Ways to Market in the Real Estate Business
It's impossible to build a successful real estate business without developing and maintaining a healthy sales pipeline. One obvious way to drive Read more...
Ways to Market in the Real Estate Business
It's impossible to build a successful real estate business without developing and maintaining a healthy sales pipeline. One obvious way to drive sales is to have a deliberate marketing effort, but with so many ways to market yourself as an agent, it can be daunting having to choose between so many marketing channels.
In this post, I’ll go over a few of the most effective to help build your marketing roadmap.
As always if, you are interested in online real estate classes or a live real estate school, visit adhischools.com.
Networking
One of the easiest and least expensive ways to market and raise awareness about you and your business is to start networking. In the physical world, this could be something as simple as handing out your real estate business card to people you meet and letting them know what you do. Although the person to whom you gave your card many not have an immediate real estate need, consistent networking can lead to a long line of referrals. The best part: This word-of-mouth promotion is free, and you never know who they will meet with real estate needs.You can also participate in local community events, particularly if you are in residential real estate. Whether you hang out at the farmers market or have a booth at a street festival, being involved in the area in which you sell will make people more inclined to work with you. Set a goal to recognize as a resource for local real estate.But what about networking in the digital world? This could mean maintaining social media accounts on popular platforms like Instagram, Twitter and Facebook. There are different ways to reach people once you're signed in. Don’t forget to post helpful and interesting content (like I do with our blog *cough* *cough*) adding friends, liking other people's posts, sending direct messages and more. After you meet someone in person, don’t be shy about asking to connect on Facebook, or following one another on Instagram. Make a conscious effort to reach out online, especially after making a personal contact.
Setting a Marketing Budget
While not a law, realtor.com says that you should be spending 10 percent of your commission income on marketing. Overall, have your spending match the caliber of what you're trying to sell. Compare the marketing associated with a starter home and a luxury mansion - they are totally different. If you’re interested in learning more about the luxury real estate market, check out my YouTube video.In most real estate markets nationally, the starter home is going to get plenty of interest solely based on price, so you may just need to create a listing in the MLS to get interest and have a few nice photos up. The luxury market, however, can be more competitive and particular, so save your money for extravagant and decadent open houses, professional photography/videography and promotions you will do throughout the listing period.
Paid Promotions
While on the subject of a marketing budget, there are plenty of ways to promote yourself that are worth the investment. Here are just a few ways to use your marketing budget to the max.
Boost your SEO
According to the National Association of Realtors, 90 percent of people searched for their home online. Increase your online search rankings in a local home search.
◦ Consider pay-per-click Google Ads to get your page higher in the paid search results.
◦ Hire someone with SEO knowledge to make your website organically rank higher.
◦ Increase your presence online by paying for premium memberships on listing sites like Zillow and Realtor.com. You can gain more visibility as potential buyers browse what's available because your profile will be featured while they are swiping through.
• Pay to boost your social media posts to reach people outside of your normal friends list on platforms like Facebook.
• When it comes to direct mail, utilize the services of a professional postcard marketing company like www.farming.cards to get your name and message into the homes of potential customers.
Be Memorable
Great marketing that is consistent will keep you fresh in the minds of your leads and contacts. When you are out there promoting your business and winning the trust of your sales pipeline, guess who your contacts are going to call when they have real estate needs?
Don’t Neglect the Direct Sales Approach Also
Marketing is great, but don’t forget direct sales. Work the phones, door knock and directly engage your customer. All of the aforementioned are totally F-R-E-E. =)
Learn More at ADHI Schools
Effective marketing is key to becoming a successful real estate agent. At our real estate school, we'll teach you strategies for becoming an excellent self-promoter and a real estate powerhouse! Register for ADHI Schools today!
- Kartik
|
How to Dominate a Farm in Real Estate
You've finished your real estate classes and passed all the tests. It's official: You're now a licensed real estate agent. All those sleepless nights Read more...
How to Dominate a Farm in Real Estate
You've finished your real estate classes and passed all the tests. It's official: You're now a licensed real estate agent. All those sleepless nights filled with studying alluvium soil and the laws of the land have added up and paid off. After you put the blast the good news on Instagram, the question hits you: What next?
Starting off in real estate is at once the most exhilarating and scary times you'll find yourself in. After all, real estate agents aren’t in short supply, especially if you’re in Los Angeles or Orange County. The question becomes how do you pick a specific market area and get the majority market share in that community?
