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The real estate sector is a lucrative one. Great profits and success stories attract a lot of people to try their luck and make a mark in this sector. However, there is a lot of hard work and patience that is also required to grow and sustain in this field. With bigger profits also come equally bigger losses. It is understandably not an easy business to master. You need to have not only the skill but also the determination to make it big in this business.
I have been in this sector for over 18+ years and have gained an insight into the field. Here are my 6 tips amongst many for growing and scaling a real estate consulting business either from the start-up level or an existing one would be as follows:
1. You are What You Represent
Ensure that the properties that you represent are of good quality, value and legally verified. This is a tough one to follow, especially if you are starting out. But this is the also the biggest aspect of the business that you need to understand if you are going to survive and shine in this sector. The extra effort put on identifying and entering into representation contracts with such properties might directly translate into less effort in selling it. Consistency in doing this will ensure long-term credibility.
2. Be a Curator Not a Crusader.
Don’t be tempted by high commissions offered by assets in distress. Don’t try to be the salesperson who believes that he can sell a refrigerator to an Eskimo. Listen to your gut. If you want cold hard facts then do a thorough market assessment. Find out the true picture from customers and industry leaders before taking a conscious call. But remember point 1? You are what you represent. If at any point in time your customer starts to think that you have pulled a fast one over them, your credibility will take a huge hit. It does not take long for word to get around. Even if it works now, it will not work in the long run. So, curate, curate, curate!
3. Create a Bouquet if You Do Not Wish to Specialise in a Particular Segment.
Multiple properties, multiple locations, multiple price brackets, multiple formats will surely help in accelerating sales as one can reach out to a larger audience and also will help in increasing the conversion ratio. Once you identify what values your company represents and stands for … stick to it zealously. The customer should be able to identify your company, irrespective of the project, with a certain set of values. Be clear about this and expand your portfolio accordingly if they meet these criteria. It is always a safe bet to expand when you are starting out as you have a higher chance of finding more and varied customers.
4. Help the Customer Find You.
It’s a lot more effective and easier for one to help the customer find you than you trying to find him. A serious buyer is always on the lookout through various mediums and channels. So ensure that you are present and visible and he will eventually find you. Understand where your customer is, identify the markets and how they research or decide on the property consultant/property. Be there. Be where your customer is and engage them with your company.
5. In Every Adversity, There is an Equal or Greater Opportunity
Innovate yourself to take advantage of bad times. Be a Bull be a Bear change your skin when you have to. If it’s a bad market, it’s obviously much harder to sell. No one knows this more than the property owner, use this to your advantage, negotiate better terms on a success fee, in most cases, they will be happy to pay you extra if one can deliver and deliver fast. But in every adversity is a hidden opportunity. Find it and use it to your advantage. Be the optimist.
Set it! Bend it! Break it if you must! Set your rules/plans based on your past experiences, bend it based upon your current feedback and observations as situation demands, and break rules based on what’s not working. But don’t break the law. Keep working on your business model. Keep improving and improvising it. The model needs to benefit your business and your customers. It needs to be flexible enough to be able to adapt to market changes.
7. Patience Pays But Cash Burns.
If you have set yourself a goal, try and fast-track it, the longer you take to get there the more you will end up investing. So, if you have decided to be in this sector. Then go for it not tommorrow but today, infact now.