Ae you looking for an additional source of income? Consider working as a real estate agent
Switching to remote working has in many cases saved time previously spent commuting.
How to make use of this additional time? It is worth finding an activity that will fill your free time in a more sensible way than watching YouTube videos for hours or scrolling through Instagram. Also, one that can serve as an additional source of income.
CHANGING YOUR PROFESSION (?)
If you can dedicate a few hours a day to improving your skills, you may find that a new industry is opening up for you. Of course we are referring to real estate. The Internet is full of different courses, guides and studies. We will not recommend specific materials but we will outline some characteristics of working in this industry. In case you are considering a greater involvement.
REQUIREMENTS AND CRITERIA
“Do you like working with people? Do you want to join a young and rapidly growing team of ambitious people? Are you looking for a job where you don’t get a fixed salary, but you know… SKY IS THE LIMIT, RIGHT?”
You might get the impression that a lot of real estate jobs fit into the above (obviously satirical) picture. In fact, to become a real estate agent you need to meet certain criteria. The most important of these is having the right knowledge. And, as is the case with all kinds of specialisations, this requires learning.
“So, you need to have time for this”.
Once you have gained sufficient knowledge of real estate, property valuation, negotiating, conducting the sales process and creating offers, then you can think about creating a new source of income.
WHAT IS A REAL ESTATE AGENT’S JOB?
Phone calls. Then, replying to emails and once again phone calls to confirm the meeting.
“Where? In the shopping centre? That’s fine…yes, yes…Costa is fine”.
Note that to win a client you need to put in a lot of effort to:
a) Convince them that your services are better than those of your competitors,
b) Gain their trust to entrust you with the negotiation of such an important transaction.
Once you have fulfilled these conditions, all that remains is the sales (or purchase) process. Which, by the way, can take quite a long time.
But, after all, you get a decent base salary, so there is nothing to worry about, right?
Yes, the base salary… commission is the only money you get. Money from a finalised, closed transaction. That’s why it’s worth shifting the way you think about your earnings and budgeting.
Let’s consider an example:
Number of flats sold: 2
Average flat value: PLN 270,000
Your commission: 2%
Your earnings ~ PLN 11,000
Not bad for two transactions. But you probably realise that the sales process can take a month, two or three. That’s why it’s good to be prepared for different scenarios. But one more fact remains to be established. Are you working on your own or are you working with an agency? An agency does some of the work for you, it also does the marketing. Let’s see what the support of a professional agency include:
- Providing sales leads
This makes the tasks easier for you, otherwise you would have to start from scratch… A base in Excel, cold calling and off you go!
- CRM; a system that improves the management of your client and flat base. It is a powerful tool to ensure that you do not lose valuable information.
- Comprehensive legal support (think of all the necessary forms, contracts, deadlines for sending and delivering the required documentation).
With legal support in your business, you do not have to look for a third party law firm and your client is comprehensively served.
- Office – this may seem like a trivial thing, but consider how much you gain if you have a workplace in an attractive location where you can hold successful sales meetings.
- Brand awareness in the market thanks to the agency’s reputation.
Remember that we are talking about your beginnings. That is, a situation where you do not have an established image, so clients will not be willing to trust you.
- An agency also has its own offers. If it turns out that your client is looking for a flat and there is a property in the agency’s offer that meets their expectations, then see how much time you save on looking for something else!
Quite a lot of support for a small share of your earnings, right?
SO HOW DO YOU START WORKING AS A REAL ESTATE AGENT?
- If all of the above does not discourage you, you have some free time and the will to fight, here is some good information.
- You don’t have to give up your current job
It will take you some time to acquire the knowledge needed for passing the exam to get your license. It would not necessarily be wise to leave your current job if you are not sure if real estate will allow you to pay all your bills.
Also, most of the meetings you could have with clients are in the afternoon or evening, so you can work full-time during the day and work as an agent after hours. It is a great way to see if this job suits you!
Building your own brand is a matter of time. Even if you close one or two deals, it does not mean you are an outstanding agent. You have to win people over. This is linked to the first point listed above.
So, do your job well and let the referrals work. If you find that you have too many clients and can’t handle the additional work, then you can decide whether it’s time to make it your only job.
- Time, responsibilities, limits, i.e. work/life balance
A real estate agent is a salesperson. And working in sales really is like a drug. When clients come to you, you want to be available to them at all times. After all, they mean potential earnings.
But it is a fast track to the loss of efficiency and burnout. Why? Because people are not made for constant work. If you have the opportunity to learn from the best in the industry (and not just in real estate), you will see that you have to pay dearly for the time of the best professionals. Their time costs money because the services they provide are of the highest standard. It can be the same with you. Besides, this approach will keep you balanced and happy in your work.
In any case, do not forget that working as an agent requires constant improvement of your skills and knowledge of current legislation. Unfortunately, you have to remember that if you fall out of the loop for a while, you have a lot of catching up to do.
That is why, if you are planning to work alone, it is worth having a good source of knowledge. But if you decide to work with an agency, you do not have to worry about this aspect, because we, at Home Brand, run training programmes, so our associates are always up to date with the necessary legal requirements and sales news.
SUMMARIES, CONCLUSIONS AND THOUGHTS
- This is not the kind of work portrayed in the media, where all it takes is one phone call and you have a closed deal.
- It entails tedious everyday work and responding to emails that may lead nowhere. But if you are consistent and find a niche for yourself, you can make good money.
- Also, with the support of a tried-and-tested, recognised agency, you can increase your chances in the real estate market.
- And in terms of niche and specialisation…
Maybe you would like to join the best and work with industry practitioners? Give us a call and we will provide you with more details, because you too can become an Agent.