Are You Ready To Pivot In Your Real Estate Business Post COVID-19?

By
Services for Real Estate Pros with Get It Done For Me Virtual Services DRE# SL641317

Are you ready to pivot in your real estate business post for the new “normal”? 

 

The one thing that is for sure, the one thing that is constant… is change. 

 

We evolve all the time and over time. 

 

We came out of the dark ages, we evolved out of the industrial age, welcomed in the information age… and now... 

 

We are moving into the AI age. 

 

What do you do when you see the signs of the times coming around the bend? 

 

Do you study the market and prepare to pivot? 

 

Do you get the training you need and make moves in your real estate business to stay on track even as the economy and behaviors shift? 

 

You don’t want the train to leave the station and you are still on your horse and buggy. 

 

I will share some of the projections for our post-COVID-19 world and how you can shift your business to be ready for the opportunities that lie ahead. 

 

One thing is for sure. Millions of businesses closed down and millions of businesses will NOT be re-opening at all. More than 25% of the small independent restaurants will NOT be re-opening. These are among the economic fatalities of shuttering small businesses. 

 

At first glance, I would say… 

 

… I hope you are happy eating at Darden owned restaurants like Olive Garden and Red Lobster instead of your neighborhood authentic Italian cafe.  The corporate chain restaurants … most have their foods sent to them frozen in plastic bags and thrown into boiling water. That is how the soups are made at California Pizza Kitchen. YUCK! 

 

But I will look beyond the initial grief of losing mom and pop restaurants and see something better, more convenient innovation is the future of how we eat. 

 

People will stay at home and order in more. Cloud Kitchens are projected to be the next big hit and those who capitalize on this opportunity stand to make millions! 

 

The bar to entry is small so innovate mom and pops who jump on this will be mighty successful. 

 

Carvana was positioned at the right place at the right time. Tesla has been offering to buy your car online but Carvana has cars most people can afford. 

 

Carvana meets the needs of people shopping for cars. 

 

Conventional car dealerships will no longer be huge car lots with 1000 cars on them. Soon you will be buying your car online and automobile makers will produce cars as they are needed not making a ton of cars that just sit on lots. 

 

Car dealerships will deliver cars to you. You will test drive them for a week, then decide to buy or not. 

 

All that land being used for car dealerships will be up for sale and end up being used for a different purpose. 

 

 

Many office buildings will be vacated as CEO’s and COO’s realize how much money they can save; leasing expenses, office space, etc when their employees can work from home. 

 

These empty spaces will be innovated into higher and better uses. 

 

Prices will be crashing down. We see this already in gas prices. But you will see this across retail, real estate, and all sectors of the economy.  As long as the government stays out of the way… new innovation is going to disrupt the market with amazing things. 

 

When prices go down, more entrepreneurs with low cash savings can innovate and get into the market and create things we all need and want! How exciting is that!!! 

 

You will even see it in hospitals as President Trump signed an Executive Order that orders all hospitals to make sure EVERY patient can see the prices of the hospital services. NO hidden charges allowed anymore. 


This will bring the cost of hospital care way down. 

 

As you read this list think about how you can shift your real estate business to serve the needs in these sectors. 

 

Projected changes: 

 

1. Restaurants will vacate their spaces. Those empty spaces will be put to a different use.

2. Car dealerships as we know them will be reinvented and they won’t need all that land for their lots.

3. Schools will evolve into neighborhood learning centers and homeschool will be the norm.

4. College will mostly go online. The new generation will learn from YouTube and MasterClasses anything they want to become they can be, all free or for low cost.

5. Working from home will be the norm and it won’t be unprofessional when the kids come running in front of your live stream.

6. Commuting will be a thing of the past. People are enjoying smog free days.

7. Office buildings will become vacant.

8. Retail Malls will rethink their purposes and evolve into better use of space.

 

So there is your list. 

 

Do you see what is in common with ALL of those on the list? 

 

There is ONE thing all of these have in common = LAND! 

 

And what does have LAND have to do with you? :) 

 

How can you as a real estate salesperson service these landowners?

 

There are HUGE commercial real estate opportunities for you! 

 

Commercial Real Estate Opportunities 

 

Think about learning about commercial real estate. Take some certification courses for commercial real estate. 

 

Be innovative and start brainstorming about what are the best uses for the vacancies that will come up. 

 

 

Residential Sales Opportunities 

 

As people stay home more they discover what they don’t like about their current home. 

 

They begin to dream about their dream home. 

 

Many people will want to minimize their debt liability so they may want to downsize and pay off their mortgages. 

 

Families and couples will want to move away from urban centers and out to the countryside to start gardens and have large spaces for outdoor activities with small groups of family and friends. 

 

Since they also can work from home now, many people will choose a better environment to live in. 

 

Last but not least - the real estate market is going to crash. There will be a lot of listings to get. We offer the best Listing Marketing package for agents, check it out here. 

 

Short Sales 

 

The thing with change is there is always a ying and a yang. Those who will thrive and those who won’t. 

