Any advice for someone brand new to real estate?
Investor · Merrill, WI · Member since 2015 · 11 posts · 2 votes
I am a brand new Realtor and aspiring investor in Los Angeles. I'm currently self-educating and would like some tips on things that have worked or haven't worked for people when they were starting out, preferably advice on how to find partners/investors for funding rehab deals, and where/how to find a good deal.
Welcome to BP! You're in a great field where your ability to be successful and make a great living is limited only by your own desire to continue to push through obstacles and build upon your previous success.
There is about 1 agent for every 200 people in the L.A. area. Your competition is fierce so you need to figure out in time what your core value proposition is and where you can add value to the market where others just aren't cutting it.
Build Relationships, Build Business
My advice to all newcomers in the L.A. market is to focus first and foremost on networking and developing relationships. Success in this industry comes down to your ability to build a name for yourself by delivering great customer service and adding real value in a specific niche.
Spend Wisely
Be smart about where you spend your marketing dollars, especially in the beginning. You won't be able to out-market or out-spend the professionals who have spent years branding themselves as the "expert" in their sub-market.
If you spend money, spend it on "active" marketing which gets your face, voice, and presence directly in front of people you may do business with.
Think Outside of the Box
Do the things that most people won't do. This means you should consider door-knocking and becoming comfortable with the rejection.
Be open to assistant positions and working on a team. Find ways to show the community that you truly care about delivering great value first and foremost before your own paycheck.
Most people see right through gimmicks and high-pressure sales tactics. Don't just be an agent; make yourself an essential element to your clients' future success.
Earn More by Giving Back
Find ways to contribute by giving back to the community and be authentic about it. Not only will getting involved in the community open up pathways to developing relationships with homeowners and investors, it's a great to tap into the nuances of your micro-market giving you a competitive advantage to other agents who try to do business in your area.
Don't Give Up Too Soon
Don't give up after two years of grinding and spending thousands of dollars. MOST agents get a false sense of success in the beginning when they close their first couple of deals only to flounder for a year or two after and eventually give up when they realize that it's going to be much harder to actually create a sustaining and growing business.
Like any startup, there will be really high high's and really low low's. Keep in mind that this is a marathon, not a sprint.
Be humble. Learn from the pros.
Be humble and be willing to forgo your own ego in order to show the veterans that you are in this for the right reasons and that you're here for the long-run. This is going to lead to open house opportunities, co-listing opportunities and possibly, a buyer lead here and there to keep food on the table. Consider all of these opportunities blessings and seedlings you need to water in order to grow your own business.
Never. Stop. Learning.
Real estate is a broad and dynamic field that is constantly changing. You need to embrace the mentality of a student and continue invest in your education, both formal and hands-on, real-world (my preferred method) learning. This never ends.
If you aren't learning, you are stagnant and will quickly become irrelevant. Joining BP is a great sign you are on the right track.
--
I hope this helps. I've made several new agent posts in the past if you look through my history - some of them offering more specific advice on marketing tactics. Feel free to reach out if you ever want to bounce off any ideas or concerns.
Welcome to the site.
I have many clients who now invest in deals with my company as JV's.
What you want to do is work with them as clients and show the value you bring to the table. As the relationship progressis when you have a deal you need funding for they are some of the 1st people who will want to fund it.
Welcome to BP! You're in a great field where your ability to be successful and make a great living is limited only by your own desire to continue to push through obstacles and build upon your previous success.
There is about 1 agent for every 200 people in the L.A. area. Your competition is fierce so you need to figure out in time what your core value proposition is and where you can add value to the market where others just aren't cutting it.
Build Relationships, Build Business
My advice to all newcomers in the L.A. market is to focus first and foremost on networking and developing relationships. Success in this industry comes down to your ability to build a name for yourself by delivering great customer service and adding real value in a specific niche.
Spend Wisely
Be smart about where you spend your marketing dollars, especially in the beginning. You won't be able to out-market or out-spend the professionals who have spent years branding themselves as the "expert" in their sub-market.
If you spend money, spend it on "active" marketing which gets your face, voice, and presence directly in front of people you may do business with.
Think Outside of the Box
Do the things that most people won't do. This means you should consider door-knocking and becoming comfortable with the rejection.
Be open to assistant positions and working on a team. Find ways to show the community that you truly care about delivering great value first and foremost before your own paycheck.
Most people see right through gimmicks and high-pressure sales tactics. Don't just be an agent; make yourself an essential element to your clients' future success.
Earn More by Giving Back
Find ways to contribute by giving back to the community and be authentic about it. Not only will getting involved in the community open up pathways to developing relationships with homeowners and investors, it's a great to tap into the nuances of your micro-market giving you a competitive advantage to other agents who try to do business in your area.
Don't Give Up Too Soon
Don't give up after two years of grinding and spending thousands of dollars. MOST agents get a false sense of success in the beginning when they close their first couple of deals only to flounder for a year or two after and eventually give up when they realize that it's going to be much harder to actually create a sustaining and growing business.
Like any startup, there will be really high high's and really low low's. Keep in mind that this is a marathon, not a sprint.
Be humble. Learn from the pros.
Be humble and be willing to forgo your own ego in order to show the veterans that you are in this for the right reasons and that you're here for the long-run. This is going to lead to open house opportunities, co-listing opportunities and possibly, a buyer lead here and there to keep food on the table. Consider all of these opportunities blessings and seedlings you need to water in order to grow your own business.
