For some people, being a real estate agent is a dream job. You can set your own hours, work as much or as little as you want, and make money helping people buy and sell homes. An even better scenario would be owning your own real estate company.
Not only will you benefit from your own sales, but you’ll also see a commission from the sales of the realtors working under you. However, before you jump in with both feet, you need to make sure you put a plan in place to ensure your success.
Starting a real estate company isn’t easy. It requires research, planning, and dedication. We want to help you get started on the right path. Keep reading for our simple guide on how to start your own real estate business.
1. Research the Real Estate Market in Your Area
First, do some market research to make sure there’s plenty of demand for your future services in your community. You don’t want to jump into an over-saturated market and immediately become irrelevant in your area. Research the industry to find more information about:
- Demand for realtors
- Local competitors
- Startup costs
- Necessary licenses, insurance, and certifications
- Costs of day to day operations
- Marketing strategies
- And more
Educate yourself as much as possible about the local real estate industry to make sure you know what you’re getting into.
2. Get a Real Estate Agent or Broker’s License
Before you get too far ahead of yourself, you need to acquire the proper real estate licensing before starting a real estate business. If you’re working under a real estate brokerage, you’ll just need a real estate agent license. However, if you plan to have other realtors under you, you’ll need a broker’s license.
3. Design a Business Plan
The next step in starting a real estate company is creating a business plan. Using your market research, create a blueprint for your future business. Banks and other lenders will require a business plan to determine whether or not they want to loan you money.
Your business plan should describe your company, your services, your rates, and your market analysis. They need to see that you’ve done you’re homework. Be thorough about documenting the local market, competitors, and marketing strategies.
4. Apply for Startup Funding
Once you’ve finished your business plan, you can apply for a business loan. If your bank turns you down, you have other options. You can start small and bootstrap your business, building up finances by working under a real estate broker.
You can also apply for startup funds through private investors, angel investor groups, crowdfunding agencies, and more. Lastly, consider turning to your friends and family if you need a little help pulling together startup funds.
5. Market Your Services
Developing a solid marketing plan is one of the most important aspects of starting a real estate company and making it successful. You need to learn how to get the word out in your community about your services. Experiment with different digital marketing strategies, such as:
- Website SEO
- Social media marketing
- Content marketing
- PPC marketing
- Email marketing
- And more
You should also join multi-listing services to grant you and your clients access to these listings and more like them. Being a good real estate company means providing your clients with the most options.
Are You Planning on Starting a Real Estate Company?
If you’re thinking about starting a real estate company, we’re really excited for you. The real estate industry has the potential to make you wildly successful. Just make sure you follow the advice listed above to get started on the right foot.
And if you’re looking for more business or marketing advice, be sure to check out some of our other articles before you go. Our website is full of valuable information for entrepreneurs pursuing success in all industries.