One of the best ways to make money as a real estate agent is utilizing your circle of influence. Selling homes to your friends and family is a great way to get started, especially if your friends and family refer people to you as well. However, some agents worry that they cannot be successful if they are new to a town or will be moving to a new town, because they have no friends or family in that town. Although it helps to have friends and family, you can succeed at real estate whether you have lived in a town for 30 years or you are brand new. If you only sold houses to your friends and family, you not would last very long in the business, unless you have a huge family!
What is the key to being a successful real estate agent?
Being a successful real estate agent is about finding clients that are likely to buy houses, doing a great job with those clients and then reminding those clients how awesome you are. There is a lot you must do to become a successful real estate agent, but you don’t have to have friends and family nearby to be successful. Some of the best ways to get clients are listed below.
- Open houses
- Advertising listings
- Building channel accounts
- Choosing the right broker
All of these activities can be done by an agent who is brand new to a town.
How will the right broker help a real estate agent in a new town get business?
Choosing the right broker is possibly the most important task an agent will do. Too many agents choose brokers based on the commission split, instead of the training and support offered. Many brokers will not only offer great training but also leads from floor calls or other sources. Choosing the right broker is the difference between success and failure for many agents.
How do open houses help agents succeed in a new town?
Open houses are a great way to get new clients. Many buyers who are in the market for a house and are not represented by a real estate agent, will go to open houses. With the right techniques a good agent should be able to get the contact information for most people who go through an open house. You don’t have to have listings to hold open houses either. You should be able to find agents who will let you hold their listings open, because it is free marketing for them. This is another reason to choose the right broker and office, because you have a better chance of agents in your office letting you hold open houses.
Agents can also use Craigslist or other media sources to advertise listings. HUD homes can be advertised by any agent and again you can get permission from other agents to advertise their listings. Remeber you will also get clients from your existing clients if you prove to be trustworthy and resourceful, you could for example, suggest the cheapest furniture mover in town for their needs.
How can building channel accounts help agents be more successful?
Channel accounts are large clients that send listings to agents over and over. Builders, relocation companies and REO companies are all examples of channel accounts. It can be tough to build a relationship with a builder if you are brand new to town, but definitely possible. Many REO companies and relocation companies do not care how long you have been in town, but how experienced you are as an agent. I know a couple of REO agents who set up shop in different areas of the country and lost very little business, because of their relationships with REO companies.
Networking is the key to most real estate agents success
Meeting people and building relationships is the best way to build a business as a real estate agent. It is easier to build relationships in a town you are familiar with, but you can also do it in a new town. Some of the best ways to get clients is to make friends with professionals who also rely on relationships to build their business. Doctors, lawyers, accountants, dentists and many other professionals know a lot of people and talk to those people about their lives. If you can make friends with them or better yet sell a house to them, they will tell people they know about you (as long as you do a good job!).
If you are not willing to meet new people, tell them you are a real estate agent and build new relationships you will not be successful in any town.
What it all comes down to is doing a great job for the clients you have. If you go above and beyond they will tell others about you and will get more and more and more business. You can’t forget to remind your past clients that you exist and are still an awesome real estate agent. Not only do you need to attract new clients, but market to your existing clients as well.
For more information on what it takes to be an agent, how to make money as an agent and how to be one of the most successful agents, check out my book How to Make it Big in Real Estate, from a Millionaire Agent.