No one knows when the market will begin to decrease again - but there are some steps you can take to make sure you are comfortable when it does.
Real estate is an unpredictable market to be in, and any real estate professional can tell you that the market fluctuates almost daily. Even in its peak, you never know when it may flip upside-down again. So, how do you make sure that business keeps booming, even in an uncertain field of work? There are a few tips that you should always keep in the back of your mind:
1. Be prepared for change.
As the Boy Scouts motto goes, “always be prepared.” This could very well be the official real estate motto, too – as we stated before, it’s an unpredictable market. It is thriving now, but it won’t be forever. By preparing yourself for a possible market downturn at any second, you can ensure that you (and your team!) will still be comfortable even when the market tanks. By preparing now, you will be able to have a game-plan for the future.
2. Keep your confidence up.
When a market is struggling, clients get nervous – especially if they have just purchased a home, or they are in the process of trying to sell. By staying on top of trends and outside influences on real estate, such as new bills or taxes, you will be able to help clients to the best of your ability, even in a struggling market. Confidence is key, and by keeping your knowledge of the market up to par with the constant changes, you will be able to confidently help clients in any type of market scenario.
3. Guarantee stability for your team.
This may be difficult to do once the market takes a downturn, so do it now – by saving in the present, you can be comfortable in the future. Philadelphian broker Mike McCann was so economically tight with his business expenditures that he was able to assure job security to his team of 18 agents and 6 administrative assistants during the 2008 market crash. Because he only spent money on the necessities, the brokerage had enough saved up that everyone would have been able to keep their jobs for an entire year if they weren’t able to sell a single home – luckily, this was not the case, and business still ran smoothly (albeit very slowly) during that time.
The promise of stability makes your team feel safe – and it helps create a better environment for clients when your team knows that they can keep doing what they love no matter how the market sways.