Never. Stop. Learning.
Real estate is a broad and dynamic field that is constantly changing. You need to embrace the mentality of a student and continue invest in your education, both formal and hands-on, real-world (my preferred method) learning. This never ends.
If you aren't learning, you are stagnant and will quickly become irrelevant. Joining BP is a great sign you are on the right track.
--
I hope this helps. I've made several new agent posts in the past if you look through my history - some of them offering more specific advice on marketing tactics. Feel free to reach out if you ever want to bounce off any ideas or concerns.
Hi Sarah,and welcome aboard and you are in the right place. Stay plugged in and take in as much info as possible and ask questions. Find local investors on BP and go to meetup.com and find local rei meetings,and the biggest thing you got to market yourself on or off line. On line place ads on craigslist backpage and other free ad sites,social media is the next best thing do do online. Similar to a real estate agent you got to market your self and as far as off line get business cards and hand them out as much as possible,go to rei meetings,get numbers from bandit signs and place some out as well,and if budget allows start a direct mail campaign. I hope this helps and the best of luck on your investing venture.
Hey Sarah - good luck on your new profession!
I have a video here in BP in my profile called "The Search for the Motivated Seller" that I think you might benefit from watching. I talk about ways we generate leads, how much leads can cost (double those #'s for LA), and why you want to develop a consultative approach - offering your solutions (buying, listing, etc.) as a range of opportunities to solve the seller's problem. When you can make money several different ways in real estate, it enables you to be consultative and to be seen as on the seller's side, trying to help them solve their problem, rather than being in an adversarial relationship of just offering them a steeply discounted price for their house. If the house is nice and the seller is not in a big hurry, is a 60% ARV cash offer the right solution for that seller? You might offer that as a "guaranteed sale" price and tell them you can list the house and probably get them a LOT more, tell them about the avg DOM, etc. so they understand the trade-offs, etc.
I advertise for motivated sellers, but I get those listing leads all the time via this marketing. You are in an EXCELLENT position when you can either buy or list them, and an even better position when you are able to do other types of deals (Subject To's, Lease Options, Rental with your property mgmt, etc. etc.)
Click on my face in the upper left of this post and watch my profile video...
Welcome to BP! You're in a great field where your ability to be successful and make a great living is limited only by your own desire to continue to push through obstacles and build upon your previous success.
There is about 1 agent for every 200 people in the L.A. area. Your competition is fierce so you need to figure out in time what your core value proposition is and where you can add value to the market where others just aren't cutting it.
Build Relationships, Build Business
My advice to all newcomers in the L.A. market is to focus first and foremost on networking and developing relationships. Success in this industry comes down to your ability to build a name for yourself by delivering great customer service and adding real value in specific niche.
Spend Wisely
Be smart about where you spend your marketing dollars, especially in the beginning. You won't be able to out-market or out-spend the professionals who have spent years branding themselves as the "expert" in their sub-market.
If you spend money, spent it on "active" marketing which gets your face, voice, and presence directly in front of people you may do business with.
Think Outside of the Box
Do the things that most people won't do. This means you should consider door-knocking and become comfortable with the rejection.
Be open to assistant positions and working on a team. Find ways to show the community that you truly care about delivering great value first and foremost before your own paycheck.
Most people see right through gimmicks and high-pressure sales tactics. Don't just be an agent; make yourself an essential element of your clients future success.
Earn More by Giving Back
Find ways to contribute give back to the community and be authentic about it. Not only will getting involved in the community open up pathways to developing relationships with homeowners and investors, it's a great to tap into the nuances of your micro-market that will give you a competitive advantage to other agents who try to do business in your area.
Don't Give Up Too Soon
Don't give up after a two years of grinding and spending thousands of dollars. MOST agents get a false sense of success in the beginning when they close their first couple of deals only to flounder for a year or two after and eventually give up when they realize that it's going to be much harder to actually create a sustaining and growing business.
Like any startup, there will be really high high's and really low low's. Keep in mind that this is a marathon, not a sprint.
Be humble. Learn from the pros.
Be humble and be willing to forgo your own ego in order to show the veterans that you are in this for the right reasons and that you're here for the long-run. This is going to lead to open house opportunities, co-listing opportunities and possibly, a buyer lead here and there to keep food on the table. Consider all of these opportunities blessings and seedlings you need to water in order to grow your own business.
Never. Stop. Learning.
Real estate is a broad and dynamic field that is constantly changing. You need to embrace the mentality of a student and continue invest in your education, both formal and hands-on, real-world (my preferred method) learning. This never ends.
If you aren't learning, you are stagnant and will quickly become irrelevant. Joining BP is a great sign you are on the right track.
--
I hope this helps. I've made several new agent posts in the past if you look through my history - some of them offering more specific advice on marketing tactics. Feel free to reach out if you ever want to bounce off any ideas or concerns.
Thanks Joshua! This is great information! I'm in the process of taking real estate classes and I'm realizing the more I study and learn that Los Angeles is a difficult market.
Goodluck Sarah!
Welcome to Bigger Pockets. Make sure to check out all the informative podcasts.
Great advice from all! Just would add to not forget about all the great deals in outlying counties - San Bernardino, Kern, Riverside. (or totally outside California for that matter.)
Good luck!
Jill