Many Realtors choose to focus on one aspect of the real estate market, whether it’s residential or commercial properties. Some agents narrow their focus even further. For example, a residential Realtor might prefer to work with new construction, while a commercial broker might strive to serve clients in the retail space.
Janet Richie-Henninger, however, casts a wide net as an agent. Licensed in Tennessee, Georgia and Alabama, she represents buyers and sellers in both the residential and commercial markets.
Richie-Henninger says there’s no real secret to launching a business as broad as hers; just have a solid plan for what you want to do and how you’re going to do it.
“You need a roadmap for your business. If you’re traveling to Florida, you can’t start driving without knowing how to get there,” Richie-Henninger says. “Starting a business operates the same way; you need to set a destination and then figure out how to get there.”
Richie-Henninger speaks from experience that stretches back to before she earned her real estate license 20 years ago. After earning an undergraduate degree in business, as well as an MBA, she opened a taekwondo school and fitness center.
To ensure each venture had a solid foundation, Richie-Henninger drew on her master’s thesis, which explored the importance of the traditional business plan.
“I calculated the number of students I wanted to teach and the number of customers I wanted for the fitness center,” she recalls. “I also drew up a blueprint for how I was going to grow my business.
“That was hard because operating a business boils down to numbers, and people are more than numbers. So, part of my business plan included treating my customers the way I wanted businesses to treat me.”
Richie-Henninger employed the same tactic as she launched her real estate business – a venture she started after owning and operating several residential and commercial rental properties.
Much like she did with her first business, she focused on marketing both herself and her customers.
“I market my clients’ homes the way I’d market mine if I was selling it. I contact my buyers to see if it’s a good fit and, often, they know someone who’s looking for a home like the one I’m listing. Then I let as many Realtors as possible know about where the property is and its price range.”
Richie-Henninger says this approach helped her to build a business that fully sustains itself on referrals and word-of-mouth advertising, and that’s broad and nimble enough to respond to a range of client needs. For example, she’s sold everything from a small starter home to a $2 million mountain property, as well as a variety of commercial properties.
Her current commercial listings include former office spaces in Decatur and Huntsville, Alabama she says can be refitted for any purpose.
While Richie-Henninger says some principles apply to the opening and operation of every business, she does have advice for people who specifically want to become a Realtor. The first nugget is for the aspiring agent to whip their personal finances into shape.
“The rule of thumb is to have six months of personal expenses saved, but I suggest 12 months,” she advises. “I had a nice nest egg before I started my real estate business.”
Richie-Henninger’s second piece of advice is to aim high.
“Shoot for the sky. Don’t limit yourself. In real estate, you can do as much or as little as you want.”
And, of course, create a business plan.
“A lot of people go to real estate school, pass the test, and then wave it around and say, ‘Hey, I have a real estate license.’ But if you don’t have a business plan, then you’ve planned to fail. A Realtor needs a business plan; you have to know your goals and how you’re going to achieve them.”
Richie-Henninger says a key element of every Realtor’s business plan needs to be education. While this includes continuing education and designations, it should also involve continuous monitoring of the market. This can allow a Realtor to respond knowledgeably to questions clients have.
One query Richie-Henninger often answers today involves whether or not someone should purchase a house in the current market, given the elevated nature of mortgage rates.
“I tell people to buy the home they want and then refinance in a couple of years if interest rates go down,” she says.
Richie-Henninger also says a real estate business should be more than transactional; it should also benefit the community. To this end, she’s rescued more than 40 cats and dogs over the years, and currently counts a pair of rescue cats as family.
“I hate to see an animal hungry or abused,” she says. “People used to call me the Rescue Realtor.”
A strong business plans also includes a roadmap for good physical, mental and emotional health, Richie-Henninger concludes. She achieves these through cooking, listening to live music and socializing.
“After I give my clients the best client service possible, many of them become close friends,” she says. “And it all started with a business plan. When you have the right business plan, you can make anything happen.”