Breaking into high-end, luxury real estate isn't for the faint of heart nor for those who are off put by the idea of getting their hands dirty. This market is especially challenging for those with no prior experience, connections or repertoire. However, this doesn't mean there isn't a way to to get the job done. I’m warning you: It's will take work. (But hey, nothing worth having comes free — or in this case, without immense effort on foot.)
In order to get your name out there for those in your target market, your first step is to farm that area.
What Is Farming in Real Estate?
Farming a market is when you select a geographic or demographic area to focus on in hopes of growing your brand and ultimately your market share in that area. As time passes, you consistently nurture the market you've selected to farm through various marketing tactics that, over time, allow you to be seen as a trusted member in the community. Though geographic farming (as opposed to demographic farming) is generally thought of as the more common of the two forms of farming, both can lead to big breaks for newcomers to the realty world.
Consistency Is Key
To successfully break into your target market by farming, you need to be consistent. Farming is a long-term investment — not just financially. It's all about building and maintaining relationships with those in the community, and that takes consistency on a regular basis.
While you strive to make your name a well-known one in your selected area, you can work on building trust and connections by means of consistent communications. You can keep members of your selected community up to date with any new trends or events in their neighborhood by sending biweekly postcards — appropriately branded.
Knowledge is King
It's now a basic job requirement to stay on top of any and all changes that may occur in the market you're farming. Know if there’s a new shopping center being built in the area. Understand any new zoning changes that might be taking place in the near future. Keeping up on these changing market dynamics can be critical in continuing to bring value to your farm area. For example, door knocking with the latest pumpkin pie recipe is great around Halloween, but what about communicating recent sales in the area? If prices have risen or fallen it would be valuable to share this with owners in your farm area.
People love talking real estate - especially if it directly impacts their community.
Plan For Return On Investment (ROI)
When you're first starting out, it can seem like you're constantly dodging bullets and climbing hills. Needless to say, things can seem pretty daunting with a minimal client pool and little experience. Hey, that's why you're farming, after all! There's nothing to be ashamed of about being the new agent in town, but that's no reason to remain stagnant.The great real estate agents know that having a plan and executing it properly is mission critical. Make a budget and set achievable ROI goals. While time, progresses and your year march on, you can alter your initial plan with the insights you've gained thanks to new connections within your farming area and a better understanding of the people within the market.It's also important to bear in mind that farming by definition is a long-term thing.
Awareness Is Key
Being seen as the go-to source of knowledge in the area you're farming is the end goal. It means you're trusted and respected within the community, and have proven to be a reliable source.
Once you've established your role as the neighborhood's professional real estate agent, you'll have direct lines to various homeowners in the area. By coming around consistently and sharing valuable neighborhood and household insights, you're raising awareness about you, your brand and the service you provide. Also possible - the more people you know the more referrals you are going to get.
Keep in mind the law of numbers is alive and well - especially in real estate sales.At times, your real estate journey may seem daunting, but with proper farming, you'll have a positive rapport in the community and numerous satisfied clients in your phone. Follow up with them with intent and determination.
The biggest lesson I’ve learned from nearly 20 years in this business is that consistency is king.
Want to take real estate classes? We offer online real estate education as well as live classroom real estate courses. Let us know how we can help. =)
-Kartik
|
FOLLOW UP IN SALES
If you have ever sold anything, you know that it’s extremely rare that a sale is made on the first contact. Even for something as benign as a shirt or bag, the customer Read more...
FOLLOW UP IN SALES
If you have ever sold anything, you know that it’s extremely rare that a sale is made on the first contact. Even for something as benign as a shirt or bag, the customer may need to come back to the store or review the item online a few more times before committing to the purchase. Before you enroll in a real estate school, it's important to be aware that real estate sales is just that - sales. Follow up is probably the most important aspect of the sales business.
Much of the time, it will take at least 3-4 contacts before your customer signs. In the case of real estate sales, it might take even more contacts as the sales cycle can be longer given the transaction size.
Even though this is a fact of business, most sales people don’t follow up nearly enough or as hard as they should.Reaching out to customers after an initial contact makes several positive impressions at once.
Here are just a few of them.
Follow-up and follow-through show your client:
• You're trustworthy.
• You're available.
• You care about their experience.
• You think they're special.
Mastering the art of the follow-up helps you become a more successful salesperson.
• You learn what the customer expects or wants.
• You give a customer the chance to be heard.
• You can convert a contact into a lead.
• You make the contact more inclined to work with you over other agents.
• You stay fresh in the customer's mind. Even if they're not ready to buy/sell right now, they may be later.
