the agent to host an open house, the agent can begin marketing it to their network and sharing publicly. 

They can also include it in the MLS description of the property, so other agents are notified that an open house will be held. If the open house is entered officially on the MLS, it will also show up as an upcoming event on sites like Zillow, Redfin, and Realtor.com.

On the day of the open house, it’s strongly recommended that the seller of the property is not present. This will prevent any awkward scenarios where the potential buyer meets the current owner. 

Once the owner has left the property, the agent will stay at the house and greet any visitors or agents that attend. 

Usually, you can expect a wide variety of people attending, ranging from neighbors, real estate agents, home buyers that are starting to look, or sellers in the area who want to look at comparable homes. 

As a buyer, when you visit an open house, you’ll be asked to likely sign in and share some information with the listing agent. This can help the agent determine if you’re already working with an agent or might be looking to hire an agent to help in your home search. As a newly licensed agent, hosting open houses can be a great way to generate buyer leads. 

Do Open Houses Help Sell Homes?

There are a lot of benefits to having an open house, and when done correctly, they can generate a lot of interest in the property. 

It’s hard to exactly attribute the percentage of homes that sell from an open house, but it can be an effective tool to gauge interest and get more eyes on the property. 

While most sellers start their home search online, they will need to see the home in person to make a final decision. 

Having an open house to welcome prospective buyers is often a much more relaxed and less formal way to view a house instead of scheduling a formal showing. 

It also is more convenient, allowing buyers to visit several open houses throughout the course of the weekend. 

While touring, they can ask questions, visualize themselves in the space and get an idea of whether the house is a good fit for them. 

According to a 2018 Zillow study,  72 percent of sellers in urban areas host open houses, 63 percent in suburban areas, and 42 percent in rural areas. 

Depending on your seller’s situation or the home's condition, it might not always be in their best interest to have an open house. 

Make sure you weigh the pros and cons with your seller to ensure everyone is on the same page.

What is the Difference Between Open House and Broker’s Open?

If you want to get additional traffic to your property without opening the door to the public, hosting a broker’s open might be a better fit. 

At a broker’s open, only other licensed agents or brokers can attend, providing a more intimate and exclusive setting for agents to preview the property. 

From there, they can consider whether they have a client who might be interested in viewing it. 

Are Broker Opens Better than Open Houses?

Depending on the property, your seller’s wishes, and your local market, a broker open could be a better fit for you. 

While they’re not necessarily any better than an open house, they accomplish the goal of getting additional traffic to the house from professional real estate experts. 

This can give you, the seller’s agent, great feedback about the home and the opportunity to network with other agents. 

A broker open is a great way to provide your client feedback from other industry professionals.

How Do Private Showings Work?

If, ultimately, your seller isn’t comfortable having strangers come through their house en masse, you will have to conduct private showings with potential buyers. 

This is when prospective buyers and their agent will schedule a time to view the home without other buyers or the current owner present. 

Most serious buyers will plan a private showing where they can have the house to themselves and ask the seller's agent specific questions. 

Should You Advise Your Client to Have an Open House?

At the end of the day, hosting an open house is an individualized decision you and your client should discuss. While there are plenty of benefits, there are certain situations where it might not make sense:

• If the house is not in great condition or is cluttered - Sometimes, when the buyer still lives in the house, it can be a disadvantage to have prospective buyers walk through. 
• If the seller wants to maintain privacy - Having strangers walk through your house can be unnerving for sellers. 
• If you’re concerned about safety - Open houses can invite thieves or criminals to walk into your house. 

Ultimately, it’s up to the seller whether they feel comfortable with an open house. Make sure you walk your clients through all the pros and cons so they can make an informed decision that works best for them.

Your clients might have an urge to find houses for sale by owner to avoid working with real estate agents now. To be the best Realtor® California has ever seen, you must follow a strict code of ethics. This means, when there’s property for sale, the client is the agent’s priority.

Your client shouldn’t learn how to buy a house on their own because they worked with a dishonest real estate agent.

Sticking to the ethical code that was created by the National Association of Realtors® is important to maintaining an agent’s moral integrity. Without it, the industry will get filled with low value agents trying to make a quick buck.

The Real Estate Agent Code of Ethics

The National Association of Realtors® changed the industry in 1913 when they developed a code of ethics. By doing so, they solidified the ethical duties and responsibility that agents uphold in their profession.

