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Location: Moved to town. Miss 'my' woods and critters.
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In my area, most of us attended classes at the local community college. These classes do not explain nor help you become an agent. They assist in helping you to pass the state and federal tests. And, as been mentioned earlier, have as many meeting as you can with different brokers and talk with as many agents as you can. Each office is 'run' differently. I have worked out of offices where the broker was a sweetheart and couldn't do enough for the agents, as well as an office where the managing broker was capable of 'stealing' your clients due to long ago contacts and more horror stories.
By and large though, most brokers around here are decent, hardworking, HONEST folk.
You really have to be able to multi-task 24/7 and be available the same 24/7. You are never, ever sick, at the hairdressers/barber shop, partying, etc. Unless it is with one of your clients It is a rewarding business if you can stand some of the stresses of being quick witted, able to refrain from answering questions that you don't know the answers to, never, ever give legal advice, be able to smile through the tough times and not be afraid to always tell the truth.
And remember, you interview the broker, not the other way around. What can they do for you? Our instructor suggested that to the students many years ago. Guess it still applies I wish you well, you sound like you would be a great asset to this business.
Thanks for the well wishes. I purchased the First Year in Real Estate book yesterday - and I found a school near where I am moving in Connecticut http://aicirealestate.com.20.m6.net/pub/default.aspx. We move in two weeks - so hopefully I'll be able to start the classes as soon as we're unpacked. I'm afraid that if I get lured into another search marketing job - I will get complacent and never get around to doing something I really want to do. So I want to jump into the training right away.
Hi!I’ve found after blowing through megabucks on marketing the best way to get to a deal that makes me money is to spend a lot of time up front on determining what group are the highest probability motivated sellers to begin with. Once I’ve got those in my sights I can write a letter that’s tailored just to them and get a high response because of that. (I reckon direct mail is always the best bang for the buck.) I don’t have to talk to too many before a deal pops out because I’m only contacting hyper motivated sellers in the first place.
I’ve had the best success recently focusing on sellers with houses that have big 2nds that are in default. They usually have close to zero equity and the sellers can’t sell the house so they’re easy to pick up subject-to, and the 2nds are easy to discount down to $500 or $1000 because those lenders know they get nothing if the house goes to the foreclosure sale. It’s the best of both worlds for the investor, the house is easy to buy and the note is easy to discount and create a big gob of equity.
As far as the marketing being affordable it’s the ultimate. You don’t have a huge mailing bill because you’re only sending out 100 or so letters. But the letters are super focused. If any one of the sellers calls you, you “know” there’s a pretty hot deal on the other end of the line. Anyway, you get the idea.
Direct mail rules! If you want a resource on it check out Get a steady stream of Motivated Sellers calling you every day . It’s kind of old school but it’s affordable, and it tells you how to “think” to come up with your own marketing campaigns to get ultra motivated sellers calling. It’s how I came up with this marketing campaign and it’s rocking right now. I almost don’t want to post about it, but hey, you’re not in may market so, what the hell, I may as well help a fellow investor. I had people help me when I was getting started so ... may as well spread the love.
You are an independent contractor,ask questions to see how they would help you. You need good training.After a while,you can go to an office to see about a better split.
First, consider that it will cost you a good deal of money to get into the business and do it correctly. Second, as you are talking with people, think about what niche you would like to serve. There's first time homebuyers, families wanting to be in the best school districts, empty nesters, single women, new construction, the list goes on and on. As you explore the business in your area see if there is anyone who is known as the "go to" person for the niche you feel most comfortable working in. Also, you'll need to make sure the niche has enough transaction potential (# of deals) to support you.
Once you decide on your niche, find a way to build a database (using Excel works fine, but I recommend a contact management software program like ACT! or Goldmine) and fill the database with names and addresses of people who fit the profile of buyer you want to work with. Now consider this, the average person moves about once every 7 years. If you have 300 names in your database, statistically 42 of those people will be moving in any given year. 600 names equals 84 people, 1200 names equals 168 potential sales and you get the idea. Now, think about (or better yet, if you have any friends who fit the profile you'll be serving, ask them) what are the 4-5 most important things to a person in this niche when it comes to buying or selling a home. That's what you'll want to focus your marketing on - your ability to solve those problems or concerns. Since you are good at marketing, design six 6x9" postcards (use publisher or some program where you can save them as an Adobe .pdf file - that's what most printers require). Send them to a printer along with your database. Ask that they be sent out every month and charged to your credit card. You can repeat the same card 6 months aftger it went out. Make sure each card addresses a problem or concern your target group has, how you can solve the problem and as you get experience, state how you've solved it for other clients. This will be your lead generation program. Doing it this way is like having it on autopilot - you don't have to think about it - it just happens.
Find other ways to market yourself as well. If you serve young families, there are often free publications for parents that you can advertise in. Advertise in the local school phone directories, there are tons of options. Always remember though, they don't care about you - they only care about how you can solve a problem for them.
Also, go to all of the open houses in your market area that would appeal to your target audience. You'll need to get familiar with what you can buy for various price ranges. It may also help to find a mentor in the office you join. Ask the broker if they can partner you with a seasoned agent. You'll learn a lot from them but keep in mind, everybody does things differenctly. They all thought I was nuts when I started a company focused on one niche market.
OK, I've got to get back to work! Best of luck to you!
What are some of the expenses involved? For example - if I"m working with a broker - am I responsible for paying for advertising, signage, etc. I guess any open house refreshments, that sort of thing would be out of pocket? What else?
some brokers make you pay for all advertising costs, some pay a percentage, some pay a portion (it depends on the broker and their commission package). Same holds true for signage. Additional costs include: various dues for being a realtor (like mls dues, realtor dues, national association dues - i believe some are quarterly dues and others are yearly dues) also if you want to have your listings enhanced on realtor.com that will cost you extra. as a newbie most brokers have a 50/50 split for commissions (you take 50% of it and give your broker the other 50%) also your broker might charge you an additional "administrative fee". some brokers charge a percentage for using office supplies (they're called desk fees - yup you'll get charged for using the desk, phone, fax machine, copies, etc).
that's all i can think of right now. i'm sure there's more.
The most important thing is to go with a broker that has a good in-house training program. Your classes only prepare you to pass the licensing test.
You still need to learn how to apply your knowledge in the real world.
As for expenses, this varies from company to company. Remember, you are an independent contractor (self-employed). You do not make any money until you close on your first home. You will need to put out some cash before that happens.
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It is a rewarding business if you can stand some of the stresses of being quick witted, able to refrain from answering questions that you don't know the answers to, never, ever give legal advice, be able to smile through the tough times and not be afraid to always tell the truth. 
