Here’re 6 hacks to develop commercial real estate expertise fast
When you talk to every top producer in CRE, the #1 thing you will quickly learn is that they all have an in-depth knowledge of their market and the asset class they are working on in that market. The ability to learn your market used to take years of experience, but no longer. Historically this knowledge would be gained from deals done under your belt and spending hours in that market learning everything you could just so you could hold a conversation with potential clients. Today, you can learn your market at a much more accelerated pace with the help of technology. Here’s what to do.
Master Market Knowledge
Before you even pick up the phone to start cold calling you will need to have an in depth knowledge of your market, take the time to get online (Costar, MLS) and see what is happening in your asset class in your market, learn the average asset size, days on market, average listing price, average sales price, vacancy rates, if there are concessions (depending on asset class), current listings/inventory, historical inventory, Average TI allowances, economic factors that are influencing demand or stagnation, and any other key metrics that your clients use.
Boots on the ground in your market is also something you need to do almost immediately, getting into your market place and speaking with individuals that live and work in the area will help you gain information that more often than not you cannot find online. A plus is that now you know someone in the market, so be sure to capture their email so you can add them to your email list. Many of the large CRE brokerages (or your brokerage) put out monthly/quarterly reports, be sure to sign up to receive them as there is almost always some great data in there for you to pick up. Sign up for your competitors’ reports too… It’s always good to know what your competitors are pitching so that you can pitch around them.
Network Intentionally
I was very slow to get started with attending industry and community events, but I now know this will give you a huge leg up in getting to know your market. You will meet people that are working within the community that you desire to be in. Just ask questions and listen. The amount of inside information that you cannot find anywhere else will come from within the community: they can speak to people that are moving into the community, wanting to relocate, or even expanding their business. The way you gain their trust and their willingness to give you this information is by being present in the community on a regular basis, face time is a must. Also network with others that you can refer one another business; C.P.A.s, Financial Advisors, Real Estate Attorneys, etc..
Build Communication And Negotiation Skills
Developing your communication skills is a must, the better you can articulate complex information to clients, understand their needs the more likely you will be able to gain peoples’ trust.
Work on your negotiation strategies with a focus on active listening, empathy as well as creative problem solving. There are countless podcasts and YouTube videos that can help you gain a solid path to becoming a great communicator. Here are a few interviews that I believe were very helpful in honing your communication and negotiating skills.
How to Talk to ANYBODY by Best Selling Author Derek Borthwick
How to Consciously Communicate and Change Your Life Jem Fuller
How to Get 93% Success Rate in All Negotiations | Chris Voss
Utilizing Planning Systems
When I was getting started, I carried around a day planner that had everything in there. Looking back at those times, I am truly not sure how we got everything done. The technology we have today is such a time saver and efficiency creator I would have loved to have had access to these systems in the beginning. I use a CRM that helps me manage my time, keep track of leads, keep me up to speed on transactions.
A big plus is that I am able to nurture client relationships more efficiently, and of course not forgetting to follow up. I was reading an article last week which claimed that top producing agents use their technology two more time than other agents use theirs. If you want to get to the top, having these tools and utilizing them will be a huge advantage.
Gain Practical Experience
Don’t be afraid to ask senior brokers if you can join them on showings/presentations, listen to them on some calls, ask them questions they feel you should be asking. All they can do is say no - Well, then you move on to the next senior agent!
Never Stop Learning
Every morning I log into CoStar news, globest.com, Bisnow.com, Plainvanillashell.com, Yahoo Finance, and many others including local news so I can stay informed on what’s happening across the country as well as in my immediate market. It keeps me up to speed on the markets and trends. This not only helps with daily conversations with clients, but also creates great talking points to potential new clients. When the opportunity comes for you to keep up on the changes to the tools you are using in your business you need to take the time to see the updates as it may very well be a too, that will increase your business exponentially.
The commercial real estate brokerage business is a great community to be a part of. There are opportunities for you to create real wealth, you just have to be involved and ask questions. This blog is meant to help you get on track to a great career so don’t hesitate to comment and ask questions!
