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How To Stay Afloat As A New Real Estate Agent

With Australia’s thriving market, the real estate industry is becoming hugely popular place to work. Statistics show that as of January 2016 224,000 people worked in real estate, a jump of nearly 5% from the year before. A recent article in the Guardian also reports there has also been a massive increase in people working in real estate as a second job.

But wanting to become a real estate agent and being capable of staying afloat are two different things. Many new real estate agents don’t make it past the first 100 days. You need to be prepared for hard work, long hours and put strategies in place to handle the financial ups and downs. We look at some ways you can maximise your success.

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How To Stay Afloat As A New Real Estate Agent

 

Start with rentals

Starting out in rentals is a quick way to get the cash flowing because transactions happen quickly, often within a week. Give your landlords excellent service and they’ll return year after year, and if they want to sell you’ll be top of mind. They may also know someone who’s looking to buy and refer you.

Create financial cushion 

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In real estate you have no fixed income, which is incredibly difficult for an agent starting out. So you need to protect yourself financially for those rainy days. In realtor terms, a rainy day = no listings, no buyers or sellers, no referrals and no successful leads. Not surprisingly this can send new real estate agents into a panic!

One way of easing the stress is to start an emergency fund to cushion you financially and psychologically when you’re having rainy days. Don’t live it up large when you do get a big commission either. Even experienced agents are careful about what they spend their money on, and keep track of expenditure.

Take on modest clients

Everyone wants that $1 million listing but realistically to stay afloat you need to take on bread and butter clients. You may earn less on a deal but small commissions add up allowing you to pay your expenses, and save for those rainy days.

Invest in ongoing marketing 

According to top agents keeping on top of lead generation marketing is imperative. This applies when the pickings are slim, and even when you have listings. Think of marketing like car maintenance. You service your car so the engine keeps running. Do nothing and it’s more likely to conk out in the long run.

You need to build and nurture your network with daily calls, email marketing and social media. Top agents also use online lead capture tools to grow their listings. By continually checking in with people you become front of mind. Even if they’re not planning on selling right now, they may in the future or know someone who is.

Don't get discouraged

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Expect a lot of trial and error when you’re first starting out in real estate. But it’s vital you don’t get discouraged by short term failure and focus on the big picture. Recognise each passing month and year will give you more and more knowledge. If you have the energy and desire to succeed you’ll get the results you want. Be confident in your abilities!

Find out more about Bricks + Agent, a new and easy to use platform that delivers qualified leads straight to your inbox! If you’re an ambitious real estate agent with big goals, you’ll enjoy our monthly newsletter bursting with industry updates, helpful tools and essential insights. Simply signup below and we’ll deliver a monthly dose of inspiration and insights.

 

Topics: Better Selling

Jon Stul

Written by Jon Stul

Having spent over 12 years in the real estate industry covering all facets from residential through to commercial, established and off plan properties and sub-divisions, he has an in depth knowledge of the industry. Stepping out of the industry four years ago and moving interstate to expand a frozen yoghurt chain that has gone from 1 to 4 stores in the time he has been involved. This was recently sold to Made Group. Real estate has always been in his blood and it was a natural fit to start Bricks + Agent given the amount of insight he has into the industry as a whole. Having seen how all different forms of traditional marketing was used to the direction that it is now heading today, we think we have come up with a truly unique proposition that fits into the current state of the property maintenance market.

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