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Welcome to the world of real estate sales! Maybe you’ve recently passed your real estate exam and obtained your license, or maybe you’re simply thinking about becoming a real estate agent. While real estate prelicensing schools will teach you how to pass the test, there’s a lot that they don’t teach you.
Real estate is very much a “learn on the job” career, but luckily, there are many agents (like us!) who have already learned on the job, so we’re able to share these real estate agent tips with you. Let us help you become successful faster with our top 19 tips for new real estate agents.
1. Have at least six months of savings in the bank
Selling real estate takes time. It can take weeks or even months to find your first client, weeks or months to go under contract on a property, then typically another six to eight weeks until closing. That’s when you get paid, not before then. So plan ahead. Have at least six months’ worth of living and business expenses in the bank before you quit your other job and go all-in on your new real estate career. This is one of our best real estate agent tips for starting out and making sure you’ll be ok financially.
2. Save money for taxes
Once a new real estate agent has their first closing, it can be tempting to go on a shopping spree and celebrate. Don’t fall into this trap! You’ll be a 1099 contractor instead of a W2 employee and will need to pay taxes on your earnings – they won’t be automatically withheld for you. Get into the habit of setting aside about 30% of your real estate income for taxes (check with your accountant on the exact percentage you should set aside).
Pro Tip
Open a separate bank account just for taxes. This will help you avoid the temptation to dip into your tax money to lease that new Mercedes.
3. Tell everyone you know that you’re now a real estate agent
One of my favorite real estate agent tips for beginners is this one. The fastest way to find clients is by working through the people you already know: friends, family, coworkers, neighbors. Let them know about your exciting new career path and ask for their help.
You’re not asking them if they want to move (the answer is likely no), but you’re asking them to keep an ear out for people they know who need to move. Ask for referrals. People will want to help you, especially the people who already know you and like you.
4. Interview multiple brokerages
I can’t tell you how many times I’ve heard an agent say they joined a specific brokerage because they had a friend who worked there. That is not a good reason to affiliate with a company to start off your career.
Do your due diligence and meet with several brokerages in your area – large and small, franchise and independent. Ask about their training (that’s key for new agents), their support and their splits, of course. Then ask to speak with a few of their agents and really dig deep to find out what they think of the brokerage. Yes, this takes time, but it’s well worth the effort to ensure you’re with the right company for you.
5. Follow proven models for lead generation
No need to reinvent the wheel. If you’re wondering where to begin to find leads, check out all the proven models other agents have developed already and choose one or two that sound enticing to you.
Here are some of the best proven methods for finding your first clients:
Network with your sphere of influence, the people you already know. Tell them you’re launching your real estate career and ask for help by keeping an ear out for anyone looking to move.
Host open houses to find potential buyer (and seller) leads.
Become involved in your community. This will give you exposure and position you as a leader.
Join your local chamber of commerce to build your network.
Start a YouTube channel focusing on relocation buyers, sharing all the features of your local area.
6. Treat your real estate career like a job
Get up every day, get dressed and show up like you’re going to a regular job – because it is a regular job, you’re just not a salaried employee. Although you won’t have a boss looking over your shoulder, the top agents are in the habit of showing up to their business day in and day out and doing the right activities to build it. These include following up with leads, prospecting for new leads, studying the market, serving your current clients and practicing your skills.
A morning routine can help with this, especially at the beginning of your career as you build new habits. Wake up at the same time, do something to get into a healthy mindset (listening to a podcast or meditating can help), move your body in some way (a full gym session or simply some stretching) and get ready for the day to go to work.
Check out the book “The Miracle Morning for Real Estate Agents” by Michael J Maher and Hal Elrod (available on Amazon) for more details on how to create your morning routine.
7. Find ways to stay motivated
The real estate industry is not an easy one, despite what some TV shows would have us believe. It’s a lot of work, and there will be lots of times when you feel discouraged. I’ve felt discouraged and almost given up many, many times. The trick is to find ways to keep yourself motivated.
Here are some suggestions:
Check out the Pivot: Shift Ahead call that happens every weekday (and is free). This call happens at 8 am and is a great way to start your day with an extra dose of motivation.
Find a buddy in your office and agree to call or text each other whenever one of you is feeling discouraged.
Hire a coach to be your sounding board and cheerleader during tough times.
Listen to a real estate podcast as you get ready for the day.
8. Think about your WHY
What made you want to enter the real estate industry in the first place? What is your ultimate goal? How will selling real estate impact your life and your family’s lives? Consider these questions as you think about your WHY, the driving force behind your desire to succeed in real estate sales.
Much of what determines a new real estate agent’s success is mindset, and keeping your ultimate goal top of mind will help pull you through the daily grind of finding and serving real estate clients.
9. Create your business plan
Another one of our top tips for real estate agents is to create a business plan. With so many different ways to find clients, it’s very important for agents to create a specific business plan that lays out exactly which activities they’ll do each day.
Are you going to focus on door knocking? Hosting open houses? Working with your sphere? Joining networking groups? Your business plan will be your guide to achieving your goals and preventing you from trying too many lead gen strategies at once.
Most real estate brokerages teach business planning workshops once or twice a year, but if you’re looking for help creating your plan and there are no upcoming classes available, find a coach or mentor who can help you. I offer a service to real estate agents to help them create their business plans from scratch: Click here for more details.
10. Time block your calendar
To help you stick with your business plan, I always advise agents to time block their calendars. This means determining in advance how you spend your time and actually putting those activities in your calendar.
Example:
9 am – 11 am: Reach out to your existing network
11 am – 12 pm: Follow up with all new leads
12 pm – 1 pm: Break for lunch
1 pm – 3 pm: Preview new listings in your area
3 pm – 5 pm: Go on appointments
By taking the time to be very purposeful with how you spend your time, you’ll set yourself up for success by controlling your schedule. It also saves you time because you won’t have to figure out what to do each day; simply start working on your plan and follow your schedule.