Real Estate Business
How to Start a Real Estate Appraisal Business
Beginning a real estate appraisal business can be a great endeavor to start. This type of career offers an interesting way to earn a living. You will be meeting new people constantly, traveling often, and enjoying a lot of time outside. However, one of the best things about owning a business is independence.
Items you will need to begin a real estate appraisal business include:
- Marketing materials
- Phone line letterhead
- Appraisal license
- Computer fax machine
1 Do some research about appraisal licenses. There are many kinds available to choose from. The one that is easiest to obtain is a standard appraisal license. It will give you the chance to appraise business and some general properties. Guidelines will be different in each state so be sure to check the requirements for your state.
Apply as a self-employed entrepreneur. You can file as a sole proprietor, a full corporation, or an LLC. All of these choices will separate business expenses, earnings, taxes, and revenues from personal filing. Your personal assets will avoid getting caught up in litigation as well.
Purchase materials for the business. If you choose to, you can run the business from home. However, an office and mailing address if more professional. Be sure to have a computer, landline phone, and letterhead.
Start to market your business. Starting with family and friends is a great way to get the word out. Be sure to offer services at a lower rate and the word will spread. A great idea would be to create marketing tools such as flyers, local ads, cold calls, and mass mailings. This will increase awareness about your business.
Keep a record of all former clients and use them as a referral source. A business that is successful knows that its client base is very important. Therefore, providing service to former customers is almost as important as sourcing future customers. It is essential you build a relationship with lenders in order to attract new customers. Many lenders are seeking local appraisers for their business.