Sam Walton, the founder of Wal-Mart, once said, “If everybody is doing it one way, there's a good chance you can find your niche by going exactly in the opposite direction.”
Real estate has its share of niches everybody knows about. They include:
- A specific area or neighborhood (geographic farming)
- A type of property (investment, waterfront, condo, luxury, etc.)
- FSBOs and expireds
- Property management, relocation, short sales, & REO
Unfortunately, because everybody knows about those niches, competition in them is fierce. And that’s where Sam Walton’s advice about going in the opposite direction comes into play.
Rather than spend the time and money trying to compete in an already crowded niche, carve out your own.
Start by brainstorming the niches you’d like to work. Take 10-15 minutes and write down every idea, no matter how crazy it might sound. Here are some examples to get you started:
- Professions (law enforcement, teachers, attorneys)
- Employees of a specific company
- People with shared interests or hobbies (sailing, fishing, biking)
- Life events (marriage, first child, empty nest, change in jobs or careers)
Once you have your list, pick the three to five niches you feel are most attractive. Research those niches to determine how you might target them, how much competition for them already exists, and whether they could meet your income goals.
Finally, select the one niche you feel has the most opportunity and begin marketing to it. Consider using social media, blogging, SEO, or pay-per-click. They are often the best, and cheapest, ways to reach niches.
With consistent marketing and strong customer service, it won’t be long before you own your niche. And, owning a niche means a steady stream of referrals that can feed your business for years to come.
P.S. – Agents often worry targeting a niche will mean they don’t get business from other areas. In fact, it’s the opposite. Agents who try to work with everyone struggle to compete with those agents who niche.