I have been told there are many costs involved in a career as a real estate agent above and beyond desk fees, and advertising, gas, etc.

I am hoping that some of the realtors from Ontario can shed some light on the fees that will come into play once I have finished the Real Estate courses. For example, how much does it actually cost to:
get your license
get the background check from the police
cost of joining the Real Estate board(s) and ongoing costs to the board
insurance requirements
and any other costs I haven't mentioned.

Once you have passed your Course 3, you will need to join a brokerage. Most brokerages are members of organized real estate (local board, OREA, CREA) which is needed to have MLS access. You will have board, OREA, and CREA initiation fees (I believe that OREA and CREA are $200 each and then your board initiation will vary depending on which board you are joining.....likely $750-1000). You will have your RECO registration which is $350 every 2 years. E&O insurance for this past year was $335 and is a yearly cost which goes up each year and paid in August...you would have to pay a pro-rated amount depending on when you start. You have monthly or quarterly board fees (depending on your local board) which are about $140/month around here (London) but likely higher in Toronto if that is where you are. You then have yearly OREA and CREA fees. Continuing education courses of 24 credit hours every 2 years (your first 2 years you will be articling and have those 3 full courses to take rather than the CE courses). You then have whatever desk fees that you have with your office. Most people find that these costs for getting licenced end up being around $2000-3000 once you have finished your first 3 courses.

All of these fees are just so that you are allowed to sell and do not involve any operating costs. Your other start up costs will vary depending on which office you join and could include things such as signs and business cards. Then you get to start spending money to make money.

Thanks MHT, I thought it was after the fourth course that we have to find a brokerage?

1. Real Estate as a Profession
2. Land, Structures and Real Estate Trading
3. The Real Estate Transaction
4. The Real Estate Transaction

Then in the Articling phase we have to do

1. The Real Estate Transaction - Commercial
2. Real Property Law
and then one or two electives.

Course 3 consists of 2 parts....the General and an Advanced portion (either residential or commercial). Together they make up one course with one exam covering both portions. You then do the other advanced portion during your articling along with the law course and one elective.

Oh!! Thanks for clarifying that for me. So the exam will be for both portions of course three? How large is that course? How many chapters, how many pages? Not including the mini reviews.

I am doing this via correspondence and I find it difficult to set up my exam date before I even have a chance to see what's involved in each particular course.

I take my first exam next Saturday. Then I have to decide how long it might take me to do course number two which I have read is quite a bit more involved than course one.

[quote=MHT]Course 3 consists of 2 parts....the General and an Advanced portion (either residential or commercial). Together they make up one course with one exam covering both portions. You then do the other advanced portion during your articling along with the law course and one elective. [/quote]

MHT I have a couple more questions for you. I am thinking that the Commercial course in the Advanced portion is probably more difficult a course than the Residential and am thinking it might be best to take that one while I'm not actually trying to work as an agent. What do you think? I''m assuming most people take the Residential first though.

Do both the commercial and the residential require in school rather than correspondence or is it just the commercial course?

Both Advanced portions have always been in class however just this month they have removed the minimum hours in class in order to be allowed to write the exam so you don't even have to show up anymore (they used to keep attendance and you had to be there at least 70% of the class hours). It sounds like you should be able to sign up for the in class portion and never even go (not that it would be recommended though). Which order you take the classes in really doesn't matter. Yes, most take residential first but it is also much harder to get an open space in for that exact reason. If you are going to work residential then it would probably be recommended to take it first but it is not necessary.

Sorry, I missed this post at first.

Course 2 is about twice as much information as Course 1. It isn't really harder material, just a lot more of it.

Course 3 is 2 text books (One for the General, one for Advanced) and totals about double Course 2 but it is filled with a lot of contracts and such which take up a lot of room. If you would like the links to the PDF's for the course just shoot me a PM.

Definitely I share your view.

[quote=MHT]Both Advanced portions have always been in class however just this month they have removed the minimum hours in class in order to be allowed to write the exam so you don't even have to show up anymore (they used to keep attendance and you had to be there at least 70% of the class hours). It sounds like you should be able to sign up for the in class portion and never even go (not that it would be recommended though). Which order you take the classes in really doesn't matter. Yes, most take residential first but it is also much harder to get an open space in for that exact reason. If you are going to work residential then it would probably be recommended to take it first but it is not necessary. [/quote]