If you’ve thought about taking advantage of the opportunities available in real estate management franchising, learning as much as you can about the industry can help you prepare for what’s to come. There are all types of factors that can affect your success, including shifting trends, time management issues, technology, and competition from big companies. Taking advantage of the real estate franchise opportunities available can be difficult at times, but doing your homework will put you on the right path.
Setting Yourself Apart
Big investors are starting to move into the real estate management business because of the enormous opportunities available, but you can remain competitive as a small or mid-size competitor by setting yourself apart. While the big guys have more money at their disposal, you can specialize in certain services and focus on excellent customer support in order to attract the attention of great clients.
An important part of setting yourself apart is having the right branding. You’ll want to think carefully about how you and your company are perceived by the public from the very first day you start your business. Real estate can be a very personal thing, so maintaining qualities that create trust with your clients will be crucial. Your brand isn’t just your logo, slogans, and other ideas you include with your marketing materials. It’s really about what you’re focused on accomplishing as an investor and how it can benefit your clients.
Where to Invest Your Time
It’s easy to get bogged down in the day-to-day operations of a management company, but as owner and CEO, it’s your job to grow your business, not handle mundane tasks like collecting rent and performing maintenance. From day one, you need to hire employees and put systems in place so that most services are taken care of without your direct input. That way you can put all your efforts into finding new clients and improving your brand.
As an entrepreneur, you know there’s never enough time to follow every opportunity, and this is especially true in the real estate management business. That’s why it’s important to focus your efforts on a specific type of client. For example, you may want to focus squarely on the suburban residential market, meaning you’ll need to turn away clients that don’t fit that niche. If you spread out too far, you have the potential to weaken your branding and not provide the optimal level of service.
Adapting to Current Trends
While focusing your efforts on a specific niche is the best way to approach real estate management as a franchisee, you don’t want to get stuck in a dying market when trends change. For example, selling a single-family home was very difficult following the financial collapse of 2008, meaning there were tons of management opportunities in that particular market. As demand for homes grew in the following years, however, it was normal to see a big decrease in opportunities. Don’t be afraid to make big changes to your business in order to take advantage of changing conditions in the market.
Building Your Company’s Culture
When you delegate responsibilities to your staff, their ability to get the job done right will be a big part of your success. Employees thrive the most in companies that have a positive culture. Ideally, you want the people working at your company to feel like their jobs are important, and you want them to have the tools and support they need to do their jobs well. Negative attitudes have a tendency to fester in environments where the boss isn’t particularly attentive, so make sure you clearly communicate the kind of culture you want your company to have.
Real Estate Management Technology
Traditionally, the real estate management industry has been slow to adapt to new technologies, but that is no longer the case. News tools and software are helping companies automate in ways that were unthinkable just a decade or two ago. In order to provide a competitive level of service in your market, you’ll need to implement new technologies into your operations. If you don’t, you may find yourself unable to compete with the big management firms in your area.