The real estate business is not only competitive for buyers and sellers, but also for real estate agents. Your business thrives on constantly bringing in new clients to fulfill their home dreams. Yet Read more...
The real estate business is not only competitive for buyers and sellers, but also for real estate agents. Your business thrives on constantly bringing in new clients to fulfill their home dreams. Yet what you wear can have a significant impact on whether the client wants to work with you or if they move on to the next firm.
One of the interesting things about the real estate business is that many agents believe anything goes when it comes to dress attire because this is their chosen career. Since they may work for themselves instead of with a brokerage that has a dress code, they believe that their dress decisions should only matter to them. This factor may often lead to them wearing things that may turn off buyers or sellers, such as see-through clothing, over-gaudy jewelry, or even tacky shorts.
However, your dress attire will be the first impression that buyers and sellers get about how knowledgeable and professional you will be with your services. Clients know that they could be working with you for several months. They do not want to have the impression that you do not want to take the job seriously, or that you may be so new to the real estate industry that you won't quite know how to handle negotiations or closings. Find out what the appropriate dress is that you may want to stick to when working as a real estate agent.
One Size Does Not Fit All
The good thing is that you do not have to stick to the strict cookie-cutter business suits and dresses, unless that is what you desire. There is no one-size-fits-all when it comes to what to wear in this profession because buying and selling buildings are not restricted to corporate developers or big city Realtors. No client would expect their real estate agent to show up to the beach wearing a three-piece suit or selling a ranch while wearing oxfords as you step around the livestock.
Think About the Region
Certain regions have a particular type of clothing trend that is popular to that area. Straying from this trend can often make real estate agents stick out in a negative fashion, as if they are someone new who is just muscling into the real estate game in that location. For metropolitan areas, a more formal business attire would be expected when working with clients interested in hi-rise apartments or commercial spaces. In more rural towns where everyone basically knows just about every neighbor by their first name, a more casual attire would be expected.
Think About Your Clientele
Based on the types of real estate that you work with, you may have clients of a specific demographic, such as families, retirees, empty nesters, and young couples. Some demographics may be a bit more lenient when it comes to the attire you pick. Others, such as older clients, can expect a more formal business attire. For families, they may look toward semi-formal to business casual. Consider the clientele so you can make the best first impression possible while developing a loyal customer base.
Clothing to Avoid
While you should dress in such a way as how you want to portray yourself as a real estate agent, there are usually a few pieces of clothing that should strictly only be worn during personal hours. Some clothing not to wear as a real estate agent includes:
• see-through clothing
• ripped jeans
• workout clothes
• graphic t-shirts
• short shirts that show the midriff
• tube tops
• shorts
• tight-fitting clothing
• miniskirts
• hats
It can be left to debate on whether some of these items can be worn for real estate work, such as wearing a graphic t-shirt with the name of the real estate firm on it. While this may be acceptable in certain circumstances, always remember that you do not want to cause any friction with a client who may not want to see certain graphics. For example, you may want to show team spirit by wearing a t-shirt of your favorite sports team. But if the client roots for an opposing team, this can sometimes create bad vibes at the first meeting.
Dress to Impress
You cannot go wrong with dressing to impress your clients. If you are working at a firm, ask the managers and coworkers about the best attire to wear when meeting clients inside and outside the office. Then consider the location, regional dress trends, customer demographic and your personal branding as factors when choosing the appropriate attire. You are sure to come up with your go-to real estate clothes that will help you find the perfect clients and professionally close deals while you become the top real estate agent in the country. To read real estate success stories from some of the top real estate agents click here If you are inspired to become a real estate agent visit our website or give us a call!
Love,
Kartik subramaniam
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So you finished real estate classes, you’ve chosen a broker to work with, you’re sitting at your desk and thinking: Now what? to buy a home right now. Sure, they know that they want to and that Read more...
So you finished real estate classes, you’ve chosen a broker to work with, you’re sitting at your desk and thinking: Now what? to buy a home right now. Sure, they know that they want to and that special day may very well be on the horizon. But they could also be waiting for a job transfer to come through, or for more savings to hit their account. They could even be trying to improve their credit - a process that certainly isn't going to happen overnight.
For most of the students that go through our real estate school, the potential for unlimited income played a large role in the decision to get licensed. Truly, there is no limit to how much you can earn thanks to the commission-based structure that the real estate industry provides. This, coupled with the fact that real estate agents can set their own schedules and the added satisfaction that comes with helping people achieve their dreams of homeownership, creates something of a perfect storm in the best possible way.
But at the same time, the chasm between becoming a Realtor and becoming a successful Realtor is a deep one, indeed. Rising to the status of the latter is something that takes an incredible amount of hard work and perseverance - often more than people are expecting when they begin their first day on the job in real estate.
In fact, the first 30 days as a real estate agent are critical for setting the tone for everything that transpires afterwards. Because of that, making sure that your career launches properly is mission critical to your long-term success in our business.
