Los Angeles is currently grappling with a significant homelessness crisis, and city officials are searching for ways to address this pressing issue. One idea that went into effect recently is the so-called Read more...
Los Angeles is currently grappling with a significant homelessness crisis, and city officials are searching for ways to address this pressing issue. One idea that went into effect recently is the so-called “mansion tax”, a controversial policy that has generated considerable debate among residents. While some argue that the tax is necessary to alleviate the city's housing crisis, others contend that it unfairly punishes wealthy property owners and successful individuals. I wanted to write an article that delves into the complexities surrounding the mansion tax, exploring both the benefits of the tax in addressing homelessness and the concerns about its potential negative consequences.
Most of our real estate classes are now on Zoom and done virtually, but I taught at a couple of real estate schools on the Westside of Los Angeles for many years and several of our students wanted to break into luxury real estate and I’m curious to know what you think.
Understanding the Mansion Tax
On April 1, 2023, a so-called “mansion tax” was enacted in Los Angeles. The tax applies to property sales at or over $5,000,000, with an increased rate for sales of $10,000,000 and above.
The tax was approved by voters in November 2022 as a city-wide tax, implementing a 4% tax on properties that sell for $5 million or more and 5.5% on properties that sell for $10 million or more. The mansion tax aims to raise about $900 million yearly for affordable housing, homelessness programs, and other related initiatives. However, the tax has faced criticism from real estate brokers, developers, and property owners.
Arguments for the Mansion Tax
Proponents of the mansion tax argue that it is a much-needed source of revenue to address the affordable housing crisis and homelessness in Los Angeles. The tax is expected to generate millions of dollars earmarked for subsidized housing, housing acquisition and rehabilitation, rent assistance, and homelessness-related programs. Advocates say the tax will help bridge the gap between the rich and the poor and provide resources for those in need. A 2022 UCLA study found that the mansion tax's potential impacts on new construction would be minimal, suggesting that the tax will not significantly deter developers from building new properties in Los Angeles.
The mansion tax in Los Angeles, despite its drawbacks, offers several benefits that could potentially help address the city's homelessness problem:
1. Generating Revenue for Affordable Housing and Homelessness Programs: The mansion tax is estimated to raise about $900 million annually, which can be directed towards various initiatives focused on tackling the housing crisis and homelessness. This additional funding can support the construction and preservation of affordable housing units and provide rent assistance to those in need. It can also help fund comprehensive homelessness programs, such as emergency shelters, permanent supportive housing, mental health services, and job training programs, essential in addressing the root causes of homelessness.
2. Progressive Taxation: The mansion tax is a form of progressive taxation, as it targets high-end property sales and wealthier individuals who can afford to pay a higher tax rate. This approach can help reduce income inequality and bridge the gap between the rich and the poor. By imposing a higher tax on luxury properties, the city can allocate more resources to support vulnerable and low-income residents, often disproportionately affected by the housing crisis.
3. Encouraging Efficient Use of Land: The mansion tax might encourage more efficient land use in Los Angeles. Luxury properties often occupy large plots of land, and the mansion tax could motivate property owners to either downsize or sell their land to developers who might build more affordable housing units in its place. This could ultimately increase the overall housing supply, alleviating the pressure on the city's housing market and potentially reducing homelessness.
4. Increased Awareness and Involvement: Implementing the mansion tax has generated significant public debate, raising awareness of the homelessness crisis in Los Angeles. This increased attention could lead to greater involvement from residents, businesses, and other stakeholders in finding long-term solutions to the housing crisis. This collective effort could result in developing more effective policies, initiatives, and partnerships to address homelessness in the city.
5. Demonstrating Commitment to Social Responsibility: The mansion tax conveys that Los Angeles is committed to addressing its homelessness problem and working towards a more equitable city. By using tax revenue from luxury property sales to fund affordable housing and homelessness programs, the city demonstrates its dedication to social responsibility and the welfare of all its residents.
The mansion tax in Los Angeles presents several potential benefits that could help alleviate the city's homelessness problem. By generating additional revenue for affordable housing and homelessness programs, promoting progressive taxation, encouraging efficient land use, raising awareness, and demonstrating a commitment to social responsibility, the mansion tax might contribute to creating a more equitable city and ultimately reducing homelessness.
Arguments Against the Mansion Tax
Critics of the mansion tax argue that it may slow the number of new apartment complexes built in the city. The tax applies not only to mansions but also to apartment complexes, retail and industrial buildings, and other structures. Real estate brokers and developers, including those with real estate licenses from real estate school and those who have passed the California real estate exam, warn that the tax will disincentivize developers from building new housing.
Moreover, the tax has faced backlash from wealthy homeowners, including celebrities, who rushed to sell their properties before it went into effect. Some critics argue that the tax may depress property values and force sellers to cut prices to complete deals before the deadline. Additionally, opponents of the tax are concerned about the transparency of how the revenue will be spent, and they argue that the tax may dissuade people from moving to Los Angeles.
Higher Costs: Wealthy individuals considering purchasing a luxury property in Los Angeles might be deterred by the additional costs associated with the mansion tax. In comparison, other cities or states without such a tax might become more attractive for high-end property buyers, leading them to choose alternative locations for their investments. For example, a prospective buyer might opt for a luxury property in Miami, Florida, with no state income tax or mansion tax, making it a more financially appealing option.
Reduced Investment: Investors might also be less inclined to purchase properties in Los Angeles subject to the mansion tax, as it could potentially reduce the profit margin on their investments. This could result in a decline in the city's overall demand for luxury properties, further impacting the real estate market and potentially leading to reduced property values. Consequently, the city could experience a slowdown in real estate investments, which could negatively affect the local economy and limit available resources to address homelessness and other social issues.
Impact on Business and Talent Attraction: Businesses, particularly those in the entertainment and technology industries, often attract high-income employees and executives who might consider purchasing luxury properties. However, implementing the mansion tax could discourage some individuals from moving to Los Angeles. In turn, this could make it more difficult for the city to attract new businesses and retain existing ones and limit its ability to draw in top talent across various industries.
Celebrity Exodus: Los Angeles is known for being home to numerous celebrities who often own high-end properties. The mansion tax could potentially prompt some of these high-profile individuals to sell their properties and relocate to areas with lower taxes, as seen in the backlash from wealthy homeowners who rushed to sell their properties before the tax went into effect. This exodus could further contribute to the decline in property values and negatively impact the city's image, tourism, and the overall economy.
