What knowledge do you require to start real estate business
If you are starting off in the real estate business, the first step would be to get a licence. That’s all, but this does not ensure that you carve out a successful profession in years to come. There are many who are obsessed with the licensing test but once they get over this hurdle cannot get their business off the ground even in two years. It is not that they do not have the necessary skill sets and knowledge; it is simply that they did not have a plan for success right from the initial stages.
Once you decide to get into the real estate business, you should understand the true meaning of the all important terms “real estate agent” and “realtor”. People use these two interchangeably which is not correct. Both must be licensed to deal with real estate but a Realtor must be a member of the National Association of Realtors and comply with the 17 Articles of the Code of Ethics. A realtor can be a real estate agent, a managing broker, a broker associate or an exclusive buyer’s agent.
Realtors thus set high benchmarks and have the trust of those wanting to invest in real estate business. It is somewhat similar to taking a car to an authorised and accredited garage for a road worthy certificate in Melbourne or anywhere in Australia to avail of top of the line services or going to a subpar service station for the same. This example is of course not to discredit real estate agents or to demean their high levels of skill sets and expertise. Remember, both are given licences after thorough evaluation of their capabilities.
Here are a few tips to help you get started in the real estate business.
This is the first step in any business that you might care to take up whether it is real estate, a coffee shop or a retail store. A good plan will help you estimate how much funds you would initially need, whether the ideas you have are realistic and what goals and milestones you hope to achieve say two to three years down the line. Once you have all this down in a document and know when your business can become a profit generating entity, you can present this plan to lenders and financial institutions for credit limits for your business. It is advisable that you get experienced real estate agents or business consultants to help your prepare this plan.
Market Research and validation
It is alright to have great ideas on how to take your business forward but do you know if they will really work? How will you know that the real estate niche you have chosen has a large target audience and how can you best place yourself in this niche? All this and more will only be known once you have carried out a thorough market research. To be successful, you have to go through the research process quite early. The first year might go past just ironing out the problems faced, juggling the figures and finding out what the people want. Once you pick up the ropes, the second year will be more of interaction with clients and a boost to your business.
If you are looking for your target niche, research the volume of sales made in your location from the valuation administrator. You will know which niche has the highest numbers.
Just like any business, branding of your business is crucial. You have to build a brand that people can instantly recollect when they want to sell or buy real estate in your location. However, branding and instant recall is slightly different from other businesses. For example, if you are looking for a good garage for car air conditioning regas you will most probably take your vehicle to an authorised garage that you found on the local listings. Not with real estate! Here your personal relationship is your brand and more than a logo, your welcoming smile will increase volumes of traffic to your business.
Be a go-to expert
To set yourself apart from the rest of the pack, be an industry leading expert. Use social media platforms to project yourself, write authoritative blogs and articles on credible real estate sites and host shows published on YouTube. Once you have established yourself as an expert, you will have enhanced your brand too. People will look to you for high end listings where the profit margins are higher.
On the other hand, turn your inexperience into an asset. You will be eager to succeed and will thus work that much harder to sell homes than other established agents. This will go a long way to giving a fillip to your business.
Try out these few tips and you will surely be a success in the real estate field.
- Published On : 8 months ago on March 9, 2018
- Author By : editor
- Last Updated : March 9, 2018 @ 6:03 am
- In The Categories Of : Real Estate