CAREERS IN

REAL ESTATE

OVERVIEW OF CAREER

OPPORTUNITIES & LICENSING

REQUIREMENTS

Types of Real Estate

Many & Varied Product Types & Sub-categories:

• Residential (single family residences (“SFR”), 1-4 dwelling units, condominiums, townhomes, vacation ownership, sea-borne residences)

• Multi-family (market rate; student housing)

• Retail (Regional Malls, Power Centers, Neighborhood Centers, Strip Centers, Triple Net, Public/Private Concessions, On-site Retail, street front)

• Industrial (warehouse, manufacturing, distribution, “pick-pack & ship”)

• Storage Facilities (household goods, art, wine, vehicles)

• Hospitality (hotel, motel, hostel, resort, residences, restaurants, bars, tourism/convention/visitor bureau)

• Golf & Resort

• Office

• Seniors Housing

• Subsidized & Tax Credit Housing

• Public Facilities Concessions

• Entertainment Venues & Theme Parks

• Hospital & Urgent Care Facilities

• Assisted Living & Convalescent Facilities

• Agriculture (crops, vineyards, orchards, live stock)

• Water Rights

• Mineral Rights

• Rights of Way & Easements

• Religious Facilities

• Energy Generation Facilities

Types of Real Estate (cont’d)

Urban Planning/Land Use • Government agency

• Regional authorities (RWQCB, AQMD, CCC, CEC)

• Economic, Demographic & Population Trends

• Public / Private Partnerships (Grand Park; LA River

Project)

United States Green Building Council

(USGBC) • Green Building Design, Construction &

Management

• LEED - Leadership in Energy & Environmental

Design

Risk Management/Insurance • Construction (hazard, defect, wrap, completion

and personal guarantees)

• Errors & Omissions

• Liability

• Fidelity Bonds

• Workers’ Compensation

• OSHA & ADA compliance

• Human Resources

• EDD compliance

• Performance & Completion Bonds

• Private Compliance Providers

Finance; Lending; Conduits • Institutional Investment Funds

• Institutional Investment Fund Advisors

• Financial Analyst

• Investment Banks (debt markets; RMBS/CMBS

• Lenders - A cornucopia of resources: commercial banks; savings & loans; savings banks; corporate debt (e.g., GE Capital); mortgage banks; pension funds; life companies; private equity; credit unions

• Mortgage Broker

• GSE’s: Fannie; Freddie; FHA; Ginnie Mae

• Loan Servicing

• Wealth Management

International Right of Way Association

(“IRWA”) • Senior Right of Way Agent (“SRWA”)

• Mineral Rights; Rights of way (identification, acquisition,

easements); Utility Corridor Planning & Acquisition

Conservation Easements • Conservancy land acquisition (holding entities)

• Conservation easements

• Bureau of Land Management (“BLM”) - Land swaps

Agriculture • Agriculture (crops, live stock, vineyards, orchards, etc.)

• Water Rights (acquisition, sale, trading)

• Timberland

• Brokerage (sales, leasing)

Land Use, Entitlement & Development • Urban Planning

• Zoning & Government Regulation

• Site Acquisition

• Demographic Research & Analysis

• Use studies

• Land Survey

• Title Insurance

• Environmental Study, Review, & “Impact Reports”

• Financial Modeling & Projections

• Design: Architecture, Exterior, Interior

• Engineering: Geologic, Civil, Structural, Mechanical

• Construction & Project Management

Appraisal • Uniform Standards of Professional Appraisal Practices

(“USPAP”)

Commercial Real Estate Brokerage • Sales; Acquisitions; Like-kind Exchanges; Tenants in

Common (“TICs”)

• Business Opportunities (“Bulk Sales”)

• Listing Services (Reis, Loopnet, CoStar, AIR, etc.)

Residential Real Estate Brokerage • Single Family Residences

• Planned Unit Developments (“PUD’s”) e.g., condominiums

• Time Shares/Fractional Ownership

• Listing Services (MLS, Internet, Zillow, Redfin, Trulia, etc)

California Bureau of Real Estate

(“BRE”)

“The mission of the California Bureau of Real Estate is to

safeguard and promote the public interests in REAL ESTATE

MATTERS through licensure, regulation, education and

enforcement.”