TL/DR - What you should expect in your first 30 days:
1. Join the Association of Realtors
2. Get MLS access
3. Get your eKey
4. Tell your friends and family that you’re in the business
5. Update all your social media
6. Preview at least 5 properties a day for at least the first 30 days
Getting the logistical stuff squared away
Standing up the logistical tools needed to get your real estate career started might seem obvious but they are worth mentioning. Simple items like ordering your business cards, getting your Board dues paid, making sure you have MLS access and Zipforms should be done in the first week at most.
Some companies may hold your hand through this process of onboarding but many real estate companies have so many new hires that these items could slip through the cracks. Take things into your own hands if needed and get them done quickly.
You also will want to write a professional bio, get your headshot done, as well as update all your social media profiles. Registering and creating profiles on sites like Zillow, Yelp, LinkedIn and Facebook won’t take long but they need to be done. If someone should Google your name, you want the first thing to come up to be a professional bio (complete with that previously mentioned headshot) to instantly give off the impression that you mean business and have social proof that you’re in the game.
I’d also recommend gathering the names, addresses, emails and other bits of contact information of everyone you know - this will act as the new sphere of influence that you will slowly build from over time.
Once that database is complete, you'll want to create a short letter or email to send out to every last name on it. The goal is simple: you want to let as many people know that you're now in the real estate profession and it isn’t just a hobby. Unless you hit this list, you’ll never know whether they're looking for a house right now or whether they're considering selling at some point in the future. The worst feeling is seeing one of your friends post on social media that they are selling or buying and would have done the deal with you had they known you were an agent.
This is also the period when you'll want to make an effort to truly understand your market. There are a lot of real estate agents who know how to help someone buy or sell a home. The key to your competitive advantage will be your ability to do so better than anyone else and become the local real estate expert in your community - which is why you need to do research, and lots of it.
Venture out into the area and show yourself around a few homes on the market. Test out that eKey, get comfortable with the process. Drive by homes that are for sale in your MLS. Not only will this help you get more familiar with the area you'll be operating in, but it'll also help you get more comfortable with the very process itself.
Speaking of the MLS, use the first 30 days as an opportunity to run real estate market reports to make sure you're aware of all current market conditions. At any given moment you should know how fast homes are selling, the average prices they're going for, the list-to-sales price ratios and more. You could also consider offering free home valuation reports to all of your friends, to both get comfortable with the process and to show as many people as possible how serious you are about your new career.
Networking and Beyond
Your first month as a Realtor will also be one where networking with other agents is critically important. Plan on attending every open house that you can and preview plenty of properties listed by other agents. Ask to shadow a seasoned veteran for a day. It doesn't matter - connect with as many people as possible, because you never know who will be able to help.
You should also draft a business plan to set some straightforward goals (not to mention a budget) for your first 90 days and beyond. Make an effort to set realistic goals for each week over the next few months, both to make sure that you're always moving in the right direction and so that you avoid feeling too overwhelmed.
Finally, you need to understand that even beyond your first 30 days, you need to take advantage of every opportunity to learn and grow as a real estate professional. Take classes with your local Association of Realtors. Determine and understand what your unique selling proposition is and be able to communicate why someone should care about it. Attend any new agent orientations you can find. Review as many real estate contracts as you can get your hands on and write some of your own. I remember when I was just starting in the industry, I would draft purchase contracts on random houses at night just so that I could learn the contract.
If you're able to find time for all of the above, you'll have done more than just make excellent use of your first 30 days. You'll have created a rock-solid foundation that the rest of your career will be built upon.
For more resources to help in your first 30 days see blog
Good luck!
Love,
Kartik
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As a real estate agent, you will inevitably encounter clients needing more time to buy a home. These long-term buyers may be waiting for a job transfer, building their savings, or improving their credit. Read more...
As a real estate agent, you will inevitably encounter clients needing more time to buy a home. These long-term buyers may be waiting for a job transfer, building their savings, or improving their credit. Regardless, your role as their real estate advisor remains essential. Here are some tips to help you guide long-term buyers and ensure their future success in purchasing a home. Additionally, consider enhancing your skills and knowledge through a real estate school, online real estate classes, and real estate exam prep to serve your clients better.
Caution Against Large Purchases
Buyers must exercise financial prudence when buying a home, and realtors play a vital role in guiding them through this process. One essential piece of advice that realtors should offer long-term buyers is to postpone any significant purchases that could negatively impact their credit.
Encouraging clients to prioritize their home purchase over buying a new car or financing expensive furniture can make a considerable difference in their home-buying journey.
Large purchases can increase a buyer's debt-to-income ratio, lower their credit score, and affect their mortgage approval chances. Additionally, these financial decisions might signal to mortgage lenders a need for more financial discipline, raising concerns about the buyer's ability to handle mortgage payments.
