Side hustles are nothing new in the world of work. What is new is that so many people have a side hustle now. Somewhere around 34 percent of the workforce, in fact, earn income in some way other than their day job.
Of course, there is always the question of what side hustle you want. For some, the answer is a real estate business. There are several potential in-roads to real estate.
Of course, if you’re new to the real estate industry, you may wonder how to start a real estate business. Keep reading for four tips for a successful business.
1. Pick Your Poison
A real estate business can mean a lot of things. It might mean you want to own a realtor firm one day. It might mean you manage investment properties for yourself. It can even mean flipping houses.
Figure out what appeals the most to you. If you enjoy working with people, becoming a real estate agent and then a broker might work best. If you like finding and renovating properties, flipping houses may work best.
If you want a more hands-off experience, focusing on investment properties will likely prove most satisfying.
2. Make a Plan
Once you decide what kind of real estate business you want, you need a plan. Traditionally, this means a business plan.
Even if you don’t look for investors, a business plan forces you to really think about the business in practical terms. You must consider things like:
- The market
- The finances
- The business structure
- How you’ll market
Pinning all of that information down lets you approach the process realistically. Beyond that though, you may also need a plan for doing things like getting your real estate agent license.
3. Legal Hoops
If you want a real estate business, you must make it official. You must form a company and register it with the state. Most people go with an LLC.
If you want to go the realtor route, you’ll need to get get your agent license, rack up the necessary experience, and get your realtor’s license. State governments keep a close eye on that kind of thing.
You will need some basic marketing in place as well. Think in terms of a website, social media presence, and likely some paid advertising as well.
If you get busy, you can look for real estate virtual assistants to help you manage everything from office tasks to basic marketing.
How to Start a Real Estate Business? Step by Step
Unlike so many side hustles, there is no fast answer to how to start a real estate business. Even simple real estate transactions move relatively slowly.
You must go into launching your real estate business with a plan that you take step by step. Maybe that means getting a license. Maybe it means finding the right investment property to buy and the right people to manage it.
Looking for more tips on running a successful business. Check out some of the other posts over in our Business section.