When I mention highly profitable niches for real estate agents you may have a few things come to mind right away. Maybe golf course homes, high end gym members, or big wigs at a law firm. But there are many, many more niches that any real estate agent can tap into and become THEE expert real estate agent for.
NEW HOME SALES
This is a particularly profitable niche that I was able to tap into as a new real estate agent. I had a background in new construction sales, so that was a natural Segway. But anyone can get into new construction, really. You just have to be willing to work in a VERY competitive and tough market.
You see, in the new construction arena there are rules that apply that you may not be used to in existing home sales. There are new roles that you may not be aware of. And it’s best to dip your toes in before selling the farm or putting all your eggs in one builder’s basket.
Before I talk you out of this niche, (because I’m honest with you always and I just don’t want to lead you astray)… let’s talk about the good things and how you can get in on it! New home sales is a niche that’s highly profitable because if you can align yourself with one builder. Then you are their exclusive builder rep (the only real estate agent selling their new homes) then you my friend have got yourself a listing machine.
Literally, as fast as the builder wants to get them up you’ll have listings. But there’s a catch… you have to sell their shit! And a lot of it! The builder may put up a model or two for you to sell off of, which is great! But if you don’t have lots of new prospects coming in to meet with the builder about custom homes then you will be fired.
But if the good life is what you want to live and you can sell the heck out of new model homes then read on my friend. See which builders don’t have a Realtor listing their model homes. Find a REPUTABLE builder that’s flying solo. Then simply ask them if you can hold their models open on the weekends. No strings. No contracts. Just offer to hold open houses for them.
Trust me, the last thing a builder wants to do on the weekend is sit in a model home and sell. Once you’ve gotten your foot in the door, spend some time with the builder to see how they do business. If you think it’d be a good fit then prepare a marketing presentation, (a plan for how you’ll market his models) and ask for a meeting. If they say no, sell a model or get him an appointment with a new prospective client and then his tune will change.
This is an obvious profitable niche for real estate agents to tap into. But most agents have no clue how to properly tap into the circle of high end home owners. While most agents focus on price of properties when targeting this niche they neglect to pay attention to the interests of those home owners.
And let me tell you… they VARY! Instead of choosing a niche based on JUST value of properties choose a micro-niche that narrows in on certain people that own luxury properties. Let me explain. If you can zero in on a common hobby or interest that lots of high end home owners have then there’s your in! You’ve got a topic of conversation, a way to break the ice, and a way to connect with them on a meaningful level.
Find a micro-niche within the luxury property arena and really try hard to give them content that’s relevant to their hobbies and interests. You’ll stand out among the SEA of other agents also marketing to luxury home owners.
VERY SPECIFIC HOBBIES
Zeroing in on a niche that’s centered around a certain hobby or interest will do a few things for you. First, by focusing on what your audience actually likes enough to spend their personal time doing, your marketing will actually be seen and heard. Catering to their interests will help them identify with you and it will create report right off the bat.
Second, if you choose a profitable niche like this and make sure it’s aligned with YOUR OWN hobbies and interests, you’re going to fair much better. You’ll find it much easier to create useful and relevant content to market to your audience. Plus you’ll enjoy working with these people much more if you truly do share similar hobbies and interests.
The more specific you can get with this one, the better. You can really dive deep into a teanie-tiny niche and if you really do create true relationships with those people, no matter how small that niche is – they refer you to their networks.
TYPES OF HOMES
This type of niche can be very interesting to get involved with. If you have a passion for architecture then I would highly advise researching the possibilities of a niche like this. My town for instance has many historically registered homes and our city is built around the world renowned Mayo Clinic. That my friend is one profitable niche for real estate agents to tap into.
If your town is similar or you find that there are lots of town homes or other styles then find out when the first ones were built. Research the special maintenance requirements for them. And push relevant and helpful content to those home owners. Most of them will take great pride in their home’s unique style and will identify with someone else who shares the appreciation for their home.
This is a profitable niche for real estate agents because if you can list their home you’ve got two or possibly three commissions coming your way, because they’ll need to move into a smaller home.
And they are most likely retired so they are very social. Word of mouth goes around quickly in this group so it’s like your marketing efforts are tripled! They respond well to direct mail so keep that in mind when creating your marketing plan for a niche like this.
This niche is easy to find using demographics in Facebook. You can simply create ads targeting a certain age group and push your posts to them. Or if you know there’s a neighborhood that’s highly saturated with empty nesters then canvas the area. Make sure you’re giving them content they actually care about and on a consistent basis.
HIGH TURN OVER NEIGHBORHOODS
This is an easy one to find if you can move around smoothly in your local MLS platform. Simply research which neighborhoods have had the highest number of sales in the past few years. If the turn over rate is high then consider it a very profitable niche.
This is another one that’s great to target because if it’s a high turnover neighborhood that usually means they are moving up and purchasing a home of higher value. Again this means you could be working towards two or even three commissions from one seller.
Before committing to a geofarm this is the metric agents will measure to see if it’s a profitable area to canvas. And if the turnover is truly high then you’ll want to start dripping content on this audience as quickly as possible. Your content needs to be helpful, specific to that neighborhood, and consistent. If you can become the expert on that neighborhood it could mean 10 or more sales per year. How’s that for highly profitable?
Related: Identifying Your 3 Strongest Niches
One of the easier niches to target is one of a certain occupation. I’m not just talking doctors, lawyers, and dentists here. You can target your spouses co-workers which would be a great warm lead source anyway. Or if you came from a particular occupation prior to starting in real estate, you would know more about their interests than anyone else and could connect with them on a deeper level.
Once you find your profitable niche, it will be VERY easy for you to target your audience. The capabilities of targeted audiences within the Facebook Ads platform is scary good. And just plain scary if you ask me.
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