The real estate industry is one that can be quite tricky at times. The market can fluctuate sometimes, being really good some years, and not so well the next year. However, every type of business includes some level of risk, so if you know what you’re getting into you can become successful in the real estate industry, no matter how the market looks.
Decide Which Path You Want to Take in Real Estate
There are several paths that you can take in the real estate field. When you choose a niche, play to your strengths so that the skills that are required by the job will come naturally to you.
Real Estate Agent/Realtor
A real estate agent is a licensed individual who is qualified to help people buy and sell homes and other types of properties, and a realtor is a real estate agent that is a member of NAR (the National Association of Realtors). These types of professionals can be buyer’s agents (real estate agents who help people with the buying process), listing agents (real estate agents who help people sell their property), and rental agents (real estate agents who help investors look for rental properties and who help tenants find a place to rent).
If you like helping and interacting with people and you consider yourself to be a good salesperson, then you may be a good fit as a real estate agent.
Real Estate Investor
Many people have seen success when investing in real estate, and there are several routes you can take. If you’re just starting out and don’t want to take too big of a risk, you should invest in REITs (real estate investment trusts), which allow you to invest in real estate with less risk and still gain from it. You can also invest in properties, such as commercial (office buildings) or residential (homes) rental properties. This way, you’ll be able to rent a space to a tenant, allowing you to earn a monthly income.
If you want your money to make money for you so that you can earn passive income, consider investing in real estate properties. The more diversified your investment portfolio is (meaning that you’re investing in different types of real estate) the more successful you’ll be.
When you’re the landlord of a rental property, you are also the property manager. Many rental property investors find that it may be too hard to manage one or more properties, especially if it’s in a different city or state, so they’ll hire a property manager to manage the property for them. If you have excellent management and organizational skills, then you may be well-suited to become a property manager.
Build Your Business
In order to ensure that you have a profitable business, you must treat it as such. This means that you must create a business plan if you’re going into business for yourself. You should also create an LLC (limited liability company) and know the proper ways to market your business for success.
Social Media Marketing
One of the best ways to promote your business is to have a strong online presence, meaning that you should have a business website and be active on social media. For example, Instagram is a great tool for realtors because it’s a visual platform. The real estate industry is all about looking at properties to determine whether or not they’re worth buying, so this is a great social media platform to start with when branding yourself online. Instagram also offers tons of business tools to help you market your business.
If you’ve been pondering the idea of going into real estate, but are too afraid to take the first step, remember that there’s more than one path that you can take. No matter which path you decide on, it’s still important to do your research in order to know which decisions to make that will bring you the most success.