In conclusion, implementing Los Angeles' mansion tax has stirred a significant debate in the city's real estate market. Advocates argue the tax will generate much-needed revenue to address the city's affordable housing crisis and homelessness issues. However, opponents contend that the tax will dissuade property development, negatively impact non-luxury properties, and ultimately harm the real estate industry in Los Angeles. As real estate professionals with real estate licenses from real estate schools, and those studying for the California real estate exam, monitor the situation, the long-term implications of the mansion tax on the city's real estate market remain uncertain. Time will tell whether this tax proves to be an effective solution to Los Angeles' housing challenges or an obstacle to the city's real estate growth.
As always if you are interested in getting your real estate license, visit www.adhischools.com or click here for a real estate exam crash course. Or if you’re old school - call us at 888-768-5285.
Love,
Kartik
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Secrets to Success in the Real Estate Industry: How to Get a California Real Estate License and Thrive
Introduction: The real estate industry offers vast opportunities for professional growth and financial Read more...
Secrets to Success in the Real Estate Industry: How to Get a California Real Estate License and Thrive
Introduction: The real estate industry offers vast opportunities for professional growth and financial success. However, it can also present challenges for both newcomers and experienced agents. To help you navigate the world of real estate and achieve your goals, we have compiled top insider tips from successful professionals. These actionable steps will provide you with the tools needed to excel in this dynamic and competitive industry.
One of the first steps to success in the real estate industry is investing in continuous education. The field of real estate is constantly evolving, and staying ahead of the curve is essential. Enroll in a reputable reputable real estate school like ADHI Schools, attend seminars, and keep up-to-date with industry trends to maintain a competitive edge. Real estate is a heavily regulated industry, with laws and regulations pervading all aspects of the real estate transaction. Continuing education helps agents stay informed about the latest legal and regulatory changes, ensuring they remain compliant and avoid potential fines or legal issues. Attending courses, workshops, and seminars often provides opportunities to network with other professionals, fostering valuable connections that can lead to referrals and collaboration.
After obtaining your California real estate license developing a solid personal brand is crucial. Your personal brand is your unique selling proposition. Establish a clear, consistent image and message that sets you apart from competitors. Utilize social media, create engaging content, and maintain an up-to-date website. One of the hardest things about social media posting is maintaining consistency around your posts. Develop a content calendar to maintain a consistent presence across platforms to help with this. Identify your strengths and values, and create a cohesive brand that reflects them.
Mastering time management is another key to success in the real estate industry. Successful professionals know how to prioritize their tasks and manage their time effectively. Create a daily schedule, set goals, and break them down into achievable milestones. Use productivity tools, such as calendars and task management apps, to stay organized and focused on your priorities.
Embracing technology is essential in today's real estate landscape. Utilize digital tools to streamline processes, enhance client communication, and market your services more effectively. Research and adopt tools that will boost your efficiency, such as CRM systems, virtual tour software, and digital marketing platforms.
Building a solid network is invaluable in the real estate industry. Attend industry events, join local real estate organizations, and establish connections with other professionals, such as lenders and contractors. Set a goal to attend at least one networking event per month and follow up with new contacts right away. There is nothing better than meeting someone and realizing that they are responsive, educated and willing to help. Vendors and other potential partners recognize this and building a network will help advance your career.
Another thing to keep in mind is that most real estate leads aren’t going to want to buy or sell a property that very day. Most of the time, leads need to be nurtured and followed up with. Because of this, nurturing your leads is essential for success in the real estate world. Develop a system for tracking and following up with leads. Consistent communication will help you build relationships and convert leads into clients. Implement a CRM system to manage your leads and create personalized follow-up strategies.
Offering exceptional customer service is vital for agents with a California real estate license Your clients are your biggest advocates and their referrals are going to be a key lead source as you move forward in your career. Ensure their satisfaction by providing excellent communication, prompt follow-up, and personalized service. They are going to remember the service they received - don’t give them any reason to hesitate to refer you to friends or family.
Being adaptable is crucial in the constantly changing real estate industry. Stay open to new ideas, adapt to market fluctuations, and adjust your strategies as needed. Regularly review your business plan and adapt your strategy based on market trends and your performance. As an example, interest rates back in 2021 were under 3 percent for a 30-year fixed rate mortgage. About a year later these rates had more than doubled. Being adaptable and finding ways to market your services and put buyers and sellers together is a non-negotiable skill you’ll have to develop - even when rates spike so quickly.
In conclusion, the real estate industry offers immense potential for growth and success, but it also requires dedication, adaptability, and a commitment to continuous learning. By investing in education, developing a strong personal brand, mastering time management, embracing technology, building a robust network, offering exceptional customer service, nurturing leads, leveraging social media, and staying adaptable to market changes, you will be well-equipped to thrive in this dynamic and competitive field. Remember, your journey as a real estate professional is unique, and by applying these insider tips, you will be poised to achieve your goals and carve out your own path to success. So, take these actionable steps, and watch your real estate career soar to new heights.
Love,
Kartik
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Maybe you thought this day would never come! But it’s clear that your hard work and dedication have paid off and you’ve earned your first real estate commission!
You already passed the real estate Read more...
Maybe you thought this day would never come! But it’s clear that your hard work and dedication have paid off and you’ve earned your first real estate commission!
You already passed the real estate license exam, chosen an office to work for and now have your first commission in your hand!
Now the big question is - what to do with all that money?!
First piece of advice - please don’t go out and blow all of it at a casino in Vegas. Remember that the real estate sales business is a marathon and not a sprint. I know too many Realtors who got off to a great start but because of improper money management were unable to stay in the business.
I wanted to write this article because even if you are just considering getting your real estate license or researching how to pass the real estate exam at some point you’re probably going to think about all the money you can make in real estate and what you might do with it all!
Here are some options below:
Option 1:
Payoff any credit card or other high-interest debt you have.
Paying off a credit card can be a good idea for several reasons, including avoiding high interest charges: Credit cards typically charge high interest rates, which can add up quickly if you carry a balance. By paying off your credit card, you can avoid paying interest charges and save money over time.
Also, don’t forget that paying off credit card debt can improve your credit score. A good portion of your credit score is based on something known as your “credit utilization”. The more available credit you have the higher your credit score generally becomes.
Another intangible benefit to carrying less debt is your financial will be reduced. I think we all know that carrying debt can be stressful - especially credit card debt. In the process of paying off your credit cards you’ll reduce financial stress and improve your overall financial well-being.
Option 2:
Invest in additional education or real estate coaching.
Real estate coaching (be careful there’s a lot of scammers out there) is supposed to help develop new skills and refine existing ones. Critical know-how like sales, marketing, and negotiation learned through coaching can help agents become more effective in their roles and better serve their clients.
