Many people are attracted to the wide world of real estate because of the flexible hours and unlimited income potential. However, according to the National Association of Realtors (NAR) the median gross income of Realtors was $42,500 in 2016.
Why is that? Why do so many people earn less than $100,000 in this business? It’s simple — systems.
It’s so much easier than people think to put the right systems in place to surpass $100,000 in this business. If you are capable of putting the following five steps into a system, you will achieve that ideal salary mark and create the foundation for making more money than you have ever dreamed of. It’s not rocket science, I promise.
1. Don’t be a secret agent
That’s right. You have heard this a million times in so many different ways. Use social media, build brand recognition, let people know what you do, use Facebook and Instagram for ads to build more exposure, etc.
Don’t be a secret agent.
People need to know what you do for a living. So call them, email them, text them, use video, connect with them and expose what you do and who you are. This is one of the most critical parts of the business.
You have to continuously remind people of your involvement in real estate. They will forget — not because they don’t care, but simply because they have their own lives to worry about.
So stay in everyone’s face. Something you will often hear me say is “Be everywhere all the time.”
2. Generate leads from many sources
No leads, no business. Get it? Everything you do in step one will lead to generating leads for your business. However, there are so many other things you can do as well.
- Hold seminars for first-time homebuyers
- Hold seminars in a farm area to discuss area values, and invite the whole neighborhood
- Cold call for sale by owners and expired listings
- Door-knock the neighborhood and introduce yourself
- Call everyone in your phone, and ask for business (this can be the hardest thing to do for some agents)
- Make sure everyone you meet has your business card and has heard your unique value pitch
These are just some of the ways you can generate leads in this business. Do some research, and sit with some top producers to see what other agents out there are doing. There are few secrets left in this business.
3. Build relationships
As you generate leads, you will need to learn how to turn those into relationships. You don’t have to become everyone’s best friend, but you do have to be genuine in caring about their goals.
Clients will work with people they like and trust. I know you have heard that before. So get to know them, and allow them to get to know you. Find commonalities, and feed off of each other. Be genuine in your desire to help them succeed in selling or purchasing a home. This will go a long way.
4. Close — from start to finish
There are many closes in a deal from lead to closing table. You need to become an expert in closing at every step of the transaction. The following are just some of the closes you have to master:
- Close them when you are lead generating by getting them to meet with you
- Close them at the meeting by getting them to choose you as their agent
- Close them when showing the home that fits all their needs and wants (or almost all of their needs)
- Close them on contract negotiation
- Close them on inspection negotiation
- Close them on the full deal by taking them successfully to the closing table
- Close them by getting them to refer you
That last one is crucial to the future of your business. Right at the closing table, when your clients are at an ultimate high, ask them for business.
Try saying something like this: “Are you happy with the service you have received from me and my team? Great! Do you know anyone who’s looking to buy or sell real estate right now that you can refer me to?” And then don’t say a word.
Often, we open our mouths past that point, and talk ourselves right out of the referral. Just shush, and allow them to answer and give you a solid referral.
5. Get a referral, and repeat
It’s sort of like rinse and repeat, but with referrals. You will have to set up systems to ensure you never ever loose contact with these clients. You will want to remain in constant communication with them so you remain top-of-mind when it comes time for them to refer someone.
And you take that referral, and start from step three, then referral, and repeat! Build a significant referral-based business.
This is a basic outline of how to grow your business. You have to enhance each step with the appropriate systems that work for you. This should never ever stop. The second you stop steps one, two and three because you are too busy with other clients, your business will face a significant slow down.
So be everywhere all the time, generate leads like a boss, create relationships, master the close — referral and repeat. Your business will prosper.