Whether rookies or vets, the real estate market is flooded with agents. In fact, the Association of Real Estate License Law Officials (ARELLO) estimates that there are close to 2 million active real estate licenses within the United States. Sure, this is great news if you’re in the market for a new home, but what if you’re an agent? Let’s face it: a crowded industry makes for a high level of competition.
While finding success in a competitive industry can pose a few challenges, it’s certainly not impossible. For starters, you have to set yourself apart from the get-go, and one of the best ways to do this is by focusing on a niche— a subset of the market on which a specific product or service is concentrated. Below are five different niches for you to consider taking advantage of to help you stand out from the crowd, and to take your real estate business to the next level.
For Sale by Owner Properties (FSBOs)
Many agents assume that FSBOs are a waste of time, but this couldn’t be further from the truth. In fact, these types of properties can be a viable option for rookie agents. When it comes to finding success with FSBOs, marketing is key. Use your marketing materials—American Lifestyle magazine, flyers, social media presence, etc.—to show homeowners how you’ll go above and beyond to sell their home.
If you’re fortunate enough to live in an area that appeals to vacationers, why not take advantage of it? Vacation homes can be an extremely lucrative niche market. Not only do the buyers have the funds, the home prices are typically more expensive than the average home. Use your local knowledge to your advantage, and show out-of-area buyers how you can find them their dream home.
First-time homebuyers are in desperate need of an agent! Not only do they have insecurities about the financial aspects, they also are unfamiliar with the home buying process itself—it’s uncharted territory. If you’re interested in going after this niche, consider creating informative pieces—a checklist, timeline, etc.—to help make the process as smooth as possible. Your homebuyers will certainly appreciate the extra effort!
It’s no secret that the majority of baby boomers are looking to downsize and as an agent, this presents a large opportunity for a niche market. However, it’s important to keep in mind that baby boomers will have a vast array of requests. From income constraints to special housing requirements, it’s important to determine what they need, and then tailor your services to meet their needs.
Thanks to HGTV, everyone wants to become the next Chip and Joanna Gaines, and this definitely isn’t a bad thing. The flipping house craze has provided agents with the perfect niche market. Investors will not only be financially stable, but not have as many requests as the average buyer. However, it’s still important to showcase that you’re more than capable of a quick transaction, and that you can find them the perfect house for any renovation.
Like any other competition, distinguishing yourself from the pack is a must. The next time you’re racking your brain for ways to set yourself apart, consider tackling a niche market and making it your own.