With so many benefits, you should definitely pursue following up as a key prospecting strategy to help you nurture leads and build more business.
How Many Times?
Statistics about agents who followed up more frequently versus those who didn’t are staggering. A recent report shows that agents who follow up on their leads five or more times made at least $200,000 per year. Those who followed up less frequently, even three times, reported significantly less earnings.To many of you, three times seems like a lot already, but it looks like five times is the magic number. Real estate depends on many tenacious sales tactics like this one. If you need to overcome the fear of prospecting, remember that the sale is made in the follow through, not in the initial contact.
The Nature of an Effective Follow-Up
If you're not following up with customers, you're setting yourself up to fail. The real estate game is all about gaining new prospects and leads. As such, you must constantly build your sphere of influence, your pipeline and ultimately gain the trust of new people.But before you pick up the phone or hop on the computer, you should take some time to review the best practices of a follow-up. It's more than just randomly calling people you meet. You need to contact people intentionally.
• First, have the right attitude. Sit up straight and exude confidence in your body language and voice. Your customers can sense if you're not sure about what you're selling.
• Follow up with hot leads first. These are the people who are most likely to become clients. You will get a higher success rate when you prioritize hot leads. Plus it’s easier to build your confidence with warm and hot leads rather than “leads” that are unlikely to buy.
◦ Segmenting your contacts is a valuable habit that will help you determine which contacts are more likely to lead to a sale — and therefore more worth your prospecting hours. Try cutting your prospects into groups of “hot” “warm” and “cold”. You must define what “hot” “warm” and “cold” mean. To me, a hot lead is one that will sign a contract in the next five to seven days.
◦ Follow up with a new lead within the first day.
◦ A hot lead should be reached every day
◦ Contact cold leads on a less frequent basis, between monthly and annually, depending on the nature of their real estate needs.
Hit multiple channels
Some people prefer one kind of contact method over the other, so being present on multiple channels can do wonders in reaching them. Here are a few to try:
◦ Phone calls
◦ Emails
◦ Text messages
◦ Social media DMs
◦ Event invites
◦ Direct mail postcards (check farming.cards as a valuable tool).
Vary your approach
You can make direct calls some days or use softer marketing techniques at other times. Sometimes offering informational content reaches leads without seeming too "salesy," such as sharing home-buying tips on a blog or advice on HVAC repair in a video.
Learn Real Estate Marketing and More at ADHI Schools
This is just the tip of the iceberg when it comes to a great real estate marketing strategy. When you take our online real estate classes, you'll learn the ins and outs about becoming a great agent who can nurture great client relationships. Follow up is a critical part of that.
-Kartik
|
I recently received an email from a former student who asked me a question that every agent is bound to ask after getting busy. Whether you are taking real estate classes in Los Angeles or going to our Read more...
I recently received an email from a former student who asked me a question that every agent is bound to ask after getting busy. Whether you are taking real estate classes in Los Angeles or going to our real estate school in Orange County the below is applicable.
The email goes like this:
"Dear Kartik, I'm doing well in real estate and I think it's time to hire my first assistant. How do I go about finding someone, and when did you hire your first assistant?"
I'll answer his questions here.
How Do You Go About Finding an Assistant?
Overall, to hire someone, you need to take the following steps:
• Create a job description of the tasks you need performed.
• Properly screen candidates. Don't make impulse hires! There’s a great saying “Be slow to hire and quick to fire!” Good advice.
• Offer them a fair wage to reduce turnover.
After you hire someone, you should ...
• Train them well.
• Stay on the same page with your goals.
• Run your business by the rules created at the beginning but be willing to bend.
My Experience
To fully answer my student's question, I'll also explain my first hiring experience. I hired my first assistant four years after starting real estate, mainly because I had a lot of plates in the air at once. I was running my real estate brokerage business and working at the real estate school at the same time. Naturally, I was feeling overwhelmed.I actually feel like I got lucky with my first assistant. In fact, she's still working with us as the manager of our real estate school. I never screened an applicant before hiring her, but just ended up with a great assistant who stuck with me for the years to come.However, after gaining some experience in hiring more employees, I can now give you some real pointers.
Write It Out
The first thing I'd advise you to do is write out the job's description. What do you personally feel overwhelmed with? Do you need a personal assistant who can get your car washed one time a week and pick up your dry cleaning? Or, do you need a real estate assistant who can organize your files, input your listings into the MLS or oversee photographers and videographers? Hire someone who has experience doing these tasks or get someone who is willing to learn them well.
