Real estate, when done right, can be a very lucrative endeavor for you. However, this enticing possibility and the big world of real estate means that it has its doors open to a multitude of like-minded people. Indeed, real estate is not a sure thing, as your investment cannot yield the return you want if you are outworked and outclassed by the competition.
The crowded market of real estate requires an investor to dedicate time for research, planning, and execution. If you’re a real estate investor or you’re looking to invest in real estate, here are 7 ways that can help you get more out of your investment:
1. Build your brand, and make sure it’s consistent
In real estate, as with any industry, the amount of money you make is highly dependent on your reputation. If you want to make the most that you can out of real estate, find your niche in the industry and what you think is best for your budget and your personality. Are you fond of making improvements in properties to sell them at a higher price, or do you prefer to hunt for rapidly rising markets where you can easily flip property?
Or maybe you’d want to purchase property to be a landlord and collect rentals. Whatever type of investment you make, it’s important that you establish yourself as a reliable proprietor and that people are secure that the money they spend on you and your property, or properties, is worth it. Of course, your brand should be appealing to as many people as possible too, so it’s important to find ways that will make you easily recognizable in a good light.
2. Set yourself up in social media
Social media pervades the world we live in, and business owners, no matter how big or small, are wise to put up their businesses for everyone to see online. If you’re not taking advantage of the free publicity that social media can offer, you’re definitely lagging behind and setting yourself up for mediocrity. The best businessmen have a solid social media presence that everyone can recognize. Plus, some people might even chance upon your property and find that it’s perfect for them. That’s not as likely to happen if you have no online presence, for sure.
3. Ask for referrals
Networking is key in real estate. You’d want to have as many people as possible see what you’re doing to increase the chances that someone will buy from you. According to a survey conducted by OutboundEngine on more than 500 real estate agents, 75 percent of an agent’s business comes from referrals and word of mouth. Be creative with how you can generate referrals, such as using branded materials, giving thoughtful client gifts, or providing incentives for clients who refer you to future buyers. It’s also smart to find a brokerage that will help you keep your full commission.
4. Buy property with growth in mind
This should go without saying, but if your goal is to make as much profit as possible, each property you buy should be able to be worth more than what you bought it for in the future. You wouldn’t want to make a marginal gain after selling a property, and you most definitely wouldn’t like it when you sell a property for less than the price you’ve paid for it. To ensure that you make money from your property, build the value of your property by making upgrades and additions. Put the time in to make your property better than it was before, and your hard work will surely pay off in the future.
5. Keep an eye on the competition
It may not be obvious for some, but real estate is a competitive industry. Every person with an investment in real estate wants to make as much as they can, and there are only a limited number of buyers in a specific area at a particular time, so there really are real estate investors who will get left out and have a property that would stay stagnant for years while other real estate proprietors flourish. You should keep an eye on what the competition is doing and make sure that you can also do the things that bring them success, and that you avoid their pitfalls.
6. Partner with local businesses
Local businesses allow you to build and expand your network, and much like you, they also need help in growing their businesses. Connecting with local businesses is a great way to increase the people who are aware of your business. Who knows, maybe a local business owner that you partner with might even be a buyer in the future?
7. Develop email marketing campaigns
Email marketing is another great way to make your name known out there. Not everyone will care when they see your name pop up in their inbox, but it takes just one interested and financially capable person to see your email and poof, you have a buyer. That same person might even generate referrals that you wouldn’t have if you hadn’t sent that email!