Commercial real estate can be a profitable field for those who can thrive on the demands of this profession. For interested individuals, joining a real estate investment group can be a wise step to get their foot in the door and get access to a wealth of resources that independent agents might not have.
It’s important to get one thing straight, however: this industry is not for those looking for a quick buck without putting in the work. Real estate investing is an incredibly competitive industry, and you should expect to invest lots of time and effort to increase your chances of career success. There are certain duties, skills, and considerations that come with being a commercial real estate agent, and for the right candidate, this industry can be incredibly dynamic, meaningful, and rewarding.
Breaking into Commercial Real Estate
As a commercial real estate agent, you’ll be helping your clients lease, purchase, or sell properties that will be utilized for business purposes such as office or retail. You will be acting as a mediator, representing buyers and sellers. If you’re determined to get into the world of the commercial real estate, here are some steps you can take to kick-start your career:
- Keep a journal for your list of prospects
In the real estate industry, your network and connections are as valuable as gold. If you’re looking to make the jump into the commercial real estate, then it’s advisable to keep a journal that includes your potential leads, power players, business owners, real estate properties, and other information about clients.
For instance, do you have a friend whose brother is a doctor? You might want to keep it in mind for when they make the switch into private practice. Having a list of prospects will help you track down opportunities and take advantage of them as they arise.
- Let people know who you are
Once you have some prospects in mind, let everyone know that you’ve entered the commercial real estate industry. An excellent way to do this is to print out a fresh set of cards and to give them out at every opportunity.
Joining a real estate investment group is also an excellent way to begin establishing yourself as a commercial broker. Not only will you gain access to a broader network, but you’ll also be able to show the properties you’re looking to move, as well as meet interested parties or other people who can offer new leads.
- Get educated
You’ll also need a license to be able to work as a commercial real estate agent. Some states require candidates to get a specific number of hours toward courses. You should also expect to renew your license every few years.
Apart from a professional license, you should also be well-read and updated in relevant real estate news, trade publications, laws and regulations, and other pertinent information. Staying updated can be difficult when you do it on your own as many local regulations and rules may change without a moment’s notice, so be sure to explore your options.
Opportunities Await You
Just as in residential real estate investing, getting into commercial real estate investing presents huge possibilities.
- Income potential. You can make money off of commission. With commercial real estate dealings, you are more or less involved with well-moneyed clients, so expect the payoff to be huge.
- Limited operation hours. You need not work on weekends. Businesses usually have Monday to Friday operational hours, so you can only interact with them during this period. This is unlike dealings with residential clients, wherein you would be required to work weekends.
- Professional relationships. When you get into this business, you have a less emotional attachment, compared with residential estates. People who own commercial properties are not individual but small business owners. The relationship is more business-to-business than personal-to-business.
Get into Commercial Real Estate Investing!
Breaking into the commercial real estate industry might be tough, but with the right preparation, expectations, and readiness to work hard, it holds great potential for wealth and success. Finally, becoming a member of real estate investment groups like CIREIA can be an invaluable way to jumpstart your career in real estate investing. Each month, CIREIA hosts multiple classes on investing including one on multi-family investing that members are encouraged to attend. To learn more, feel free to reach out.