Warren Buffet's concept of delayed gratification offers valuable insight into why buyers should delay these expensive purchases. Delayed gratification is the ability to resist the temptation of an immediate pleasure in the hope of obtaining a more valuable and long-lasting reward in the long term. By practicing delayed gratification, buyers can prioritize their long-term goal of homeownership over short-term desires for material possessions.
The ability to delay gratification is linked to many positive outcomes, including academic success, physical health, psychological health, and social competence. This skill is closely related to patience, impulse control, self-control, and willpower, all of which are crucial in home-buying.
By advising clients to embrace the concept of delayed gratification, realtors can help them focus on the long-term benefits of homeownership. As they resist the temptation of immediate rewards, buyers can work towards securing their dream home, ultimately reaping the rewards of their patience and financial discipline. By incorporating this perspective into the home-buying process, realtors can better guide their clients toward a successful and rewarding home purchase.
Promote Timely Bill Payments
Stress the importance of paying bills on time, as missed payments can harm their credit and delay home-buying. If they're at risk of missing a payment, suggest they contact their creditors to work out a solution.
TLDR - Pay bills on time or early.
Discourage Large Bank Transactions
Remind your clients to avoid large withdrawals or unsourced deposits to their bank accounts, as mortgage lenders scrutinize financial history thoroughly. Unusual transactions can lead to mortgage application denial.
When purchasing a home, buyers must be mindful of their financial transactions, as mortgage lenders pay close attention to their financial history. Large withdrawals or unsourced deposits can raise questions and potentially jeopardize the approval of a mortgage application. Understanding the impact of such transactions and why avoiding them is vital during the home-buying process is essential.
Mortgage lenders evaluate an applicant's financial stability and ability to repay the loan by analyzing their income, expenses, credit history, and existing debts. Unusual transactions, such as significant withdrawals or unsourced deposits, can raise red flags and suggest potential financial issues or undisclosed liabilities. Lenders may perceive these transactions as signs of financial mismanagement or an attempt to conceal relevant financial information, leading to doubts about the applicant's creditworthiness.
Moreover, mortgage underwriters must verify the source of funds used for the down payment, closing costs, and reserves. Unexplained or unsourced deposits can complicate this process, as they need clarity regarding the origin of the funds. This lack of transparency may lead lenders to question the legality or legitimacy of the funds, which can ultimately result in a mortgage application denial.
Maintaining transparency and consistency in financial transactions is crucial when applying for a mortgage. Buyers should avoid large withdrawals or unsourced deposits to their bank accounts during the home-buying process, as these unusual transactions can raise concerns for mortgage lenders and jeopardize the approval of their mortgage application. By keeping their financial activities clear and well-documented, buyers can increase their chances of securing a mortgage and successfully purchasing their dream home.
Warn Against New Credit Applications
Instruct your clients not to apply for new credit, including credit cards and financing large purchases. Also, ask about recurring payment plans, such as the iPhone Upgrade Program, which may perform "soft pull" credit checks that could negatively impact their credit score. New credit applications can impact your credit score for several reasons, and it's crucial for people in the process of buying a home to avoid applying for new credit during this time. Here's why:
Hard Inquiries: When you apply for new credit, lenders perform a "hard inquiry" on your credit report to assess your creditworthiness. Each hard inquiry can lower your credit score by a few points, and multiple inquiries within a short period can have a more significant impact. A lower credit score may result in less favorable loan terms or even denial of your mortgage application.
Debt-to-Income Ratio: Applying for new credit can increase your overall debt and raise your debt-to-income (DTI) ratio. Mortgage lenders consider your DTI ratio when determining your loan repayment ability. A high DTI ratio may lead to higher interest rates or disqualification from certain mortgage programs, making it more challenging to secure a mortgage for your desired home.
New Credit Accounts: Opening new credit accounts, such as credit cards or personal loans, can affect your credit score in several ways. Firstly, it reduces your average account age, which can lower your credit score. Secondly, it can impact your credit utilization ratio – the percentage of available credit you're using – another factor lenders consider when evaluating your mortgage application.
Financial Instability: Mortgage lenders prefer financially stable applicants with responsible credit behavior. Applying for new credit during the home-buying process can signal financial instability or the inability to manage existing debts, which may raise red flags for lenders.
To ensure a smoother home-buying process and increase the chances of securing a mortgage with favorable terms, it's essential to avoid applying for new credit during this time. Instead, focus on maintaining a healthy credit score, paying bills on time, and keeping your debt-to-income ratio low.
Maintain Regular Communication
As a real estate agent working with long-term buyers, maintaining regular communication throughout their home-buying journey is critical to your professional success. By keeping in touch with your clients, you demonstrate your commitment to their needs and ensure that you remain their go-to expert when they're finally ready to make a purchase.
Regular communication helps build trust and rapport with your clients, which is essential for fostering a strong, lasting professional relationship. By staying in touch and providing valuable information, you show your clients that you are genuinely invested in their long-term goals and ready to support them at every step. This proactive approach to client communication allows you to anticipate their needs and provide guidance on any potential challenges they might face during the home-buying process, ultimately making their experience smoother and more enjoyable.
