Real estate is a booming industry. Investors and real estate agents alike are seeing phenomenal growth within this market sector, and the attraction is only building as time continues on. Many investors and entrepreneurs were scared away from the real estate space after the market crash of 2008 was fomented through the extensive practice of sub-prime mortgage loaning.
The market has rebounded in the modern day, and many investors, business leaders, and entrepreneurs fall back on real estate to create long term wealth and value boost to their portfolios. If you’re thinking of getting into the business of real estate, the question isn’t when to jump in but how. The market is chock full of opportunities to dive in and begin generating profits for yourself. From the REIT (Real Estate Investment Trust) market that thrives within the stock trading world to rental income through the management of real property, real estate is in a class all on its own.
In addition to the flipping and rental income markets that many investors in this field are used to, there are now a number of unique ways to launch and grow your business footprint in the property market. HouseStay is a great example of business analytics-driven innovation in the property marketplace. Professionals, business travelers, and others requiring medium term living solutions as they go about their daily business love the flexibility that these types of real estate options offers. With 30-day rentals and turnkey property solutions, temporary residence has become less hotel-esque and more like a home away from home.
Beyond these innovative new ideas, growing a real estate business takes research, risk, and practice. Read on to discover your own path forward in this exciting and changing marketplace.
Start with what you know.
Investors and new business owners in the real estate broker space should always begin within familiar territory. Building a business takes time and practice. The best way to ensure long term success is to learn on the job, and take calculated, cautious risks along the way. Those with an accelerated graduate business degree often fare well within this sphere of entrepreneurial spirit as a result of their extensive small business and finance background. Others will want to pursue a real estate license or other specific qualifications within the real estate space in order to learn the ropes on their own.
Adding a real estate license in California to your resume is a great way to begin learning the ways of the marketplace in rapid succession. With a broker’s license, you can begin to branch out in the market as a realtor who helps others find and secure the home of their dreams. Investors often stay within their own lane in real estate, yet license-holding brokers are able to conduct business across the spectrum of this fast-paced marketplace. By learning the brokerage game through licensing procedures you will be exposed to the market’s metrics while taking in the best practices that drive high quality sales in this space. It’s simply the best education a real estate agent can engage with.
Learning is a core part of any business venture, and in the real estate market, this is all too true. The market moves fast, perhaps at a greater pace than in any other commodity space. This means that realtors and brokers must constantly update their knowledge base in order to stay one step ahead of the competition.
Forge relationships within the industry.
In addition to high quality research and background knowledge, property managers, sales staff, and investors need to create relationships with contractors and other entities within this space. Homes take a lot of work. From maintenance to replacement requirements, there are a huge number of jobs that a homeowner will have to undertake throughout their lifetime in a property position.
Partnering with a plumber, roofer, and painter with years of experience in their particular field of specialization—like Crash of Rhinos Painting—is the best way to ensure that your property needs are always taken care of in a timely and professional manner. Painting is a particularly important, yet often overlooked aspect of the property marketplace.
Estimates suggest that a fresh coat of paint can increase the resale value of a home by thousands of dollars if done with a professional touch and modern taste. Crash of Rhinos offers an amazing service at an unbeatable price point. Painting is an area in which home buyers or renters make snap judgments about the remainder of the home before they’ve seen it all. Adding a fresh coat of paint is a trick that real estate professionals have been leaning on for years to make their listings more attractive.
Similarly, plumbers, roofers, and general contractors are key silent partners in the success or failure of your venture in this business arena. With great partnerships here, you can lean on them to provide you or your tenants with affordable renovation and repair solutions that will keep costs low over the long term. Without these in place, property owners must rely on untested contractors and service providers who might not do the best job. The uncertainty of an unknown is something that investors and business owners in this sector try to mitigate as well as possible.
By forging long-lasting partnerships you can be certain of the level of service you’ll receive each and every time you call your provider for assistance.
A positive account is within your wheelhouse.
In the real estate market, success hinges most heavily on due diligence. The market sways just like any other commodity trading space, but homes sell at fairly consistent rates across a city or local marketplace. Because of the geographic restriction on these commodity assets, locked in stability is something that can be counted on to either help or hurt your business venture.
With excellent due diligence on each home, you target you can find properties that are selling below market value and those that will require little work to get ready for a resale or renter. Brokers in this area are well versed in this practice, and you will need to become a competent researcher as well. Without this backdrop, home investments become more like gambles as the weight of the market in your area continues to play a significant role in dictating the upper crust of where your commodity’s price can extend.
Getting into the real estate market as a business owner or hired salesperson is a lucrative opportunity. Make sure you take the right strides forward for the greatest measure of success in your real estate career.