Real estate investing is a lucrative business that doesn’t necessarily require formal education. But you still have to understand the fundamentals to ensure that you’re making wise investments. Here are a few of the top jobs to learn real estate investing.
Key Points
Top 7 Jobs to Learn Real Estate Investing
1 – Real Estate Agent:
Becoming a real estate agent will help you better understand the fundamentals of the business. It will teach you how to run comps and understand what factors impact the market value of a property. Plus, it will help you build a network of connections that will be beneficial to you as an investor. The best part of getting your broker’s license is that it doesn’t require a four-year degree – you simply need to fulfill the educational requirements of the state you live in and pass an exam. It’s often a flexible occupation which you can do while working another job. So, you can get the experience you need while still balancing other responsibilities.
2 – Property Manager:
Becoming a property manager will help you understand the investing business from a ground-level perspective. You will learn how to price units, find and qualify tenants and understand the costs and labor associated with maintaining a property. That way, you have a better understanding of the risks and responsibilities associated with owning and managing investments.
3 – Real Estate Accountant:
Having a solid understanding of accounting can help in any business, especially real estate investing. If you have a background in accounting, you may decide to specialize in real estate to get a better understanding of the field. Of course, this will still require schooling and proper certification. But it’s a great way to learn the fundamentals of the business and analyze deals to assess the risks and profit potential. Plus, it will provide you with a steady paycheck that can help you qualify for loans when you decide to get started on your own.
4 – Real Estate Attorney:
Every real estate investor needs a good attorney to draft contracts and help with the closing. So, if you have a background in law, you may consider specializing in real estate to learn about the investing business. Having an understanding of the law will give you a leg up as an investor because you know about important pieces of legislation that may impact a deal, such as zoning, tax laws, tenants’ and landlord’s rights, and a variety of other useful information. This may not be feasible for everyone as it still requires you to obtain a law degree. But, if you are already considering law school or you are currently practicing, there is always a high demand for real estate attorneys. This can be a great way to get an introduction to the business before you commit to doing it for yourself.
5 – Mortgage Broker:
Becoming a mortgage broker can help you better understand the financial side of real estate. Mortgage brokers are responsible for acting as an intermediary between a borrower and a lender to guide clients through the process and ensure they understand the terms of the loan. This can be a great way to build a network of lenders, buyers, and other investors. Plus, it can equip you with inside knowledge of the mortgage industry. Becoming a mortgage broker doesn’t require any formal schooling. But you do have to complete a course and pass an exam, just like becoming a real estate broker. This makes it a time and cost-effective way to get a background in real estate finance before you decide to start investing on your own.
6 – Mortgage Underwriter:
A mortgage underwriter is a person responsible for examining the information provided by a borrower in a mortgage application and deciding whether or not to approve the loan. Their job is to assess the risk of delinquency or the likelihood that the person will default on the loan. Although many mortgage underwriters work directly for a bank or another lending institution, others work remotely. This can be another good way to get experience on the financial side of real estate and learn how to qualify applicants and structure loans. Plus, the requirements for becoming a mortgage underwriter are similar to becoming a broker – you simply need to take a course and pass an exam to become qualified, making it a flexible position for those looking to gain experience.
7 – Leasing Consultant:
A leasing consultant is a person who conducts all the tenant-related business of leasing a property, on behalf of a property owner or management company. This includes showing properties to tenants, negotiating prices, and handling the closing of a deal. These responsibilities are often handled by a property manager. However, many large companies or landlords with multiple units may decide to hire a dedicated leasing consultant to focus on obtaining tenants and preventing vacancies. Leasing consultants get hands-on experience finding and qualifying tenants, which can be useful for those looking to get into investing.
Best Jobs to Learn House Flipping
If you are specifically looking to get involved in the business of house flipping, here are a few additional jobs you may consider.
1 – Wholesaler:
The job of a wholesaler is to scout properties on behalf of an investor. Typically, they will find a distressed property, get it under contract for a discounted price and then flip that contract to another investor who will make repairs and flip it for a profit. Wholesaling can be a great way to get started as a house flipper because it will teach you how to find under-market properties and secure them for a good price. But it doesn’t require as much work or upfront capital as flipping houses.
2 – General Contractor:
Working as a general contractor is another good way to gain experience in the field of house flipping. One of the biggest challenges of the business is determining how much work a property will need to get it up to market standards and accurately estimating the costs. As a General Contractor, you have a leg up on this aspect of the business because your work revolves around completing renovations within an allotted budget. Plus, you can save money on your own deals by doing some of the work yourself.
3 – Residential Appraiser:
A residential appraiser is another good career path for those interested in flipping houses. This will give you the knowledge and experience needed to examine a property and determine its true value. This can give you a major advantage when it comes time to scout homes to invest in for yourself. You will have a very good understanding of the potential after repair value of the property. Plus, there will be less of a chance that you’ll accidentally purchase a money pit.
Can You Learn Real Estate Investing Without Work Experience?
Yes, it is certainly possible to learn real estate investing without formal work experience. As long as you have a keen business sense and you’re able to hire the right professionals to guide you through the process, there is no reason you can’t be successful.
But the more knowledge and experience you acquire, the better equipped you’ll be to handle the challenges that come with investing. No matter how much experience you have, there are always going to be unexpected obstacles along the way. The more work experience you obtain in the field before investing, the better equipped you’ll be to overcome these obstacles before they impact your profit margins. Like any other type of investment, real estate requires you to carefully crunch numbers and do your due diligence to turn a profit. The more experience you have before investing, the easier this process will become.