Candidate Resource Center

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Winning Interview Questions for CRE Job ApplicantsThe largest part of preparing for your CRE job interview is preparing for interview questions — both the ones you’ll be asked and the ones you’ll ask your interviewers. There are questions that are common among all types of companies, as well as specific questions and small tests that interviewers may use based on the industry, the role, and even the geographic area. This, of course, goes both ways. As the CRE company is interviewing you for the positions so too are you interviewing them to see if you’d like to work at that business. Furthermore, firms are likely to be impressed by a candidate who asks questions and shows an interest in the company. In this article we’ve listed some common CRE job interview questions. We’ve also compiled a list of good questions that you can ask the interviewer about the company. You can also dive further into the specifics of an industry in our bonus questions for specific CRE roles. First, we spoke with Sr. Corporate Recruiter Brittnay Acosta and Associate Director of Recruiting Katie Hart, both for SelectLeaders and Bisnow, about answering and asking interview questions. Here is their advice.Tips for Nailing Job Interview QuestionsBe concise in your answersIt’s human nature for nerves to kick in during interviews, so preparation and self-awareness is key. Be concise with your answers but not so concise that you appear disinterested.  “I think the biggest mistake candidates can make would be failing to provide concise or relevant answers to questions,” Katie said. “Try to avoid rambling on or using generic or one-word answers. I recommend preparing before each interview you go on and definitely utilizing your recruiter (if applicable) to help!” Show them you did your homeworkCompanies will recognize your sincerity when you ask questions that are specific to them. For example, note interesting projects you discovered while reviewing their portfolios: “I saw Project A on your website. Can you tell me more about that?”“I love when a candidate shows that they have done their research!” Katie said.Practice, practice, practice“Candidates should use all of their resources to prepare for an interview,” Katie said. “If a candidate has been working with a recruiter for the position, I would recommend that candidates reflect on that conversation, along with doing research on the company (company website, relevant news articles, hiring team LinkedIn etc.) before the interview.” In other words, during the interview, refer to conversations you had with the recruiter to reiterate your understanding of the company and position.  Avoid common mistakesBrittany and Katie list these as things to avoid when you’re interviewing for a role:Lack of preparationSpeaking negatively about past employers or coworkersNot asking questionsNot actively listening during the interviewFailing to ask follow-up questions post-interviewGiving vague answersBrittany shared an experience she recently had while leading a workshop for an exclusive CRE community comprised of the industry’s top owners, developers and investors. “During the conference, we discussed what distinguishes a good answer from a great one in an interview,” she said. “It's easy to identify a bad answer, as they tend to be vague and lacking in detail. What was particularly interesting, however, was exploring the nuances between a good and a great answer.”She offered this example, following examples of bad, good and great responses: Give an example of when you had to work with someone who was difficult to get along with. How did you handle interactions with that person?Bad answer: This happened in my last role. My colleague wanted to [insert vague or negative example]. I didn’t agree, so I just avoided them as much as possible.Good answer: My first rule of thumb is to look at the situation from their perspective. I try to identify the cause of the tension and find ways to improve the relationship.Great answer: While working in my current role, I’ve had to navigate challenging personalities on several occasions. Recently, I worked closely with a colleague who had a very different approach to project management. I recognized that our tension stemmed from miscommunication, so I set up regular check-ins to align our goals and ensure we were on the same page. Over time, this improved both our working relationship and our project outcomes.  5 Questions Interviewers Might AskBesides preparing you for the question, we’ll cover why they’re asked and the answers that the 1. How do you stay current on commercial real estate news and trends?Why they asked: This is a crucial skill for being successful in an industry that rapidly changes, depending on trends, laws and market conditions. As you make key decisions at the CRE firm, the interviewer will want to know more about your thought process and how you gather the data to make those decisions. What they’re looking for: Articles, newsletters, papers, and examples of recent trends and news in CRE that you can analyze. Be specific on something you learned as you kept up with the latest news and trends. If you participate in any online forums or social groups around your CRE, mention that. Tips for answering: Have a few CRE journals in the back of your mind that you regularly read (but always be honest!).Commercial Observer MSCI WeeklyThe CRE DigestBisnowRead a few articles before the interview to stay up to date on trends that interviewers may ask you about. Analyze the effects of a recent new story and how it could affect the future of the industry.  2. Why commercial real estate?Why they asked: A variation of “Why are you interested in CRE?” will almost always be asked. Interviewers are trying to understand your career goals and the motivation behind trying to get a job at their firm. Will you be around for a short amount of time or a while? Are you knowledgeable and passionate about CRE? What they’re looking for: Honesty and enthusiasm. The interviewer wants an answer that shows that you’re committed to their company and the CRE company for the long term. You understand the nature of CRE and have a history of being interested in it. The interviewer may also appreciate a personal anecdote about what aspects of the industry you’re especially passionate about. Tips for answering: Emphasize your long-term commitment to CRE. Find some aspects of CRE that fit with your personality such as strategy and analytical thinking, teamwork, and data analysis. Also, talk about the future of CRE and why you’re excited about staying in the industry. 3. How do you valuate real estate assets?Why they asked: This is a more technical question that interviewers ask to get to know your process and analytical ability. The interviewer may give you an example of a piece of commercial real estate and ask you to make a valuation using a method of your choice. As you do this, you will need to explain why you chose that specific method.What they’re looking for: Interviewers are looking for you to talk about a valuation method. A big part of this is the capitalization rate, sometimes also called the cap rate, which is how much return is required on real estate compared to its value appreciation or depreciation. This rate is used to calculate the market value of a property and can be used in a number of different other valuation methods. Tips for answering: Do your reading on valuing real estate! There are a lot of excellent resources for calculating the value of a property, and we recommend trying to value commercial property on your own using a few methods to become comfortable with the process. Get an idea of which method works best for what situation. 