 

For many homeowners, who choose to not go into foreclosure, will need to do a short sale. 

 

The banks are offering 2 to 3 months of deferring mortgage payments BUT that is NOT always a good thing. The investors on the notes have the ultimate say on how those payments must be paid back. The bank you are making your payment to is only a servicer of your loan. 

Those deferred payments can be taken care of one of these ways: 

 

1. Deferred to the end of the loan which is the best scenario

2. Pay it back by having the payments owed added into your current payment making your new payment much higher. What if you can’t pay that amount?

3. Get a loan modification. Well, anyone who did a ton of short sales like we did, knows full well how that turns out for 90% of all those who apply! Not good… foreclosure… that is the end option in many cases.

 

Take out your short sale skills and sharpen them up! 

 

Foreclosures for Sale - become an REO agent or brush up on previous skills and certifications

 

REOS!!! YES, you heard that word again! 

 

Do a quality review on your LinkedIn Profile.

  • Make sure it is all updated with current best practices. 
  • Engagement and passing along sound information is key on LinkedIn. 

 

We can get your LinkedIn quality score for you. 

  • Connect with asset managers from banks and mortgage companies. 
  • Get your marketing plan dusted off and rebranded for post COVID-19 strategies and tactics. 

Side hustles - Get Your Plan B in Place 

 

Never put all your eggs in one basket. 

 

What are you passionate about? What are your hobbies?
What do you love to do in your ‘me’ time? 

 

Learn to become an expert on those things.

Start a blog and YouTube channel about your hobby or passion. 

 

There is so much opportunity on the internet to make money with hobbies and services. 

 

People are watching YouTube more now than ever before! 

 

I wish you all the best of life moving forward! Look on the positive side. 





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  1. Barbara Todaro 05/28/2020 03:26 AM
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Rainmaker
993,276
Thomas J. Nelson, Realtor e-Pro, CRS, RCS-D, Vets
Big Block Realty 858.232.8722 - La Jolla, CA
& Host of Postcards From Success Podcast

Interesting observations and predictions. Many of your changes listed seem inevitable. I don't agree with all of them as a blanket change, I see them more as regional and varied. People crave the company of  people, so I think a blend of change and tradition will be what we see. That was a big post, well done.

May 27, 2020 07:53 PM #1
Rainmaker
2,178,285
Patricia Feager, MBA, CRS, GRI,MRP
DFW FINE PROPERTIES - Flower Mound, TX
Selling Homes Changing Lives

Respectfully, everything you mentioned is nothing I haven't been hearing on webinars daily, especially foreclosures, short sales. Across the board things are changing rapidly and so much more to come. What hasn't been addressed are the factors unknown or in the making, children committing suicide (it was just on my local news about a 12 year old who committed suicide because the isolation and not being with friends was something he couldn't live with). Abuse is on the rise. There are parents who already adjusted their lives to work outside the home and never knew how to be parents because of all the organized extracurricular activities. Adjusting to run a business out of the home is now much harder on some than others. I don't want to sound negative but these things are already coming to fruition. The problem with the new normal is that it is not normal. 

May 27, 2020 08:52 PM #2
Rainmaker
5,332,524
Barbara Todaro
RE/MAX Executive Realty - Franklin, MA
Marketing Agent for The Todaro Team

Good morning, Katerina Gasset we must all blend into the state of the market at any one moment.... you've hit most of them.... and pivoting for some becomes a "BIG SPIN"....  I can relate to all of it.... and have pivoted many, many times.... it all begins with becoming educated "with the basics" and allowing them to develop as you "blast out of the gate and do business"....we all learn as we go....it's all part of the real estate business.... I love this post.

May 28, 2020 03:30 AM #3
Rainmaker
3,557,566
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

Good morning Katherine. The times they are a changing and the rest is up to you. Enjoy your day!

May 28, 2020 05:09 AM #4
Rainmaker
2,139,015
Grant Schneider
Performance Development Strategies - Armonk, NY
Your Coach Helping You Create Successful Outcomes

Hi Katerina Gasset - so much positive here.  The one phase that is very important is "as long as government stays out of the way."

May 28, 2020 05:38 AM #5
Rainmaker
1,558,396
Kat Palmiotti
406-270-3667, kat@thehousekat.com, Broker, Blackstone Realty Group - brokered by eXp Realty - Kalispell, MT
The House Kat

The car dealership/purchasing process would be an interesting change. That's one I hadn't thought of before. 

I don't think the residential real estate market will crash. People will want to downsize, upsize, renovate, and I do think there may be some second home owners who get rid of their second homes but otherwise, I think residential real estate is healthy. But time will tell!

May 28, 2020 05:59 AM #6
Rainer
213,079
Chad Felter
Virginia Beach, VA
Providing service through out Hampton Roads

Just the title of this post is a game changer.

"Post Corona Virus 2019" will probably be long after we are gone.

May 28, 2020 06:12 AM #7
Rainmaker
540,789
Abby Stiller
REMAX Realty Group - Cape Coral, FL
Professional Bilingual Realtor (239) 284-8637

Great post Katerina Gasset Well, I really hope we don't see a crash in the real estate market, but if that ever happens we need to be prepared and adapt to whatever comes with it. 