BRE Home Page: Essential Information

Verify a Real Estate License

2014 Real Estate Law

Consumer Alerts

Current News

FAQs

Department of Consumer Affairs

Multiple Jurisdiction License Lookup

Forms

File a Complaint

Real Estate Business Resources

Complete List of Publications

Invitation for Public Comment/Hearing Notices

Connect With Us: Call BRE Public Information Line

1-877-373-4LIC (4542)

Real Estate Licensing

Broker License 8 Approved Courses

2 Years of full time experience

Pass State Exam

Complete Application

Salesperson License 3 Approved Courses

Pass State Exam

Complete Application

Resources & Websites

Bureau of Real Estate www.dre.ca.gov

California Association of Realtors www.car.org

Franchise Tax Board www.ftb.ca.gov

Dept. of Corporations www.corp.ca.gov

National Association of Realtors www.realtor.org

Federal Reserve www.federalreserve.gov

Assoc. of Industrial Realtors http://www.airea.com/HOME/Home.aspx

International Council of Shopping Centers www.icsc.org

Apartment Association of Los Angeles www.aoausa.org

Dept. of Housing & Urban Development www.hud.gov

IRS www.irs.ustreas.gov

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Anthony Marguleas, Broker and Owner

310-573-4245x100 work anthony@amalfiestates.com

310-293-9280 cell www.AmalfiEstates.com

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• Founded Amalfi Estates, a luxury residential real estate firm

based in Pacific Palisades 20 years ago

• Personally sold $600 million in residential real estate.

Recently selected by The Wall Street Journal as one of the

top 250 agents in the country (out of one million agents).

• Co-authored the book “California Real Estate Client

Strategies” as well as published 150 articles.

• Featured in/on: ABC News, Fine Living Network, Wall Street

Journal, Consumer Reports and the Los Angeles Times.

About Anthony Marguleas

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What year do you think Los Angeles real estate

prices peaked last?

Do you think home prices will surpass our last peak?

Are we currently experiencing low inventory?

General Real Estate Market Questions

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Pacific Palisades’ Annualized Data

Year Median Price Change Average Price Change Cost per ft Change # Sales Average

DOM

2005 $1,875,000 11% $2,293,634 18% $752.02 16% 337 62

2006 $2,102,500 12% $2,535,318 11% $801.63 7% 305 66

2007 $2,157,210 3% $2,575,562 2% $856.96 7% 269 63

2008* $2,315,000 7% $2,847,472 11% $841.43 -2% 191 101

2009 $1,950,000 -16% $2,427,691 -15% $682.65 -19% 189 118

2010 $1,820,000 -7% $2,294,299 -5% $684.02 0% 255 109

2011 $1,696,090 -7% $2,139,381 -7% $665.85 -3% 262 83

2012 $1,922,500 13% $2,465,738 15% $709.14 7% 285 87

2013 $2,240,000 17% $2,772,753 12% $818.43 15% 321 70

2014* $2,575,000 15% $3,188,287 15% $884.66 15% 211 63

* Market peak

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• Best ways to gauge the market is The Unsold Inventory

Index by taking the existing inventory & divide it by the #

of homes that sold the previous month. Over 5 months is

considered a Buyer’s market and under 5 months is a

Seller’s market.

• Always use annualized data rather than monthly

• Altos reports, www.altosresearch.com $79/month

• Each area, very localized.For ex. 2012 average price

Tarzana was -7% yet Woodland Hills +18%

Palisades was +15%, while Bel Air -13%

Real Estate Reports

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Buyer – Location, location, location!

Ideally have at least 2 of these before one should buy

1) Buy the least expensive home in the area

2) Find creative ways to add value (Change the address)

3) Find a motivated seller (out of area agent, probate sale, DOM(days on

market), short sale, Foreclosures (www.realtytrac.com), NOD (notice of

default), NTS (notice of trustee sale), REO, bank owned

• When you go to an open house do not ask any probing questions as it

hurts your chances of getting a credit if you find out beforehand there

is a roof leak.

• Back up offers, benefits

• Inspections-general, sewer, chimney, (we do 7+ per home) Explain as-is

vs. getting credits

Buyer’s Tips

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Who thinks mortgage rates are high now? Who

(under 50 yrs old) can guess historically how high

mortgage rates have been?

Will higher mortgage rates slow down our market?

Is it that big of a deal if rates go from 4% to 5%?

Financing and Appraisal Talking Points

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43 year Mortgage Rates Chart

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Circulation is 60,000 –

Largest advertiser.

Our Marketing

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Photography

Power of marketing

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Tree trimming-improves curb appeal which increases value

Before After

Ex 1

Ex 2

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Aerial videography

We take professional aerial photos and videos.

Here is a sample www.307Holyoke.com

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• Find a niche, specialty market: EBA (Exclusive

Buyer’s Agent, Luxury home specialist, condos, 1st

time buyers, or farm a specific geographical area

• Over deliver and under commit

• Be an expert in your market, go to as many open

houses as possible. Study why some homes sold for

what they did. Hours for licensee, Dr 9K, dentist

7.5K, lawyer 6K, dental assist 1.5K, taxi driver 104,

Realtor was 45 and now 135.

• Study the real estate contracts

• Listen to your clients and what they really want

• Be an assistant to a top agent in your town

Tips to be a Successful Agent

Thank you!

