“A lot of people wonder what a designation or certification is and why an agent would want to earn one. You hear a lot of letters thrown about, and sometimes they are referred to as ‘alphabet soup,’ but really a designation is an acknowledgement of professionalism. A designation shows that an agent has gone above and beyond and has taken additional coursework to better themselves and their clients.”
-Beth Jaworski, REALTOR^®, ABR, CMHS, CRS, GREEN, GRI, Milwaukee, Wis.

Succeeding in a real estate career goes beyond simply hosting open houses and completing forms; it involves becoming a true expert to better serve the client in a particular or specialized area of real estate. Acquiring new skills, learning new listing methods, or gaining expert knowledge about a client niche can keep REALTORS^® on the cutting edge of new developments to succeed in real estate - to ultimately take a seat at the closing table. And holding a designation can get you there.

Why Earn a Designation?

The National Association of REALTORS^® (NAR) offers a wide array of designations and certifications to benefit REALTORS^® with increasing skills, proficiency and knowledge as well as boosting productivity and marketability. Upon meeting qualifications, such as completing certain courses, filling out an application or submitting a business plan, designations and/or certifications in a variety of real estate disciplines are awarded by each NAR-affiliated society, council or institute to REALTORS^® across the country every year. A designation or certification is available for nearly every concentration in real estate, from real estate investing to managing industrial properties to selling vacant land. 

Why earn one? While the reasons may vary from REALTOR^® to REALTOR^®, a few reasons are worth noting that most REALTORS^® with designations will echo:

• Increasing income: According to NAR, holding a designation almost doubles the income of REALTORS^®. Based on 2011 NAR survey data, the median income of REALTORS^® without a designation in 2010 was $26,900, and the median income of those with at least one designation in 2010 was $49,300 – a difference of $22,400.
• Networking: REALTORS^® can easily meet others and make new contacts while attending designated course offerings and designation-specific events. Because designations are awarded by various societies, councils or institutes, REALTORS^® have exclusive networking access to like-minded and like-disciplined professionals, giving them a distinct advantage in the networking and referral world. 
• Enhancing professional image: Beyond building skills, knowledge and productivity to boost your sales, the extra letters after your name bring credibility and respectability to your business and to your brand.
• Increasing proficiency and productivity: The advanced education available for REALTORS^® with designations keeps them up-to-date and on the cutting edge of new practices and new technologies in the ever-changing environment of real estate. They’re ready for anything because of their designation’s advanced education.

“I’ve had sellers that have contacted me and said that they had looked up my qualifications,” said REALTOR^® Kathy Allison-Zimmermann, ABR, CHMS, CRB, CRS, of Lake Mills, Wis. “One thing that they were impressed with was all the letters behind my name – not necessarily that they knew what they all meant but they knew that you had to do something to achieve them.” 

And a designation isn’t only to the REALTOR^®’s advantage. Just as a patient may seek out a professional with “M.D.” following the name when finding a doctor, real estate clients are similar when finding a REALTOR^®. Even if a client doesn’t know exactly what “ABR” means and how it impacts them, your “alphabet soup” can nevertheless be a great conversation starter with your ability to explain the worthiness of your designation or certification to clients.

Clients can quickly trust you as an expert with letters after your name that signal the additional coursework and experience you’ve taken to be ready to serve them. And with a concentration and specialized skills on a property type or a segmented demographic, clients appreciate that you understand their needs, whether it be their lifestyle, their age or the type of property they want to buy. Let’s take a closer look.

DESIGNATIONS THAT SET YOU APART

Certified Residential Specialist (CRS)

The CRS is the professional designation offered by the Council of Residential Specialists. Since the 1970s, the CRS Council has awarded this designation to agents in the residential sales field that demonstrated professional accomplishments in both experience and education. Only 4 percent of all REALTORS^® nationwide hold the CRS designation. 

Based on a 2011 Westat Research survey of CRS members, a CRS-designated agent earns an annual income of $79,000, three times the median income of the average REALTOR^® selling real estate without this designation. CRS-designated agents complete an average of 16 transactions per year and have average gross sales of $2.44 million dollars annually. 

“The first year I had my CRS was ’97,” said Jaworski. “And that was the first year that I really started making good money selling real estate.”

Graduate, REALTOR^® Institute (GRI): 

The GRI designation is the most widely recognized of the national real estate designations. The GRI is earned only after a REALTOR^® successfully completes a minimum of 90 hours of classroom instruction, covering subjects in contract law, professional standards, sales and marketing, finance and risk reduction. Because a REALTOR^® with a GRI designation is considered to be at the highest level of real estate professionalism, this REALTOR^® can navigate the current real estate market, no matter its condition. Furthermore, REALTORS^® with the GRI are well-equipped at serving sophisticated clients because of their understanding of new technologies, laws and regulatory changes.

According to NAR, REALTORS^® with the GRI designation reported an increase in referrals within the first year of earning the GRI. 

“As an instructor, I’ve watched people in the designation class get to know each other so well that referrals are going back and forth as the course is going on,” said Barb McGill, ABR, ABRM, CRB, CRS, GRI, SRES, from Brookfield, Wis., echoing this referral trend.

Accredited Buyer Representative (ABR): 

The ABR designation is considered the standard of quality and excellence in buyer representation. This designation is awarded to REALTORS^® by the Real Estate Buyer’s Agent Council (REBAC), which was founded in 1988 to promote exceptional buyer representation skills and services. Over 40,000 members are involved in REBAC, and it’s the world’s largest organization comprised of REALTORS^® focused on buyer representation. 