Additionally, consistent communication keeps your clients informed about the latest market trends, new listings, and potential opportunities that align with their preferences and budget. By providing regular updates, you ensure that your clients remain well-informed and prepared to make educated decisions when the right opportunity presents itself. This level of attentiveness can set you apart from other agents, who may not prioritize long-term clients similarly.
In conclusion, maintaining regular communication with your long-term buyers is essential for securing your position as their trusted real estate advisor. By staying in touch and providing valuable guidance throughout their waiting period, you demonstrate your dedication to their success and ensure that you remain top of mind when they're ready to buy. In a competitive industry, this level of client care can make all the difference in securing future business and building a reputation for exceptional service.
Remember, not all clients will be ready to purchase a home immediately. By following these tips and investing in your education through a real estate school, online real estate classes, and learning how to get a real estate license, you can better serve long-term buyers and improve your chances of converting them into successful homeowners in the future.
Love,
Kartik
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As a new real estate agent, making the right first impression is critical . Details matter. That includes the way you look, your approach, and your personality. It also relates back to the type of Read more...
As a new real estate agent, making the right first impression is critical . Details matter. That includes the way you look, your approach, and your personality. It also relates back to the type of image you portray with your vehicle.
Why Your Vehicle Matters
First impressions matter to home buyers and sellers. They want to know that the person they are working with is successful, even if they are brand new. Having a car that is both functional and impressive enough is a key part of the process. Since most real estate agents will help buyers see a variety of homes often by driving them around, this can be an important decision to make. To be clear, packing everyone into the same car while COVID rages probably isn’t the wisest decision, however, COVID will be behind us and it will be back to business as usual.
Most agents aim to find some balance between their image and the relatability of the vehicle. That is, while you want to have a nice and comfortable vehicle, you do not want something that’s too flashy that could scare away some of your most likely buyers. How do you do that?
What Every Real Estate Agent’s Car Should Have
One of the first things to start with is the basics. There are some features that are critical that every vehicle has. These make a difference in the type of experience the buyer and seller may have. Some key starting points include the following:
Air Conditioning: Comfort matters. You want to be sure that anyone that is in your vehicle is comfortable. A nice feature to have is adjustable cooling for the backseat. That helps your buyers to be able to control their heating and cooling to find the right temperature of comfort. It helps keep them happy on a hot day.
Radio: It’s a good idea to have a reliable radio. You may not need surround sound and top-of-the-line speakers, though. It is a good idea to have some music playing in the background when you pick up your buyers. When it is silent in the car, people feel uncomfortable. A big part of what you are doing now is keeping everyone enjoying the experience. You may even want to create a playlist for your car that is upbeat, positive music.
4 Doors: There’s no situation in which your buyers want to try to climb out of the backseat of a car. More so, it should be a roomy enough backseat that they are able to sit comfortably even if they are a bit taller or need more room. Be sure to choose a four-door vehicle that’s designed to accommodate your needs outside of work, too.
Clean: Perhaps the most important part of your vehicle is how clean it is. People who are stepping into your vehicle expect it to be comfortable and sanitary. This is very important, especially in a pandemic world. If you are buying a car then, be sure to look for features that make it easy to keep clean. That may include leather or leather-like material. If you can choose a vehicle that has easy-to-remove or clean carpeting, that can help as well. Keep it litter free as well.
What Kind of Car Should I Drive?
New real estate agents are often overwhelmed by this decision. It does not
have to be a complex process, though. You want to provide a positive
experience for your buyers. They do not expect a top of the line vehicle, but
they want something reliable.
There is no benefit to you, especially as you are just starting, to have a too expensive car. If it has features that make a difference to you, such as a navigation system, that’s great. If not, you still have your smartphone you can use to help with getting around. What’s most important is not to overspend at the beginning of your career and to choose a car that fits into your budget as a new real estate agent . Over time, you can upgrade as you see fit.
Choose a car that is not going to break the bank. It’s okay to buy a car that fits your personal needs, too, especially since most agents will use their car for this as well. Take the time to find a car that fits your personality and your client’s most likely needs. Then, be sure to take care of it to keep it looking sharp.
Love,
Kartik
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Before I get deeper into this article, it is worth noting that I love California. I’ve lived in southern California nearly all my life so this article isn’t meant to sound cynical about the state Read more...
Before I get deeper into this article, it is worth noting that I love California. I’ve lived in southern California nearly all my life so this article isn’t meant to sound cynical about the state of affairs around here. I just thought this would be an interesting article to research amid rumors that COVID lockdowns, taxes and regulations are chasing Californians out of dodge.
Just in case you were concerned that the reported exodus of California residents to other states has been exaggerated, it seems to not only be true, but perhaps it is gaining momentum. That in itself is maybe a bit surprising, and some of the other facts surrounding the reports will also surprise you.
