Every time I talk to someone about my business and career, it always arises that “they’ve thought about engaging in property” or know anyone who has. With so many people considering getting into property, and getting into real estate – why aren’t there more lucrative Realtors on the globe? Well, there’s only so much business to bypass, so there can only just be so many REALTORS in the world. I feel, however, that the inherent nature of the business, and how different it is from traditional careers, helps it be difficult for the average person to successfully make the transition in to the Real Estate Business. As a brokerage, I see many new agents make their way into my office – for an interview, and sometimes to begin their careers. New REALTORS bring a great deal of great qualities to the table – plenty of energy and ambition – but they also make a large amount of common mistakes. Listed below are the 7 top mistakes rookie Real Estate Agents Make cape royale.

1) No Business Plan or Business Strategy

So many new agents put almost all their emphasis on which PROPERTY Brokerage they will join when their shiny new license will come in the mail. Why? Because most new Real Estate Agents have never been in business for themselves – they’ve only worked as employees. They, mistakenly, think that getting into the true Estate business is “obtaining a new job.” What they’re missing is that they’re about to go into business for themselves. If you have ever opened the doors to ANY business, you understand that one of the key ingredients is your business plan. Your business plan helps you define where you’re going, how you are getting there, and what it does take for you yourself to make your real estate business a success. . Here are the essentials of worthwhile business plan:

A) Goals – What would you like? Make them clear, concise, measurable, and achievable.

B) Services You Provide – you do not wish to be the “jack of most trades & master of none” – choose residential or commercial, buyers/sellers/renters, and what area(s) you wish to specialize in. New residential real estate agents tend to have the most success with buyers/renters and then move ahead to listing homes after they’ve completed several transactions.

C) Market – that are you marketing yourself to?

D) Budget – consider yourself “new agent, inc.” and write down EVERY expense that you have – gas, groceries, cell phone, etc… Then write down the new expenses you’re taking on – board dues, increased gas, increased cell usage, marketing (very important), etc…

E) Funding – how will you pay for your budget w/ no income for the first (at least) 60 days? With the goals you’ve set on your own, when will you break even?

F) Marketing Plan – how will you get the word out about your services? The simplest way to market yourself would be to your personal sphere of influence (people you know). Make sure you achieve this effectively and systematically.

2) Not Using the Best Possible Closing Team

They say the best businesspeople surround themselves with people that are smarter than themselves. It requires a fairly big team to close a transaction – Buyer’s Agent, Listing Agent, Lender, Insurance Agent, Title Officer, Inspector, Appraiser, and sometimes more! As a Real Estate Agent, you are in the position to refer your client to whoever you choose, and you should be certain that anyone you refer in will undoubtedly be an asset to the transaction, not somebody who provides you more headache. And the closing team you refer in, or “put your name to,” is there to make you shine! When they perform well, you can participate of the credit because you referred them into the transaction.

The deadliest duo on the market is the New AGENT & New Mortgage Broker. They gather and decide that, through their combined marketing efforts, they can take over the planet! They’re both focusing on the proper section of their business – marketing – but they’re doing one another no favors by choosing to provide each other business. In the event that you refer in a bad insurance agent, it might cause a minor hiccup in the transaction – you create a simple phone call and a new agent can bind the house in less than an hour. However, because it normally takes at least two weeks to close a loan, if you are using an inexperienced lender, the effect can be disastrous! You may find yourself ready of “begging for a contract extension,” or worse, being denied a contract extension.

An excellent closing team will typically know more than their role in the transaction. Due to this, you can turn in their mind with questions, and they’ll step in (quietly) if they visit a potential mistake – because they want to assist you to, and in exchange receive more of one’s business. Using good, experienced players for your closing team will allow you to infinitely in conducting business worth MORE business…and on top of that, it’s free!

3) Not Arming Themselves with the Necessary Tools

Getting started as a Real Estate Agent is expensive. In Texas, the license alone can be an investment which will cost between $700 and $900 (not taking into account the number of time you’ll invest.) However, you’ll come across even more expenses when you go to arm yourself with the necessary tools of the trade. And do not fool yourself – they are necessary – because your competition are definitely using every tool to help THEM.g