May 28, 2020 07:28 AM #8
Rainmaker
94,732
Leanne Smith
Dirt Road Real Estate - Golden Valley, AZ
Relocation to NW AZ with elbow room & more freedom

Let us not forget people buy from people they know and trust.Over the last two decades, I have observed all the "new sales" tactics, techniques, etc.   Yet at the end of the day, especially for the most significant purchase of a person's current life, buying totally from an online service will not address all the issues in buying a home.  Our role is to educate and guide buyers as well as listers through the sales process.  If we must pivot, that pivot should include connecting to the value drivers of each client.

May 28, 2020 07:30 AM #9
Rainer
267,706
Caroline Gerardo
Pinnacle Home Loans - Newport Beach, CA
C. G. Barbeau the Loan Lady nmls 324982

I agree with most but many parents who both work or are single parents really hated on the home schooling as it is very difficult. I do hear many talking about moving to the country. I believe we will see a hard and fast wave of foreclosures starting at Halloween and peaking in February 2021.

May 28, 2020 08:26 AM #10
Rainmaker
1,077,101
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

People are still infected and die daily. There is one elder gent I know who just passed away.

Just people fewer deaths are experienced, that does not mean people are run around act like children. Loot and set fire. Walking on the beach act like idiots.

 

May 28, 2020 09:18 AM #11
Rainmaker
1,077,101
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

As for realtors I am not aware many people are anxious to move out or move in. The awful economy can precipitate an empty Silicon Valley revert it back to Silly Corn Valley....

May 28, 2020 09:21 AM #12
Ambassador
2,214,049
MichelleCherie Carr Crowe Just Call...408-252-8900
Get Results Team...Just Call (408) 252-8900! . DRE #00901962 . Licensed to Sell since 1985 . Altas Realty - San Jose, CA
Family Helping Families Buy & Sell Homes 40+ Years

It will be interesting to see what is the new "higher and better use".

Vacant malls may become the new homeless housing.

May 28, 2020 05:59 PM #13
Rainmaker
1,823,622
Lise Howe
Keller Williams Capital Properties - Washington, DC
Assoc. Broker in DC, MD, VA and attorney in DC

We are all spinning like little tops as we try to digest where we are going post COVID-19 if we ever getbthere

May 29, 2020 04:25 AM #14
Rainmaker
3,621,495
Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

Hello Katerina - "Pivot" is an interesting word choice and one that, in one form or another, exists as part of the industry and our thought processes of life.  

May 29, 2020 07:47 AM #15
Rainmaker
2,731,789
Debbie Gartner
The Flooring Girl - White Plains, NY
The Flooring Girl & Blog Stylist -Dynamo Marketers

What a super post. So much opportunity out there. I think the key is focusing on those opportunities and those that want help and just ignore the naysayers.  And, yes, on my business, I've been pivoting (you kind of have to).

On April 18th, I made a new plan and started implementing and wow things turned out much better than I expected.  April was a record month.  May was projected to be way low (due to cut amazon aff, paused affil, low ad rates), but surprisingly, it's turning out to be one of my better months.

Also, yes, getting lots of home decor traffic (over 700,000 pv).  I do have a couple on home offices, but too much competittion there.

May 29, 2020 10:37 AM #16
Rainer
8,632
Kristina Davy
Lori Bonarek Realty - Coal City, IL
Realtor focused on Grundy, Kendall & Will County

Really hope that not all of your 8 'Projected Changes' occur, especially schooling but I'm sure some of these predictions will happen. I remain worried if majority of schools will be capable from a financial, technology and even teaching level to adapt to remote learning similar to the children taught in person.  Regardless, everybody including realtors need to be ready to change in today's world.

May 30, 2020 06:04 AM #17
Ambassador
2,013,260
Debb Janes EcoBroker and Bernie Stea JD
ViewHomes of Clark County - Nature As Neighbors - Camas, WA
REALTORS® in Clark County, WA

My son, who works at a large tech company in downtown San Francisco, was informed nobody returns to work at least through December 31st. They are all working remotely. Further, his boss tells him, he may be able to move back to the Pacific Northwest and continue his position remotely. Things are very different. We have been seeing a lot of traffic on our websites of late, and getting calls from new clients. We can still show homes, but with social distancing guidelines in place. Most people seem to be on board with it, and want to view the homes in person. 

May 30, 2020 07:13 AM #18
Rainer
575,723
Sham Reddy CRS
H E R Realty, Dayton, OH - Dayton, OH
CRS

Absolutely a great take on current situation including real estate!

I hope you are happy eating at Darden owned restaurants like Olive Garden and Red Lobster instead of your neighborhood authentic Italian cafe.  The corporate chain restaurants … most have their foods sent to them frozen in plastic bags and thrown into boiling water. That is how the soups are made at California Pizza Kitchen. YUCK! 

May 30, 2020 12:46 PM #19
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