Another big benefit to a real estate coach is a heightened sense of accountability. A good real estate coach will help agents stay accountable for their actions and progress, which can be particularly helpful for those who aren’t on a team and work independently. Coaches can provide feedback, support, and guidance to help agents stay on track and achieve their goals.
Finally, real estate coaches can help with goal setting. A good coach will help agents set clear and achievable goals, as well as create action plans (and accountability as mentioned above) to reach those goals. This can help agents stay focused and motivated toward their progress.
A word of caution about real estate coaching, however. Be aware of long-term coaching contracts that are difficult or impossible to get out of.
Option 3:
Just good old-fashioned save it!
In an industry like real estate sales which can be up and down nothing beats having a large cash bankroll.
Saving money is a good idea for several reasons, including building an emergency fund. An emergency fund is important to cover unexpected expenses, such as medical bills or car repairs and can help you weather a storm in our business if you run up against a dry spell. Having cash reserves can help you avoid going into debt or relying on credit cards to cover these expenses.
Also, if you’ve taken one of my live lectures, you know that the real money in our business is not made through sales commissions but in the acquisition of real estate. Saving money can help you take advantage of investment opportunities when they arise like a great deal on a flip or other real estate you can acquire below market. Investing is a whole lot easier when you have the cash ready to deploy whenever opportunity strikes.
Option 4:
Invest in the stock market
If you are going to invest in the stock market it’s important to remember that stocks have risk and can (and do) go down on occasion. Don’t forget that when the economy enters a recession or experiences slow growth, companies may struggle to generate profits and investors may become pessimistic about the future, leading to a decline in stock prices.
Remember that in the 2008 financial crisis the stock market experienced a sharp decline as a result of the housing market collapse and a series of bank failures - Both the stock market and the real estate market really took it on the chin during these times.
More recently, in early 2020, the stock market experienced a significant decline as a result of the global COVID-19 pandemic and its impact on the economy.
The market rebounded after both of these crises but lots of investors experienced heartburn during these years.
With that being said, the stock market has historically provided long-term growth potential, with an average annual return of around 10% over the past century in a highly liquid investment - meaning that it is relatively easy to buy and sell stocks quickly and efficiently and convert the asset into cash.
Option 5:
Invest in real estate
It would not be right to omit the mention of investing in real estate if you are a real estate agent. Real estate is a sure path to wealth creation and can provide a number of potential benefits, including long-term appreciation, rental income, diversification, tax benefits, and a hedge against inflation.
What lots of real estate investors like about this asset class is that real estate investments provide a tangible asset that can be leveraged for financing, used for collateral, or sold if needed. Real estate investors like the fact that real estate can be felt, experienced and touched. Not to mention the tax benefits, such as depreciation deductions and the ability to defer capital gains taxes through a 1031 exchange.
Whatever you decide to do with your first real estate commission just remember to be responsible. In the real estate industry agents have to work for every deal - and the next one isn’t promised.
With that said - if you feel that you need to blow your first check in Vegas - be my guest but don’t say I didn’t warn you. :)
If you still need to take real estate classes visit us at ADHI Schools or call 888 768 5285.
Love,
Kartik
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Even if you are just starting out in our real estate school or researching how to get your real estate license, you probably want to know what it takes to be successful in the real estate business.
Read more...
Even if you are just starting out in our real estate school or researching how to get your real estate license, you probably want to know what it takes to be successful in the real estate business.
This leads to the question - what defines success as a Realtor?
Objectively, every business (even the individual real estate agent) needs KPIs - also known as Key Performance Indicators. KPIs are measurable values that businesses and organizations (and Realtors) use to track progress toward specific goals and objectives. They are typically used to assess performance over time and provide a way to measure success or failure in achieving specific targets.
KPIs can be used in a wide range of contexts and industries, from marketing and sales to finance and operations. They are often tied to specific business objectives, such as increasing sales revenue, improving customer satisfaction, or reducing costs. As a real estate agent, knowing what KPIs are and how to measure them can give you a way to look at your business outside of just dollars and cents.
These KPIs are particularly useful to a new agent because there will likely be a few months early in your career where you are getting your bearings and might not see any revenue - but you are still making progress.
In the broad world of business, examples of KPIs might include:
Sales revenue: This might be tracked on a monthly or quarterly basis to assess how well a company is meeting its revenue targets.
Customer satisfaction: This might be measured through surveys or other feedback mechanisms to assess how happy customers are with a company's products or services.
Website traffic: This might be measured using web analytics tools to track how many visitors a website is receiving over time.
Employee productivity: For bigger and more established businesses, this might be measured using metrics such as sales per employee, number of calls or emails answered, or projects completed on time.
By identifying and tracking KPIs, businesses gain insight into their performance and make data-driven decisions about how to improve their operations and achieve their goals. It is important to select the most relevant KPIs for each specific business or project and to ensure that they are tracked consistently over time.
So how does this relate to real estate agents?
KPIs for real estate agents are measurable values that can help agents track their performance and progress toward specific business objectives. Here are some examples of KPIs that real estate agents may use:
Number of listings: The number of listings an agent has at any given time can be a key indicator of their success in attracting new clients and building their business.
Time on market: This KPI measures the average amount of time it takes for an agent's listings to sell. Agents who are able to sell properties quickly may be viewed more favorably by clients.
Sales volume: This KPI measures the total dollar value of properties an agent has sold within a specific timeframe. This metric can be used to track an agent's overall business performance and success.
Conversion rate: This KPI measures the percentage of leads or inquiries an agent converts into actual clients. Agents with a high conversion rate may be more effective at closing deals and building long-term relationships with clients.
Customer satisfaction: This KPI measures how happy clients are with an agent's services. Agents who receive positive feedback from clients may be more likely to receive referrals and repeat business. In order to measure this you or your broker might need to send review forms out to past clients to gauge satisfaction.
So how does the individual real estate agent improve customer service and satisfaction?
One tip is to be responsive - one of the most important aspects of good customer service is responsiveness. Respond to client inquiries, calls, and emails promptly, and make sure you are available to answer their questions and address their concerns.
Don’t forget to listen actively - Good communication is key to providing excellent customer service. Listen actively to your clients' needs and preferences, and make sure you are clear in your communication with them. If they ask for a single story home with a pool, don’t show them 3-story townhomes with no pool.
Another tip is to brush up on your knowledge. As a real estate agent, it is important to be knowledgeable about the local real estate market, trends, and regulations. Clients rely on you to provide them with accurate and up-to-date information.
Its important to be professional and proactive: It is important to maintain a professional demeanor at all times when working with clients. Dress professionally, be on time for appointments, and treat clients with respect and courtesy.
