6 Real Estate Challenges that Newcomers to the Industry Are Facing

Being a newcomer to the real estate industry can be both exciting and intimidating.

On the one hand, the commissions that you can hope for are quite lucrative but then again, the field is quite competitive and it can be incredibly hard to rise to the top.

Keep in mind, nonetheless, that regardless of how intimidating all of this may seem, there are several techniques that you can use in order to quickly climb the ranks of the industry.

Here are six such challenges, as well as a couple of suggestions to help you get going:

#1 – Growing online competition

People who hope to utilize their online influence to gain traction in this industry need to understand that the online landscape is quickly getting crowded as well.

Fortunately, not a lot of people are doing this right and here lies your chance.

First of all, you need to focus on local SEO.

Why?

Well, because this is how people look for property to buy and this is how people google available property. Chances are that they’ll use the exact name of the area or the suburb in their Google keyword, thus narrowing down their search.

By adapting to this, you’re using your window of opportunity to the fullest.

#2 – Use of social media

The next thing you should be aware of when it comes to real estate marketing is the fact that the use of social media is getting more and more traction as we speak.

In this industry, Instagram is the king, seeing as how it gives you a chance to display all of the properties that you’re offering in a completely free manner.

The availability of features like stories also gives you a chance to gather some feedback. For instance, a particular piece of home décor can be evaluated by a slider feature. There are numerous such tricks that you could try using.

#3 – Negligence of personal finance

Another thing you need to keep in mind is the fact that finances are a massive part of why so many people get in this industry.

These commissions are massive. However, due to the fact that they’re periodic payments, a lot of newcomers to the industry, especially those closing their first successful deal, usually don’t know how to handle this massive cash influx.

Therefore, it’s vital for one who is joining this industry to have a great saving or investment plan, as well as to know how to diversify their income.

Investing some of the money back in the real estate of your own, putting it into stocks or even buying gold are all solid options.

#4 – Keeping up with new tech trends

One more thing you need to hear is that while VR and AR are revolutionary in the real estate business, it’s still quite expensive to develop suitable applications for your business and provide your clients with VR tours.

The problem, however, is not just in cost but in cost-effectiveness as well.

There are those who argue that not a large enough portion of your target audience has these devices and that, until this moment arrives, it’s hard to justify this investment. Either way, this is a topic that you don’t have to resolve right away.

#5 – Focus on referrals

In this industry, like any other that involves such high-value investments, people care the most about the credibility of the real estate agent.

This is why they value word of mouth (WOM) referrals from people they know above any other promotion method.

Still, in order to get there, you need to put a strong emphasis on customer experience. Sure, to a real estate agent, this is a crucial thing, to begin with.

#6 – Life-work balance

The last thing you need to understand is the fact that there’s a stigma that a great real estate agent is available 24/7.

This is simply not true.

But unless you know how to manage your time, you won’t have a positive experience in the industry. Just try to organize your own free time and schedule meet-ups with clients according to your own plan.

Stay on top of your daily tasks and always try to do a bit more right now so that you have at least some flexibility if you deem necessary.

In the end, what you need to understand is the fact that these challenges are something that everyone in the industry faces and it’s your ability to overcome them that determines your successfulness.

While some of the above-listed may be industry-specific, the rest are universally applicable and generally great tips for making it in the business world.