REALTORS^® with the ABR designation not only gain valuable ABR-specific education, but also receive ongoing information and updates on marketplace trends relating to homebuyers as well as access to REBAC members-only marketing tools and resources.

Certified Real Estate Brokerage Manager (CRB):
The CRB designation is one of the oldest and most respected professional designations in the industry. This designation is awarded to REALTORS^® who have completed advanced requirements, both educational and professional. Through the CRB Council’s leading-edge education and resources, REALTORS^® with this designation are among the most efficient, effective and profitable managers in the country, as they are able to integrate new technologies, apply new trends to business strategies, and streamline operations of their businesses.

REALTORS^® with the CRB designation receive exclusive access to the CRB Knowledge Center as well as access to a network of CRB Chapters across the country; they also receive CRB-specific publications and an online membership and referral directory.

Broker’s Price Opinion Resource (BPOR): 

Established this year, NAR’s newest certification helps residential agents and brokers sharpen their skills with evaluating properties, applying alternative valuation techniques, and efficiently generating accurate and professional reports. According to industry estimates from NAR, 10 million Broker Price Opinions (BPOs) are performed every year across the country, and they are becoming widely adopted as a valuation tool in the mortgage industry.

Not only can a BPOR certification provide additional income with REALTORS^® able to complete BPOs for lenders, but a BPOR-certified agent or broker is an expert on the local market in respect to short sale and REO inventory. A BPOR-certified REALTOR^® also is able to price short sales and REO properties more effectively by understanding the BPO process and the lender’s perspective. 

“Unlike facilitating traditional real estate transactions, with BPOs, the REALTOR^®’s ‘client’ is the mortgage lender. It is important for REALTORS^® to fully understand BPO guidelines and apply best practices as BPO price conclusions can significantly affect market values, short sales and REO properties,” said Debbie Buckrucker, BPOR, SFR, SRES, instructor of the BPOR certification course.

With the evolving housing, regulatory and financial markets, BPOs are in high demand – and now is a great time to earn the BPOR certification.

Short Sales and Foreclosure Resource (SFR):

REBAC began offering its Short Sales and Foreclosures course in 2006 and developed a completely revised course along with the SFR certification in 2009, with over 51,000 REALTORS^® earning the certification within its first year. This quick increase of SFR designees validates the new norm in the real estate industry of distressed sales. Knowing how to help clients deal with the complications of short sales and foreclosures isn’t just a good skill to have in your toolbox – it’s essential to success in this market.

“Just a few years ago, foreclosures and short sales were rare indeed, but today they are commonplace,” said Michael Theo, WRA President and CEO. “And to succeed in business, REALTORS^® must understand the complexities associated with these types of transactions.”

REALTORS^® with this designation are viewed as the trusted and expert resource to assist clients involved with these distressed sales. As the demand for professional expertise in this distressed sale market increases, this certification is necessary in your relationships with clients affected by these properties and problems. 

Resort & Second-Home Properties Specialist (RSPS): 

Since being launched in 2006 to serve the growing second-home and resort real estate market, the RSPS program now has over 1,300 members. This certification allows buyers and sellers to have confidence in the abilities of a REALTOR^® specializing in resort and second homes to assist them with their search.

Real estate practitioners involved in this market are those engaged in the buying, selling or management of properties for investment, retirement or second homes in both recreational or vacation destinations. A REALTOR^® with the RSPS certification is dedicated to a “lifestyle niche” of real estate.

REALTORS^® with this certification receive self-promotion materials, special national networking opportunities and access to customizable brochures for highlighting to potential clients the value of the RSPS certification. From vacation homes to investment properties, the resort and second-home market is filled with opportunities for REALTORS^® to specialize and excel in this area of the industry.

Seniors Real Estate Specialist (SRES): 

The SRES^® designation is the only designation that addresses the fastest growing market in real estate. As the largest and most comprehensive seniors program in the real estate industry, the SRES designation can assist in your practice working with clients aged 50-plus in the process of buying, selling or relocating due to retirement, health concerns or grandchildren, to name a few.

“I knew it would be hard for most folks to move out of their homes that they had for 20 to 30 years or longer to adjust into a retirement home or assisted living,” said REALTOR^® Gary Lukens, ABR, CRS, GRI, SRES of Madison, Wis. “I also felt that I needed to be better informed as to their questions and concerns, and earning this designation did exactly that.”

According to the U.S. Census Bureau, the senior population grew at a faster rate than any other age range between 2000 and 2010. With the Baby Boomer generation aging and increasing in number, carrying the SRES designation is critical to your success in relationships with these clients that fall in this age demographic. 

GREEN: 

Established by REBAC in 2008, this designation came about due to the increasing interest by real estate buyers, sellers and practitioners to “go green.” This is the only NAR-recognized designation for professionals willing to become experts about energy efficiency and sustainability in various areas of real estate. 

GREEN-designated REALTORS^® are equipped with an expert knowledge to participate in a green real estate market that differentiates their respective market focus in the eyes of clients and associates. And according to the U.S. Green Building Council, the construction of green homes and commercial properties is expected to grow with current market projections. Now is the time to earn the GREEN designation to be ready for market changes and green real estate trends. 

And there you have it. NAR offers even more designations than mentioned above, and the WRA holds multiple designation courses at its Madison headquarters as well as throughout the state every year. No matter which you decide to pursue, whether a BPOR, CRS, or GREEN, designations and certifications indeed increase your success. And with increased success from a designation or certification with your sales, your office, your productivity and your clients, only one question is left to ask: why not earn one?

Lauren Bizorik is the Editorial Communications Specialist for the WRA.