Anticipate your clients' needs and take the initiative to provide them with relevant information and resources. Offer suggestions and advice based on your expertise and experience.
By focusing on these aspects of customer service, real estate agents can build trust and long-term relationships with their clients, which can ultimately lead to increased success and referrals.
Referral rate: The final KPI I wanted to write about measures the percentage of new clients an agent receives from referrals. Agents with a high referral rate may be viewed as more trustworthy by their clients.
Real estate agents can generate more referrals by building strong relationships with their clients, providing excellent service, and actively seeking out referrals. Here are some specific strategies for increasing referrals:
Focus on customer service: Providing exceptional customer service is key to generating referrals. This includes being responsive to clients' needs, providing accurate and helpful information, and maintaining a professional demeanor at all times.
Stay in touch: Keep in touch with past clients through regular communication, such as email newsletters or phone calls. This will help you stay top of mind and increase the likelihood that clients will refer you to others. Make sure to stay active on all the social media platforms so your past clients know you are still in business.
Ask for referrals: Don't be afraid to ask for referrals directly. Ask satisfied clients if they know of anyone else who might be in need of real estate services, and make it easy for them to provide referrals.
Build a network: Develop relationships with other professionals in related industries, such as mortgage brokers, home inspectors, and contractors. They may be able to refer clients to you, and you may be able to refer clients to them.
Provide valuable content: Offer valuable content, such as market reports, home buying or selling guides, or other resources that clients may find helpful. This can help build trust and loyalty, and increase the likelihood of referrals.
By focusing on these strategies and providing exceptional service, real estate agents can generate more referrals and build a thriving business.
By tracking these KPIs real estate agents can gain insight into their performance and make data-driven decisions to improve their operations and achieve their objectives.
Love,
Kartik
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Real estate can be a challenging career for some, but whether it "hard" or not depends on a variety of factors, including your strengths, experience, market conditions, and overall dedication to the profession. Read more...
Real estate can be a challenging career for some, but whether it "hard" or not depends on a variety of factors, including your strengths, experience, market conditions, and overall dedication to the profession.
Remember that real estate sales is a highly competitive field, with many agents and brokers vying for clients and listings in the same market area.
Considering how much money a real estate agent can make, real estate has a very low barrier to entry. Think about other lucrative careers like becoming a doctor or lawyer - real estate sales has the potential to make just as much money but becoming a licensed real estate agent requires much less by way of time and money. Our real estate courses are as little as $199 and can be completed in 54 days. The result is that a lot of folks get licensed and end up competing for the same clients and listings.
This sense of competition is especially heightened in a limited inventory market. When the supply of homes for sale is limited there may be more agents and brokers than there are available listings, making it even more competitive to win new business.
Your journey in starting a real estate career will be much easier if you remember that market conditions can change rapidly. Because the real estate market is constantly evolving, changes in interest rates, economic conditions, and local regulations all affecting the demand for housing. Successful real estate professionals need to stay on top of these changes and adapt their strategies accordingly.
Another tip to ease the transition into the market is to remember that building a successful real estate career requires a significant amount of time and effort invested in networking, marketing, and prospecting.
Networking is a crucial part of building a successful career in real estate and I wanted to share some tips for effective networking in the industry:
Attend industry events: Conferences, trade shows, and networking events are great places to meet other real estate professionals and build relationships. Look for events that are relevant to your niche or market, and come prepared with business cards and a clear elevator pitch.
Join professional organizations: There are many industry associations and organizations that offer networking opportunities, as well as education and training programs. Consider joining groups such as the National Association of Realtors (NAR), the Women's Council of Realtors, or a local real estate investment club.
Participate in online communities: Social media platforms like LinkedIn and Facebook can be great tools for building professional relationships and staying connected with other real estate professionals. Look for groups or forums where you can share your expertise, ask questions, and connect with other industry insiders.
Collaborate with other agents: Consider partnering with other agents or brokers on transactions or marketing initiatives. This can help you expand your network and build relationships with other professionals who may refer business to you in the future.
Provide value: Finally, it's important to remember that networking is a two-way street. Offer your expertise, knowledge, and connections to others in the industry, and be generous with your time and resources. This will help you build a reputation as a valuable member of the real estate community and strengthen your professional relationships over time.
As you consider whether or not a career in real estate is right for you (and how difficult it may be) bear in mind that real estate is cyclical. It is cyclical because our industry is heavily influenced by the broader economic and financial cycles that affect the economy.
The real estate market is influenced by the overall health of the economy. When the economy is strong, people have more money to spend on housing, which can lead to increased demand for real estate. When the economy is weak, people may have less money to spend on housing, leading to lower demand.
Another thing to keep in mind is that interest rates play a significant role in real estate cycles. When interest rates are low, it can be easier for people to obtain financing and afford a home, resulting in increased demand. When interest rates are high, it can be more difficult for people to obtain financing, leading to lower demand. The couple of years of the pandemic were great for the real estate industry and a large part of this had to do with interest rates being so low during this period.
Another fundamental truth about the real estate market is that it is subject to the basic laws of supply and demand. When there is more demand for housing than there is supply, prices tend to rise. When there is more supply than there is demand, prices tend to fall.
These factors, and others, all contribute to the cyclical nature of real estate and can impact how “hard” the business is for you as you get started. As economic and financial conditions change over time, so do the patterns of supply and demand in the real estate market. Understanding these cycles is crucial for real estate professionals who want to stay ahead of the curve and succeed in the industry.
Another challenge that real estate agents face it that we often work irregular hours, including evenings and weekends in order to accommodate clients' schedules. Here are a few reasons why:
Client availability: Many real estate transactions take place outside of regular business hours, when clients are available to view properties, attend open houses, or meet with their agent. This means that agents may need to be available evenings and weekends to accommodate their client's needs.
Flexibility: Real estate agents often have some degree of flexibility in their schedules, which can be a big perk of the job. However, this flexibility may also mean that agents need to be available outside of regular business hours to meet with clients, attend inspections, or negotiate deals.
Competition: Real estate is a highly competitive industry, and agents who are available and responsive to their clients are often the most successful. This can mean working irregular hours in order to stay ahead of the competition.
Administrative tasks: In addition to client-facing work, real estate agents also have a variety of administrative tasks to manage, such as paperwork, marketing, and bookkeeping. These tasks can often be done outside of regular business hours, which may contribute to a more irregular work schedule.
All of the above being said, many people find real estate to be a rewarding and fulfilling career that allows them to help clients achieve their goals and build their own businesses. Success in real estate often requires a combination of knowledge, skill, hard work, and a passion for the industry.