The goal of the code of ethics is to create cooperation among real estate agents to further meet the client’s best interest.

The NAR® code of ethics is used as a moral compass for agents. Even going as far as to say that agents “...connote competency, fairness, and high integrity resulting from adherence to a lofty ideal of moral conduct in business relations. No inducement of profit and no instruction from clients ever can justify departure from this ideal.” Agents must put aside the idea of earning a few extra dollars to stay true to their moral integrity.

Why Agents Stretch The Truth

Those who are loyal to the real estate agent’s mission will respect the client’s best interest and work for them. Unfortunately, a few agents will stretch the truth with the client.

The reason why agents mislead a seller or buyer is because they’re desperate to earn their commission. Most of the time, the agent will try hyping up their client when finding homes for sale in California. They do this by promising fantastic - but unattainable - deals on their home.

This is to excite the client so they will hire the agent.

The agent will be desperate for clients depending on their current level of success and the size of their clientele network.

If the agent is unsuccessful in their career, they’ll have more desire to manipulate the truth. The same goes for an agent with a small network. When they hype up their client, they’re trying to grow the amount of connections they have.

You can avoid this low status agent behavior by committing to the NAR® code of ethics.

Difference Between Truth and “Untruth”

Deciphering the difference between truth and “untruth” can be complicated for the client. Telling the truth is always the best policy.

This allows clear, unaltered, real information to be exchanged between the client and agent.

When an agent chooses to lie or give false information, they’re being untruthful. For example, an agent might tell a client to raise the price of their home to create a sense of excitement towards the agent.

The client will be more inclined to work with someone who could make them more money.

Agents know this and will leverage this desire in their favor. When agents sugarcoat information as a way to be more marketable, they are being deceptive.

As an agent, you should always be supporting and honest to your client.

Always play fair in real estate. Being dishonest and corrupt in your business is a great way to lose your license, but it’s also a morally irresponsible characteristic for a person.

The California Association of Realtors® and Ethics Violations

The California Association of Realtors® (CAR) handles investigation into any ethics violations. This means brokerages are investigated when an agent has committed an action deemed immoral or unethical.

Agents sign with the brokerage, so the actions of the real estate agent reflect that of the brokerage.

When unethical behavior is reported, CAR undergoes an extensive process investigating the report. Depending on the severity of the report, CAR could warrant the suspension or revocation of the perpetrating agent’s license.

Putting the Client First

When you put your client first, everyone will notice.

Practicing clear, transparent communication is an effective way to show the client you respect their time and business. When you are open, honest, and communicate your goals, they will reward you with their loyalty.

You should also keep your word. Holding yourself accountable to provide quality service is important to building trust between you and your client. If you promise to sell their home after raising by $50,000, you should do everything in your power to do so.

Agents can build strong relationships when they are honest with their clients. When they do, there’s immeasurable returns.

The Perks of Being an Honest Agent

When you practice honest habits as a real estate agent, you’ll earn a larger network of clients.

This happens because people want to work with you. When a client finds a real estate agent they trust, they’ll most likely hire them for future deals or recommend them to a friend and family. A successful real estate agent grows their network quickly through referrals.

Avoid falling into the vicious circle of dishonesty by holding yourself accountable to being an honest agent. Doing so will decrease the incentive to lie or tell “untruths” to future clients. As a result, your network will grow - so will your commissions!

If you're selling a house, what kind of brokerage should you work with? Ideally, convenience is best. You may turn to online brokerages.

Online brokerages like Redfin provide convenience and lower fees. But are the services better?

This article walks you through the advantages and disadvantages of using an online real estate brokerage.

You Can Save Money with an Online Brokerage - But At What Cost?

Sure - listing houses for sale with an online brokerage can help you save money. Instead of breaking off 6% of the sale with a traditional realtor, you could be spending around 1% with an online brokerage.

This small percentage change means monumental savings.

But, like any discount brokerage, you get what you pay for. Using an online brokerage could mean you lose the opportunity to work with a real estate agent.

In fact, online brokerages like Redfin and Purple Bricks are directly competing with the brokerages you see today. The reason being: saving money is great!

But, when you spend less, you may want to expect less. Real estate agents prefer higher commissions.

When a commission of 1% is split between the broker and real estate agent, the agent will be less likely to work with you.

Save More With An Online Brokerage

Sellers can undoubtedly save money using an online brokerage.

