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Finding Your Niche As A Real Estate Agent Takes Some Research.

By
Services for Real Estate Pros with NDORSOnline.com

A lot of Real Estate Agents are wanting to find their niche without loosing money and time.

If you take the time and do the research the rewards can be great.

Your niche market should be based on what you like and what you are willing to deal with.

One way of fining your niche market to see what price range is selling and has been selling steadily for at least 5-7 years then you have somewhere to start.

Choosing the price range you want to work in will determine the types of people you will be working with, so you must understand their needs, and your personality needs to match that demographic.

Once you find the price range you would like to focus on then locate areas where there are a lot of renters that have a median income that can afford the price range you chose to work with and market your services to them. They will buy eventually, and if not they will at least have your information to pass on.

To avoid wasting a lot of time find apartment and towhome communities that have certain rent ranges, and find the rent range that when broken down into a mortgage meets or comes close to what the mortgage amount would be for homes in the price range you have chosen to work with. This way you have a great leverage when approaching your market because you can actually show them how what they are paying in rent can be paid towards owning a home.

Comments (5)

Susie Leavens
Cornerstone Real Estate Company - Keystone, CO
I agree...finding a "niche" is good, and that is what I've done.  I focus on resort real estate, although I don't break that down into price ranges.  I work with all resort buyers and sellers.  They definitely have different wants and needs over the typical residential buyer/seller.  Most resort buyers and sellers in our area are "non-locals" and depend heavily on the local brokers to "know their stuff".  Many resort buyers are interested in properties with short-term rental potential.  Then, there are the 1031 Exchanges for buyers and sellers alike, etc.  Selling a resort property long-distance can be challenging for some sellers, but again, that's where I come in (and other professionals like me).  Finding buyers and sellers isn't a local exercise, it's far reaching and the internet is a great resource for everyone in that regard. 
May 06, 2007 10:14 AM
Rich Schiffer
Swarthmore, PA
Referral Agent, e-PRO

This is all very sensible.  You seem to be defining "niches" relative to the product, though.  I prefer to look at "niches" relative to the consumer.

Examples of Product-Based Niches:

  • New construction
  • Historic Homes
  • Waterfront Properties
  • "Off-Grid" Homes

Examples of Consumer-Based Niches: 

  • Senior Citizens
  • Newlyweds
  • Horse Owners
  • Professional Athletes

The product-based niche requires knowledge and expertise regarding a particular type of home.  The consumer-based niche requres understanding the needs and mindset of a particular type of buyer.  To me, the consumer-based niche is harder to get established in, but will tend to be self-perpetuating, and more rewarding in the long-run.  Horse owners hang out with other horse owners, for example, and you will get referrals from them.  Professional Athletes, likewise, and they are more likely to move because of relocation (traded to another team) and you will get to resell the house when they do.  Newlyweds and other types of 1st time homebuyers are also more likely to need to upgrade to a larger home sooner (new baby on the way, etc...) and will also have a lot of friends going through the same experience.

May 06, 2007 10:15 AM
Andrea Harrell
NDORSOnline.com - Smyrna, GA

Thank you for your responses. The points you mentioned Mr. Schiffer were supposed to be in the post but I thought I was doing a draft and ended up actually posting. I am a little new here but I am getting the hang of it.:)

May 06, 2007 11:01 AM
Greg Cremia
Shore Realty of the Outer Banks - Nags Head, NC
A niche is also a hole in a wall that you can get stuck in.
May 06, 2007 12:03 PM
Andrea Harrell
NDORSOnline.com - Smyrna, GA

Only if you allow yourself to be stuck. You can have a niche and still accept other real estate offers if you choose to do so. A niche will never stop a driven, resourceful person. There are many multi-million dollar niches out there and the arena is still growing.

Just my thoughts. 

May 06, 2007 12:16 PM