Successful real estate agents do more than just passing the real estate agent test. If that’s where your focus has been all along, then you’ve got it all wrong. Of course, it’s important that you pass the exam. But at the same time, you should know that it’s possible for you to pass your exams with flying colors but at the end of the day, you don’t succeed at the practical stuff. In this article, we share the top 7 tips to becoming a decorated real estate agent.
1. Supplementary source of income
When you’re starting out, it’s important to have another source of income. The general idea is that you don’t depend on real estate earnings as your primary source of survival. At the start, it might prove to be difficult to hit the ground running in the profession.
The best idea is to ensure that you’ve got savings that can sustain you at least six months before you take the plunge and become a full-time agent. If this is something that can’t work for you, you should instead consider working as a part-time agent. That way, you’ll reduce the pressure of paying bills from your earnings just when you’re starting out.
When starting out, according to experts like RE/MAX INTEGRA, it’s important that you remain objective. Be optimistic about landing a good deal but don’t expect that to happen in your first month. With another job or enough savings, you’ll cushion yourself against the pressure to quit and find something with quick cash to do.
2. Work with a mentor
There are successful real estate brokers or agents with a solid reputation in the industry. That’s the best place to start your career. Look for one such agent that you consider as a mentor and offer to work under them.
If you want to grow fast, such a person will offer you mentorship and guidance on how best to navigate the industry. You’ll have direct interaction with important processes and documents such as surveys, deeds, liens, title insurance, and encumbrances amongst others. The exposure will enable you to build confidence and gain expertise on how to deal with clients of your own.
You can also take advantage of the mentorship to study previous transaction records and pick a few things you’ll implement in your business. Work towards rising to the levels where you can transact on behalf of the senior agent even in big deals. If the idea of working under a mentor doesn’t sound good, consider looking for an agent that offers official apprenticeship paid programs.
3. See it more like a small business
If you ask many real agents that are starting out what they do, most of them will tell you that they’re independent contractors. That means they don’t consider what they’re doing as a business, which in the end limits them from having a growth mindset. If you want to succeed, see yourself as a business that’s starting small and not someone who’s merely self-employed.
Identify businesses that are where you would want to be a few years from now and start looking for ways to forge relationships. Learn and apply as much as you can about marketing and branding. Right from when you’re starting, endeavor to build a business that’s flexible enough to grow with so that you’re able to weather the storms and changes in the market.
4. Have a business plan
All successful businesses have several characteristics in common and one of those is a business plan. Have one that outlines the path of growth you plan to pursue right from your small beginnings. Before drawing up the plan, take time to study and analyze the real estate industry in terms of the market and the corresponding forces.
Do you stop any gaps that you can rein in on to give you a competitive advantage? What is it that you plan so that you can exploit in your niche to differentiate from your competitors? Although your current preoccupation could be to get that first client, don’t let that cloud your ability to plan and prepare for the future.
5. Have a budget
When you start getting some small wins, such as making your first sale, don’t forget to plan for the future even as you celebrate. Don’t overspend despite the temptations that come with handling huge sums of money for the first time. One thing you should understand is that real estate incomes and commissions can be quite irregular. That means when you close a deal, you should budget for the next couple of months as things can be unpredictable. With the savings, you’ll live a comfortable life even during the dry months.
It’s possible to start small as a real estate broker and end up with a big successful business. However, nothing will come by chance. You need to be intentional about acknowledging where you’re and taking small calculated steps towards achieving your goals.