Real estate is such a lucrative opportunity, that it is amazing how many people quit. If you’re wondering why people quit real estate, read on. You don’t want to be the investor that quits something that could make you potentially very wealthy, based on the initial hump you must get past to get in. There are primarily three reasons that people quit too soon. Based on statistics, more millionaires are made by investing in real estate than any other investment business. You’ve got to persevere through the hard times if you want to really make it big. If you’re thinking about quitting real estate, or want to continue but don’t know how, read on. Don’t quit before the magic happens.
Many people expect instant results regarding making money in the real estate business. Unfortunately, getting “in” is the hard part. It is also the part where people tend to quit, which is a shame.
Wrong, or unrealistic expectations of the business
As mentioned above, the largest reason that people quit real estate too soon is because they aren’t getting instant gratification. You cannot expect to work very hard for three months and become a billionaire. Realize that real estate is not an overnight success. It can actually take months to land your first big-time deal.
You should set goals rather than expectations. If you don’t reach your goals during a specific time frame, you should revert back to what you’ve been doing and be honest with yourself about why. Have you been telling yourself you’ve been working as hard as you can when really, you’ve only been putting in eight hour days? When you work in real estate, you are working for yourself. You don’t have a boss to report to that you got your 40 hours in for the week. You will reap what you sow. It is crucial that you do not have false expectations. This is the largest reason people quit real estate. The bottom line is that you must set a goal and a time-frame. This is so that you can figure out what is, and what isn’t working.
You’ve got to get thicker skin to survive in real estate
Real estate isn’t easy. It is emotionally and mentally challenging. If you are sensitive, or let people push you around, you can’t expect to be successful in this business. You’ve got to get thicker skin. People can sense a doormat from a mile away. You’ll be taken advantage of by other investors, agents, title companies, and every other individual involved in a potential deal. Many agents will either lie or argue to get the best deal possible for their client. It is up to you to know fact from fiction when it comes to laws. Just because someone says something is true doesn’t mean it is. You’ve got to know the ordinances regarding the MLS.
Realize that every party is trying to get the best possible deal for either themselves, or a client. People will try to bully you in real estate deals. If you take bullying personally, you’re going to have some major issues being successful in real estate. If you are a sensitive person by nature, realize that this doesn’t mean you can’t do real estate. You’ve simply got to learn to not take things personally. Keep in mind that you don’t need to be rude to others. There is a way to stand up for yourself in business with grace. You’ll gain much more respect in real estate if you know what you are talking about and stand behind it.
Many quit because they run out of money
Many people quit real estate due to losing money. Keep in mind that if you are losing money on a deal, you are doing something way wrong. Be sure to check out these videos that will help you learn more. Many others quit because they are expecting to make a lot of money without having enough knowledge about the business. Those are the people that blame the real estate business itself when they don’t make instant profits. Whether you’re investing in commercial properties, or several small properties, you have the potential to make some serious profits. Blaming the real estate market is naive. If you are having trouble being successful in the business, it’s because you are lacking in education. If you don’t know what you are doing, you’re going to fail. If you aren’t getting any great deals, look at what you can be doing better, rather than coming up with excuses.
To those who are considering giving up on real estate
Don’t be so quick to throw in the towel. If you’ll just stick with it, you’ll benefit in the long run. The takeaway is to not give up. Be sure to consistently educate yourself about the business. Here are a couple things to try before you decide to give up
Remember when real estate was exciting, a boss-less land of freedom, with work hours left completely up to you? Remember the stress of test day, the anxiety clawing at your insides, ready to burst from your chest like the creature from Alien? Remember the thrill of the first close? Of finishing what you started? The future was bright, and so were you, the newly-minted realtor. And we come to today. Like many new ventures, things don’t always turn out as expected. Before you throw in the towel, here are ten things you can try before officially giving up on the dream.
# 1 Take a Break
To make money in real estate, you have to sell real estate. At the end of the day, if you’re not bringing home the bacon, you will not survive. You won’t believe it, but something you can do to improve your sales technique is actually taking a month or two off from selling anything at all.
Reverse engineer the process of selling a home. Start with the goal of completing the sale, and work backwards from there. Where did they first begin their search? Why did they want to buy a home in the first place? Taking time off from your normal sales routine will give you a fresh perspective on providing value, versus seeking a commission check.
