People will always need places to live. As such the real estate market has been around in some form or another for a long time, and is likely to be around for much longer. Because most people will buy or sell at least one home in their lifetime, potential real estate leads are EVERYWHERE, just waiting to be snatched up by an agent.That’s a good thing to know if you’re interested in becoming a real estate agent. If you think real estate is a money tree and converting real estate leads in clients is a piece of cake, don’t even BOTHER getting your license. The first thing to realize when thinking about a job in real estate is that it takes a LOT of hard work to be successful at converting real estate leads to clients. Of course that is counter balanced by the fact that there is almost unlimited earning potential in the field if you’ve got real estate leads and you know how to work them.The first step to becoming a real estate agent is doing your homework. Research the field, talk to other agents, get an idea of what you’ll be getting yourself into, because the classes you take to get licensed are simply to get LICENSED. They rarely tell you how to actually BE an agent.Once you’ve made the decision to go for it, start NOW. It can take 2-3 months to finish classes and get your license, but don’t wait until you’re licensed to start building your real estate leads database. Sit down and think about every person you know by face or name, get as much contact information as possible on them, and enter them into a database. There. You’ve just collected a bunch of real estate leads already!As you’re working your way to getting your license, there are a few other things you can do to prepare, so that you can start earning money with your real estate leads as soon as possible after getting licensed. If you’re going to be following up with all those real estate leads you compiled, you’ll need a cell phone and a car. Look into cell phone plans with unlimited minutes, because you’ll use them. Look for a reliable 4 door car that does great on gas mileage, because you’ll definitely be needing that as well. Don’t worry about getting a Beamer your first year – there will be plenty of time for extravagant spending once you’re a success. For now, you just want to be able to contact and visit your real estate leads for as little money as possible.It is also important to think about what kind of real estate company to go with even before you’re licensed. It’s best to find a comfortable mix of a company that will cover some of your expenses for a portion of your commissions, but doesn’t limit you on your marketing abilities. Some companies will provide you with tons of support and your own real estate leads. Others won’t. It’s up to you to find a good mix that helps you out but doesn’t constrict you too much. When you go into real estate, you’re starting your own business. Always think of it that way.Remember that list of real estate leads you compiled of everyone you know? While taking your real estate classes, it’s time to let those real estate leads know what you’re up to. Start giving them a head’s up that soon you’ll be a licensed real estate agent and though you can’t sell real estate at this MOMENT, you will be able to do by whatever date you get your license. It’s never to early to start building that sphere of influence and filling it with real estate leads.One of the best things you can do, if it is a possibility, is talk to a successful real estate agent. The only way to truly learn to be a great agent is to learn from the best! Build a rapport with a real estate agent and than offer to do their dirty work. That’s right – even if just for a day or two, ask them if you can help follow up with their real estate leads, just to get an idea of what the business is all about. Not many people would turn down free labor, and it gives you an idea of exactly what you SHOULD be doing to be successful with your real estate leads once you’re licensed.
There are few better ways to make money from real estate than establishing a wholesale real estate business. Wholesaling requires no money down, no credit, and no licensing. A real estate wholesaler’s success is predicated almost entirely upon hard work, good judgment, and a reliable network of buyers. But where to begin?
You Need BuyersUnlike traditional real estate investing, where an individual or a business takes physical ownership of a property, improves it, then sells it for a profit (a practice more commonly referred to as “flipping”), a wholesaler merely enters into a contract to purchase a property that for any number of reasons (foreclosure, in need or repair, motivated seller) is selling below what it is worth.The wholesaler then finds a buyer who is willing to take over the contract (and pay for the privilege). The real estate wholesaler is paid a small percentage of the spread between the asking price and true value of the property. Thus, the wholesaler makes some cash while the buyer is still able to secure a very good deal on the transaction. The key to real estate wholesaling success is being able to quickly locate and secure those buyers.How Do You Get Your Buyers?There are several ways to build your buyer list. Networking with local and national real estate investing organizations is a very good place to start. By joining these organizations, you not only have access to potential buyers, but also can draw upon the expertise of those who have been in the business much longer than you. There’s no sense in trying to reinvent the wheel. Wholesalers should also network with local contractors, real estate developers, and property management companies, all of whom would likely be interested in taking advantage of a good deal.Another valuable resource is classified advertisements, both print and online. Real estate investors peruse their local newspapers for certain keywords in the ads, such as “motivated seller,” “great deal,” and “fixer-upper.”If you want to avoid even the small costs associated with placing newspaper classifieds, real estate investors commonly turn to free electronic classified services, such as craigslist.com and backpage.com. These services will also open up your property to a nationwide network of potential buyers. Effective text for an ad could read, “Selling Houses at HUGE discounts – Investors Needed for Amazing Opportunities.” It would be lunacy to neglect such a powerful advertising tool.If you have a real estate website, you can gather potential buyers via an opt-in newsletter. A newsletter can help you build a relationship with and eventually sell to a group of targeted real estate buyers. You can also try email marketing and PPC campaigns.This is by no means an exhaustive list of the ways one can build a client buyer list – the only limitation is in the imagination of the entrepreneur. And when building your buyer list, be sure to secure the name, email address, fax number, and address of potential investors. Build an email contact list you can use to quickly spread the word once you have a property to sell.Even in difficult real estate markets, there are fantastic opportunities to make money for those willing to put in the hard work. If wholesale real estate investing seems like your cup of tea, then it all begins with building a reliable buyers list.