For those wondering how to get started in real estate, you should understand that a lot of hard work goes into starting a real estate business. Therefore, when you start pursuing this line of work, it’s imperative to know your expectations as you undergo the process.
As in any other industry, starting a business in real estate should consist of entrepreneurs logging many hours conducting research, and crafting an intricate business plan. With this in mind, there is a process by which many entrepreneurs wondering how to start a real estate business follow religiously in order to be successful.
Keep in mind that starting a real estate business takes dedication and that this process needs to be executed properly to garner the results that you want. This
Let’s get started.
1. Consider Your Goals
First and foremost, be sure to dedicate a solid amount of time to prioritizing and evaluating your future plans and business goals. Always determine whether or not the goals that you set for yourself are obtainable. An unreachable goal with unrealistic steps will cause more harm than good. Always think through your professional, personal, and financial goals.
These goals will ultimately influence how you build and start your real estate business.
Always begin by asking yourself where you want to be in 10 years. Then, work backward from that
You’ll want to have tunnel vision regarding a clear path toward success (your end goal).
2. Conduct Your Research
Any successful business plan is always preceded by
Be sure to identify a specific niche, marketing area, and your potential competitors. If you have little experience in the industry, many
Your research should also focus on what marketing area is best suited for your niche. Be sure to consider median home values and rental prices, research neighborhood amenities, and never be afraid to look beyond your current location. You may find a diamond in the rough!
Conducting online research, attending networking events, and even seeking out a mentor can all be helpful steps in the process of conducting your research. Be sure to do your due diligence.
You will also need to look into all local laws and regulations regarding real estate. These can vary by state, so be sure to review and understand them.
3. Obtain a Real Estate License
To start a real estate business, you will need to obtain a real estate license. Don’t worry, the process is relatively straightforward and can take as little as a few weeks.
It is important to note that the requirements for obtaining a license can vary per state, so make sure to review your state laws.
While the exact requirements can vary, the process generally includes requirements such as:
- Must be at least
18-19 years old - Legal U.S. resident
- Complete an education course
- Pass the real estate license exam
- Complete the licensing application
Once you have completed these requirements and your license is active, you are ready to go in starting your real estate business!
4. Organize Your Finances
If you’re wondering, “How much does it cost to start a real estate business?” or “How to start a real estate business with no money?” then don’t worry, you’re not alone!
Luckily, there are a multitude of methods to get involved in real estate with no money down. However, that isn’t meant to imply that you should avoid taking stock of your current standing financially.
When you approach a lender, they will want information regarding your financial history. It’s important to request a copy of your credit report and review any existing accounts or investments you may have prior to seeking a lender.
Depending on your strategy, there may be a wide variety of financing options that may be right for you. Traditional and nontraditional options are always available, just be sure to get your finances in order before receiving a government loan, crowdfunding, private loans, etc.
5. Develop Your Business Strategy
How to start a real estate business ultimately begins with developing your business strategy. Granted, there are some steps that precede it, but those steps are meant to help you craft the ideal business strategy.
Once you have conducted sufficient research, you should have already begun to formulate ideas in your mind regarding what exactly will help your real estate business succeed. Write out an organized and detailed business plan that also includes tools and resources that you plan to leverage.
6. Form an LLC
An LLC (Limited Liability Company) refers to a type of business structure that exists to aid businesses by protecting costs from interfering with an investor’s personal finances. The designation “LLC” essentially allows investors to purchase and own real estate without being personally liable.
Each state within the US features different fees and regulations associated with establishing an LLC, even though the overall process remains the same. After you form your LLC, you may be required to obtain a few other permits before you can actually open yourself up for business.
Be sure to confirm with your state what the requirements are, and then you’ll be ready to secure your first deal in real estate!
7. Create Your Marketing Plan
Successful marketing strategies go
Also, be sure to pay attention to current trends within the industry. Maybe one of those trends ties into exactly what your values and principles are. Be sure to express your distinct company culture and values. At the end of the day, people want to trust who they’re doing business with.