Compared to a brick and mortar brokerage, the amount of money that one can save is highly apparent. Companies like Redfin or Purple Bricks will charge the seller around 1% when selling their house.

If the value of the house is $1,000,000, then that’s only $10,000 spent for listing.

A traditional real estate agent will charge the seller 6% for selling the house. Taking the same property value, that’s $60,000.

With $50,000 at stake, making the decision of who will sell your house becomes pretty simple.

Online brokerages make selling and listing the home easy for the seller. They also make the service charge affordable.

This sounds too good to be true, right? Well, there’s one, large downfall that makes this great deal, not so great.

You Get What You Pay For

When you’re working with an online brokerage, you get what you pay for.

Paying a lower amount of money to sell and list your property will bring less buyers and a lower quality of buyer.

You don’t have the opportunity to filter the right person for your home. Additionally, buyer agents will not take interest in your property, because they’ll have to share the 1% commission.

The buyer’s agent will be deterred, because they don’t want to invest their time to split $10,000 with an online brokerage. They could be earning more money for themselves and client by working with traditional real estate agents.

As a result, online brokerages could make the selling process more challenging.

The Benefits of Using Traditional Real Estate Agents

When a traditional real estate agent charges the seller 6%, they’re committing to a promise of quality service. The agent will make the process of selling a home simple by finding valuable buyers for their client.

By paying the extra 5%, you are agreeing to hold the agent to a standard that will pay dividends when finding your buyer.

This means they will be working for the seller.

By looking out for your best interest, they will go above and beyond what an online brokerage is able to do. By meeting your needs and finding the right buyer for your home, your sellers agent will show you why the 6% service charge is necessary.

You can save money with an online brokerage, but it might cost you much more money down the line.

More Property Disclosure Less Problems

Homebuyers stress over finding the absolute perfect home. When they purchase a property, they want to know everything there is to know about it.

But, when the seller withholds a real estate disclosure, the buyer could find these imperfections after the purchase.

Without a property disclosure form, the seller could be held responsible for fixing these issues that creep up after the transaction - especially when they had already known about them. A seller’s disclosure agreement helps make all issues with a house apparent to the seller.

By signing a sales disclosure form all parties are legally aware of the property problems before closing the purchase.

Does the Buyer Have a Right to Know?

Yes - buyers always have the right to know about issues with a piece of real estate. This is because the homebuyer may not want to purchase the home if they had known about the property’s defects.

With this in mind, it would be unethical to knowingly withhold information from them.

A house disclosure informs the buyer of every defect. Some agents might think this is a bad thing, as it will deter buyers from making a purchase.

To some extent, this is true.

But, buyers will be more eager to work with an agent, if they’re upfront and transparent with the house issues.

The Real Estate Disclosure Form

The best way for the buyer and seller to communicate the problems with the property is through a real estate disclosure form.

Also known as the seller’s disclosure form, this legal statement reports the condition, well-being, and material defects of the home.

The seller’s property disclosure statement is usually found in the transaction document. This will have a complete description of the defects of the property and ensure the buyer is aware of these problems before completing the transaction.

When the buyer reads the disclosure statement, they will be informed about the property issues.

When the seller or agent intentionally withhold information on the property problems, there will be a chance of legal repercussions.

Legal Backlash from Withholding Property Problems

There will be legal backlash for the real estate agent - and especially the seller - if problems are knowingly withheld from the buyer.

In some situations, buyers are even suing sellers for nondisclosure of latent defects.

Latent defects are problems that are not obvious during the house inspection. One example of a latent defect in the house having a coat of led paint.

This isn’t something that would be obvious during the initial inspection. Therefore, the buyer will have to be told about this information.

However, the seller and agents are not responsible for sharing patent defects. These are the issues that are apparent upon a normal inspection of the property.

This could be apparent house blemishes, such as damaged material property.

Why Disclosures Can Make You a Great Real Estate Agent

So, who’s responsible for fixing the issues with the property? Moments like these are why real estate agents are important.

Disclosures can be used as negotiation power during the transaction. That’s why most sellers are afraid to share them.

A real estate agent will leave a major impact on their client if they’re able to negotiate in their favor.

If you’re representing the buyer in a transaction, and you’re able to convince the buyer needs to fix the issues with the property, you’ll be doing the buyer a major favor.

Putting the needs of the clients first is one of the characteristics of a successful real estate agent.

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There are thousands of experienced real estate agents who will happily share their best method of selling real estate.

