Real estate in Italy is very lucrative. However, starting a real estate business is not as difficult or as important as having enough to sustain the business. If you are in the real estate business, you need to grow in it and make enough money. For growth, only effective growth strategies help you earn money. In this article you will find five effective strategies to grow your real estate business in Italy.
Returning a property means buying it and repairing it to resell it. House flipping is a major aspect of revenue generation for real estate agents. You can generate an additional revenue stream by helping owners flip their property or buy and flip for a higher profit. Usually, the profit made in one turn is not huge, but rather by flipping several properties.
While this strategy is guaranteed to cause huge growth, it comes with a lot of risks. To benefit from the effectiveness of this strategy, your purchase cost of the property as well as your precise estimate of the cost of the repairs must be lower than the market value. Also, make sure you know the After Repair Value (ARV) before buying the property as well.
Also note that flipping does not necessarily involve huge repairs or no repairs at all, you can buy at wholesale price and resell quickly or wait for assured appreciation of the property.
Locate a Pocket List
A pocket listing is off-market property and not listed on regular sites. They are hidden away and mostly belong to people who are no longer interested in their property and would like to get rid of them quickly. These owners may leave the country, go through financial difficulties, be divorced or simply no longer want a property.
There is a big payoff (return on investment) when you find someone who wants immediate cash for a property; this is because you are most likely to get it below market price/value. Since these properties are not displayed online with renowned advertising, it is usually more difficult to obtain them. Make sure to keep an ear on the ground because the information you need will come from the people around you and your other human connections.
For this reason, the place of networking cannot be overstated. As a real estate agent, try all possible ways to grow your network with other real estate agents, real estate wholesalers and real estate lawyers.
Properly organize the property you are selling, as selling an empty home can generate little or no productivity. An empty house can be a tough sell because the property has to appeal to the emotions of your potential buyers. Just as good advertising is essential to making sales in a general market context, it is also important to stage properties in the right way using the right platforms.
It would later be gratifying to consider bringing in furniture and other home accessories for perfect images in staging a home.
Strategic target marketing
In real estate, renting generally pays more than selling, even if it takes time. You can strategically target your growth to earn more money. One way to make money or help your client make more money is to rent a vacation. Although cash flow can be a huge challenge, the vacation rental market is a great investment.
When you own a property that you can rent to tourists with constant demand, the price of the property is low enough not to have a barren off season. Indeed, at the end of the tourist season, you could find yourself with more expenses than you made as income. Ensuring you earn enough in the right season or strategizing to earn money all year round is great for your growth.
To avoid running at a loss, learn tactically the cost of maintenance, repairs and management, as well as the risks involved and how you can maximize the return on investment.
Know-how before starting
Information is power and being a real estate agent requires professionalism like any other profession. Usually, becoming a realtor requires qualification, certification, and licensing. You can take exams and other professional training to improve your knowledge as a broker.
You need to understand what it takes to be a real estate agent before you venture into it. Unlike other types of work, you cannot learn while doing your job; you would have suffered more losses before recovering. However, the experience that comes with practicing your theoretical knowledge is broad and insightful. Watching others and learning from them is also great.
Real estate in Italy is a goldmine when explored properly. You can grow your business and earn more money by following the strategies provided in this article. Be grounded in real estate knowledge and become the best at your craft.