Properly Screen Candidates
In reality, hiring someone is always a little bit of a crapshoot. You’re going to do all you can to examine resumes and make applicants take personality tests, but there's always an element of luck in the hiring process. However, properly screening your candidates can reduce the chances of making hiring mistakes.
Here are some basic rules to follow:
• Don't randomly hire. Too many agents hire friends or friends or a spouse who was laid off, and then five months later they wonder why it didn't work.
• Avoid impulsive hires, even if you're in a rush.
• Check out their resume and make sure they have a background in the tasks you are giving them or are a good fit to learn.
• Use personality tests and other assessments, but don't let the scores define their destiny. I've seen someone who was told he didn't fit the agent personality profile become a successful broker and start his own company!
Prevent Frequent Turnover
Good talent usually sticks around with good pay, so offer a fair wage to eliminate turnover. After all, who will stick around if you offer just minimum wage? I've had people stay with me for five years, 10 years, even 14 years. Why? It's because I always think about how I can put more money in their pocket.I ask myself how I can make them more money ... because when they're making more money, I'm making more money, and the company's making more money. Pay your employees a fair wage and they'll not only work hard for you — they'll stick around.
Train Them and Have Accountability
After you hire someone, you'll need to do some degree of training. You should also hold them accountable for staying on task. Many agents like to have periodic meetings or phone calls to set goals and objectives because being on the same page is important. Whatever frequency you feel you need to communicate is up to you. I have some members of my sales team that I literally call three or more times per day. This might be a bit much for some of my readers, but it is what it takes when you are getting something off the ground from scratch.
Play By The Rules
Now that you're a boss, you need to make sure that you have all your legal ducks in a row. Have worker's compensation insurance for your assistant and withhold the right amount of taxes. Make sure the people you hire are properly classified as either independent contractors or employees.
Learn From the Best
Congratulations on getting to a point where you can hire your first assistant! I wish you the best of luck in the hiring process and hope you find the right person to join your growing business.If you are looking for the right real estate school, check out our website for real estate classes, or call us at 888-768-5285.
|
Lots of people ask me how I find time to write as much content as I do and record as much video content as I have over the last many years. A lot of people have viewed our YouTube channel at my real Read more...
Lots of people ask me how I find time to write as much content as I do and record as much video content as I have over the last many years. A lot of people have viewed our YouTube channel at my real estate education company and want tips on how to create video content and podcasts. I decided to write an article about this from the perspective of the real estate salesperson. Since the vast majority of people reading my blog or watching my videos aren't really looking to start an education company, rather they are looking to get into the real estate brokerage business.
It's important to remember that real estate sales is just that - it’s sales! The more customers and clients you have the more money you’ll ultimately make. But how many potential clients can you reach a day by cold calling and door knocking? No matter your answer, podcasts can increase that number exponentially and expand your reach.
Consider the facts:
• Over a quarter of Americans listen to a Podcast monthly.
• In 2018, over 50 billion episodes were downloaded and/or streamed.
• Podcast listeners are wealthy, educated and loyal.
• The average podcast listener tunes in to seven episodes per week.
• California has the highest number of podcast subscribers of any U.S. state.
Recording a branded podcast is a distinctive and effective way to tap into this potential market — even more than paid advertising. Your podcast will put your voice and message in the homes and cars of potential clients in a way no other tool can. Podcasts position you as an expert in a given field.
Choose Your Topic and Message
You have something unique to offer listeners: your real estate experience and expertise. Buying and selling a home or building can be stressful, and most people see high-end real estate as daunting, too difficult to manage or something "other people" do. Your podcast can bring transparency to the process and clients to your doorstep.Choose a topic for your show that is specific to you and sounds great. A narrative or talk-show format can work well. It should be something you can discuss for 100+ episodes. Once your podcast becomes popular, you can broaden your topic. To get started, however, a frame to work within will help you stay focused.Your topic should also support the underlying message you are trying to convey. Always ask yourself what you want your listeners to leave your show knowing or wanting.
Find Your Voice
There are lots of different styles of podcasting. Choose one that aligns with you. Will you interview guests on your show? Maybe interview past clients or your broker? Converse with your co-host about real estate trends? Take your audience on audio tours of designer homes? Talk about investing in real estate? Regardless of what you decide to go with, it should sound natural and practiced.
