Become A Real Estate Agent - Business Ideas
Please note that the data provided in this article are estimates and may vary depending on various factors, and should not be considered as perfect or definitive.
Real estate agents are professionals who assist clients in marketing and selling their properties. They also assist the buyers in purchasing properties. Their services include meeting clients, advising them about market conditions, and providing guidance through the process of buying or selling properties.
A real estate career can be financially rewarding. However, the work requires good management skills, organization skills, customer service, handling complex paperwork and socially promoting yourself.
The pros of becoming a real estate agent include earning extra commission from clients and also setting your own working hours.
Becoming a real estate agent requires a great deal of effort, dedication, and most importantly passion.
If you're interested in how to sell real estate agent, or selling real estate agent online, you can use this page as a guide for everything you'll need to know.
Key Stats
Startup Costs
| Min Startup Costs | Max Startup Costs | |
|---|---|---|
|
Office Space Expenses |
$0 |
$7,000 |
|
Employee & Freelancer Expenses |
$151 |
$352 |
|
Website Costs |
$223 |
$7,215 |
|
Business Formation Fees |
$5,600 |
$20,400 |
|
Equipment & Supply Expenses |
$66 |
$700 |
|
Software Expenses |
$162 |
$3,094 |
|
Advertising & Marketing Costs |
$0 |
$2,550 |
|
Training & Education Expenses |
$0 |
$1,000 |
|
Total Startup Costs |
$6,202 |
$42,311 |
Case Studies
•
$350K/mo
•
$1.5M/mo
•
$5K/mo
Successful Businesses
| Business | URL | Rank | |
|---|---|---|---|
|
|
Domain |
domain.com.au |
3,137 |
|
|
Athena Brownson |
athenabrownsonrealtor.com/ |
7,460 |
|
|
ColdwellBankerHomes |
coldwellbankerhomes.com |
7,793 |
|
|
corcoran |
corcoran.com |
43,603 |
|
|
Luxury Estate |
luxuryestate.com |
49,765 |
|
|
Rocket Homes |
rockethomes.com |
60,263 |
|
|
Christie's Real Estate |
christiesrealestate.com |
64,435 |
|
|
ratemyagent.com.au |
ratemyagent.com.au |
65,156 |
|
|
Miami Condo Investments |
miamicondoinvestments.com |
65,661 |
|
|
Ray White, Australasia's largest real estate group |
raywhite.com |
70,957 |
|
|
bproperty |
bproperty.com |
76,378 |
Pros & Cons
| Pros | Description |
|---|---|
|
Flexibility |
You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own. |
|
Rewarding work |
Starting a real estate agent can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about. |
|
Meaningful business connections |
You never know who you will meet as a real estate agent. This could be the start of an incredible business opportunity! |
|
High customer retention rates |
Once a customer invests in your product, they've invested their time and energy to utilize your product/service which is highly valuable to them. Typically, your product or service becomes indispensable to your customer. |
|
Pick & choose the clients you work with |
Real Estate Agentes have the ability to choose the clients they work with. You have the freedom to work with only a few loyal clients or with hundreds of clients! |
|
Control of workload |
With becoming a real estate agent, you have the unique ability to choose how little or how much you want to work. You also have the freedom to decide which projects you want to work on, and can turn down the ones that do not interest you. |
| Cons | Description |
|---|---|
|
Motivation of employees |
If you plan to have a sales/content team on board, finding creative ways to motivate them can be a challenge. It's important that you're able to offer great incentives and a good work environment for your employees. |
|
Longer Sales Process |
A real estate agent can be a big time and money investment for your customer, so it's important you plan and predict a longer conversion funnel and stay in communication with potential customers. |
|
Low margins |
The gross margins for your real estate agent are typically around 5%, which can make it more challenging to incur new expenses and maintain profitability. |
|
High employee turnover |
In the real estate agent, employee turnover is often high, which can be quite costly and time consuming for your business. It's important to try and avoid this as much as possible by offering competitive pay, benefits, and a positive work environment. |
|
Taxes |
As a real estate agent, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it. |
|
Stressful work |
This line of work can be stressful for both you and your clients. This type of transaction is a significant financial decision for your client, so expectations are very high for you. Although this career path can be very rewarding, it also comes with its challenges and stressful moments. |
Marketing Ideas
-
1
Affiliate Program
Affiliate marketing is a great way to bring in a new revenue stream, especially when you don't sell products or services.
Simply put, an affiliate program is an agreement where a business pays another business or influencer ("the affiliate") a commission for sending traffic and/or sales their way.
The affiliate typically gets a unique link where clicks and conversions can be tracked.
-
2
Direct Sales
Direct sales strategy implies a direct contact between a seller and a consumer without the involvement of any third party. Direct selling is popular in sectors where sellers communicate with their clientele personally. The sales technique occurs at non-store locations which include at home, work, or online.
For direct selling to succeed, hire a few (or many) salespeople to support the sales conversion process. It's critical that you assign them specific roles and responsibilities to nurture the client and provide excellent support.
-
3
Word of mouth
Word of mouth is when a consumers reflects their interest in a company’s product or service in their daily dialogues.
Therefore, word of mouth advertising is essentially a free advertising triggered by the customers experience.
According to Nielsen, 92% of people trust recommendations from friends and family.
Therefore, in today’s hyper-connected world, a single recommendation through a word of mouth can have a huge impact to your business.
- 4,818 founder case studies
- Access to our founder directory
- Live events, courses and recordings
- 8,628 business ideas
- $1M in software savings
- 4,818 founder case studies
- Access to our founder directory
- Live events, courses and recordings
- 8,628 business ideas
- $1M in software savings
- 4,818 founder case studies
- Access to our founder directory
- Live events, courses and recordings
- 8,628 business ideas
- $1M in software savings
- 4,818 founder case studies
- Access to our founder directory
- Live events, courses and recordings
- 8,628 business ideas
- $1M in software savings
- 4,818 founder case studies
- Access to our founder directory
- Live events, courses and recordings
- 8,628 business ideas
- $1M in software savings
- 4,818 founder case studies
- Access to our founder directory
- Live events, courses and recordings
- 8,628 business ideas
- $1M in software savings
- 4,818 founder case studies
- Access to our founder directory
- Live events, courses and recordings
- 8,628 business ideas
- $1M in software savings
- 4,818 founder case studies
- Access to our founder directory
- Live events, courses and recordings
- 8,628 business ideas
- $1M in software savings