As always, if you are interested in getting your real estate license our real estate school is here to help!
Love
Kartik
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1. Arrive early at the property
Most buyers are pretty excited about seeing a home in-person for the first time. Sure, they’ve probably seen more than a few pictures online but there’s nothing like Read more...
1. Arrive early at the property
Most buyers are pretty excited about seeing a home in-person for the first time. Sure, they’ve probably seen more than a few pictures online but there’s nothing like walking through a home and touching, feeling and smelling it. Taking those first steps into the house comes with hope and all the possibilities of what life might be like when they move in.
With that said, imagine you are a homebuyer and call up a real estate professional and set up an appointment to view the property.
Upon your arrival the the agent is nowhere to be found.
All sorts of red flags start firing off in your mind:
“Am I at the right address?”
“Did the Realtor get lost? Wait - how does a Realtor get lost? Aren’t they supposed to know the area?”
“If they can’t show up on time - maybe they aren’t so reliable after all!”
Basically, when you arrive late for an appointment you undermine your trustworthiness at both a conscious and subconscious level.
Showing up early demonstrates that you are able to manage your time and are able to meet basic deadlines.
Pro tip: Get there at least 15 minutes early so you can verify access and open the property up.
2. Dress the part and groom yourself properly
Dressing appropriately is one of the easiest ways to make a good first impression.
I want to emphasize the word “appropriately” in this sentence because it doesn’t always mean a three-piece suit with a Charvet tie. Your style and your outfit should blend your style with that of your client and even the properties you are going to show. Because details matter how you appear will affect your buyer’s perception of you and the service you provide.
If you are showing beach cottages in Manhattan Beach your outfit will likely be different than if you are showing office space to a group of architects in downtown Los Angeles.
Be smart about your style and understand that how you visually present yourself will affect how your client perceives you.
Getting out of a clean car as a Realtor doesn’t hurt either.
3. Come prepared
Pulling property profiles and running comps isn’t the most exciting part of the job of being a Realtor. But remember that showing up with data in hand is one of the best things you can do to demonstrate your preparedness.
Being able to explain to your buyer why the deal is good and showing them data and comps will increase your credibility make you more trustworthy as an agent. Preparation is key whether you are meeting with a buyer client or preparing for a listing presentation to a seller.
Inevitably there will be something that goes sideways while you are in escrow - the home inspection might show more work than the buyer is mentally prepared to do or an appraisal can come in low. The more of an expert you seem to your buyer the more likely they are to take your advice.
Being perceived as an expert isn’t something that just happens. It’s a series of experiences that your client has with you that will build trust. Preparation is a critical step in building that relationship.
4. Put your phone away and appear interested
If you aren’t sure- yes it is 100 percent rude to swipe through your phone instead of being fully present with your prospect. It feels weird that I have to remind folks of this, but I have seen this time and time again in personal and business settings.
Constantly being on your phone makes your client feel unvalued - and those feelings never make for a great start for a relationship.
I get it though - you’re worried about that other escrow that is falling apart or you want to check TMZ to see if Kim Kardashian really got married again, but resist the temptation.
If you must have your phone out, the least you can do is turn the ringer off and only look at it during natural breaks in conversation.
5. Offer a firm handshake
If we can agree that COVID is over we can get to the importance of a firm handshake the first time you meet a client. The truth is that a good handshake helps to set the tone of your confidence and maybe even how trustworthy you are.
A firm handshake coupled with a smile and solid eye contact (not in a creepy way) can impart a strong first impression with your buyer. This type of introduction can help your image and set a solid foundation.
A strong and warm handshake also can subconsciously show your willingness to compromise and reach a real win-win for you and your buyer.
6. Remember to smile
Like a magnet, we are drawn to people who smile. We are also polarized and repelled by people that have negative facial expressions like frowns and grimaces.
Of course, smiling is seen as attractive and even makes folks assume you embody more positive personality traits.
Smiling more often can also have an ancillary effect of making you look youthful because studies show that the muscles we use to smile lift the face thereby making a person appear younger. I’m not suggesting that smiling is a natural form of botox but I might not be too far off. Smiling helps you look younger and psychologically makes us all feel just a little bit better.
So if you want to look more confident, youthful and give off a positive vibe try smiling a little more consciously and little more often. It might help you win over that real estate client, make you seem more relatable and even more approachable. You might even find that you get a little further along in life.
In the end - smiling suggests success.
7. Ask questions to show you are interested
I have spoken to some real estate agents who say that they don’t feel comfortable asking too many questions of a new buyer because they don’t want to appear too pushy or nosy. Some agents I have spoken with say they don’t even ask about buyer financing on the first meeting.
While these probing questions might seem a little awkward we have to ask these questions just like a doctor would to properly diagnose a patient. In the real estate world questions about financing, buyer needs and wants and timelines are critical.
I know if you have taken our real estate school online you’ve learned about the importance of asking questions of your client to better understand their needs. We talk a lot about this in our Real Estate Practice course.
It is said that the best real estate agents and salespeople keep asking questions until there are no more answers. Also keep in mind that the more questions you ask, the more emotional intelligence you build and the deeper your relationship with your client becomes.
Final thoughts
While many of the above list might be considered common sense, they are all important reminders to be present and focus on the needs of your client.
As always if you are looking to get your real estate license, we would love to talk to you! Call us at 888-768-5285!
TLDR:
1. Arrive early at the property.
2. Dress the part and groom yourself properly.
3. Come prepared.
4. Put your phone away and appear interested.
5. Offer a firm handshake.
6. Remember to smile!
7. Ask questions to show that you are interested.
Love,
Kartik
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Some of our readers might be in a position where they are looking to build a real estate team or even start their own brokerage. Clearly if you are looking to grow your team, you have transcended simple Read more...
Some of our readers might be in a position where they are looking to build a real estate team or even start their own brokerage. Clearly if you are looking to grow your team, you have transcended simple searches like trying to find find the right real estate school and you are looking to be a more intentional leader.
Having trained tens of thousands of new real estate professionals I have a pretty good handle on what new agents want and how to put together a recruiting plan. I put together a list of value propositions that team leaders, managers and brokers should consider to help in their recruiting effort.
Requirement 1: Structured training schedule
The importance of a structured training calendar for new recruits is difficult to overstate. It’s no secret that new real estate sales professionals have a deep desire to be trained properly. Without a written training program candidates don’t have the confidence that they are really going to get the training that they are so desperately in search of.
Beyond the pre-license real estate school curriculum, any good post-license training program should cover two broad aspects of the business.