Give It a Name
Listeners will decide whether to listen (or not!) by your name. It should be something that captures the topic as well as the message you are trying to send. A clever or witty name will grab your audience's attention. Is there a word or phrase that captures your mission? A regional phrase that is recognizable to potential local clients?Avoid names that are too specific. Instead, select something that is memorable, searchable and available as a domain. Your listeners will want to engage in your content across platforms. Your Podcast can drive your listeners to your YouTube channel, your Instagram or other platforms. If you don’t have these created - do it now! These will provide additional ways for you to attract clients and listeners and give you more credibility and provide additional ways for your audience to connect with you.
Respect your audience
Podcasts convey your message directly to your subscriber. They are intimate and create a connection between listener and host. Treat this relationship as though each listener is a client. Hopefully they will be! Practice, practice, practice. Just hitting record isn't enough to make your show worth turning in to hear. You may find that writing a script gives structure to your recordings. Or, if a more informal style is what you are after, try to stay on topic.Your audience will expect consistency. If you are going to produce a weekly podcast, don't skip a week! Choose a format and schedule that works for you. On the ADHI Schools’ YouTube channel, sometimes I will record 3-6 videos per week and leave these stacked away in a Google drive. This way, I always have content to bring to the community.
Invest the Time and Money
Buy proper recording equipment. This doesn’t have to be a big expense, and it's worth it in the long run. Nobody wants to listen to a muddied recording. You will need to edit your podcast for long pauses, errors or content that isn't relevant. One of the affordable and easy to use software options on the market will help. I recorded a Podcast about the audio equipment we use, but your setup doesn’t have to be this elaborate.
Join the Community
The podcasting community is tight-knit and supportive. Listen to other podcasts. These shows aren't your competition — they're your biggest resource. Inviting guests from other podcasts onto your show can help you make connections to potential listeners or clients.
Take Real Estate Classes
If you are interested in taking real estate classes in Los Angeles click here. Our real estate class schedule can be found here. If you want to call the office, please do so at 888-768-5285.
|
Zillow has recently announced that it's going to start buying and selling houses.
This is a surprising move because it feels like the website is jumping 2 to 3 steps ahead of what it's currently doing Read more...
Zillow has recently announced that it's going to start buying and selling houses.
This is a surprising move because it feels like the website is jumping 2 to 3 steps ahead of what it's currently doing with the "Make Me Move" offer system, which is merely a seller's way to gauge what the interest would be for their home if they listed at a certain price.
What are the details of this new development with Zillow? How will this affect buyers, sellers, and real estate agents?
Zillow Instant Offers
This is a concept that Zillow is currently testing only in the Phoenix and Las Vegas area. The company is basically acting as the principal in real estate transactions.
Zillow is launching their Instant Offers concept in these specific markets to offer homeowners "greater control over the selling process" and a "more predictable time frame" for the sale.
This program bears some similarity to the way Opendoor or OfferPad work, offering convenient and quick sales at the expense of the best sales price. Speed is the name of the game.
What It Looks Like on the Seller's Side
A homeowner in the area who wants to sell their home can give Zillow their address and answer an online questionnaire about the home. Zillow will then make an offer on it. If the seller agrees to the price, then there will be a home inspection. Then, a Premier Agent will be chosen as the listing agent to close on the deal.
The Buyer Side
If a private buyer is interested in a property that's for sale in those areas, he or she can send an email to Zillow and tell them they want to buy it. If the numbers make sense to the company, then they'll then wire the money over to the owner. The buyer gets the house, and the seller gets to move. It's all meant to be a quick and seamless process.
What about Real Estate Agents?
In short, Zillow intends to keep agents in the selling process, but the program will benefit a select pool of agents. However, the company is confident that they're giving agents highly motivated leads, saving them time and hassle.
If Zillow buys the home, the company will pay a real estate commission to a premier agent that they'll select as the property's listing agent. This means that ordinary agents who haven't paid to be promoted on the website will be excluded.
Zillow explicitly states that the program will benefit only "pre-selected partner Premier Agents and brokers" at this time. As you know, it costs money to get into this inner circle, so it will be up to the individual agent to determine whether this investment will be worth it.
Another detail is that Zillow will be teaming up with Berkshire Hathaway HomeServices Arizona. As we find out more about this partnership, we'll let you know about it.
What happens to the home if Zillow buys it?
If Zillow buys the house instead of a private buyer, then the company will fix up the property and resell it. According to the Las Vegas Review Journal, the company aims to buy the houses below market value in order to flip them for a profit. This naturally means that the seller might not profit as much as she could have if she sold her home in a more traditional way.
