Thursday, May 17, 2012

Getting Into Real Estate Brokerage

Years ago I planned to buy a convertible in the Outer Drive East building. It was super small but at $150,000 it was all I could afford. It had a fabulous view of the lake. When I went to get the mortgage, the mortgage specialist told me to wait until I could find a larger place because this place didn't have any re-sell value and I would outgrow it quickly. I was a little surprised, but I realized that he was right about outgrowing the space. I've always suspected that he bought the place for himself to let his mistress stay there, but that's my overactive imagination getting the best of me.

Years later when I did get my own place for real, it was much larger and really met all of my needs except one – it didn't offer a view of the lake. To be fair, the place I wanted doesn't have a view of the lake either now. New developments in the area have overtaken the spacious north view. But getting the place made me realize that I wasn't the only person who felt like getting a place to live was made much harder than it needed to be. Even a girlfriend of mine had joked that she wanted to write ''The brother's guide to home ownership” because no one told you the entire story upfront – they just let you discover each piece to the puzzle and it made it very frustrating.

That's why I decided to take the plunge and get a real estate license. It was about ten years ago that I took the exam. I was more surprised than the proctor of the state exam when she looked at me and said “Oh... you passed!” At that time, it was either pass or fail. The proctor either gave you a license or a list of the upcoming dates for the exam to take it again. I got a license. A few weeks ago I had to pass the real estate broker's exam to keep working in this field, as all real estate salespeople in this state were required to do. It was great to be recognized for my hard work and I intend to keep it going.

I think that you should find a good mentor who wants to show you the ropes. Don't take a job at a firm that ignores you or doesn't have time for you. In a down market, we had a lot of people who were doing their own thing even though we are required to have a broker monitor our actions. Put together a list of every single person you know and let them know you sell real estate. It took me a week to get through my phone book, but I had the added bonus of reconnecting with all of my friends and relatives. Never pass up a chance to get a client – you never know when it may happen. Get to know a neighborhood like the back of your hand and get to me an expert in that area. I've always wanted to work in Hyde Park and I do well there because it is my favorite neighborhood.

Put together a pit crew of appraisers, closing attorneys, mortgage brokers, and handymen. A good handyman is the hardest to find – once you get one, they find a regular job and can't work during the day. You need someone who can give an honest assessment of a house – is it a fixer-upper, or a money pit in disguise?

One of the great things is that you don't have any restrictions on where, how much, or, for the most part, what time you work. You can get real estate work out of the way anytime – letters, contracts, writing advertising, talking a client down from a ledge – all can be done throughout the day. Just treat them as you would any good friend. You are helping them with the most important purchase they will ever make. You'll be remembered and in demand if you give them an overview of what to expect and are prepared to point out the things they should consider in making their decision.

I would be remiss if I didn't mention that the most important thing is safety. Don't go into empty places alone. Let someone know where you are at all times – keep you GPS on, and don't meet a client at a remote location. Meet them at your real estate office and make sure the receptionist gets a good look at them. I recommend pictures, and get a copy of their ID and license plates. Always get their work location, connect with their mortgage broker and find out how they found out about you. I send lots of cards of e-mails and follow up. I don't recommend doing Open Houses or house hunting after the sun goes down unless you are going to a building with a doorman.

If you can do these things, you can be very successful – I wish you the best of luck. Call me if you need anything...

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