Just to clarify, according to the California Department of Finance, the population of the Golden State was still increasing, but ever so slowly, in the period between July 2019 and July 2020. The state showed a net growth of just 21,200 residents, translating to a percentage growth rate for the 12-month period of just one 1.5%. The growth rate has slowed over the past two decades, but this was a record-setter, something that had not been matched since 1900.
During the same period, Los Angeles County reported a net loss in population of more than 40,000, and Orange County is said to have lost nearly 25,000 residents. If you're wondering how to reconcile those numbers, you must dig deeper. The United States Census Bureau confirms that in 2019, 653,000 residents left the state for what they considered greener pastures in other parts of the country. Only 480,000 U.S. residents traded zip codes for one within California. That represents a net loss of 173,000 residents. And that was pre pandemic. But foreign-born new residents were still arriving.
The Facts Behind the Stats
California, with a population nearing 40 million, grew dramatically for most of the 20th Century. With enviable weather, great natural beauty and plenty of space left for new homes and businesses, it seemed to be the land of opportunity, with a booming job market, lively culture, and great cities, food and entertainment. In the second half of the century, the population almost tripled, but for the last 20 years the growth rate has been relatively flat, and it slowed dramatically in 2017. Reasons include a higher than average cost of living, rising home prices, taxes and overall costs, and a slow but steady change in demographics.
As in the rest of the country, California's population growing older, and its birth rate has also declined. But its average age is still young when compared to other states. Unlike the majority of states, however, California is heavily populated by immigrants and minority groups.
According to the Public Policy Institute of California (PPIC), the state has unique diversity. Its share of foreign-born residents in 2018 was larger than any other state, estimated at 10.6 million. It is also a state with no single race or ethnicity constituting a population majority. Latinos now account for 37% of the population, surpassing the white population in 2014. Other substantial population groups include Asian-American at 15%, African- American numbering 6%, multi-racial groups at 3%, and American Indians or Pacific Islanders under 1%.
Reasons for Relocating Out of California
In order to understand why California residents are leaving, you cannot discount standard explanations. People relocate for many personal reasons, including new job opportunities, wanting to be closer to family and friends, or simply wanting to taste a new lifestyle. But why aren't people moving into the state? That may also not be difficult to answer.
There is no doubt that traffic and weather play a part in the decision-making process. California has suffered more than its share of natural disasters in the past few years. Rising prices of goods and services, a scarcity of affordable housing -- particularly in major cities -- government regulation on business and rising taxes on individuals, and political considerations all have an effect.
Rural areas lose residents primarily because jobs disappear, while cities seem to lose people due to rising prices and a lack of safe and affordable housing. California's operating farms have been decreasing for generations by some estimates, and its major cities have become known not for their cosmopolitan atmosphere but for their problems that include escalating prices, a culture of drugs, crime and homelessness, and questionable governance.
The effect of COVID-19 also must be considered, and it is not insubstantial. The state has been viewed as a hotspot of infection, and has faced a lot of criticism for its handling of the crisis on local levels. It should be noted that some residents left and sold their home during the pandemic, but that the virus also prevented others from crossing the border into the state, which affects total population numbers.
Where Are People Going?
Favored destinations for California expats are Texas, Arizona and Idaho, for various reasons. Texas mounted a serious campaign to attract new business, especially from California, several years ago, and it has paid off. With no state income tax, a stable economy, a relatively favorable climate and a friendly vibe, new residents feel at home in Texas. Real estate agents are quick to point out the advantages of selling high and buying low, something that is entirely possible when moving to Texas from other places in the nation. That has helped sustain a building boom in Texas that began shortly after the crisis of 2008. Texas is a hot market for buyers from out of state. Austin and the Dallas-Fort Worth Metroplex are the prime areas.
Other California residents, especially those who can continue to work remotely for their employers, head for Phoenix or to Boise, Idaho, which each have some of the same lifestyle, tax and housing advantages, and favorable climates. California real estate spokesmen are quick to confirm the trend. Some of them have even joined the expats, working remotely from new homes out of state, while continuing to represent sellers and buyers in California.
What Does the Future Have in Store for the California Population?
Will the trend be reversed in the future? It's hard to say, but right now it seems as if California is on the downward slope in terms of population. It will, however, no doubt retain its status as the most highly-populated state for at least the foreseeable future.
Love,
Kartik
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As a real estate agent, one of your main jobs is to help people navigate through what will undoubtedly be one of the biggest financial transactions of their life: buying a new home. But keep in mind that Read more...
As a real estate agent, one of your main jobs is to help people navigate through what will undoubtedly be one of the biggest financial transactions of their life: buying a new home. But keep in mind that you need to approach this in more than just a literal sense. Yes, the "nuts and bolts" process of buying a home is as difficult as it is time consuming, so people are going to need someone they trust (read: you) to help make sure that everything proceeds exactly as it should.
