When it comes to real estate investing (as an agent), there are really just two games in town: residential and commercial. The first one can be a good entryway into the industry – especially since knowledge of it is a commonly-cited suggestion before delving into the commercial side. Of course, residential real estate has far more applicants; whereas commercial has a much better chance at securing cash flow and providing superior returns due to the diversified nature of the risk and the plenitude of clients. Here, we’ll focus on a handful of things you can do to better your prospects as an agent in commercial real estate.
- Get a CRE License
In fact, commercial real estate and residential real estate agents have the same license, which is a requirement in the state of practice. To get one, you’ll need a high school diploma, background check and meet the minimum age.
After the above minimum you need to pay for dozens of hours of pre-licensure classes; the exact number varies by state. Once you pass the exams – which are very important for your record – you will receive a real estate license from and for that state.
- Locate a Commercial Real Estate Firm
It’s preferable to dive right into the deep end of the pool if CRE is your field of choice; therefore, make sure to look specifically for a commercial real estate brokerage. This will allow you to build up crucial experience, working alongside veterans in the competitive CRE market. Of course, an added bonus is the fact that residential real estate will be attached to this, so you can always transition if you like. One major advantage, however, of getting with an exclusively CRE brokerage is the paid training (usually) for newcomers.
- Attach Yourself to Professional Organizations
These state-level organizations are as valuable as gold for getting your name as a commercial realtor out there in the field. The networking opportunities are simply invaluable, and an essential tip once you get your real estate license. Your professional credibility will be significantly enhanced by joining a reputable professional real estate organization.
- Choose a Specialization
This has both practical and psychological benefits. On the one hand, you sharpen your focus by narrowing your efforts to master one subfield; on the other hand, when prospective buyers are out looking for a real estate agent, they often employ specializations in their search queries. For commercial real estate, the specializations run the gamut: laboratories, industrial, retail and office buildings, warehouses (and more).
- Implement a Marketing Strategy
A major aspect of this is listed just above: choose a specialization. This will help you formulate specific ways to target clients, based on the properties that comprise your area of expertise. Additionally, joining professional organizations automatically aids you with lead generation.
Contact Commercial Capital today to explore financing options for your property improvements.