If you’ve always desired to become one of the many successful real estate professionals, now may be the best time ever to establish a home business related in some way to real estate. Why? Because, believe it or not, experts agree that the current economy presents unparalleled opportunities for entrepreneurs to start home businesses. Furthermore, the real estate industry offers many potentially lucrative opportunities for entrepreneurs.
The Classic Real Estate School wants to help you start out on the right foot, so let’s begin with a look at some specific career opportunities available. Here are some business ideas related to real estate that are nicely suited to a home-based venture:
- Real estate agent
- Real estate photographer
- Real estate marketer
- Real estate blogger
- Real estate app developer
- Property manager
- Industrial cleaning service
- Local moving company
No one disputes the fact that there’s a lot of money to be made in real estate. For instance, Starter Story reports that a home-based real estate agent can potentially earn $4.2 million per year. If a home-based moving company is more to your liking, your potential annual earnings could be as much as $1.38 million. If your aptitude and predilections run more toward computers, you could earn upwards of $828,000 annually developing real estate apps.
Your Home’s Suitability
Keep in mind that operating a home business is considerably different than merely working from home. One of the most important considerations is whether your current house lends itself to serving as your company headquarters as well as your family’s home. At the least, you’ll need a room dedicated to your home office. Trying to run a successful home business from the corner of your kitchen or basement opens you up to too many distractions. Other considerations include:
- Do you have a separate entrance where your clients or customers can come and go without disturbing your family?
- Are your driveway and sidewalk wide enough and flat enough to accommodate disabled clientele?
- Is your neighborhood zoned for home businesses?
If you discover that your current home cannot sustain a home business, Key Inspection Services points out that it’s important that you work with a real estate agent when you go about finding a new home that will. Why? Because real estate agents receive insider information on properties that are available. If you’re considering entering the real estate industry yourself, working closely with one now also gives you the opportunity to discover up close and personal the ins and outs of the business.
Real Estate Licenses
While many real estate-related home businesses require no special training or licensing, becoming a real estate agent does. At the least, you’ll likely need to do the following:
- Take a pre-licensing real estate course
- Pass your state’s real estate licensing examination
- Apply to your state’s real estate licensing board for a license
- Pay the necessary licensing fees
Establishing Your Business
Whether you begin part time or full time, the following steps are necessary to establish your home business:
- Choose your business structure.
- Choose your business name.
- Register your business with your state.
- Obtain your federal tax ID number.
- Get all required licenses.
- Open a business bank account.
When it comes to business structure, forming an LLC for your business has several benefits (e.g., limited liability, tax advantages, less paperwork, flexibility). States have different regulations around forming an LLC, so check the rules in your state before moving ahead. If you’d rather not do the legwork on your own, you can avoid hefty lawyer fees by using a formation service.
All in all, once you have the right place for it, establishing a real estate-related home business offers you great opportunities to satisfy your entrepreneurial urges while making a good living. To get started, connect with the Classic Real Estate School for more information, instructor led courses, books, and much more!