Nobody wants to make mistakes. But, sometimes they are unavoidable during the start of your career. If you’ve dreamt about creating a successful real estate career for yourself then there are some things you shouldn’t do as a new agent.
That’s why we compiled a list of the biggest mistakes we see new real estate agents make at the start of their career. If you avoid making these mistakes, then you’re setting yourself up for success.
#1. Not Lead Generating
Lead generation is one of the backbones of a potentially successful real estate career. By not lead generating, you aren’t mining for new prospective clients.
What ends up happening for most people is they put off lead generation and very quickly they realize they have no work. Their sales funnel is empty and getting paid is far off fantasy.
Lead generation takes a lot of time to kickstart and see the effects and starting when you critically need work is the wrong time to do it. Always dig the well before you’re thirsty and start lead generating and prospecting as soon as possible (while you’re in real estate school, if possible.)
Having a proper and engaging website does wonders for your professionalism and allows you to explore the law of reciprocity.
You provide information to potential clients and they feel obligated to use your services, plus it would be proof that you know exactly what you are doing.
Putting out ads/marketing yourself, LinkedIn, seeking out partnerships, becoming a restaurant regular, are some ways to boost your visibility and generate leads.
In addition, your sphere of influence is a solid avenue for generating warmer leads. Word of mouth recommendations or mentions works like magic.
#2. Being a “Secret” Agent
Leave being a “secret” agent for the actual secret agents. You need to be an agent that is out there and all over the place.
This is a proven way to build familiarity with potential clients. With your name at the top of the list in their subconscious, you would be their first port of call for real estate transactions.
Building relationships is an important strategy in the real estate industry and the "it's not what you know, it's who you know" applies here.
Referrals are a good source of business and only people who are known to be great at their stuff would get referrals. Put yourself out there every time.
#3. Spending Your Money
The real estate industry just like many others is wrought with fluctuations, there would definitely be ups and downs.
There are times when you would be swamped with work and other times when it’s only going to be trickling in. This is where proper financial management comes in.
During the days of plenty, it is important to set a portion of your income aside whether in a savings account, retirement account, or investing into an index fund. This would guarantee that you’re still flush even when the market isn’t booming.
#4. Poor Client Communication
Communication is key, especially for the real estate industry. A smooth flow of information from agent to client makes them feel properly catered to.
When it comes to defining information flow, as a real estate agent, you would either have to do it on the client’s terms or agree to share updates at regular intervals. Lack of information is one of the major issues that clients mention that they have with agents.
To make it work, you could schedule communication time weekly, use their preferred communication channel, and let them know what you have done for them that week. Communication is everything.
#5. Not Using Your Brokerage Resources
Brokerages commonly offer resources like in-house software or even an information portal to stay up to date on real estate trends. A brokerage also houses experienced real estate agents that you can learn from hands-on.
You could watch how they handle their business, the principles they apply to business, as well as their approach to various situations. You can also avoid the mistakes that they made as newbies and possibly get a leg up easily.
#6. Just “Winging” it
Proper planning is key to success, and this is a universal principle. When you are getting into your real estate career, a lack of a clear plan prevents you from having a clear path to follow.
Becoming a real estate agent practically means you are starting your own business, so, you would need a written and detailed plan that you can always refer to. Lack of a plan sees you spending time and money on things that would not necessarily pay off.
#7. No Goals
Goal setting goes beyond randomly highlighting things you want to achieve. It includes setting milestones and effectively planning your career trajectory. Setting realistic goals that are practical and achievable is necessary to working towards some success.
For instance, you might not necessarily get the first sale right away, many real estate agents only get their first sale after about two months of business. This is why you should set goals that would work, and that you can work at as well.
#8. Never Learn Anything New
The real estate market is a constantly changing scene and there are new adjustments and updates constantly. This dynamism implies that if you don’t stay updated, you would likely remain in the past.
Constantly learning and staying up to date on relevant recent information is vital to success in the real estate industry. Learn about the latest technology, new niches, as well as new needs in the market.
Remember, information is key to success and knowledge is power! The more you learn, the more you would earn as a lifelong student of real estate.
#9. Thinking You Have to “Pay Your Dues”
“You have to pay your dues first” might sound like a familiar statement. Now, this could work if you were talking literal dues you pay to maybe the local real estate board.
However, if it is the figurative one that implies ‘staying down, until you come up’, or doing unnecessary hard stuff, then that’s a no-no. Don’t settle for less.
You can always experience success irrespective of whether you are just starting out and as a result, you really shouldn’t agree to receive a lower than usual commission when signing at a brokerage or even joining a team if you want to go at it alone. Stick with your plans and reevaluate as time goes on.
#10. Not Having a “Why”
The “why” is what keeps you going. The reason you became a real estate agent is what would keep pushing you even when times get rough or the market takes a hit.
If your “why” is strong enough, pretty much nothing can derail you from the path you have chosen to take. Figure it out and nothing can stop you.
Final Thoughts on Avoiding Mistakes
Avoiding these brutal mistakes can go a long way in smoothing out your real estate career path. Similarly, beyond avoiding the mistakes, taking practical steps to implement necessary practices can elevate you rapidly. Remember; nothing can stop you if you don’t want to be stopped.
