Joshua Smith

3 minutes
Collaboration with tablet and laptop

Creating Real Estate Success: Conversations Into Appointments

Joshua Smith Apr 3rd, 2020
Real Estate Advice
Joshua Smith
Real Estate Success

Consumers love to consume (in this case, buying and/or selling real estate), but they HATE being sold to.

To find success in real estate, your mindset must be to come from a place of adding value by leading with contribution. And know that once your contacts are ready to buy and/or sell, they will think of and reach out to you.

So, yes, more frequency than ever is required to convert leads into appointments; however, you do not need to resort to using high-pressure tactics. In fact, when delivering high-pressure scripts, you will end up turning off far more people than you are allowed to help.

The goal is to follow up frequently, lead from a place of contribution, and develop a relationship over time.

Let me give you an example:

My team generates a ton of leads and business by running Facebook Ads. These leads register on my website to unlock the ability to search for homes. Let’s say I just received a new lead who saved a property as a favorite on my website.

I would call this lead ASAP and say “Hi (lead's name), this is Joshua Smith with REVISITO Real Estate. I wanted to reach out, as I noticed you saved (the property address) as a favorite on my home search website, and I wanted to see if you had any further questions on that property, as well as see if there is other info/data on that home and area I can send you. (Pause to let them answer, answer any questions they may have, then try to set an appointment). I have some time this evening between 5pm and 7pm if you would like to meet at that home on your way home from work and spend a few minutes checking it out. Is that something you would like me to set up?”

IMPORTANT NOTE: Remember from Creating Real Estate Success: Lead Follow-Up, that the same lead will reject you for an appointment five times before saying yes. So, I am expecting a no and will then say, “No worries at all. If you have any further questions, or ever need anything, please feel free to reach out anytime! Have a great day!”

The goal is to follow up, lead from a place of contribution, try to set an appointment, and if unable, repeat the process.

As you can see, my lead follow-up is far from pushy, but I do follow up frequently with courtesy check-ins.

As the famous sales saying goes, “The fortune is in the follow up”. And I have seen time and time again that it really is.

To make your life easier and your business manageable, a lead follow up plan/system is essential. But the plan or system is not enough. You also have to execute. Please know that generating leads is not the main issue. Converting leads into appointments is a much more crucial step, and one that most realtors struggle with, as they do not have a dedicated lead follow-up system in place. 

Thanks for reading!

  Joshua Smith, Realtor/Mentor/Entrepreneur

-Voted 30th Top Realtor in America by The Wall Street Journal

-Over 5,000 Homes Sold & Currently Selling More Than 1 Home Daily

2 minutes
Classroom Setting

Creating Real Estate Success: CRM Essentials

Joshua Smith Apr 10th, 2020
Real Estate Advice
Real Estate Success
CRM

A CRM is a “Customer Relationship Manager” and is a system that can help you automate your lead follow-up, stay organized, and help ensure you do not miss tasks. Your CRM might be your most important tool you use to fuel the success of your real estate business.

Statistics show that most realtors do not have a CRM. But even the ones who do don’t use it effectively.

The first place to start when selecting a CRM is with your budget. Like most things, you get what you pay for, but you must work within your budget, of course. The real estate technology world has no shortage of CRM choices, so I am going to focus on the critical features your CRM must have to boost your ability to succeed.

MUST HAVE FEATURES:

#1: The ability to add leads both manually and automatically into your CRM

#2: The ability to add notes to each individual lead inside your CRM

#3: The ability to organize your database with types and categories: Buyers/Sellers/Leads/Clients/Past Clients/etc.

#4: Mass email feature that allows you to send an email to everyone in your database all at once

#5: Drip plans, both email and text

#6: Auto responses, both email and text

#7: Manual and automatic tasks

These are the seven absolute must-have features a CRM needs to be effective. A good CRM is so critical to ensuring your follow-up process is followed (for more on lead follow-up best practices, click here), you stay on task, and stay organized. Once set up correctly, a solid CRM is a massive game changer.