4. How familiar are you with Excel?Why they asked: Across all the industry and position-specific software programs, Excel is one of the most common and frequently used programs in CRE. Being able to process, interpret, and organize data effectively is an incredibly effective skill that shows that you understand finance data at a high level. What they’re looking for: A demonstration of financial modeling in Excel and some of the advanced functions that you know. This is a question that’s better answered by showing than telling. If the firm is truly committed to getting a solid answer, they may have you set up something in Excel. Be prepared to get hands-on! You’ll need to show your work and explain why you set something up the way that you did. Tips for answering: Consider creating a pivot table, IF Functions, criteria, VLOOKUPs, and other advanced Excel techniques that demonstrate your expertise. 5. How do you build and maintain relationships with clients and coworkers? Why they asked: CRE as an industry is highly personable, and demonstrating social aptitude and the ability to build relationships is absolutely necessary. If you’re regularly engaging with a client, team, or partners, the interviewer needs to know that you’re a hard worker and a valuable team member. What they’re looking for: Offer an example of good communication, how you resolved a miscommunication, and other techniques that you use to maintain clear channels between you and your clients. Communicating well with coworkers is a softer skill that the interviewer may be looking for during the interview. Tips for answering: Give the interviewer an example of how you establish good communication between you and your clients. They’re searching for experience communicating with clients and how you may have secured that client for the company. Things go wrong while communicating (we are human, after all), and the interviewer may also appreciate an example of you resolving a miscommunication. 12 Questions You Can Ask During Your CRE Job InterviewWhen the interviewer finishes their questions and turns the table to you, always have a few questions in your back pocket to ask the company. Asking the interviewer questions shows that you’re genuinely interested in the company and actively considering how you can be better suited for success. As the interviewer tells you about the role initially in the interview, keep track of what they have and haven’t mentioned. You don’t want to make them repeat something that they’ve already told you. As they tell you about the role, jot down role-specific questions based on what they’ve told you. Interviewers will appreciate that you were actively listening. “I would recommend candidates ask about the reason for the opening and the history of the position within the organization,” Brittnay said. The answer to this question is important for you, the interviewee. Is it a newly created position that you’ll be helping to develop? Or, was your predecessor let go for performance issues?Here are some basic questions that you can draw from, or adapt to suit your situation.  What would a typical day/week look like for me in this role?Can you tell me about the team that I’ll be working with?What should I know about the culture of the company?What opportunities are there for professional growth and development within this company?What is your favorite part about working here?How has the firm responded to… (a recent industry trend or event)?What is the most important thing that I should accomplish in my first 3 months at this company? By what metrics will my work be evaluated? What does good versus great look like from the hiring manager’s perspective?Where are the company’s current priorities?What skills are missing from the current team that you’d like me to have?What is the onboarding process for new employees?Is there anything you’d like me to prepare for in the meantime? Bonus: Interview Questions for CRE RolesOur questions up to this point have been general. But what about questions for specific CRE roles? What are examples of CRE property manager interview questions? How about investment banking interview questions? Below, we’ve listed common questions specific to CRE roles. We’ve included questions that an interviewer may ask you as well as potential questions that you can ask them are as follows: Property manager job interview questionsYou may be asked:Tell us about your knowledge of local building laws and regulations. What experience do you have with property management software?What is your process for ensuring a property is turning a profit? Ask them:How many rentals will I be managing?Please describe some of the rentals that the company manages and the challenges with them. Real estate asset management job interview questionsWhat is your process for identifying and evaluating risk?What do you think about this recent economic event?How do you reduce the number of mistakes and errors in your work?Ask them:What is an example of recent investment success, and why was it successful?What is the company’s general investment strategy?Investment banking job interview questions What makes CRE investment banking interesting to you?Tell us about a recent deal that you’ve made. What is a company’s present value, and how is it calculated? Ask them:How would you describe the culture here?What responsibilities can I expect to take on with company transactions?Real estate analyst job interview questions How do you evaluate the risk associated with a property?What financial models are you familiar with and use?Tell us about a recent real estate decision or deal you made.Ask them:What properties does this company tend to invest in?What are some of the most important criteria that this firm accounts for?Real estate capital markets job interview questionsTell us about an investment that you currently have and why you’re invested in it.How do you calculate working capital?Why could two identical properties be valued differently?Ask Them:What types of properties are in the firm’s portfolio?Explain a successful transaction that this company has made in the past. CRE acquisitions job interview questionsWhat is a cap rate, and how does it affect a deal? Compare the cap rate of two properties. What is the process for financing a real estate transaction?How is the performance measured of a real estate investment?Ask them:What type of projects or assets can I expect to work on?What is the work environment like?Real estate manager job interview questionsWhat do you do if a tenant is consistently late on rent?Give us an example of a time you had to deal with a difficult client. How do you increase the value of a property as you manage it?Ask them:How can I improve upon the previous person who held this role?Where can I expect to be in 5 to 10 years at this company?