But there are a lot of agents out there who can help people BUY a house. They're also going to need your assistance in terms of FINDING that perfect house to begin with. They don't just want any old house - they want "the one" that is everything they've been searching for and then some. Therefore, in an effort to help your clients choose that home of their dreams and walk away as satisfied with the process as they'd always hoped they would be, there are a few key things you'll want to keep in mind.
Provide Objective, Constructive Insight About the Home
By far, the most critical thing you can offer your clients as they search for a new home involves objective, constructive insight whenever possible. Even if a client walks through the door and is immediately enthusiastic about the property, you still need to make sure that they're thinking clearly.
Help Them Weigh the Pros and Cons of the Home
This means helping them weigh both the pros and the cons. Consider things like the status of the property and even the age and let them know what they might expect five or even ten years down the line. No home is perfect by any means and part of being a homeowner involves dealing with unexpected issues. Use your experience to offer guidance about THIS property in particular and make sure they understand the situation from all angles.
Determine the “Wants” and “Needs” of Their Dream Home
Likewise, go through a checklist of "wants" and "needs" with your clients and see how a particular property aligns with those goals. What are the elements that a client's "absolute perfect" home MUST have? How any of those boxes does this particular property check? What are the odds that they're going to be able to find a home that meets every last qualification on their list? These are the things you need to be thinking about to help someone make the most informed decision possible.
Assess How Your Client is Feeling About the Home
Of course, there are certain questions you need to ask of yourself during this period, too. Chief among them is simply "how is the client feeling right now?" Are they excited to the point where they can't stop thinking about the property? Are they already to the point where they're thinking about furniture placement and they can see themselves building a life in this house? If they are, the chances are high that you might have helped them find "the one." If they're not, you'll likely want to continue your search, at least for awhile.
Consider the Aspect of Time
Finally, you need to consider things from the perspective of time - something there just isn't as much of as people want. How much longer can the client keep looking? What are the current market conditions, and how fast is a property like this one likely to stay on the market? Is inventory high enough where it's even possible to keep looking for a new home indefinitely? Even if someone looks at a home and doesn't consider it to be "the one," can they work with a general contractor and eventually get it to that point one day? This may be what you need to recommend if this property is likely to move fast.
While it's possible to follow all of the best practices outlined above and STILL not locate "the one," doing so will still put you in an excellent position to offer as much value to your clients as possible and help them get over the house that got away. That's not just how you help someone buy the home of their dreams - it's also how you turn them into a loyal, lifelong client who will continue to return to you for years to come.
Love,
Kartik
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Without a doubt, real estate is primarily a sales-driven job. Regardless of how skilled a particular agent happens to be, getting objections from both buyers and sellers is a common part in the daily life Read more...
Without a doubt, real estate is primarily a sales-driven job. Regardless of how skilled a particular agent happens to be, getting objections from both buyers and sellers is a common part in the daily life of a Realtor . Sometimes they'll be completely legitimate concerns and it's part of your job to ease the client’s mind. On the other hand, on occasion there are instances where the client may be acting more out of emotion and not reason, and you'll need to figure out how to deal with those types of situations, too.
How to Handle Common Real Estate Objections
Still, HOW these objections are handled - and knowing what to say and how to say it - will no doubt lead to more sales moving forward. Therefore, if you want to get better at handling objections from both buyers and sellers, there are a few key things you'll want to keep in mind.
Take the Time to Understand Their Point of View
By far, the most important thing to keep in mind when fielding an objection from anyone is that you need to be proactive about trying to understand someone's position. Don't just think literally about what the objection is - try to go beyond the words and really get a sense of where this is actually coming from.
Buying or selling a home is a major transaction (not to mention a significant moment in someone's life), and that's naturally going to put people on edge. Likewise, some people are simply more risk adverse than others. By really trying to understand someone's position and by getting a better sense of their point of view, it can help focus on exactly what you need to say to move forward with the deal, and how to best present it moving forward.
Be Sure to Validate Their Opinions
Similarly, you'll also want to make sure that the prospect feels validated. Don't simply write off their concern as irrelevant because that's only going to put you farther away from your goal, not closer to it. Even if an objection is coming up simply because of someone's fear of change, that's okay - you can't help that someone feels the way they feel.
As an example I’m writing this six months into the Coronavirus pandemic and prior to a presidential election. Your buyer might want to wait until after the election to make a buying decision. This may or may not be a wise decision but I would dig deeper into their motivation for buying a home. Do they want to get wrapped up into a one year lease and pay a year worth of rent while they “wait it out”. Are they willing to risk interest rates increasing while they try and wrap their minds around the market? Are they willing to risk losing out on their dream home if one is available now?
The major reason why all of this is important is because your ability to handle objections to everyone's satisfaction also helps build trust, an invaluable part of the relationships you're currently navigating. Remember that trusting someone isn't as simple as turning on a light switch - it ultimately takes time and care to build.