If Zillow's offer is turned down by the seller, then the homeowner is free to sell the home through an agent on the open market.
The company's Chief Marketing Officer Jeremy Wacksman expresses the modern homeowner's need for a quick sale at the expense of not selling for top dollar,"[Homeowners] want help, and while most prefer to sell their home on the open market with an agent, some value convenience and time over price.”
Tell us what you Think
What's your take on Zillow's latest move? As a homeowner, would you sacrifice profits for convenience? In today's fast-paced world, there are always going to be attempts to make the process of selling a home become quicker.
The Value of an Agent
Though selling in the open market with an agent from the get-go may take longer, homeowners get the peace of mind that they are going to sell for the highest price possible and have access to expert real estate advice throughout the whole process- not just the closing phase.
If you have any comments, please post below. Don’t forget to check out our YouTube channel for all the latest news and information on the real estate market. I recorded a YouTube video on this Zillow development. You can check that out here.
If you are interested in becoming a real estate agent and taking real estate classes through our company, please visit www.adhischools.com or call us at 888-768-5285.
|
I get this question a lot: "How did you start teaching these real estate classes? What's the story behind your school?"You can listen to my podcast about it here, or read on. Long story short — it Read more...
I get this question a lot: "How did you start teaching these real estate classes? What's the story behind your school?"You can listen to my podcast about it here, or read on. Long story short — it happened by chance.ADHI Schools is a brainchild of my passion, education and past experiences. Ultimately, I combined my love for real estate and teaching and turned it into a real estate school.
It Started With a Love for Teaching
When I was going through college in the late '90s and early 2000s, I taught the SATs to disadvantaged high school students. Back then, parents of means could pay for SAT prep classes for their kids, but kids without money didn't have the same advantage.This disparity meant that average students couldn't prep as well as those who had access to the premium classes that cost thousands of dollars. To make matters worse, they didn't have the internet to help them. Today, people with tenacity and focus can learn just about anything on the internet — however, back then, there was no YouTube or online schools to give them a leg up.During this time I spent teaching the SATs, I developed a love for showing others how to thrive and be successful through education. It was exciting to empower people and level the playing field in the age of little to no internet.
I Saw the Sign
After I finished college and got my real estate license, I joined a brokerage. There was a sign behind this office that advertised a real estate school. I was just starting out and didn't sell anything for about three weeks. Although this is not a long time to not sell anything in real estate, I was particularly over-caffeinated and impatient, so I decided to try to pick up a side hustle.I called the 800 number on the flier and a man picked up. I asked him if he needed help teaching these classes. I also asked him out of curiosity how much it paid. When I heard that the pay was $60/hour, I called that man twice a day for a month until he finally relented and gave me a chance. He offered me a spot in Norco. I reviewed the material and taught the class, giving my best effort.The next day, the owner of the school called me and asked me how I thought things went. I told him that I thought things went pretty well. He responded, "Well, actually, all of them called simultaneously and asked for a refund, but I like you. If you're willing to try, there's another class you can take over once a week ... BUT, you can never go back to Norco.I agreed. Soon one class turned into three to four classes a week. After I gained experience and confidence, I started my own real estate school in October 2003. The rest is history. We're now in our 15th year in business.
Serendipity and Success
If I hadn't gone into that real estate office and sat in that seat and seen that sandwich sign, perhaps ADHI Schools wouldn't exist now. The real estate school sign was situated right behind my desk at the real estate office I chose to join. If I had chosen to work anywhere else, I might not have had that opportunity to initially teach - and our real estate school might not exit.Though it all happened through a series of accidental events, the result feels meant to be. I have worked with the same group of people for years, and they feel like family. We have a bunch of instructors, assistants and managers who all work together to make our school the powerhouse it is today.My real estate teacher was my mentor. I learned so much from watching how he taught real estate classes. He had lots of experience teaching classes to big-name brokerages since the '70s and '80s. I carry a lot of what I learned from him still today, because before you can branch out, you need to first imitate people who are successful in what you want to do.
So that's the story. Now I also have a brokerage, real estate school and marketing company. I stay busy, and I like it that way!
Make Your Own Story
Feeling fired up? Ready to start your own success story? Find out more about our real estate courses by calling the office at 888-768-5285. We would be happy to help get you enrolled in California Real Estate License courses!
|
Over the past 15+ years, I have taught literally thousands of people real estate at ADHI Schools. This has amounted to over 11,000 hours of real estate classes in a classroom setting.
In short, I’ve Read more...