# 2 Find a New Brokerage
Environment is everything. If you try to start a fire in a vacuum deprived of oxygen, the fire will never ignite. In real estate, your brokerage is your environment. If they aren’t providing you with the tools you need to grow, it’s time to find a new one. Whatever company you choose, make sure they’re a good fit. It’s ok to interview half a dozen or more before making your final choice.
# 3 Take a Team-Centric Approach
Ever hear the phrase, “Two heads are better than one?” It’s no secret that we all have different strengths. Taking a team approach to selling real estate allows you to use those strengths, and keeps you from succumbing to your weaknesses.
It’s no longer about becoming a well-balanced person, it’s about building a well-balanced team. The team approach insures that you don’t spread yourself too thin, as each member can trade-off carrying the load, keeping your legs fresh for the long-haul.
# 4 Shadow a Rock Star
Success leaves clues. If you want to achieve a certain level of success, find someone who’s crushing it and follow them around. If you do what they do, you should get similar results, but don’t copy them exactly. Pick up clues from what they’re doing, and then execute the strategy with your own personality. You may also be surprised to find most successful people love to share tips and best practices.
# 5 New Branding? New Branding!
If the logo you’re using was drawn on a coffee shop napkin and scanned into Microsoft Paint, it is time for some new branding. You may think rebranding your business is super expensive, but with websites like 99Designs and Fiverr, branding packages go for as low as $5!
Today, effective visual marketing is critical. That being said, it’s been more than enough time. Destroy your 1980s glamour shot, and get new head shots. A modern branding package will give you confidence when meeting a new client, and could help you close the deal.
# 6 Build a New Website, But Beware!
If you’re someone who likes to roll up their sleeves and dig into a messy project, you may need to save yourself, from yourself. Unless you’re a tech wiz, do not try doing a website on your own. Even if you are a tech genius, make sure you get the opinion of others before publishing your new site. Statistically speaking, you have less than seven seconds to grab someone’s attention on your website. Remember: it’s not about what you like. Converting a visitor into a client is the goal. Approach it as such.
# 7 Optimize Your Social Media
Social media drives word-of-mouth marketing. If you’re not active on social media, you’re irrelevant. If you do use social media, but all you do is ask for business or share listings, you’re just background noise. A successful salesperson knows it’s not all about them, which means you must share content on social media that is valuable to your target audience. It must be authentic. It must be consistent. There is simply no better platform for engaging with potential clients than social media, but make sure what you share is not always about you.
# 8 Attend Events!
Get out in your community! This is a great way to meet new people and get involved in what’s happening in your city. Check with your local chamber of commerce for networking meetings and other events in your area. Once you’ve built a small network, try collaborating with a few vendors to host an event of your own. Capitalize on every holiday with an event aimed at adding value to families. You may not have 500 people show up, but it only takes one client to cause a revival of growth in your real estate business.
# 9 Take Advantage of Email Marketing
Your database isn’t just valuable, it’s gold. Pure gold. Your audience is sitting there, asking for attention. Guess what, it’s time to give them something worthwhile! Try a new email campaign that isn’t focused on selling real estate but instead focuses on adding value. Give them something they’re actually interested in reading, as well as a good reason to click on the link. It could be an invitation to an event, or an interesting article that’ll help them in their home buying experience. Whatever it is, the goal is to stay in contact with the people who know you. There’s no guarantee they will call you when it’s time to buy or sell, but it certainly doesn’t hurt your chances.
# 10 Seek Niche Markets
You don’t need everyone, but you do need someone. If your approach to lead generation means targeting the entire world, you may want to try narrowing down.
Choose a niche market you are passionate about, and devote yourself to becoming a master of knowledge in that area. Examples of niche markets include military, relocations, empty nesters, first time homebuyers, etc. If you hear of a new company opening a branch in your city, contact their HR department on how you can get involved in helping their employees find housing. The list of niche markets is endless, and is only limited by your imagination.
There are a million reasons to quit real estate, and there is no shame in moving on, really there isn’t. The lack of happiness is the top reason to quit real estate whether you’re making money or not. If you’re not excited about your career and happy where you are, you should do something different, because everyone around you will know they’re part of your unhappy system and know you’re not giving them your all.