Networking has long been recognized as one of the most important activities influencing professional success. 85% of jobs are filled through networking. Yet networking is challenging. We’ve all been told that it’s not what we know, it’s who we know. But who should we know? Here are five things you need to know about creating a thriving network. ... read more
Why Commercial Real Estate Professionals Need Relationship Intelligence
Commercial real estate (CRE) transactions are complex. CRE professionals need to manage relationships with many different stakeholders--buyers, sellers, tenants, landlords, developers, investors, and others. What’s more, deal cycles are becoming longer and more enduring. Professionals are typically retained for several months throughout the negotiation, due diligence, contract execution, and closing stages.
In addition to developing strong relationships with clients, top-tier CRE professionals are distinct in their unwavering focus on developing strong relationships with other real estate professionals. They prioritize building their networks.
Connecting With Other CRE Professionals
Successful CRE professionals work together to increase exposure. The Toni Everett Company, a CRE firm based in Tampa, Florida, explains: “Not only do we know the Tampa Bay Area, we often partner with other brokers throughout the state of Florida giving us access to a larger number of great properties.”
Many CRE professionals, especially smaller ones, reap benefit from strong connections to out-of-state real estate professionals. Atlanta-based Diamond Realty Brokers, for example, is licensed in multiple states but also refers business to various states.
Not only do broker-broker relationships help CRE professionals increase exposure, they also pave the way for lucrative referral agreements. According to LoopNet, a community of CRE professionals, professionals can secure a 25% commission when they refer clients to other professionals. With Affinity's natural language processing features, it’s easy to discover other professionals you ought to be connected to and partnered with.
Connecting with Residential Real Estate Professionals
Effective brokers also know the merit of forging strong relationships with residential real estate professionals. The strategy can prove very lucrative--residential real estate professionals frequently encounter business owners and executives who are also interesting in engaging in CRE transactions. Many residential real estate professionals are prohibited from engaging in commercial transactions.
Developing strong connections with residential real estate professionals is an effective networking strategy. Not only are you better able to serve your clients, you’re also able to maximize the potential for reciprocal referrals. CRE clients are frequently on the lookout for residential firms to help them sell and/or purchase homes. For Maine-based CRE firm Magnusson Balfour, “Collaborative relationships between residential and commercial brokers serve our clients best--setting their transactions up to be handled by the most qualified professional who will see them through from the contract to the closing table.”
The Power of Affinity
CRE is, at its core, a relationship business. It’s an enormous undertaking to track the many relationships that are integral to your real estate business. With its seamless integration with calendar and email, Affinity ensures all your touchpoints with key connections are captured. It allows you to understand your network by lighting up paths to lucrative introductions and referrals in new markets and verticals. You can easily demystify your connections by tagging the relationships that really matter so you never let them go stale. Affinity is a powerful backbone for CRE professionals.
Interested in learning how Affinity can help your team?
Sign up here get a demo and free trial.