Real estate is a very simple business. In order to make money in Florida real estate, a licensee needs to do three things:
- The licensee needs to find someone who wants to buy, sell, or lease a property
- The licensee needs to convince the buyer, seller, landlord, or tenant to hire him or her
- The licensee needs to be able to close the transaction quickly and smoothly
Let’s take a look at all three of those steps. How does a licensee find someone who wants to buy or sell? This is accomplished through marketing, advertising, and referrals. In today’s market most Realtors will want to have a strong web and social media presence. Creating a database of potential customers and keeping in regular contact is also helpful. Being involved in the local community and plugged in with people who may be potential customers.
Convincing a buyer or seller that you are the one to handle their transaction involves selling yourself. Clients and customers will always be asking “why should I do business with this person?” Start by asking yourself the same question. Why would someone do business with you? If you can’t answer that, how will someone else be able to? Most Realtors will start with building a presentation about themselves. This “me” book will include pictures, accomplishments, training, testimonials from past clients and other things to give yourself credibility.
Once the customer has decided to do business with you, it’s up to you to see that the transaction closes. No one makes money in Florida real estate until the deal closes. Most real estate licensees will be paid a commission, or in other words, a percentage of the sales price. No sale. No commission. In order to ensure a smooth transaction and closing, professional real estate licensees will be involved in the process by working closely with the buyers or sellers, title company or attorney, home inspector, appraiser, surveyor, and any other professional that will be involved in the process.
At Gold Coast, our recommendation is to keep the customer or client educated and informed in the process. By keeping the client or customer informed and educated, it shows the person that you care, that you’re involved, and that you are earning your commission. Remember, someone who feels comfortable with you and feels that you have truly helped them, educated them, and earned your pay, will be much more likely to refer you in the future. Long term, you will make a lot more money in your real estate career by developing a strong referral base. Remember that the more business you can get from referrals, the less you will have to spend on marketing and advertising, meaning more money in your pocket.
Gold Coast is Florida’s largest real estate school and has been in business since 1970. Gold Coast offers all the required Florida real estate pre-license, post-license, and continuing education courses for both sales associates and brokers. In addition to courses in English, Gold Coast also offers most real estate courses in Spanish as well. Learn more about how Gold Coast can help you start your real estate career by visiting us online, or by calling a helpful Career Counselor at 1-800-732-9140.