Filtering through the noise of empty real estate tips can be a challenge. However, there’s one piece of advice that will always outperform other real estate agent tips.

You’ll find the best selling tips by discovering what makes a good real estate agent a great one. Instead of researching overnight hacks, there’s one strategy that will change your real estate career for good.

The right way to sell a property is with grit, tenacity, and - most of all - passion.

Passion is real estate isn’t just a motivational hack. It’s a measurable characteristic that clients and peers will notice. People who are passionate will always be more likely to succeed in their careers. Here’s how you can stay passionate to sell a property.

The 3 Types of Real Estate Agents

Becoming a real estate agent takes discipline and stamina. Holding yourself accountable is a challenge that most agents struggle with. As a result, they find themselves in 3 different levels of effort.

Most agents will fall into the level of doing the bare minimum in their careers.

These are the people who will learn the course material, pass the real estate state exam, and sign with a brokerage, but fall short of excelling in their careers. They follow the same motions day-in and day-out.

The next level is for the agents who perform above everyone’s average. You will find these people closing more deals, developing a brand, and being well versed in real estate knowledge.

Finally, the best real estate agents are the ones who perform well in their jobs and show passion. These are the agents who have a superb reputation.

They work hard in their careers and they stay invested with their clients. These agents will go the extra distance that most choose not to.

Tips and Tricks to Make You A Successful Real Estate Agent

People always want overnight success. They believe finding that one tip or trick to better their real estate careers will fall into their lap. Then, they expect to have instant success by following a strategy guide or scheme.

In real estate, there are no overnight success tricks.

The best real estate selling tips to make you successful are: working hard and showing passion. People want to work with those who are invested in their careers. When you are dedicated to doing the best job you can, you will attract clients and professionals to you.

What Makes Passion?

Passion is the strong, emotional drive that makes you invested. When passion is described like this, it might sound unattainable if you don’t have it. Passion is something that comes to you when you’re able to shift your mindset.

When you figure out what makes you care - you will find it easier to feel passionate about your career. In regards to real estate sales, you will feel passionate about finding the best deal for your client, when you've invested in ensuring they have the best property at the best price.

This is why building strong relationship with clients and peers is a vital part of being a real estate agent.

Discovering why you care about your job will always lead to being invested in your career. When you are invested in your career, you will become passionate. Therefore, the right way to sell or buy property is to, firstly, care.

The first step to combat discrimination in the United States was the Civil Rights Act of 1866. However, neighborhood discrimination wasn’t addressed until the Civil Rights Act of 1968.

Also known as the Fair Housing Act, this legislature made “refusal to sell or rent a dwelling to any person because of his race, color, religion, or national origin” illegal.

Real estate agents can’t determine where the home buyer can or cannot live. That’s why choosing your client’s future home should be handled with caution.

The Fair Housing Act and Real Estate

In 1968, The Fair Housing Act was passed to counteract discriminatory behavior that controlled the ethnic makeup of neighborhoods.

This legislature was to provide equal housing opportunities to everyone, no matter their race, religion, or national origin.

This landmark regulation wanted to take the discrimination out of the housing.

This was an expansion of the Civil Rights Act of 1866, which didn’t enforce federal action against discriminatory behavior in housing.

The major acts in housing discrimination were steering and redlining. Each attempted to serve the real estate agent to make a sale or fragment neighborhoods based on ethnicity.

What is Steering in Real Estate

Steering is the act of guiding home buyers to neighborhoods based on their race, ethnicity, or religion. It also worked in guiding home buyers away from neighborhoods.

This practice was used by real estate salesperson agents and urban planners.

Racial steering is used to segregate neighborhoods.

Steering as an act is something that hasn't gone away since the early 1900s. One of the most recent national cases occurred in 2006.

When dealing with a client, you should always consider where they want to live. Never outright choose the location for them without hearing their interests, tastes, and needs.

Therefore, the best way to avoid racial steering (even inadvertently) is by asking the client “where do you want to live?”

What is Redlining in Real Estate

Redlining is another discriminatory behavior in real estate. This is the act of segregating neighborhoods based on race, ethnicity, and religion.

Redlining was used most often with banks in the mid to late 1900s to avoid financial investment in minority-populated neighborhoods.

This form of discrimination accounts for the devaluing of land and property by encouraging a negative stigma.