GETTING STARTED

CAREER OPPORTUNITIES IN

RESIDENTIAL REAL ESTATE

Nancy San Pedro, CPM, MBA

Institute of Real Estate Management (“IREM”)

VP of Programs

Instructor in Training

Common Interest Develpments

Community Associations Institute

◦ PCAM Designation

Characteristics

◦ Lower margins, complex delinquency actions

◦ Cap Ex., construction projects

◦ Budgeted with DRE guidelines

Skill Set

◦ Public speaking, understanding of CC & Rs

Apartment Management

IREM, California Apartment Association

◦ Accredited Residential Manager designation

Institutional vs. Private

◦ Level of reporting

◦ On site vs remote management

Class A, B or C

3rd Party vs Owner Operated

Getting Started

Bureau of Real Estate (formerly DRE)

◦ Salespersons or Brokers License

Internships

◦ UCLA Extension, IREM

Networking

◦ Industry events (IREM, BOMA, CAA)

◦ Informational Interviews

Education

◦ Extension Certificate, MBAs, IREM

GETTING STARTED

Management of Common Interest Developments (Condos)

◦ Credential - Professional Community Association Manager

(PCAM)

◦ Community Associations Institute

◦ Profitability

◦ Skill Set

Apartment Management

◦ Credential - Accredited Residential Manager (ARM)

◦ Institute of Real Estate Management, California Apartment

Association

◦ Institutional Mgmt vs. Private

GETTING STARTED

Getting Started

◦ Licensed California Salesperson (or Broker) with Bureau

of Real Estate

◦ Internships

◦ Informational Interviews

◦ UCLA Extension Certificate

◦ Advanced Education & Degrees

Principal Real Estate Management

Industry Associations and Certifications

Institute of Real Estate Management (IREM) www.irem.org

◦ Certified Property Manager (“CPM”)

◦ Accredited Resident Manager (“ARM”),

◦ Accredited Management Organization (“AMO”)

Commercial Investment Real Estate Institute www.ccim.com

◦ Certified Commercial Investment Manager (“CCIM”)

Building Owners and Managers Association International (BOMA) www.boma.org

◦ Real Property Administrator (“RPA”)

International Council of Shopping Centers (ICSC) www.icsc.org

◦ Certified Shopping Center Manager (“CSM”)

Community Association Institute (CAI) www.caionline.org

◦ Professional Community Association Manager (“PCAM”)

BUILDING WEALTH THROUGH

REAL ESTATE INVESTMENT Jon Swire

◦ Education

◦ Practicing professionals

◦ Develop Investment Strategies

◦ UCLA Extension Certificate Programs

◦ Achieve Life changing wealth

QUIZ

1. The California Bureau of Real Estate (“BRE”) issues how many different types of real

estate licenses?

a. one

b. two

c. three

d. four

2. California real estate law requires all Sellers of single family residences (“SFR”) to pay

a real estate commission equal to __% of the gross sale price.

a. 2%

b. 5%

c. 6%

d. There is no California law that requires any payment of any real estate brokerage

commissions to any real estate licensee, upon sale of any SFR

3. In California’s residential real estate market, the customary gross commission

Seller should pay is:

a. 2%

b. 5%

c. 6%

d. there is no customary commission amount

4. Which of the following is a legally valid form of commission payment to a real

estate licensee?

a. money and/or promissory notes

b. an equity interest in the acquired property

c. personal property

d. any of the above

5. Which home renovations and/or remodeling projects most often return at least the

original capital investment upon resale of the home?

a. kitchen or bathroom remodel

b. adding one bedroom

c. installing a swimming pool/spa feature

d. installing a new energy efficient/fire resistant roof

e. adding a 2-car garage

f. installing an outdoor cooking/dining area

6. Freda, a 39 year old single woman, owns, as her sole and separate property, a 10 acre,

180° view bluff-top, single family residence appraised at $25 million, on the edge of Toyopa

Drive in Pacific Palisades overlooking the Pacific Ocean. The property is free and clear of

all liens and loans. Freda fell in love with her new bf, 23 year old Jay-Sea-Vu, who has just

arrived from Texas and moved in with her as he begins his singing career in Hollywood,

and has convinced Freda to marry him. Upon marrying and immersed in wedded bliss,

Freda’s Toyopa house:

a. automatically becomes Community Property, ½ owned by her husband, Jay-Sea-Vu

b. can never become Community Property

c. may gradually become Community Property during the duration of the marriage

d. remains her Separate Property until she decides to allow it to become Community

Property

5. The value of homes and other real estate always appreciates.

a. true

b. false

6. To obtain a real estate salesperson license in California, an applicant is required to

successfully complete more credit hours than a:

a. doctor, electrician, psychologist, or chiropractor

b. veterinarian, architect, lawyer, or commercial airline pilot

c. cosmetologist, police officer, chef, or CPA

d. personal trainer, plumber, or dental assistant

e. none of the above

THE END

THANK YOU

AND WE LOOK FORWARD TO SEEING YOU AND

TEACHING YOU

IN OUR CLASSES !

UCLA EXTENSION