In this current climate of economic crisis due to the Corona Virus Pandemic being a real estate merchant can be hard. But the fact that the world has gone online could benefit you immensely. There are so many online business models for real estate that could see you boost your profits rather than seeing the online world as a threat.
If you’re interested in taking your real estate business to the next level then read on for some of the best business models going forward.
1. More Clients and a One-Off Fee
Did you know that real estate agents can run their business entirely remotely now? You don’t even have to meet the buyer or the seller to act as their middle man.
You can send all of the documents for singing over the internet. You can even encourage your buyers and sellers to engage in virtual house viewings. As for inspections these can be carried out by trusted in locals in each state or county.
What this means is that, as an estate agent, your client base is no longer restricted to the area in which you operate. In theory, this means growing your list of potential clients. In the past, the problem with this was that not everyone was using online real estate agents. There were many people who preferred to use local in-person agents and so you would always be at a disadvantage.
Now, for the foreseeable future, all business must be carried out online. There is a huge advantage here as people now have no choice but to use online real estate agents to buy or sell their homes.
One-Off Fee Vs Subscription
One real estate business model is that you charge each buyer and seller an up-front fee for the complete service that also includes a virtual viewing and all of the paperwork is taken care of.
An alternative to the one-off-fee model is the subscription model. For more information on this be sure to read this subscription billing guide that could help you succeed.
2. Become a Consultant
In this economic climate, everyone wants some expert advice on what they should do with their property. Is now the right time to invest? Should you sell up now? Or should you wait to see the full extent of the Corona Virus recession, if it materializes at all?
If you are a real estate with years of experience then you could consider becoming a consultant. You could slowly pivot towards consulting at the same time as continuing your traditional business or you could try your luck at consulting full time.
There will be many media appearances to take advantage of as networks and business journalists want to understand the full impact of the pandemic on the housing market. Many of these networks will pay you a fee to be on their show. But the publicity provides you with a new opportunity to build your brand and reputation.
From here you can start to charge private clients like landlords and businesses by the hour or an upfront fee. You can advise them on how they should manage their portfolio going forward.
3. Make Money On Adverts and SEO
Many people use the big sites to buy and sell a property and a rare few go by adverts they see in newspapers. An increasing number of people also look at adverts on Facebook Market Place. But some real estate agents are going it alone and advertising their properties on their own websites.
This is a viable business model that can be combined with the flat fee or traditional commission-based route. As well as making money directly from sales you can also make money indirectly by boosting your SEO ranking and increasing ad revenue.
If you get good at SEO and blogging you can start to rank on Google and get noticed on the web. This will boost traffic to your site and increase sales and ad revenue. If writing is not your strong point then you can hire a blogger to do this for you or an agency.
The Power of Social Media
Don’t underestimate the power of social media in this new digital era of real estate agents. Having a good Twitter feed where you not only advertise houses but also other interesting content can boost your traffic to your site. Instagram is also another great tool as it’s an image-based platform, perfect for showcasing people’s homes to potential buyers.
All of these sites work in tandem with each other. The more followers you get on Twitter, the more traffic you can drive to your website and blogs. The more traffic you get on your blogs, the higher the ranking on Google, driving traffic, clicks, and sales further, increasing both streams of revenue.
Online Business Models For Real Estate Work
Real estate agents have much in common with lawyers. They are both age-old professions that go back hundreds of years and this creates the sense that they are stuck-in-the-past. However, the real estate business is at the forefront of a new era. If you can disrupt the old order and dare to do things differently then there is the potential to make a lot of money.
With people confined to their houses for the foreseeable future and social distancing set to continue for the rest of the year, now is the time to adapt and set up an online business model. There are so many types of real estate business models that you can find one to suit you.
If you are interested in reading more about online business models for real estate or business models examples then be sure to check out the rest of our site.