First - Training on sales and marketing focused on helping the new agent understand how to acquire leads and ultimately close them. Your new hires want to know how to brand themselves to their friends, family and the local marketplace will help ensure their success.
Second - Training on contracts, new laws and procedures governing the day-to-day aspects of the business are also key to getting your new agents the skills they need to go out and compete in a highly competitive real estate market.
In our pre-license real estate course, we recommend that all our students ask potential brokers for a copy of the written training calendar the broker has. We advise them that if the broker does not have a written training calendar with scheduled topics and times the training program probably doesn't exist.
Think back to when you first started your real estate career. If someone simply handed you a desk and a phone and said “go to work” you would naturally feel frustrated and lost and probably eventually quit the business.
A major reason why the majority of newer agents don't end up making it past their first two years is because they get involved with brokers who don’t take training their agents seriously.
Requirement 2: Agent marketing plan and lead generation strategies
You should know that many new agents are going to rely on their broker for a marketing roadmap. Whether you as the broker decide to actually subsidize this marketing is entirely up to you but know that your agent is going to look to you for guidance.
Offering ideas for social media like video topic suggestions or even access to a camera and some lights within your brokerage will scream “value” for new agents. A marketing set-up like this can also help you attract mid-level and experienced realtors to your firm.
Too many real estate agents these days either don't know how to market themselves or are using very generic ideas found all over the Internet. Originality is important.
Showing your new agents that you have ideas for them to market themselves is a real value add.
Requirement 3: Leads + accountability
Few things will entice new agents to come work with your team like the promise of qualified leads. Some brokers and teams pay for Internet leads and others do a lot of direct mail and exploit other marketing channels to attempt to secure leads into the company. These leads can then be distributed to members of the team.
New agents wonder if they can perform well in this business and also strategize around how they're going to do it.
Common questions like “Am I going to be able to get leads?” “Am I going to be able to close those leads?” “How long will it take until I get my first paycheck?” wear on the mind of the new agent.
Some of this apprehension can be alleviated by providing leads to the new real estate licensee. The decision of how many leads you give the sales staff and your budget is a very personal decision - but I can promise you that providing qualified leads to your new sales staff is a very powerful recruiting tool.
Requirement 4: Transaction coordination
There are two schools of thought regarding the use of a transaction coordinator.
Thought #1: Real estate agents should handle all the paperwork on their own
Thought #2: Real estate agents should always delegate out the paperwork to a transaction coordinator.
I recorded a YouTube video about this very topic.
In my opinion, a new real estate agent should handle the paperwork with the supervision of their broker or manager for the first couple of deals, and then slowly start to wean off to a transaction coordinator as they grow more mature in their career. But the new licensee has to be able to at least understand the documentation, know where things go and be able to run a file on their own if needed.
With all that said, transaction coordination is a perk that many real estate offices offer. Being able to tell a new agent that they have support during an escrow is a recruitment plus.
New agents are often intimidated by the volume of documents involved in a typical real estate transaction and a good TC is a nice backstop.
Requirement #5: Available management
As a leader, it’s important to be aware that you must strike a delicate balance between your desire to recruit new agents to your brokerage with your bandwidth to be able to answer their questions and provide needed guidance. Rest assured, there will be an agent of yours that will call you or one of your senior managers on a Friday night at 7 PM because a buyer wants to write an offer and they have a question. Are you or a member of your management team going to be available to take this call?
The truth of the matter is, real estate can be a “nights and evenings” type of business and undoubtedly newer agents are going to have questions. Clients want to see homes on weekends and after working hours and consequently your agents are going to be there to assist them. The big question for you is whether or not you are going to be there as a manager or leader to help them in the event they have a problem?
In terms of retention, if you start missing a bunch of these late night or weekend calls or are non-responsive, it's likely that your agents may end up leaving you for the promise of more available management.
While this might be less than ideal it is the harsh reality of the residential real estate business.
Hope that these strategies will help spark some ideas in your own mind about what it takes to recruit and retain a sales team.
As always, if you are interested in taking real estate license courses or have a new member of your team that needs to get licensed call us at 888 768 5285.
Love,
Kartik
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Get ready for a little bit of basic math as we define the GRM in real estate investing and compare it to the capitalization rate.
Both the GRM and capitalization rate (also known as the “cap Read more...
Get ready for a little bit of basic math as we define the GRM in real estate investing and compare it to the capitalization rate.
Both the GRM and capitalization rate (also known as the “cap rate”) are important metrics for investors to consider when looking at an investment property.
If you are interested in real estate investing this will be a good read for you. I’m guessing that most readers who are interested in getting their real estate license have at least toyed around with the idea of investing in real estate.
The gross rent multiplier represents the relationship between the gross income that a property produces and its potential purchase price or value. It is a simple back-of-the-envelope way to represent the multiple of the gross income relative to the property’s purchase price - the GRM is not a measurement of time (more on that later).
As a general rule, the higher the GRM the more pricey the property is relative to the income. The lower the GRM the more of a “value” investment the property might be. Investors looking for the most “bang-for-their-buck” might seek out properties with lower GRMs as the multiple of gross income to the amount invested is lower.
Examples of the GRM
As an extreme example, consider the property below.
Purchase price = $100,000
Gross yearly income = $100,000
In the above case, the GRM would be 1x. The purchase price of this property equals the gross rent collected. This is an impossible and extreme example but it illustrates just how good of a deal this would be if it were true. Imagine a property that rents for $100,000 per year (or about $8,333 per month) that you could buy for only $100,000. This would be such a good deal that you would have to get in line and fight hundreds of other investors for it.
More likely, is that if a property rents for $100,000 per year that it would cost something like $2,000,000 or 20x the gross rent collected.
Again, lower gross rent multipliers can generally represent better value purchases for investors and higher gross rent multipliers mean that the investor is paying more for every dollar of rent collected.
More Realistic Examples of GRM
Property 1:
Purchase price $2,500,000
Gross annual income of $50,000
$2,500,000 / $50,000 = The purchase price is 50x the gross rent collected.
Property 2:
Purchase price $1,750,000
Gross annual income of $75,000
$1,750,000 / $75,000 = The purchase price is 23.3x the gross rent collected.
Drawbacks to the GRM
There are some drawbacks to using the gross rent multiplier method as the only way to value property. Because only the gross rent is considered expenses are not factored into this equation. This is a key distinction between the gross rent multiplier compared to the capitalization rate of a property.
Unlike the GRM, the cap rate does consider expenses like property taxes, insurance, maintenance and management to name a few to calculate net operating income. The GRM merely looks at the total rent collected relative to the gross income of the property.
