The First Crucial Step in Building a Startup: Problem Identification
Identifying the problem you seek to solve is the first step to building a startup. In real estate, or any other industry. Often times, that “problem” or “pain point” is one you’ve experienced in your own life and you want to solve. If you are going to spend multiple years working on solving it, I sure as hell hope it’s a problem in your own life. Otherwise, you’re likely to give up before you succeed due to lack of caring.
The real estate transaction is a long and complicated, with a wide range of aspects to it. I guarantee you cannot solve the whole transaction in one go. Lead generation is a big space. I guarantee you can’t solve every agent’s lead generation problems in one go. The consumer research process is one that often takes place over years. Not days, weeks, or even months. Yup, you won’t solve that in one go either.
What tiny problem are you solving first? Is that even a pain point? If so, how many people have that same problem? How many hoops will they jump through to solve it? Will they pay to solve it? Is it only applicable in a specific niche? Specific to MLS executives? Managing brokerages? Agent team leaders? Is it a consumer pain point? If so, which type of consumer – 1st time buyers, relocation buyers, or vacation home buyers, or sellers?
That said, there is absolutely room to improve, revolutionize, and disrupt the real estate industry. There are pain points and opportunities available for the taking; helping consumers understand who to trust being the big one in my mind.
But you need to pick your poison. And choose your cure wisely.
PS: If you need help designing your cure (product), let us know.
Wesbert Saint Juste
Posted at 16:26h, 08 MarchThe Real estate laws are also different in each state, which further complicate things.
Drew Meyers
Posted at 16:37h, 08 Marchwhat exactly do you mean? not sure how that relates to this post?
Wesbert Saint Juste
Posted at 17:02h, 08 MarchAnyone looking to solve a problem in any industry would like to to build one unique solution for the entire U.S market. I understand that your post is all about pain points for the buyer, the seller, the agent etc… I just wanted to add that the real estate industry in general is very difficult. And different laws in different states make it even harder to built solutions for the industry.
Drew Meyers
Posted at 17:04h, 08 Marchyup. every industry has its own unique set of challenges though.
Riverdale Apartments
Posted at 00:11h, 13 Marchme too can’t find the relativity. Is it a spam comment/copy-paste stuff ?
Bryn Kaufman
Posted at 18:40h, 10 MarchHi Wesbert, I think the laws in various states are not too far apart, but where there are bigger differences in my opinion is with the data feed coming from RETS, should your business have to do with showing listings.
The differences in the data give us local players an advantage over Zillow and other nationwide sites, as they can’t cover it in as much detail, so I see this as a good thing.
The Phases of Building a Real Estate Tech Startup - GeekEstate Blog
Posted at 18:38h, 23 April[…] Problem Identification (which I’ve already written on) […]