Success Tips for Commercial Real Estate Brokers

Some real estate agents fail in commercial real estate brokerage and they do so rather quickly due to a lack of focus and the right personal development.  That doesn’t have to be the case.  If the right personal skills and focus were developed early in their careers, results would come a lot easier to most of those agents.

We should define what ‘results’ are now so that this important topic can be handled and solutions set.  Results for most commercial real estate agents are defined in the following terms:

  • Quality exclusive listings
  • Better market share of controlled listings within their sales territory
  • A good database of clients and prospects
  • Referral business from existing clients
  • Closed deals in sales and leasing
  • Growth in commissions

The agents that struggle in the industry usually have weaknesses in most if not all of the categories.  Scary isn’t it?

Most of the agents that drop out of the industry will do so inside the first twelve months of their career; or they will move brokerage a few times to extend their ‘stay’ in the industry for a couple of years.  If those agents had taken the time to develop the right levels of personal focus on growth of their business, things could have been a lot different.  This focus should have started immediately a person enters the industry.  The ‘clock is ticking’ as they say.

In the industry it is not so much a matter of an agent doing a lot of things each day to stay ahead of the demands of the job, but rather doing a few things extremely well that will help drive more business and market opportunities.

When you break down the real estate agent or broker role into categories or skills you will see a list that looks like this:

  1. Researching property owners, business leaders, and property investors to talk to
  2. Prospecting within those groups for potential new business and listings
  3. Presenting and pitching for listings and sales and leasing opportunity
  4. The listing process with a big focus on exclusive listings
  5. Property inspection skills across specialised market segments
  6. Marketing skills to reach the target audiences for each listing directly and effectively
  7. Negotiation skills for the property type and the location
  8. Closing skills and the accurate documenting of sales and leasing deals
  9. Building positive and valuable relationships with clients and prospects for the long term

If there are problems in any of these areas they will impact the success and momentum of any agent. That is where training and practice comes in very handy.

If you look at the list again and consider the factors involved you will also see that items 1 to 4 are likely to be far more important than the others.  Most agents fail in the industry because they do not focus enough on those four items and systemise their prospecting and pitching relevance for new business; they then struggle with building market share and any relevance as a real estate agent.

It is a fact that most towns or cities have an abundance of properties to list and many agents or brokers to provide those services.  The best agents win a larger slice of the new listing business simply because they are so good at items 1 to 4 in the list.  Are you up to the challenge?

A Success Guide in Commercial Real Estate Brokerage

When you start your career in commercial real estate brokerage, there are many things to consider and action.  The first six months of personal activity and learning will be really important to setting the foundations for better listings and market share.

One thing needs to be said here; most of the valuable listing and commission business will only come to you from personal effort and actions on a daily basis.  Very little comes to you from the agency that you work for.  It’s a personal thing.

So what is the overall rule here?  You must know a lot of ‘property related’ people and they must respect you as a top agent and skilled business person.  From that point onwards you have something to work with.

To achieve this basic rule and strategy, a personal plan is required that you can keep to and use as a basis for growing market share.  Here are some tips to help you get started in your career as a broker or real estate agent:

  1. The first six months of your career must be planned so you can get to know your market in all ways possible.  The best people in the industry are skilled and specialised.  Focus your efforts into a property type and a precinct.
  2. Review your area comprehensively.  Look for information and trends about sales, leasing, prices, rents, new developments, and property owners.  Check out the properties that are selling and leasing and the results that they are achieving.
  3. At the earliest possible time, start prospecting and talking to new people.  It will be difficult at first, but practice and action will help you improve in many ways.
  4. Some properties and precincts will have more activity than others.  It is useful to understand where the property deals are happening and why that is so.  Soon you will see the types of properties that are likely to produce better deals and commissions over time.
  5. Computer technology and online tools today can help us a lot when it comes to communicating and tracking what we do.  Use a variety of tools that can keep you organised and detailed on things that matter.
  6. Set some targets that you can track.  What are your expectations regards commission income, listings, clients, meetings, and market share?  To know those things you will really have to research the local area and understand exactly who and what you are up against.  Your competitors will be doing things now that may attract the deals and the clients their way.  If you are going to compete, a strategy should be built from ‘current market conditions’.

Given all of these things, do you know what your ideal client looks like, and where they will be coming from?  Do you understand how you will attract those clients to use your services?  Build your skills in all ways possible.  You will find that the top agents of the market have exceptional skills in certain things.  Decide what you will need to do to reach that level of domination.