Saturday, June 16, 2012

Tips to Start a Career in Commercial Real Estate

A career in Commercial Real Estate

When you are considering a career in commercial real estate, it is tempting to be influenced by the hype and grand scale of the industry.  A simple calculation of the deals that can be done gets many people excited with visions of commissions and big properties.

Whilst there is a lot of opportunity in the commercial real estate industry for top people, there is a learning curve and a knowledge base that needs understanding and respect.  Results happen for those that work hard and with the right focus.

Here are some tips for getting started and building the right tools around you.

  1. Market knowledge is a big part of the job.  When you know the deals that have happened and why they happened, you are of greater value to the people that need your help.  Prices, rents, marketing strategies, and competitive listings change frequently; get to know the variations of the local market and work them fully.
  2. Strategy is everything in the industry.  Show the people that you talk to, just how relevant you are to them in solving their issues and challenges with their property.  Show them the path of progress to get the results that they seek.
  3. Database tools and technologies will help you build your market share.  That being said, you really do need to be comfortable with using computers and entering data into your database.  Notice I said ‘you’?  The reality of a great database is that it is self-driven and used on a daily basis by top salespeople; you have to take ownership of your database and grow it on a daily basis.  Diligence brings success.
  4. Specialize in property types so you can really get to know the facts and activities of the market.  You cannot be something to everyone out in the market.  It is also really hard to specialize in everything.  Knowing rents, prices, incentives, lease strategies, and best methods of sale should be taken to a level of a property type that you can relate to and that which will give you a great future as an agent in the local area.
  5. Review your competitors so you know just who or what you are up against.  Your market may already have an abundance of good agents.  So the question will be ‘Why should someone use you to sell or lease their property?’   The answer has to be clear in your mind so you know how to market yourself.
  6. Current listings in the area should be reviewed for type, price, and time on market.  From these facts you will know just how good or bad the current property market is today.  
  7. Some agents will be better than others in the general area.  Get to know the top agents and review their marketing processes.  Are any of them standing out as ‘exceptional’ and if so why?
  8. Growth of area and the changes over recent years will be important to your career and market planning.  The location in which you operate as an agent should be offering opportunity over coming years and you should know where or what that opportunity is.  Service that opportunity with your skills and marketing efforts.

When you really know the market, you can plan your career and take the right steps.  Develop your market from your personal efforts.  Protect your client base and move ahead to greater opportunity.