For example, in the late 1900s, banks wouldn’t give loans to residents of redlined zones, causing the well-being of houses and property to drastically diminish.

This resulted in the well-being of land decreasing as well.

Real estate agents must show the property in a variety of neighborhoods. In other words, steering a client to a redlined neighborhood is illegal and must be avoided.

When a client asks about the racial makeup, crime rate, or education rate of a neighborhood, always direct them to resources that will help answer these questions.

Advertising and Excluding People

Advertising property must be handled with care. Promoting a property could result in excluding certain populations from the property. This won’t only be considered illegal practice, but it could harm your business whether intentional or not.

You must be conscious of advertisement phrasing.

Aside from being aware of race, ethnicity, and religious practice, you should consider how you speak to people of a specific gender, disability, and familial status.

Words of Advice for Wording your Properties

Here’s one example of unaware exclusionary phrasing: When advertising a property with a great hiking trail, you might say, “This home is fantastic for hikers.”

What you might not realize is this is excluding people who cannot hike, because of a disability.

They will be less likely to work with you, because of being excluded from your advertisement.

When you’re in doubt about whether or not something could be exclusive, you should omit it from the advertisement. Also, always be aware of how your speaking to others, whether through a listing or in person.

Inclusivity goes a long way - especially in real estate.

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To become a successful real estate agent, you don’t need to close the biggest million-dollar listing (it couldn’t hurt, though!) Success isn’t based on a real estate agent's salary. To thrive, you’ll have to do more than finding real estate for sale.

You have to focus on the fundamentals that make you an unstoppable agent.

These are the foundational elements that make up a successful agent's professionalism and work ethic. In other words, success is more than just dollar signs.

Here are the characteristics of successful real estate agents:

Motivation and Passion

Real estate motivational quotes can only go so far. There’s a number of ways to keep yourself pumped up to work every day. One of the best ways is to keep an open mind about your career.

Staying open-minded is the best way to invite opportunity into your life.

In real estate, you experience hurdles that will ruin your momentum to grow. Trying new strategies to sell a home or to market your services will help you maintain a competitive edge amongst others.

Adopting new, inventive ways to conduct business will not only help feed your open-mindedness, but it will help you build passion.

When you’re passionate about your career, you’ll naturally find yourself motivated to excel.

Staying Active

Agents who are active in their careers will, sooner or later, find success. When you put in the extra work and go beyond what is expected, your success doesn’t become a matter of “if” but a matter of “when.”

Here’s why going that extra mile in your career will always lead to success:

Whether you’re negotiating for your client or - literally - going the extra distance to attend a real estate class, you’re showing people you have an excellent work ethic.

This will make you adopt the reputation of being a hard worker. When people hear you take yourself seriously, they’ll be more likely to work with you. It will also keep you from slacking off in your career.

You’re your own boss in real estate, so you have to hold yourself to higher standards.

This is why discipline and commitment play a big role in your success.

Discipline and Commitment

To stay disciplined and committed in your career, you - simply - can’t give up. That’s easier written than done. You need to go through the daily work, always be networking, and choose to work when others aren’t.

Commitment to maintaining an excellent quality of work is also an important part of being a real estate agent. Some people cut corners or practice unethical behavior.

When you practice unethical behavior, people will have a negative opinion about you. Nothing is worse for your success than a bad reputation.

Always stay disciplined to do the work and stay committed to doing it with excellence.

Keep Current with Real Estate Trends

The real estate industry is always changing. That’s why staying updated on trends, news, and practices is the best way to remain a cutting-edge real estate agent.

Having sharp, updated information about markets, the economy, and the greater industry will keep you competitive. You will never be out of the loop and run the risk of being an obsolete real estate agent.

You will also have the authority and knowledge to help you excel in your real estate career.

Changing Your Frame of Mind

The final step is to change your frame of mind. Instead of listening to the inner monologue that makes you second guess yourself, remind yourself that you can achieve success as a real estate agent.

Whenever you have the thought “What if I can’t do it?” remember to ask yourself “What if I can do it?”

Taking the time to change your mindset will give you the confidence you need to close deals, negotiate, and find leads.

Final Thoughts on What Makes a Successful Real Estate Agent

The successful real estate agent doesn’t become successful by hacking the system or practicing unethical work behavior. They become successful by choosing to go the extra mile because they feel passionate about their career.

This is an internal change that everyone has to go through in order to become lucrative in their career. You can start becoming successful today by adopting these characteristics.