Over the past 15+ years, I have taught literally thousands of people real estate at ADHI Schools. This has amounted to over 11,000 hours of real estate classes in a classroom setting.
In short, I’ve seen it all. I’ve seen people join the business during deep recessions and also in the best of markets. I’ve witnessed many people start out in different circumstances and have noticed three common reasons may fail to launch their careers once they leave our classes. This is true whether students take real estate classes in Los Angeles or otherwise.
Understanding these pitfalls can help you avoid them and ultimately succeed. My deepest wish is for you to be successful in your endeavors, and a large part of success is avoiding common mistakes.
I recently recorded a YouTube video onthree reasons I think some people fail in the real estate business if they’re not careful:
1. They Fail to Treat It Like a Business
When people get into our industry, they often don’t manage their time well. The flexible hours that real estate provides can shock a former 9-to-5 salary worker in terms of the level of freedom they suddenly have in their schedule.
The change in routine feels nice. It’s tempting to get lazy. Instead of jolting awake to the alarm clock at 5:30 am, they realize they can sleep in if they want to. This also means they can stay out a little later. This often starts a cycle of time mismanagement.
They’ll start to go to bed a little later and then sleep in. When they had a 9-to-5, they would hit the gym at 6 am, be out by 7 am and be in the office by 8:30. But in real estate, agents can wake up when they want because they don’t need to be in the office at any set time. Their new flex hours, which could potentially be an asset, are now a stumbling block.
On the other hand, those who treat real estate like a real job maintain structure. They show up at their office in the morning and are ready to work. They don’t leave whenever they feel like it or treat it like a part-time gig. If you want full-time success, you need to be prospecting like a full-time job. You also need to constantly improve on your know-how and build upon your expertise.
Think about this analogy: You have a restaurant that opens at 11. Do you show up right at 11? No! You arrive a couple of hours early to do kitchen prep so when the doors open at 11, you offer great food and service to your customers.
The same goes for real estate. You need to apply the same discipline to your time as you did when external forces were dictating when you showed up and worked.
2. They Fail to Remember It’s a Sales Job
Your real estate job comprises two basic components: lead cultivation and closing. A lot of people float along hoping to stumble into deals handed to them by friends and family. Sure, you can probably survive the first six to ten months with deals from friends and family, but what happens when you sell the houses of everyone you know? What if you don’t have a big sphere of influence? Are you actively prospecting? Do you use social media to reach out to new prospects? Are you actively promoting yourself online and with everyone you meet?
This is a sales job! A lot of people aren’t naturally comfortable with the idea of being a salesperson. As a salesperson, you need tenacity and passion. Reaching out to new prospects and leads may initially feel uncomfortable but eventually you’ll get more comfortable with selling. You need to constantly be looking for new leads even when you are busy, so that you never have a time when you’re not.
3. They Run Out of Money
When you start the business, you’ll need to pass your real estate exam and pay license fees and association of Realtor dues. These can all add up quickly, especially if you’re using your own money to market and promote your listings.
Because escrows are often lengthly, it’s important to understand that it takes time to close on properties. During this time you’re not getting paid, so the first six to ten months can be rocky financially. I see some people return to the 9-to-5 job because they run out of money — however, this whole situation can be avoided with some preparation.
Before you start making enough to go full time, it will take time to build up a pipeline in the first year. Have some savings set aside or a spouse to support you until you make enough to sustain yourself again. Overall, a financial safety net increases your chance of success during an agent’s first year.
Learn What It Takes to Succeed
Are you interested in learning more about the exciting real estate business? Do you want to take real estate classes online or do you want to attend real estate school in Orange County? Take our classes to get a leg up in the California real estate market.
|
It's nice to get a piece of a pie, whatever the size. But let's be honest: Would you prefer 3 percent of a $300,000 listing or of an $18 million mansion? The luxury real estate market is where you can Read more...
It's nice to get a piece of a pie, whatever the size. But let's be honest: Would you prefer 3 percent of a $300,000 listing or of an $18 million mansion? The luxury real estate market is where you can earn the big bucks — but breaking into it isn't easy.
Fortunately, one of my former students Jason Peteler recently sat down with me and discussed how he got into this lucrative market. Newer real estate agents can successfully transition into the luxury business by embracing these four points:
Be good at marketing.
Be good with people.
Know your area.
Don't start out alone!
1. Master the Art of Marketing:
Your image is everything in the high-end market. That's why marketing is the key to putting your best foot forward and spreading awareness about your brand.