Build Trust by Actively Listening
By showing buyers and sellers that you're really listening to them and that you're paying attention to what they have to say, you're naturally in a better position to use trust to overcome the objection. Because at that point, they'll be able to see that you care about their success and that you clearly have their best interest in mind. Most of the time, that's all someone is looking for in the first place and sometimes objections happen when that sense of trust just isn't there yet.
As Always, Remain Positive
Whenever objections come up, try to remind both buyers and sellers of the positive side of what is going on. With rare exception, those positives will far outweigh the negatives and if you can just get them to say focused on those qualities that really matter, the situation will undoubtedly resolve itself and you'll be able to move forward in no-time.
Love,
Kartik
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In a lot of ways, the real estate industry is unique in that there are so many moving parts at play. Every property is different, and the same can be said for every buyer and seller. But the one common Read more...
In a lot of ways, the real estate industry is unique in that there are so many moving parts at play. Every property is different, and the same can be said for every buyer and seller. But the one common thread that runs through it all is that there is often a passionate industry professional involved.
What kind of personality does best in real estate?
But of course, this begs the question - exactly what makes for a good real estate agent anyway? What personality traits are required to move from real estate agent to “successful" real estate agent as quickly as possible? The answers to those questions are largely straightforward - they simply require you to keep a few key things in mind.
1. Having a Problem Solver Mindset
By far, one of the most important personality traits to have as a real estate agent involves a true problem solver mindset.
Every transaction you're a part of will have several "moving parts," and sometimes things can go unpredictably. You'll be asked to come up with creative solutions to interesting problems and issues on a daily basis. Likewise, something as simple as showing a home can be a challenge as every property is truly unique in and of itself. None of this is a problem at all if you're the type of person who genuinely loves coming up with solutions to these and other types of issues.
What happens if you are on the listing side of a transaction and the buyer completes their home inspection and asks for a laundry list of repairs? How are you going to handle this and keep your deal together? How will you deal with a difficult client? What happens if you are in a divorce transaction and suddenly one spouse no longer wishes to sell the home after you’ve spent 30 days heavily marketing it? You can see that the ability to think on your feet and problem solve is paramount.
2. Being an Ambitious Self-Starter
Likewise, the importance of being a self-starter is hard to overstate. Even if you're working in a firm with a lot of other agents, you're still the "master of your own domain," so to speak. You'll largely set your own hours and you'll need to be a driven, self-motivated person if you're going to make it work.
3. Tenacity
This relates to another one of the most important personality traits to have as a real estate agent - the type of tenacity that will serve you well all throughout your career. In addition to a great work ethic, you need to understand that leads in real estate aren't just going to generate themselves. You'll have to market your clients' properties - sometimes in aggressive ways - in order to attract as much attention as possible from qualified individuals.
There ARE buyers out there for every property, just like there is a home out there for every home buyer. It's just that they aren't going to suddenly land in your lap - you're going to have to go out and find them and some days that will be easier than others.
4. Be Engaging and Having a Winning Attitude
Finally, a critical personality trait that all successful real estate agents share is that they have an engaging and winning personality. A big part of your success as a real estate agent involves marketing yourself every bit as successfully as you market those properties. Being personable, acting with integrity and having confidence as an agent are significant pieces of the puzzle.
In the end it's important to note that despite all of the above, it's absolutely true that any personality will do well in the real estate industry provided that you know exactly what to expect. It's certainly not a profession for people who cherish the ability to work a standard "nine to five" job. It also may not be the best fit for someone who likes a rigid, predictable structure in terms of their professional life.
While the above traits are certainly helpful, they are not a requirement to succeed as a real estate agent. Provided that you have a deep passion for what you do and relish the opportunity to help people in your area find the types of homes they've always dreamed of, you will absolutely be able to succeed and make a real career out of it.
Love,
Kartik
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While this topic might be a little more advanced, especially if you are just starting real estate school online, it’s an important topic, nonetheless. Generally speaking, the way the real estate industry Read more...
While this topic might be a little more advanced, especially if you are just starting real estate school online, it’s an important topic, nonetheless. Generally speaking, the way the real estate industry typically works goes a little something like this:
A real estate agent works for a broker (think any company like Century 21, Coldwell Banker, etc.) and together, they combine their resources to help sell a home. More often than not, the company keeps some percentage of the overall commission fees that are paid out after the transaction in question has closed. As a direct result of their hard work and dedication, the real estate agent gets to keep some percentage of that commission. This process repeats itself, again and again, as each home is sold.
Over time, the real estate agent will sell more and more homes. Sometimes the average value of the homes they are selling increases. Sometimes their frequency increases. Regardless - this person continues to build experience and generate business for the broker and, as a result, the amount of money they get to keep should increase, too.
However, this doesn't necessarily happen automatically.
Typically, there will come a time when a real estate agent actually has to go into the broker’s office and negotiate to keep a higher percentage of the commission - something that can be particularly scary if you haven't been in the real estate industry for very long. But thankfully, the process itself is quite straightforward - provided that you're able to keep a few key things in mind along the way.
