6 Mistakes To Avoid When Starting Your Real Estate Career
I’m often asked by college students and recent grads about how to find a place in real estate. Looking for a job can be exciting as you explore opportunities and begin to build a career. To truly succeed, you’ll want to avoid common missteps that could delay your progress or provide only short-term results. To stay in real estate for the long game, it’s best to follow certain strategies and think about the future years.
Be aware of these common mistakes when starting out to make sure you get on the right real estate path:
1. Prioritizing Salary Over Experience
It can be easy to be drawn to a higher-paying position, especially if you have several options you’re considering and need to cover living expenses. However, keep in mind that the early years of your career should be viewed as a learning period. When I started out, the salary I was making as an associate was far less than others in the finance world. Still, the experience I gained sitting next to industry leaders like Paul Massey and Bob Knakal was invaluable–it was worth what some people would pay for an MBA (or more). Gaining front-line experience, where you're actively engaged in the business and learning from every transaction, will pay off more in the long run than an initially higher salary.
2. Chasing Prestigious Names
While working for a well-known company can certainly have benefits, also consider that it could lead to a narrow role. In large institutions, you might be siloed in a department and have limited exposure to other aspects of the business. Working at a smaller place could provide more hands-on experience. You’ll get to see different aspects of the business, which could help you as you move further into your career. On my podcast, “The Insider’s Edge to Real Estate Investing,” Stuart Milstein discussed the differences between working at a small and large institution.
3. Not Looking for Mentorship
Having great advisors who support your career development can prepare you for future promotions and greater responsibilities. You’ll be able to pick up insights into handling deals correctly and strategies for working with clients. Without strong mentors, you could miss out on key opportunities to build your skillset and learn about higher positions.
4. Overlooking Company Reputation
When you attach your name to a company, you become an extension of that organization. If the company doesn’t have a strong standing in the industry, it could potentially have an impact on you and your career as well. Always research companies before making a move, and if possible, connect with highly esteemed organizations—it could add value to your resume going forward. In my book, “The Insider’s Edge to Real Estate Investing,” I discuss the importance of having integrity and building a strong reputation.
5. Neglecting Long-Term Career Goals
Rather than focusing only on immediate benefits, consider how a position will contribute to your overall goals. Check if the company you’ll be working for supports further education. Check if there are opportunities to move into different roles or to work with an advisor. If possible, you’ll want to work at a place that can help you grow and build a career over time.
6. Not Considering Internships or Part-Time Work
If finding a full-time position with the right exposure and mentorship proves to be a challenge, there are other real estate-related roles you might try. Taking on an internship or part-time hours, provided you can make it work financially, could be a good starting point. You’ll gain valuable experiences and start building relationships, which may open more doors at a later point.
Starting a career in real estate is a big step forward, and you’ll want to do all you can to make sure it goes well. As you consider different positions, evaluate factors that go beyond just salary and the prestige level of the company. Prioritize the chance to learn, to work with great mentors, and to find companies with a strong reputation that could also help you further develop your skills. Focus on these aspects and you’ll be able to use your first years to lay a solid foundation for a successful real estate career.