I’m considering going into real estate in boston, primarily focusing on rentals…?
General: what are some of the pros and cons about real estate, rentals in particular. And also I have heard commercial leasing/sales is the most lucrative. How are leasing commissions usually given in commercial loans, I know in residentials it’s usually a split of 1 months rent. Also what would you advise a newbie (I have had my re lisence for a year and a half but have not used it other than 1 summer very part time) looking to take a jump to self employment as steps to getting organized (health ins, taxes, learning sales and marketing techniques for my area, etc.) What 3-5 things would you recommend to a new agent that you wish someone told you.
Boston Rental agents: pros and cons to rental market in and around boston, what a typical day is like, what tips for interacting and finding landlords. Any tips on marketing the luxury buildings?
Also a general what books in real estate and sales had the best impact and information, but also kept it light enough to want to read.?
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2 comments
judy b on July 24, 2009 at 7:23 am
Real estate contact take time to establish. Get to know people in the business there and check it out. Don’t jump cold turkey in there. Be very prepared. You sound very bright .
Good luck and God bless!
Nevada Pokerqueen on July 24, 2009 at 7:23 am
My husband and I been in Real Estate in CA and NV for 30 years. We did sales and rentals. As a Property Manager, you can make money but you will earn it. It is not easy. Residential is the hardest, vacation rentals the next hardest and Commercial the easiest. When dealing with businesses things just flow.
With normal rentals you will spend lots of time in court and preparing for court on behalf of the owners of the properties.
Many do not pay their rent on time, you get squatters, you get damages, you get scam artists. Everyone wants a handout.
My suggestion would be to work as a Property Manager first for a few years. If you save enough money to get ahead and open your own office do it. The problem is when you open a Management firm you start from scratch building up accounts. It takes money to advertise and open an office and dont expect to many money the first two years. It is hard to make the transition.
If you can afford it, it would be better to buy an Office that is for sale already making a good income. And then pay it off over the next ten years. That is how we got started.
Many agents get their license and then quit their job to sell Real estate or do property management. They starve for the first two years or they can not make contacts to build their reputation in the community. And the larger the city the harder it is overall. Many quit and go back to work in their former jobs. Once they realize that they will split all commisions with the Broker (owner), and other side in a transaction they feel they are not making enough money. The commission can be slip four ways in many cases and the agent gets the smallest amount. You have to sell many houses to make a living in Real Estate. Where do you get your contacts? Cold calling, advertising (cost money), mailings (cost money), and word of mouth. The Real Estate Market is flooded with agents so you have lots of competition. With the recent boom came many new agents hoping to get a peice of the money. Agents also have to pay fees to their broker and they really add up. Like desk space, stamps, use of office machines like computers and copiers, and more.
My suggestion is keep your regular job and start selling part-time. Get your name out their and establish a territory. Learn the Management side and when you are ready jump in just make sure you have lots of money in the bank to carry you through.
Good Luck