The real estate industry in general and the real estate brokerage profession in particular are considered one of the professions with a very strong "attraction" to young people from the past until now. However, the real estate brokerage profession also faces many difficulties and challenges.
What is a real estate broker?
Many people think that being a real estate broker is “dressing up”, enjoying a lavish, luxurious life with an income of several hundred million a month. Is this really true? What is the specific job of a real estate broker?
Real estate brokerage, as defined in the law of the same name, is the act of intermediary between parties in the purchase, sale, transfer, lease, sublease or lease-purchase of real estate products. In other words, brokers are the bridge between customers and investors, those who have the need to sell real estate.
With in-depth knowledge and a keen understanding of customer psychology, real estate brokers will help buyers easily find the right product that suits their finances and personal needs. At the same time, they also help sellers sell products at the best price. Thus, it can be said that complex real estate transactions will become easier with the help of brokers.
The disadvantages of becoming a real estate broker
Marketing costs to find customers are very high.
Difficulty in finding potential customers. The real estate brokerage industry forces itself to spend a lot of expensive marketing costs to find customers. There are two ways to find customers, one is to spend effort and time, this is a long-term strategy, the other is to spend money to quickly find customers.
Brokers who are new to the game often spend 500k - 1 million to run ads, then when they get used to it, they increase it to 5 million - 10 million, then when they play bigger, they can play up to 30-50 million / month, and even more. Then they sit and wait for each lead, new customers to leave their contact phone number, or send inbox messages.
For every 5-10 customers who text, I can only make an appointment to meet 1 customer, go see the real estate project, if the property sells, I will receive a commission, if it doesn't sell, I will lose all the advertising costs.
Work pressure
When choosing to be a real estate broker, you must get used to working on holidays and after office hours. At the time when everyone is resting, you may be working because at that time your customers are resting, you have time to discuss and approach them.
Lack of knowledge and skills
Lack of knowledge and skills is something that most newbies often encounter. This is considered the biggest difficulty of the real estate brokerage profession, making it easy for them to lose customers.
When working, brokers often get caught up in the work of finding customers, selling, closing deals, etc., forgetting to constantly update their knowledge and skills. You need to improve your knowledge of your field, knowledge of feng shui, etc., or some skills in communication, customer behavior, consulting skills, phone skills, customer approach, etc. to be able to advise customers in a more engaging way.
Finding customers is extremely difficult.
It can be affirmed that real estate brokerage is the profession that has the most contact with customers and requires relationships to develop potential customers. Because of this requirement, many people who are new to the brokerage profession and have just started learning real estate investment often have difficulty finding customers. Especially for young people who have not had much contact with society, being a real estate broker is really a huge difficulty. You need to determine that you have to start from zero and try every way to find potential customers for yourself.
Some experience in real estate brokerage
In any profession, you need to learn from the experience of those who have gone before. This will help you gain valuable knowledge and experience but also save you a lot of time.
– Always create scarcity for the real estate products you are selling to customers. For example, the project has sold out all the products and there are only 1 or 2 units left….
– Always create buzz for the product being sold and give a time when the sales program will end, usually tomorrow…
– Create competition for the product. For example: There are customers who are consulting, customers have scheduled a reply date….
– Finally, the most important thing is that when you have clearly advised the customer about everything about the project and they have understood the details, you should boldly tell the customer to deposit in advance if they want to choose a product with a good location.
Above are some of the difficulties of the real estate brokerage profession among the countless difficulties that real estate brokerage profession often encounters. If you are a person who wants to get rich, wants to stay in the profession for a long time, you must be a truly dedicated, persistent, constantly striving and eager to learn person. Wish you success.