Real Estate Brokerage a specialised field that needs market expertise and passion for property
How to Succeed in Commercial Real Estate cannot just be learned by the book, which needs to be considered by those entering the field of commercial real estate comments Rainer Stenzhorn of In2assets the leading commercial online broker firm.
Rather than enforcing a "get rich quick" approach to selling, we at In2assets believe that a broker should not have to sacrifice integrity and ethics to remain competitive and deal oriented. The first step to successful commercial real estate brokerage is choosing a company and a specialty that’s a good fit for the candidate. The relevant company should have sales strategies and sales points specific to commercial real estate, including practical suggestions for countering other brokers.
The importance of a successful commercial brokerage is the focus on exclusive listings or sole mandates, how to find and get the best prospects, and the most effective strategies for marketing the property. A successful brokerage must strictly comply with the code of conduct, FICA regulations, and the Consumer Protection Act and must be in a position not only to deal with standard parts and points of negotiation for contracts and forms but rather create custom made contractual agreements of sale or lease.
When dealing with clients the broker candidate must be fully acquainted with the valuation process, tax implications, leasing rules, zonings, municipal bylaws, financing models and the real estate law.
The importance of working for a reputable company in commercial real estate, especially in brokerage, cannot be stressed enough and when choosing such company be sure that you check on digital standards, functionality of websites and blog pages and their success in social media marketing.
If the company of your choice is well represented in the market it will open more doors and get more emails replies to than your own name ever could.
Define Your Market and find your specified field:
As the industry matures in the online space, more and more brokers are specialising in a specific type of commercial real estate. The most common categories include office, industrial and retail letting and selling. An additional specialisation is investment sales. When selling investment properties, a commercial broker requires more financial knowledge and understanding how the right property investment generates the right return on investment. Some brokerage firms further specialises in markets such as hospitality, game resorts, or developments which is a lot like management consulting but with a real estate focus.
Look at your Firm's Culture
Starting out in commercial real estate you need to understand that your employers have a fair sway over your bank account. Therefore it is of utmost importance that you make sure that all commission structures, referral fees and splits are part of your employment contract and all team members are aware of the general rules and regulations. Another important cultural distinction is how the office functions and what type of administration backup it offers. This includes regular training on new bylaws, regulations and even digital technology.
Ultimately, ends Stenzhorn a suitable applicant wants a place where everyone realises that by working together you can all make more money, get and retain more clients, and dominate your market. Places where distrust and competition exists, is a recipe for disaster and of course you need to be "that guy" or "that girl" otherwise you're doomed to toil in mediocrity or worse. In commercial real estate brokerage, "fit" determines everything. You have to fit the industry, fit your company, fit your team, fit the lifestyle, and fit your specialisation. Do you have what it takes?