Investors may look at both the gross rent multiplier and the capitalization rate to determine whether or not a property is a good investment and compare it with other properties the investor might be considering.
However, rarely will an investor only consider the GRM.
What is the difference between the GRM and cap rate?
The Gross Rent Multiplier and the capitalization rate are two wildly different methods of valuing an investment property.
As I mentioned above, the GRM is a very simple way to find out how many times the gross rent collected will equal the value. The capitalization rate on the other hand is a way for an investor to determine the annual rate of return.
Formulaically, the capitalization rate is calculated by taking the net operating income that the property produces and dividing it into the purchase price.
If you are interested in learning more about the cap rate check out the first in a 3 part series here:
As a matter of practice, most investors will give more credence to the capitalization rate as opposed to the GRM.
Why the GRM isn’t a measure of the number of years it will take to pay off the property
There are several problems with assuming that the GRM is the number of years it will take to recoup your investment. The first fallacy with considering GRM as a measurement of time is that it does not take into account expenses. If a property produces $50,000 per year in gross rent, the GRM does consider property taxes, insurance, maintenance, management nor does it include any debt service that the investor might be paying to secure the investment.
The second issue with considering GRM as a measurement of time is that rent typically increases as time progresses. The gross rent multiplier only considers the current rent not any future rent increases.
For the above two reasons, it is inaccurate to assume that the GRM is some measurement of the “number of years” it would take to recoup your investment because it doesn't include expenses, nor does it include any future increases in rent. Both of these affect the amount of time it will take to get your investment back.
Does a buyer want a high GRM or a low GRM?
Generally, as a buyer, a low GRM is preferred. Lower GRMs generally represent better deals for buyers because the ratio of the gross income to the purchase price is lower.
Higher GRMs generally mean that the buyer of an investment property is paying more for every dollar in income that the property produces.
Closing thoughts
While not perfect, the gross rent multiplier is still a common method that investors used to analyze a particular property. Keep in mind that this is not the ground truth golden method, because expenses are not considered.
If you are considering signing up for real estate school we would love to have you!
Love,
Kartik
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As some of our readers have moved beyond obtaining their real estate license and passing the real estate exam, I wanted to have some content that is a little more advanced for the reader.
After you Read more...
As some of our readers have moved beyond obtaining their real estate license and passing the real estate exam, I wanted to have some content that is a little more advanced for the reader.
After you complete real estate school, you’ll end up working at a brokerage and are likely going to become a member of a local Multiple Listing Service and a member of an Association of Realtors.
As you might already know, the MLS is the Multiple Listing Service and is a database of properties for sale and also contains history of homes that were for sale and those that have sold. It’s really an invaluable tool.
Generally, most MLS systems require that any status updates to a property be reported within two business days of the status change and will result in a status violation if not changed in a timely way.
Broadly, there are two types of MLS statuses:
1. On-market
2. OFF-market
On market statuses are used on properties that the seller is actively soliciting offers on.
The off market status represents those houses that either have sold or those that the seller is not actively trying to obtain offers on.
I have written the statuses below and have used abbreviations of the statuses also. For example, the “Coming Soon” status is abbreviated by a “C” and the “Active” status is abbreviated with an “A”.
On Market Statuses
COMING SOON (C) This status would be used by a real estate professional when they have a valid listing contract on a property and there isn’t an offer accepted as yet. For this status to be used, the listing firm must have specific instructions signed by the seller to submit the listing as “Coming Soon” and not “Active” - there’s a difference.
While under this status, the agent is permitted to market and advertise the property and must include language that the property is “Coming Soon” and must include the date the property’s status will become “Active”. A key point to remember with the “Coming Soon” status is that the property must not be available for showings while the status is such.
The fact that the property is not allowed to be shown to prospective buyers while in “Coming Soon” is a big deal. There may be agents - or buyers - that see the property online and want to see it in person to get a jump start on the market. This is not permitted while it is listed as “coming soon”.
ACTIVE (A) The Active status is much less complicated than the “Coming Soon” one. The “Active” status is used when a property is On-Market and when the agent has a valid listing contract signed by the seller and no offer has been accepted as yet.
ACTIVE UNDER CONTRACT (U) Like the simple “Active” status, “Active Under Contract” is also technically an On-Market status even though the property has an accepted offer on it.
This status is used when the seller has already accepted an offer but wants the property to remain as an on-market status to collect back-up offers.
This might be a prudent status if the sale is subject to court or other third party approval as those third party approvals can sometimes be hairy and take more time than the current buyer is willing to wait.
It's important to keep in mind that even though the property is still active under contract, the seller generally does not have a right to cancel an existing escrow if they get a higher offer later making this not truly an “on-the-market” scenario.
Off-Market Statuses
HOLD (H) Unlike Coming Soon, Active or Active Under Contract, the “Hold” status is an Off-Market status. The agent would tag the property this way when a valid listing contract is in effect but due to myriad reasons the seller doesn’t want any showings. Perhaps this is due to repairs being made to the property or even an illness of an occupant and the seller might not want to show the home on a temporary basis.
WITHDRAWN STATUS (W) If the listing agent on a home is going to use a “Withdrawn” status the agent is indicating that the property is moving to an Off-Market status.
If this contract is going to be used, the property will no longer be marketed through the MLS - despite the fact that a valid listing contract exists.
In other words, the listing is being withdrawn from the MLS but no necessarily withdrawn from the market as a whole. Beware - there is potential to incur a duplicate listing violation if the seller relists with another listing agent and a Withdrawn status is still in effect.
PENDING (P) This status is also an “off-market” one. The listing agent can switch the status to Pending once an offer has been accepted.
The main difference between Active Under Contract and Pending is that when the listing is “Pending” the Seller is no longer soliciting offers through the MLS whereas while “Active Under Contact” the seller continues to solicit offers.
CANCELED (K) Canceled is a unique status as only Brokers and Office Managers have the permission to change a listing’s status to Canceled. The reason for this is that the listing contract is taken in the name of the broker and not the individual agent and as such no individual salesperson has the unilateral ability to cancel a listing.
This is an off-market status once changed to Canceled.
It’s important to note that using Withdrawn instead of Canceled will result in a status violation if tagged incorrectly.
CLOSED (S) Congratulations! If you are switching the status of your listing to “Closed” it means that your transaction has successfully completed and title has transferred from the seller to the buyer. This status is an Off-Market one and a property should be tagged as such after escrow has closed.
If you had a lease listing this could also be used after a property has been successfully leased.