Choosing the right marketing outlets along with the right verbiage can foster trust for years to come.
8. Launch Campaigns
Once you have the specifics of your marketing strategy figured out, it’s time to implement it. Consider whether you are creating copy, visuals, direct messages, etc., and then base the marketing channels you’re going to use on what kind of content you have.
For instance, visual mediums are best posted on websites, and social media platforms like Facebook, or YouTube. Copy is best left on your website in the form of a blog, or redirected to your LinkedIn page. Copy can also take the form of a hyperlink in direct messages. Whatever the case may be, you’ll want to remain consistent across all of your marketing channels. Be sure to track your metrics and analytics and always follow up on your campaigns.
Let’s take a look at some good marketing strategies for a real estate business.
Content Creation
Many modern real estate businesses and realtors have been successful in creating content online. This means creating videos showcasing homes, describing their features, or
Some have even been going away from the serious attitude of making jokes throughout the tour and humorously showing homes. These videos often do well on platforms like TikTok or Instagram.
At the end of the day, it comes down to what fits your personality best and how you can connect with your potential buyers.
Social Media Content and Ads
As mentioned above, social media platforms like Facebook can be an excellent place for visual content. You can post the videos created like the above across all social media platforms, but you can also create other content.
For instance, detailed written listings about homes or
9. Build Your Website
Now that all the pieces are coming together, it’s time to make it official and create your website. Be sure to incorporate everything we’ve discussed in this process on your website.
Ecwid gives you free website templates you can use to launch you online retail business faster
From branding to aesthetic, content to pricing, your website will be the face of your business and should be created based on your vision, and what has garnered success in the past.
10. Develop Your Brand
Another major part of starting your real estate business, or any business for that matter, is to develop and build your brand. Branding is what will set you apart from everyone else and help you connect with your potential buyers. This means creating an impactful and memorable logo for people to connect with your business.
As you continue to do business and impress customers, your branding will help you to establish a reputation that will bring in additional business. Put a good amount of thought into your branding, as it can play a significant role in your
Ideally, you can create a Unique Selling Proposition (USP) that makes people want to come to you over others. We touched on this briefly in the section on marketing strategy. In the case of real estate, this may come down to you being the USP. You need to establish yourself as knowledgeable, personable, and easy to work with.
Moreover, you can use the content strategies above as well to connect with potential buyers and let your personality shine.
Additional Tips for Success
The above are the main steps to you getting your real estate business off the ground and running. However, we wanted to provide some additional tips that can help guide your success.
Networking and Partnerships
An excellent way to help establish your real estate business and generate interest is through networking and partnerships with other companies. For instance, partnering with a moving company or staging company can help you connect with people looking for a new home. Moreover, these companies will be more likely to recommend you to future homebuyers.
You can also attend real estate conventions to connect with other realtors and professionals within the industry. This can help you develop mutually beneficial relationships where they may recommend you when they are too busy and vice versa.
Develop a Niche
Another great way to set yourself apart is by establishing some sort of niche within real estate. Perhaps you end up dealing primarily in older homes that people have a particular interest in or in more
Sustainability and Green Real Estate
The increased interest in sustainability and green practices in the past decade is just as applicable in the real estate world. More people are becoming concerned about remaining
Green real estate or sustainable real estate means homes include factors like:
Energy-efficient heating and cooling systems- Water conservation systems
- Built with
eco-friendly materials - Green roofs
If you are interested in this topic and want to appeal to these types of buyers, additional certification is available. The National Association of Realtors (NAR) has a GREEN certification that can help you become more knowledgeable about these types of homes. This could open up another market of buyers for your business.
Are You Looking to Start a Real Estate Business?
Now that you have this process ingrained in your memory, it’s time to put it into action!
Be sure to consider each and every step as serious as the last as you begin your journey toward starting a real estate business.
If you need help with creating your website, marketing, or even tracking and measuring analytics, be sure to check out Ecwid today!
Ecwid has all you need when it comes to starting a new business!
