How to Start a Property Management Business in Saint Louis

You will need two years of industry experience to open a property management business in Missouri.

Property managers oversee the operation and maintenance of income-producing property as an agent for the owner. The Bureau of Labor Statistics anticipates a positive outlook for those in the property management industry. Employment is expected to increase by approximately eight percent between 2008 and 2018. Saint Louis real estate entrepreneurs can benefit from the industry growth by opening a property management business. While there are some requirements specific to businesses in Saint Louis, most requirements regarding property management are Missouri state regulations.

Instructions

1. Obtain a real estate salesperson license in the state of Missouri. Take the 48-hour pre-examination course, then the 24-hour Missouri Real Estate Practice (MREP) class from a state-approved vendor. As of August 2010, three Saint Louis schools offer the 48-hour pre-examination classes. Five schools offer the MREP course. Upon completion, pass the licensing examination.

2. Work for a minimum of two years in the real estate industry. Industry experience is required to obtain your broker's license for a property management business. Contact Saint Louis-based real estate management firms or sales offices for employment opportunities.

3. Apply for a real estate broker's license. Complete a 48-hour broker pre-examination course with a state-approved vendor. Pass the Missouri broker's exam to obtain a broker's license.

4. Choose an office location. Saint Louis has a wide range of office space available for lease. Contact a local commercial leasing agent or search for a space on Craigslist. You may also choose to operate out of your home to keep overhead low during your start-up period.

5. Pay for a Saint Louis business license. Property management businesses must have a business license when operating within city limits. Print an application form from the Saint Louis License Collector website.

6. File a fictitious business name with the Missouri Secretary of State. If you operate your business under a name other than your own, the state requires you to register the name. Registration forms can be submitted online at the Secretary of State website.

Tips & Warnings

• Purchase business liability insurance when accepting new property management clients to help protect you from personal liability while managing units.

• If you advertise your cell phone as a business line, identify your company name when answering incoming calls. If not, you will be in violation of Missouri real estate regulations.

References

• Missouri Division of Professional Registration: Examination and Licensure Eligibility Requirements
• City of St. Louis License Collector: Graduated Business License (GBL)
• Bureau of Labor Statistics: Property, Real Estate and Community Managers
• Missouri Secretary of State: Registration of Fictitious Name

Resources

• Missouri Real Estate Commission: Approved Education Providers