EXPIRED (X) Like the “CLOSED” status, the “Expired” status is an Off-Market status and should be used when the time period of the listing has lapsed and the listing contract has, as such, expired. Most of the MLS platforms will automatically set the status to “Expired” once the time period has elapsed. At the time of the listing being input, the agent is required to specify the Date of Expiration so the system knows when to change the status to “Expired”. If the property sells before the expiration date and the agent has changed the status to “CLOSED” the MLS will not trigger an EXPIRED status after CLOSED.
Closing thoughts:
Choosing the right real estate brokerage to work for should ensure that you are trained up properly and that there are no surprises when it comes to what these MLS statuses actually mean. Some of the above are obvious, but the intricacies of when to use each one can sometimes be confusing.
Hope this helps!
As always, if you are interested in signing up for real estate school reach out to us at 888 768 5285!
Love,
Kartik
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Many of our readers are just starting their journey into the world of real estate and they want to start a real estate business from scratch. Most of them want to understand the steps of the journey they Read more...
Many of our readers are just starting their journey into the world of real estate and they want to start a real estate business from scratch. Most of them want to understand the steps of the journey they are about to embark on and see a path to success laid out for them.
Step 1: Enroll in real estate classes
The first step in your real estate journey is to enroll in a California state approved real estate school and complete three required courses. The courses required to sit for the real estate exam are:
Real Estate Principles
Real Estate Practice +
Elective course
While we offer a selection of elective courses, my recommendation is to choose Legal Aspects of Real Estate because it contains the most relevant information to prepare you for your California real estate exam. Additionally, if you wish to obtain your brokers license at some point,Legal Aspects of Real Estate is a required course so completing this course will serve these two purposes.
As far as options to complete the program go, we have two packages that can get this done for you. One is a package wherein a licensed instructor will walk you through all the material and the other is a self-study option where you read the material on your own.
My recommendation would be to choose the instructor-led Zoom calls mostly because there is so much material to digest and having a professional to ask questions of will make the experience easier and provide more of a roadmap for you.
Step 2: Pass the real estate exam and obtain a real estate license
Once you have enrolled and completed the three required courses the next step is to take and pass the state licensing exam in California. The best way to get ready for this exam is with our famous crash course software. Our crash course offers hundreds of videos explaining each answer choice and why the answer is correct and the others are wrong.
The sales license exam is given over 3 hours and it consists of 150 multiple-choice questions. Passing score is a 70% or better.
Pro tip: Don’t worry about getting 100% on this exam. The state doesn’t even release your score when you pass. The exam is strictly qualifying in nature and as long as you score at least a 70% you’ll be good to go.
Obtaining a real estate license also requires that you clear a criminal background check. This is done through a process called Live Scan. This Live Scan is required even if you’ve gone through this process in the past for another license or purpose. For example, we have many students who are also notary publics or have other professional licenses and certifications that required that they be fingerprinted in the past. This doesn’t matter - you’ll have to go through the fingerprinting again.
Step 3: Choose a real estate broker to work for
If your aspiration is just to get a real estate license, you don't necessarily have to put that license with a broker. However, if you want to work and represent buyers and sellers, the real estate law requires that you find a broker to work for and hang your license with.
As you make the decision about where to work keep in mind that there are many things that determine whether you are working at the right firm.
Learn more about how to pick a broker here:
To a newer agent, the most important thing in deciding where to work should be the training program available and the culture around the office. For example, if your goal is to make a lot of money and help lots of clients, you'll want to make sure that you are in an environment where the broker encourages teamwork, camaraderie and a culture of training.
Step 4: Start working on your sales skills
One of the most underrated aspects of starting as a new real estate sales professional is the fact that people forget that the nature of this job is sales. The successful real estate agent will employ marketing strategies to get their name out there, be able to set an appointment and ultimately close for the contract.
Whether dealing with buyers or sellers there are objections that your client will inevitably throw at you. For example, buyers might want to wait until interest rates come down or prices cool off. Sellers will want to understand what your marketing plan is and may even ask you to cut your commission. Your ability to handle these objections with empathy and professionalism is key to your success.
The best real estate sales professionals continuously practice their skills, role-play, and work on their sales abilities each and every day.
Step 5: Solidify Your Marketing Plan
With over 400,000 real estate licensees in California it's important to be able to be found and recognized as an area expert. The only way to do this is through proper marketing as marketing is the lifeblood of any business. It’s no different when it comes to you as an individual real estate professional.
As a newer agent, the big question is, how are you going to be found? Joining a team can help in this effort because teams generally allocate marketing dollars to lead generation and they pass out these leads to members on their team.
It’s important to bear in mind that these leads come at a cost, however. Commission splits are often lower on a team, because not only do you have to pay the brokerage but you'll also have to pay a split to your team in return for generating those leads for you. Being able to ride the coattails of your team should mean that you don’t have to figure out your own marketing plan.
Whether or not you end up joining a team, I would still suggest doing community and sponsorship events, a lot of direct mail, and maybe even some good old fashioned doorknocking. Consider sponsoring the local chili cook off or the Little League team to get in front of residents in the community.
Remember that sales and marketing go hand-in-hand. Marketing will help you bring in the leads, while sales skills will help you close the leads that you do generate.
Don’t neglect social media. It’s important to be active on Instagram and Facebook and maybe even start your own YouTube channel. Social media is a great way for members of the community to get to know you and gives you the chance to show that you're an active local real estate professional.
Step 6: Continue to grow your career
I understand that reading that you should “grow your career” sounds cliche and I’m aware that this saying means different things to different people. In the context of being a real estate agent, growth could involve branching out into other aspects of real estate like property management or commercial real estate.
The concept of growing your career also involves attending continuous training on sales skills, marketing, social media strategies, or even technical training like new laws that affect the real estate community or updates to the purchase agreement.
Your goal should be to avoid stagnation and always continue to grow and learn. Real estate is an ever-changing industry and technological tools have changed the way the properties are purchased.
Given the fact that our clients are trusting us with what is likely their largest asset, we have a duty to make sure that we are learning all we can and that we are the best real estate agent possible.
I'm hoping the six steps I’ve outlined will help understand the arc of starting and growing a lucrative career in real estate. It can be an extremely rewarding career and I’m looking forward to helping you get started or continue to grow it.
If you are interested in learning more about starting a real estate career, call us at 888 768 5285 or send us a message on Instagram
Love,
Kartik
TLDR:
Here are the six steps to starting and growing your real estate career.
1. Enroll in real estate classes
2. Pass the real estate exam and obtain a real estate license
3. Choose a real estate broker to work for
4. Start working on your sales skills
5. Solidify your marketing plan
6. Continue to grow your career
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