If you do not have one already, start working on identifying and setting up your CRM.

Next time, I will discuss the importance of your website and the features to look for when selecting a site.

Thanks for reading!

  Joshua Smith, Realtor/Mentor/Entrepreneur

-Voted 30th Top Realtor in America by The Wall Street Journal

-Over 5,000 Homes Sold & Currently Selling More Than 1 Home Daily

2 minutes
Typing on laptop

Creating Real Estate Success: Lead Follow-Up

Joshua Smith Mar 27th, 2020
Real Estate Advice
Real Estate Success
Joshua Smith

The average realtor follows up with a lead within 40 minutes and only follows up twice. These numbers are just not good enough for any agent to ever be able to create a profitable real estate business. As you read in Creating Real Estate Success: Lead Generation and tracking, the average realtor only converts .5% of leads into a closing. More on predictable lead generation systems here.

But as you have demonstrated by your dedication to learn to perform at the highest level in the real estate business, you are not the average realtor.

Let’s now dive into what steps you can take to turn your leads into appointments and point them toward closing.

Consider these averages about lead follow-up:

-- You must follow up with a lead fifteen times before that lead will reach back out to you.

-- Each lead will reject an appointment five times before ever agreeing to meet with you.

-- Every consumer is sold to 2,000+ times each and every day.

You must be diligent about lead follow-up. I recommend, at a minimum, that you follow up with every lead 21 times in the first 30 days. You can use any combination of phone calls, emails, and text messages, but the key is to reach out 21 times in the first month of your relationship with a lead.

Plan to get voicemails and few responses. That’s okay and is expected industry-wide. You can only focus on and control your actions. So your job is to continue to follow-up via phone, email, and text until you can get a lead to respond to you. At that time, you can work with that lead to identify goals, expectations, and time frames for purchasing or selling a home. More on how to turning conversations into appointments here.

In real estate as with anything else, hard work and persistence are key.

Thanks for reading!

  Joshua Smith, Realtor/Mentor/Entrepreneur

-Voted 30th Top Realtor in America by The Wall Street Journal

-Over 5,000 Homes Sold & Currently Selling More Than 1 Home Daily

3 minutes
Man looking at phone with laptop

Creating Real Estate Success: Lead Generation

Joshua Smith Mar 20th, 2020
Real Estate Advice
Joshua Smith
Lead Generation

Only 7% of realtors conduct 93% of all real estate business.

The unfortunate reality is that the vast majority of realtors do not understand the amount or type of actions that are required to generate business.

But all is not lost.

You have come to the right place to learn how to grab a slice of the massive amount of business that top agents and teams are responsible for. There’s plenty of room for an agent who is willing to work relentlessly with the right tools and appropriate knowledge.

Perhaps the most foundational concept for building a real estate business is effective lead generation systems and data tracking, so let’s start there.

Consider these stats:

-The average realtor converts .5% of leads into a closing.

-Top realtors with world class follow-up convert 3% of leads into a closing.

So let’s split the difference, and say you can convert 1.75% of your leads into a closing, or basically one for every 60 leads. To convert at this level, of course, you must know how frequently to follow up with leads. More on how to conquer lead follow-up here. But you can do a rough calculation of the amount of leads you need to convert one closing, so you know how many leads you need to accomplish your goals.

Let’s say your goal this year is to close 36 homes. Based on the above conversion rate, you must generate at least 2,160 leads this year to hit that number.

You can them break things down further for more easy to manage targets. 180 per month. 44 per week, if you take off two weeks per year. You can even take it down to leads per day, if you would like. The important thing is to stay on track and make sure you are regularly hitting your numbers.

IMPORTANT NOTE: The only way to win the year is to win enough months. To win the month, you must win enough weeks. To win the week, you must win enough days. So every morning when you wake up, just think about winning the day. Every day.

Always break your numbers down so that you know if you are winning the day. Successful businesses, after all, are built on predictable and practical systems. And in real estate, lead generation is the number that fuels your growth.

Thanks for reading!

  Joshua Smith, