7 Real Estate Side Hustles That Boost Your Professional Credibility 

It’s perfectly normal to hit a spot in your real estate career where you need to supplement your income. For example:

• New agents may need a “day job” while establishing their career and building their client base.
• Many markets experience seasonal slumps.
• Economic conditions, such as inflation and high interest rates, can cause buyers and sellers to hesitate.

There’s nothing wrong with creating a side hustle to produce a separate income stream. In fact, this is a smart strategy for diversifying your income, which can improve your overall financial health.

But there’s a problem. Most Realtors® who have a side hustle choose a hustle that undermines their authority in the real estate industry. Yes, I know you can make a quick buck by offering ride-share services. But be honest: Would you hire your Uber driver to represent you in a real estate transaction?

Instead of waiting tables, serving coffee or handling deliveries, give yourself a side hustle that complements your real estate service.

Here are seven real estate side hustles that boost your professional credibility as a Realtor.

Keep in mind: You should always maintain ethical business practices in industry-related side hustles. When in doubt, consult your broker, your local Board of Realtors® or your attorney.

1. Property tax appeals

According to the National Taxpayer Union Foundation (NTUF), 30% to 60% of American properties are over assessed for property tax purposes each year. This means property owners are being charged too much in property taxes. And most owners have no idea.

As a real estate professional, you can probably tell if a property is over assessed simply by glancing at the address and the assessed value per square foot. So, you can alert local property owners to potential overassessments.

Even better, you can offer to file an assessment appeal on behalf of the property owner in exchange for a fee. The process varies by county, but it typically involves filing an application online and submitting comps to the county assessor’s office to show the fair market value as of the assessment date.

Many professional tax consultants charge a commission on the tax savings. This helps property owners commit to using your services since they are only charged when they receive a financial benefit from your work.   

Even if you find that your property owners’ assessments are fair, you can send them a letter: “Just wanted to let you know that, as part of my ongoing commitment to local property owners, I reviewed your property tax assessment from the tax assessor and have confirmed that your assessment for the current year is fair. I’ll check again next year and alert you if I ever find that you are being over-taxed.” Talk about a competitive advantage!

2. Credit repair services

You have a long list of people who want to buy, but they don’t qualify for a home loan because their credit isn’t great. This is an opportunity for you to provide value while nurturing buyer leads and making some extra income.

There are a few things you can do as a credit repair consultant to help potential buyers improve their credit. First, show them how to access their credit reports and have them review the reports for accuracy. A Federal Trade Commission (FTC) study found that one in five consumers has at least one error on their credit reports. Contacting the credit bureaus to correct these reports can quickly boost a credit score.

You might also negotiate with creditors and/or debt collectors on behalf of your potential buyers to have negative remarks removed if they pay all (or even just a portion) of the outstanding debt. Then, you can advise your clients to continue making on-time payments on all accounts until their score is high enough to secure a home loan.

You might charge a flat rate or hourly rate for your credit repair services. And building a deep relationship with these clients will help you win their business when they’re able to buy a home.

3. New homebuyer photo shoots

American families are dropping major dollars on portrait photography. Think about all the engagement photos, maternity photos and family holiday photos you see as you scroll through your social media feeds. Where are the professional new homebuyer’s photos?

More millennials and Gen Zers are buying homes, and these highly visual buyers will want to show off their new homes in style. Imagine professional-quality shots of the happy buyers sitting on the front porch, dancing around the empty living room or popping champagne in the empty kitchen.

You might have the skills to build a side business yourself, or you might partner with an experienced photographer. Make sure you ask your buyers to tag you when they post the photos online. Who knows how many of your buyers’ friends and family also need real estate assistance?

4. Real estate investing

Real estate investing is an ideal side hustle for real estate professionals who have capital available to invest. If you have a lot of money available, you have the option to purchase investment properties outright and benefit from passive rental income, long-term appreciation and tax advantages.

But with today’s real estate investment opportunities, you can invest in real estate even without substantial capital.

Here are a few ideas:

• Crowdfunding and syndication. Pool your money with other investors to fund a professionally managed real estate project. Depending on the project, you might be able to buy into the investment with just a few thousand dollars.
• House hack. Use your own property to generate income by renting out a room, a parking space or even storage space.
• Manage fix-and-flips with a financial backer. Lots of people have money to finance a fix-and-flip, but they don’t have the skill, knowledge or experience to oversee the project. You can acquire properties, oversee construction and complete the sales for a share of the profits.

Whichever strategy you choose, investing in real estate boosts your professional credibility by showing local buyers that you’re comfortable putting your own money into the product you sell.

5. Property management/leasing

According to recent Redfin data, the average homeowner has spent over 12 years in their current home. By contrast, the average renter moves every two years. If you’re struggling to find buyers and sellers in your local market, working with renters could be a logical move.

Property management is a broad, flexible field. You might, for example, manage single-family residential rentals for absentee owners. Or you might specialize in short-term vacation rental management. Responsibilities typically include leasing units, addressing maintenance requests and collecting rents.   

There are also positions within property management that offer salaries or hourly wages, which is appealing to those looking for more predictable income. Many apartment communities hire community directors, operations managers and leasing consultants to focus solely on serving a single development.

Whichever property management path you choose, you’re expanding your real estate knowledge and experience.   

6. Selling books and online courses

As a real estate professional, you have specialized knowledge. While you use this knowledge every day to help your local buyers and sellers, there are others all over the world who can benefit from it. Writing a book or creating an online course allows you to share your information with others and enhances your credibility as an industry expert.

You could teach the basics of buying or selling, or you could go deeper with a niche topic. If you specialize in short sales and preforeclosures, for example, you could teach buyers how to find these deals and get them approved.

For book publication, you could go the traditional route, shopping your book around to publishing houses. Or you could use an online platform to self-publish. Amazon.com is the most popular option for self-publishing. With Amazon’s worldwide print-on-demand centers, customers can order paperback copies of your book, and Amazon will automatically fulfill the order for you. No need to keep boxes of inventory on hand.

There are also multiple platforms for creating and selling online courses, including Teachable and Udemy.      

You could test the waters by creating a short ebook or course that you offer for free to anyone who subscribes to your email list. This type of incentive can build your contact list while giving you a low-stakes way to determine if books and courses are a good fit for you.   

7. Referrals to other agents

Do you have a wide reach through your online presence? If so, you might be attracting buyers and sellers outside of your market. Referring those leads to well-qualified agents in their area could generate highly passive referral income for you.

Many real estate franchises have referral networks in place that allow you to quickly review agents in other markets to find a good match for your prospects.

This type of income stream works especially well for agents in markets that are highly affected by seasonal changes. When your local market slows each year, you can shift focus to generating leads for other, still-hot markets to create more consistent income.   

Building a new income stream for your real estate business can help you get a cash influx in the short term and protect your earnings in the long term. And when you choose your side hustle strategically, you become a more well-rounded real estate professional who can adapt, thrive and excel under any market condition. #

Michelle Clardie is a business strategist with Key Real Estate Resources.