Most companies are going to have a published schedule wherein the commission splits are very transparent but what if you want to move up quicker? What if you have a huge deal you are working on and want a special arrangement on that transaction?
3 Negotiation Steps to Getting a Higher Commission Split
1. Analyze your Progress
What may be the most important thing to understand about this process is that before you even think about walking into the boss' office and asking for what amounts to a salary increase, you need to do your due diligence.
Decide on a period of time and pour over the data about each transaction to essentially track the trajectory of your career. Use cold, hard numbers to show not only how you've improved in your position, but how the value that you've been able to bring to the broker has increased, too. Maybe you've been selling more homes than you were when you first started. Maybe the average transaction price has increased exponentially. Maybe it's both at the same time.
Regardless, at a large company your broker might not “just know this” and they might not take your word for it. You need to be able to clearly illustrate the value that you're currently bringing to the operation and why that value is worth a higher commission split. You're not going to be able to get to that point without preparation, so this process begins here.
2. Do your Research
Likewise, you need to make sure that you're well aware of what commission split plans are in place to see exactly what you qualify for to begin with. Not only is this a great way to enter into the conversation armed with as much information as possible, but it's also a way to proceed without seeming too demanding as well.
So instead of going into someone's office and saying "I want X," start a conversation about your current split and why you have earned more. See which ones you qualify for and ask if there is one that will promote your growth within the company faster than the one you're currently on.
3. Review your Goals
Finally, you always want to make sure you know where you're headed before asking for your next commission split increase. Essentially, you need to know what your goals are for your career in the next five years to determine what you should be asking for to begin with.
If you know what the next "level" is and what you need to do to achieve it, suddenly something that was once overwhelming doesn't seem so insurmountable anymore. You've broken the process down into a series of smaller and more manageable steps, which will absolutely help you stay motivated at the same time.
If you can find time to do this between managing your client expectations and meeting your broker’s, you can be sure that you’re on the right track to taking your career to the next level.
Love,
Kartik
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If you had to make a list of some of the most important traits that any successful real estate professional should have, confidence would undoubtedly be right at the top. In a lot of ways, being a real Read more...
If you had to make a list of some of the most important traits that any successful real estate professional should have, confidence would undoubtedly be right at the top. In a lot of ways, being a real estate agent involves selling yourself every bit as much as you sell those properties in your area. There are so many real estate professionals in your area - people don't just need to know that you can get the job done. In a matter of moments, you need to be able to convince someone that nobody does what you do quite like how you do it, and why that will be such an advantage to them in the weeks and months ahead.
Without confidence in yourself and your abilities, that won't just be difficult - it'll be impossible.
But at the same time, a lot of people often come into the real estate business as a second or even a third career - making it a scary prospect for a lot of them. After all, there is no base salary. There are no health benefits. Most agents are independent contractors and, as stated, the competition is fierce.
If you truly want to separate yourself from the pack, increasing your confidence is how you do it - and this is something you can accomplish in a wide range of ways, all of which are worth exploring.
3 Ways to Build Your Confidence as a new Real Estate Agent
1. Find a Real Estate Mentor to “Show You the Ropes”
By far, one of the best opportunities you have to build confidence in your abilities as a real estate agent involves finding a mentor who can "show you the ropes," so to speak. They'll do more than just help build your skills and knowledge – real estate mentors also teach you how to better yourself in a way that you'd be hard-pressed to replicate on your own.
If you work day in and day out with someone who is a proven success, you'll be able to see first-hand what works and what doesn't. You'll see everything that goes into each victory and how they deal with each failure. It's a process that takes years but it's also one that is more than worth it.
2. Be Patient – Give Yourself Time to Learn and Gain Experience
Another one of the best ways to be more confident as a real estate professional involves giving yourself permission to be patient with your abilities. You're not going to come right out of the gate and be an overwhelming success in your field. You're probably not going to sell your first house immediately after you stage it. You will make mistakes and some days will be more difficult than others.
All of this is more than okay, because each part of it is a big factor in determining your career trajectory.
There's an old saying that tells us it takes a long time to become an "overnight success" - whoever coined that phrase was talking about real estate whether they realized it or not. In other words, try not to be too hard on yourself and just be patient. Slowly but surely, your confidence will build as a result.
3. Master Your Craft by Continuously Learning
Finally, you need to understand that continuing education and a willingness to keep learning and keep improving is one of the core components of a confident real estate professional. Anyone who tells you they've "done enough" to develop their career or they've "learned all they can" about the industry or their local real estate markets is someone who lost a game they never truly understood in the first place. Any confidence they have is unearned at best.
You should always look for new opportunities to improve your abilities. You should always capitalize on a chance to hone your skills, or develop a new trait. Your willingness to grow and learn will always impact your ability to do both. Once you acknowledge that, you'll see each incremental growth step - regardless of how small - as a victory in and of itself. Truly, the confidence that comes with that alone is more than worth the effort for most people and it certainly will be for you, too.
Love,
Kartik
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