You need to be where your potential clients are looking. The current trends are overwhelmingly in mobile and social media. If you're not on Facebook and Instagram yet, you need to create accounts today. If your website isn't mobile optimized, get some help to update it ASAP.
Every time you post, you should present yourself in a way your clients want to see you. Do you want to look negative and unmotivated? Of course not! Instead, post about your current successes and create the image of a confident and competent professional.
Get creative and post infographics, pictures and videos. You can even go "live" for a behind-the-scenes tour of a new listing!
2. Remember It's All About People!
Peteler briefly touched on being a "therapist" in his interview, and he's spot on. Imagine the stress buyers experience when buying or selling average-priced homes. Now multiply the commitment and risk by 10, and you have a client who's parting with or purchasing a high-end property.
Great real estate agents can help their clients cope with the stress and pressure involved with one of the biggest financial moves of their life. This interpersonal skill can make or break a transaction, because maintaining a good agent-client relationship keeps the ball rolling.
3. Know Your Area!
Who wants to work with an agent who doesn't know anything about the local area? When high-end clients approach an agent, they're looking for expertise. When you know the area well, you can sell the listing well.
Acquaint yourself with the area by spending time there: Eat at the local restaurants, talk to residents, walk around and soak in the sights and mood of the district. The more you know about the area, the more your clients will trust you.
4. Don't Start Out Alone!
Real estate agents who have successfully broken into the luxury market virtually agree on one point: Don't try to do it alone. You'll need to learn the ropes from agents who have real experience in the high-end market.
This can mean co-listing with another agent, being part of a team or even becoming someone's "apprentice." In fact, Peteler says that you should first follow a template: Copy what you see has worked for someone, and later you can expand upon it and innovate.
5. Get in Touch!
Another indispensable quality a luxury real estate agent needs is a solid education. To find out more about our real estate courses, contact me today. You can call the office at 888-768-5285 and we would be happy to help get you enrolled in California real estate license courses!
|
Recent foreclosure data published by CoreLogic details a lengthy trend of declining completed foreclosures and mortgages at risk for foreclosure. Take a closer look at a few key figures that show some Read more...
Recent foreclosure data published by CoreLogic details a lengthy trend of declining completed foreclosures and mortgages at risk for foreclosure. Take a closer look at a few key figures that show some good news about 2016’s housing market.
Nationwide there were just 30,000 completed foreclosures in October 2016—that’s down from 40,000 in October 2015 and 3.6% fewer than September 2016 (a significant decline). The number of mortgages in serious delinquency, and thus at greatest risk for future foreclosure, fell below 1,000,000 to 997,000. What does that do to the overall foreclosure picture? Well, as of October only 0.8% of homes nationwide were in foreclosure—and that number is falling.
November showed even more progress in this area. The number of completed foreclosures fell further to 26,000, down 30.0% from November of 2015. This is a 14.1% drop from October. Better yet, this means that the number of completed foreclosures year-over-year (2015 to 2016) is down 25.9% with 61 consecutive months of year-over-year (e.g. November 2015 vs November 2016) declines in foreclosure inventory.
CoreLogic also published a promising figure on housing prices—year-over-year housing prices are up 7.1% through November, with projections of 4.7% increases by November 2017.
December finished out the year in similar fashion. There were just 21,000 completed foreclosures in December 2016, 29.5% fewer than December of 2015. This leaves just 0.8% of all homes with a mortgage in the foreclosure inventory, the same percentage as October.
These numbers are clearly great for homeowners right now and are encouraging to many in the industry. A healthy housing market is great for the economy and the consumer, promoting further engagement with the housing market. This is part of the reason that real estate professionals are encouraging people to buy and sell—they are witnessing a strong housing market.
There are those that point out that the national foreclosure rate was very low before the housing crisis that kicked off the Great Recession. We would be remiss to ignore this data. The housing market is one of the most important markets in the U.S. economy, but the economy itself is of course complicated and never invulnerable to decline. Housing affordability and rent affordability issues are legitimate and contribute to analysts’ long-term worries for the housing market.
Adhi always recommends that our readers obtain as much information about the housing market as possible in order to assess different housing markets. The market conditions in Los Angeles may vary from the market conditions in New York City. These foreclosure and price numbers are, for now, a sign of a healthy market with improving conditions for a great many Americans.
What does this mean for your market? Have you seen these stats reflected in your market? Are foreclosures down, or are they up or stable? Any signs of upcoming changes? Let us know, we would love to hear more about your market conditions!
|
