If you are thinking about starting a career in real estate then the first step will be to gather as much information as possible on what it actually is. Real estate is real property consisting of the actual buildings and land on it, plus its accompanying natural resources like water, minerals or plants; and an intangible asset like the land itself. There are many sub-specialties within the real estate as well. These include commercial real estate, foreclosure investing, landlord and tenant, government subsidized real estate and residential real estate among others thep ma kem.
As with any business, there is always the need for a business plan. A real estate business plan is an integral part of the entire process and must be carefully planned, formulated and well executed. Even if you intend to work with a real estate agent, broker or wholesaler it is still advisable to prepare a business plan yourself. Your plan should include all of your projected profits, your time line and scope, and how you will use the funds to fund your projects.
Your business plan will also include the smart goals that you wish to achieve within the real estate business. Smart goals will help you keep focused and motivated while also being able to clearly define what you will not do. The key here is that you must set goals that are specific enough to justify investment. If you are opening a brand-new condominium in a niche market then you will obviously not want to open a building that is a cookie cutter type of structure designed to meet every need of a single family.
Once you have a business plan in place, it is important to get started on the planning process. The first thing you want to do is draw out your project. How large of a building do you envision and where would you like it to be? Are there any particular features that you would like to include such as open space or even a green roof?
Next you want to figure out your target market. In a real estate investment business you have many possible competitors and there are some people who will never buy from you because of their specific tastes or needs. To identify your target market, look at what your competition does and how you can better serve them. For example if you are selling residential property then it is probably not a good idea to cater to retirement homes or vacation homes. It may be a good idea to concentrate your efforts on areas that have high foreclosure rates or areas where a high number of foreclosures occur.
Finally it is important to contact your local Small Business Administration office and get the necessary information for applying for a tax identification number. You will also need to get business licenses and permits to operate as an independent contractor. If you are planning on investing in real estate, these are all very important and should be considered prior to investing any personal funds. You can always hire an accountant to handle these things for you and do them according to your specific instructions once you get started.