Are you an agent struggling to gain market share in this ever changing real estate industry? Are you aspiring to possibly join the real estate market as a new agent? Here are some tips that will help with both scenarios. First, if you are already in Real Estate and are treating this as a sales business – STOP!! If you haven’t yet become a realtor get the word sales completely out of your mind. This is the biggest misnomer involved in our industry. If you do not remember anything else, please make sure that you consider yourself a service provider and not a salesperson. A client/customer does not buy a home because you “sold” it to them; they decided to make and offer due to the fact that it meets their criteria and that you have provided them with quality, pertinent data to ensure that they have paid market price or less. This approach will ensure that you create relationships and not deals. Relationships will result in more sales through means of referrals. Referrals, do not forget this word, as it is the means to the end!! The second biggest thing to remember is that referral sources, past clients and your network of people, will make your business grow. Third, listings are the fastest way to grow your business. What is the one thing, among others, that this should tell you? Do not become a buyers agent!! Yes, you may receive some portions of commissions when working for an agent or team as a buyers agent – but you typically only take a portion of what is due for commission and you absolutely do not build your database since the team leader keeps the clients names in their database. You can build your database by doing open houses for listing agents (as long as it is understood that you keep any buyer prospects that come through) Fourth, you must invest money in branding yourself. Remember, you are starting and/or trying to increase market share with a brand new business (you!!) You act as an independent contractor is most cases – so you are really on your own. Set a budget. In your first two years, you should set aside at least 18% of your sales commissions to go back into brand advertising. If you have little to no sales, assume a figure of $50,000 and borrow or ask your broker if they have an agent marketing expense account that they might front the cost and you pay them back on your next commission check. Fifth, choose your broker company wisely.. The old adage that you are “judged by the company you keep” could not be more true in Real Estate. Choose a reputable company with agents that treat people the way you would want to be treated. Make sure you select a company that is innovative and moving forward with technology – as it is the wave of the future. This does not mean a national company, necessarily. In fact, this is the second biggest misnomer. Real Estate is a service and relationship business between you the agent and the client. It truly doesn’t matter whether you are an agent in a company with (5) licensees or (500) licensees. There are numerous advances in technology that some small companies are using. This helps to move real estate quickly. The question is simple, have you provided the data required to make a sound judgment decision on a piece of real estate for your client? Lastly, be honest and forthcoming. This is not rocket science; but it is in most cases the most important decision for a prospective client. Use care, and compassion when working with your client. Work hard!! You get a nice paycheck; and the knowledge and service you provide to a happy client is crucial to determining how many more of those you get from referrals from that satisfied client. Remember, if you do a good job, hopefully that person will tell many more people about you. If you do a bad job, guaranteed that person will tell everyone they know about you. Happy Selling!! If you would like more information on how to become a successful agent, please contact me.
Kathy Holland is the Owner of Resource Realty, A full Service Real Estate Broker located in Mechanicsville, Virginia.
