Real estate firms are a fairly business n in the USA, but not many can succeed. It can be tough starting today, but by following these tips and restructuring the way you work, you should be able to transform your starting progress into great success in the future.
There are about one hundred thousand real estate firms in the US, each having its own strengths and identities. Despite such a large size, there is always enough room in the market, as more and more homes are being built and sold. But not many of these businesses can make it through five years into their operation. This is because they tend to underpay their employees.
Offer Competitive Rates to Your Agents
About 1.4 million real estate agents in the US, working for thousands of firms, helping the American public find the right home for them. It is a highly sought out profession because of its great returns. But it is a tough job.
Many of these real estate agents struggle to get the average wage of many Americans, with many real estate agents earning between $48,000- $30,000. This is barely enough to pay for a downpayment for a home nowadays. That’s quite ironic, isn’t it? Your very own agents can’t afford to buy a home. But experts believe that by increasing their pay, you are likely to keep them in your firm and find new ones in the process.
Some of your agents might want to grow their careers. If they are patient in learning and willing to act upon their instincts, then you should give them a chance to become a realtor. Realtors earn way more than agents, and they have a diversity of jobs, all of which can help contribute to your company’s growth.
Lastly, if you can’t increase their salary, then consider increasing their commission. A couple of percentages added to their commission can make a difference in motivating them to sell properties. Also, give them bonuses whenever you feel necessary.
Invest or Enter into REIT
The world of Real Estate Investment Trust Funds (REITs) is beneficial once you’re a couple of years into your business and you have multiple properties to manage. Applying your company to REITs can give you access to all sorts of investors willing to give you money to grow your company in exchange for a modest revenue.
If you don’t want to make your real estate company public, consider investing in REITs instead. Find other companies you want to support and put some money into them. Remember that there are no competitors in real estate, just potential investments. Soon enough, you can use the same money you invested into growing your company. We suggest this option if your company is starting and planning to expand in the future.
During this pandemic, everything is going digital. So you should consider putting your listings online or, better yet, start a website for your firm where people can look into your properties and contact you if they’re interested.
Millions of home-buyers do their initial search for properties online. There is even a growing number of home-buyers who are willing to purchase a property through online means. Unfortunately, by not having a robust website to accommodate these buyers, you miss hundreds, maybe even thousands of sales.
Having a simple website to post pictures of your listings and contact number or email address should be enough. But, before you know it, you’ll have more inquiries than before.
Follow Up on Leads
Real estate firms tend to forget this, and this can cost them easy sales. Many home-buyers go shopping for homes, viewing a handful of homes every day. They tend to forget which home they have visited, and sometimes they can forget which property goes to which firm. This is why you should always follow up on leads.
Ask your secretary to call any leads you might have throughout the day. Have them ask whether if they are interested in your properties or not. Ask for feedback, give them offers, and tell them that your firm can find the right home for them. If calling is too intrusive, consider mailing them personally and ask your leads what you can do better as a company.
Additionally, consider investing in a customer relationship management system (CRM) if you want this process to be automated. This will help keep track of your clients, their preferences, and personal contact numbers.
You should implement these essential things if you want your real estate business to become a success. Transform the way you work and adapt to the changing circumstances. By doing these things, you can grow and expand your firm in no time.