If you are starting to be a professional real estate agent, chances are right now; you have quite the struggle to be afloat on the business. With this age of technology, if you aren't into the trend, you might be far behind your competitors as technology can help you a lot in terms of influence and marketing. Not to mention that within the internet are lots of things that can help you financially, like cash loans and the like.
Speaking of finances, a real estate agent's income is based on the properties that he/she sells. The income can vary from time to time as there are seasons where you can sell a lot of properties, but there are also times when your sales are meager.
Your finances can be in a pinch when that happens, but when you know what to do in these trying times, you can stay afloat in the business.
Personal Finances
If you are working for your family, it is best if you save forty percent of your income for them. Don't fret, though, as this aspect of your life should be financed first as this is the most important.
It is also essential if you save some money for yourself. You can use the extra money for emergency purposes such as accidents and other situations that require cash immediately. Since the income of a real estate agent fluctuates from time to time, make sure to allocate at least 10% of your total income for this reason.
Work Finances
In this line of work, you will need money to invest in it as you will be spending time and cash to continue working. Treat it like it's your business, if you do everything right, you might get your money back tenfold, if things go smoothly, that is.
Now, why did I say that you will need to have money to continue to work? There are a lot of reasons, and one of them is marketing. You will need the help of technology for you to market a lot of your properties. Social media like Facebook and Twitter can significantly help you with advertising. If you aren't in the trend yet, chances are you will are already far behind your competitors. If you don't know how any of this works, now is the best time to learn. x
It's also best if you invest in technology. If you don't have a phone (assuming you don't have one yet), you need to buy one now. Phones will make you easier to contact when a potential client wants to look at a property. A laptop would also be useful if you're going to advertise your properties at the comforts of your home.
All of this requires money and is a good investment. You should fund this aspect of the job for at least 40% of your total income. 40% will go into your family; if you don't have one, you can allocate it to yourself for personal belongings and other properties while the additional 30% should go back to your career as an investment. The other 15% you can keep in the bank so you can gain interest in the long term.
Loans
If you need quick loans for various things like for a new phone, a car, or solely for personal reasons, you can apply for a loan. An installment loan is a reliable way to borrow cash if you are in dire need of it.
Also, the repayment is fixed, as well as the interest and the schedule, so you can budget your money easier. Be careful though, if you don't pay on time, you will have bad credit, and it will be harder for you to apply for a loan in the future.
Other Tips
There are tons of stuff you can do if you want to save money or budget the money as much as you can, after all, a real estate agent’s income has frequent changes and is highly dependent on the season. Money management is vital if you want to survive to be a real estate agent, and without it, you will not likely last more than a month.
You can be creative if you want to save money like buying unlimited and other call and text plans that are suitable for your work needs. You could also buy clothes that don’t wrinkle too much or not at all so you can save money from the cleaners. Also, you can paint your car white, silver, or tan as these colors require less cleaning so you could save money from going to the carwash.
For you to go along smoothly with your budget, what you can do is to track your expenditures. Take note of all your expenses up to the smallest detail. You can check for them monthly, and you will know how much goes to what. This way, you can see the products that you buy frequently and plan to save money.
Another tip that you can use is to buy long term products. This way, you can save money from buying now and then and instead use a long-lasting product. An excellent example of this is cellphones. Instead of buying a cheap phone that only lasts for up to two or three months, buy something that could last a year or two. Yes, it is much more expensive, but the amount that you spend on something that is not of quality can be more costly in the long run.
You could also take advantage of the tools that your company might give you. If your company has a website, you can use that website to put on ads to your properties to gain potential customers. Some companies provide free blogs, free advertising, and free marketing assistance if you need one, so make sure to use those too.
Takeaway
An income of a real estate agent can change from season to season. The business might be booming now, but will it stay like this in the future? This also means that your income will not remain as it is, so you need to learn to finance your money well to stay afloat. Things will be hard, so being prepared is always the right course of action.
Author Bio:
Tiffany Wagner has more than five years of writing experience under her belt. She's a master wordsmith for various websites with massive following that talk about finance, real estate, business, and lifestyle. When she's not busy running errands, you'll find Tiffany indulging in puzzle games, and Sudoku is her current obsession.
