The step-by-step guide to building a real estate business.

One of my coaching clients recently asked me:

"If you were starting out in real estate now, in a new area with no contacts, how would you do it?"

This guide lays it all out, step by step. I firmly believe this process is worth consideration whether you are brand new to real estate, or are already up and running but trying to work out how to take your career to the next level.

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The 22-step guide to building a real estate business.

1. Select a target location. Either where you already live or in a location with high turnover (my preference). I would try and target an area popular with first-home buyers as this segment tends to remain busy in any market. Plus, first-home buyers are more likely to move again within 3-5 years than any other market segment. So if you do a good job, you'll get repeat business, faster.
2. Join an office/company with a reasonable market share in your target area (15%+). You want to learn the market as quickly as possible, so you need exposure to lots of properties. It also helps to have other listings to sell when you are still getting established and don't have lots of listings of your own.
3. Join local clubs. The quickest way to get to know local people and build a business is by joining and volunteering to help at local clubs in which you have an interest. Examples are your local property investors association, rotary, sports clubs, community gardens, martial arts, scouts etc. Avoid sponsorships early on as these can get expensive. Rather, focus on being a good human, and helping others and the business side will take care of itself.
4. Get your car sign written. To succeed in real estate, it helps to go all-in. Using your car as a roaming billboard is some of the cheapest and most effective advertising you will ever invest in.
5. Study your market. Visit every property currently available for sale. Drive past the last 3 months of sales in your target area. Find out from your office manager how to access key stats every month, including median days to sell, median sale price, number of properties on the market and number of sales per month.
6. Show up early. Be the first one in your office each morning. Managers and experienced salespeople give opportunities to new agents who are hungry and eager to learn.
7. Embrace training. Say yes to every learning opportunity your company provides: conferences, seminars, awards functions, and online videos. Be a sponge and soak up as much knowledge as possible.
8. Offer to do open homes. Approach busy agents and offer to run open homes on their older listings for 50% of the selling fee (not 50% of the listing fee) or whatever you feel comfortable agreeing to. This is a great way to learn and grow your database. It's another reason why it's worth starting out in a busy office, where you are more likely to find opportunities.
9. Find a real estate 'buddy'. Real estate can be a lonely gig, you need someone you can confide in, ask questions of, and work with when the situation calls for it. Resist the urge to 'team-up' and halve your income. Instead, support each other through the rollercoaster of life that is real estate sales while building your own business.
10. Pick your farm area. Inside your target location, you will want to select a farming area which you will target with more extensive marketing. This can be immediately near your home, or the highest-turnover area you can find nearby. Most salespeople choose an area of approximately 500 houses. You can go bigger or smaller. I recommend choosing an area you (or someone you pay) can drop flyers to once every fortnight. Fight the urge to chop and change areas. When it comes to marketing, repetition creates results. Don't worry if there is already an established agent operating in that area.
11. Start using Agent Monday articles as mailbox drops. Print one of our articles targeting sellers or homeowners on company letterhead - with your name, photo and details added on, and drop it to your farm area. Repeat with a different article every fortnight (or every week if you want to grow quick). Whenever you have spare time in your first 6 months, do more of this.
12. Start a blog and an email newsletter. Add everyone you meet to your database and send them an Agent Monday article every week, plus local sales and any updates or thoughts you can provide on current market conditions. Keep it short and sweet. It doesn't matter if this only goes to 5 people initially. Build the habit and the numbers will take care of themselves.
13. Target foreign listings (properties on the market with a competitor). Ask permission to help them find a home to buy. Build a relationship and be first in line when their existing agency expires. Aim to visit 10-20 owners in person, every week. This is a great way to learn the market and get solid practice talking with homeowners before you start doing appraisals of your own. Click here for scripts to use.
14. Carry a lead sheet with you at all times. Try to fill it with 20 contacts/addresses who might be thinking of selling in the next 6-12 months. Every day, ask yourself - what does that owner need? How could I add value to their buying/selling process? Are they aware of all the recent sales near their home?
15. Start a Podcast. Call it "(Your area) real estate" and drop a new episode each week. The simplest approach is to click record on your phone or computer, read an Agent Monday article out loud, and post! You could also record a quick market update, or interview local business owners as a way to support them and highlight cool people doing great work in your community. Use a tool like Spotify to get started quickly.
16. Set up your Google Business page. Ask all your clients to give you a review. Keep adding to this as you grow your business. It's one of the most effective marketing tools you will ever find. And it's free!
17. Design your own weekly activity checklist. The key to creating consistent income in real estate is to consistently follow a plan. Specify the number of calls you will make, emails you will send, flyers you will drop, foreign listings you will visit. Don't go crazy with the numbers. Make it achievable.
18. Book a one-on-one with your manager (or mentor). Seek feedback, accountability, and opportunities to role-play. Don't be scared of being told you're doing it wrong. Your manager has been where you are and they can help you get where you want to go if you allow them to help. Book a regular weekly time to run through any real estate situations you aren't sure about, and to review your weekly activity checklist.
19. Study the Agent Advice section of Agent Monday. Read a different article every week and learn how to grow your business. Start with this one.
20. When you get an opportunity, take an expert with you. Don't try and do it all yourself. Share your first listing opportunity with someone who you want to learn from. It could be your manager, or an experienced salesperson in your office. Study what they do, and how they do it. Ask lots of questions and take notes!
21. Develop your listing collateral. When you start to generate appraisal opportunities, you need to know what to take with you! Your office manager or franchise office should be able to help with this.
22. Keep it simple.

To get established in real estate you have 2 key jobs:

• Build a database. Make sure everyone you come into contact with knows you are in real estate. Add more people to this group each week.
• Show everyone that you are proficient at selling houses. Repeatedly demonstrate that you understand the market and are an expert in your local area.

The key prerequisite to achieving those two goals is building a list of people with whom you can regularly communicate by email and phone.

Send them info about the current market, recent sales, interesting stats and content that helps them make better real estate decisions.

Stick to that, and the income will take care of itself.

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