I was asked recently what I thought was the most important thing to do when building a real estate career.
I believe it’s to fight the magnetic force of average. This is such a powerful force across not just our industry, but society as a whole.
Having visited thousands of real estate businesses over the past 10 years, it’s the business leaders who go to their offices every day and fight this unwavering force.
You see, it’s being average that unwinds and unravels our goals and ambitions.
Everyday we attend training sessions and conferences, listen to podcasts (and even read blogs!) in an attempt to fulfill our potential. I can put my hand on my heart and say, ultimately, it’s the battle against average that will determine your outcome as an agent.
Average starts with the little things that don’t seem to matter and before long it captures too many people.
I recently read on Facebook a conversation discussing who is the most influential real estate coach in the country.
Without a shadow of a doubt that kudos belongs to the owners of real estate businesses across the country.
These men and women encourage, support, direct and create an environment for people to succeed every day.
Our research shows that the best agents actually work out of the best businesses.
These are the people who deserve all the credit – everyone else is just a support act.
Anyone who thinks otherwise has probably never owned a real estate business.
If I were to ring most agents and offer them a referral listing the majority would gladly give me 20 per cent, which means that every lead has inherent value – that being the average sales commission multiplied by 20 per cent.
In my work at the moment, I’m looking at identifying how many leads slip through the cracks. When you put a dollar value to this – the value of the leads that are wasted – let me tell you, that number is frightening.
When my children were young it always amused me when they opened a packet of chips and the bag was half full.
I can’t help but think we give our vendors and buyers a similar feeling when – after they’ve helped us make tens of thousands of dollars – we give them a settlement hamper that has more packaging than it does gifts.
I think all of these people and the value they provide is far greater than a basket half full of shredded paper.
An obligation of any real estate team is to provide a pathway to move leads from cold to warm.
As an industry we are extraordinarily focussed on – and talented at – dealing with leads when they’re hot. In fact I would argue that the majority of industry training is directly pointed at that end of the spectrum.
It’s imperative that you find yourself in a business that is supportive at the other end – the cold. For the journey that is rewarded the most is the one that brings the leads in from the cold.
Every Sunday I see social media posts about how the auctioneers sold 5 out of 5, sold 10 from 10. The one question I would ask all auctioneers of the world is: how many properties would you have sold under the hammer if the agent hadn’t provided you with bidders?
I think we all need to understand there’s a lot of hard work done by agents that provides the platform for auctioneers. When it comes to auctions, it takes two to tango.
Every year I get Christmas cards from people I have spoken to maybe once or twice in my life.
For some reason they think this card is going to build a relationship with me. I can’t help but wonder if these people spend an hour generically signing their name and send these card out in bulk.
If you’re someone who sends Christmas cards every year in the hope that you will miraculously build relationships, then you need to understand that all these cards do is hang on fishing line between the curtains.
In some real estate businesses 70-80 per cent – sometimes even 100 per cent – of sales that occur within the rent roll are captured by the office.
Have you ever wondered why?
Maybe we, as sales agents, need to adopt the mindset of a property manager!
Many years ago the term ‘customers for life’ was bandied about the industry as if it was going to save the world.
In a past blog I discussed the need to have a marathon runners attitude when so many agents approach real estate with a sprinters mindset. The greatest challenge I can give you is to go and knock on the doors of the homes that you sold between two and three years ago.
So many agents have very little contact with the owners of these homes. If you do this exercise, 99 per cent will tell you they’re not selling because they assume that the only reason you could be contacting them is to try and make more money.
These people could so easily have been – with some structure and process – a customer for life.
In recent times many agents have been able to sell properties in excess of asking price and well above reserve.
I often find that so many agents are happy to be wrong on the way up, but so indignant about being right on the way down.
One of the greatest blockages for the sale is, in fact, the agent and their misguided belief of price.