The Foundational Model of a Successful Real Estate Career
I’m going to push the envelope this week. We’re going to step outside the box. What Box? The box you wake up in every day. Your comfort zone. The box that keeps you doing the same things day after day. The box that keeps you from having a successful real estate career.
So today we’re going to pretend you have no limitations to creating a successful real estate career. We’re going to pretend you can accomplish anything you choose. Today you’re going to think like a Millionaire Real Estate Agent who has a successful real estate career.
And how do they think?
What does it take to create a Successful Real Estate Career?
These top agents have moved past their self-limiting beliefs to create highly successful
real estate careers. They realized that because other agents did it, they can also. They realized the value and importance of increasing their knowledge and the value of modeling in their real estate career.
How can modeling create a successful real estate career?
Modeling is finding someone who is achieving at a certain level and realizing that if you were to duplicate their efforts and actions exactly, you would be able to duplicate their results to create a successful real estate career.
So let’s break the elephant into bite-sized pieces. What would you have to do?
The average sale price in our market place is about $280,000. If you were worki
ng for a 100% company and receiving 3% on each side of a listing sold or a sale, you would earn $8,400 for each closed side.
In order to earn $1,000,000, you would have to close 120 sides. Now I can tell you from 30 years experience that about 1 of every 3 clients you work with will give you 2 sides of business. In other words, you list their house and they also buy a house from you. Or, you obtain them as a buyer and they list their house with you. Two commissions, one client!
This means you are going to have find and work with 90 clients per year to gross a million dollars. That’s less than 2 per week. I know that all of you are capable of working with 2 new clients per week. So the issue becomes finding them. Lead generation is the key element in creating a successful real estate career.
Now I’m going to reduce this to the ridiculous. When I ask agents in various training sessions, how often people move on average, we always can agree on every 7 years as a conservative, realistic number. This would then mean that 1 in every 7 people, with whom you come in contact, will be moving in the next 12 months. Fair enough?
That means you have to meet and converse with 630 new people per year to create a million dollar real estate career. That’s less than 2 people per day to create a successful real estate career. And if only half of the people you meet were willing to do business with you, you would still only have to meet 4 new people a day.
So every morning when you wake up, get dressed, drive down to the supermarket, stand outside the door, introduce yourself to 4 new people and ask for their business. It won’t take more than 20 minutes.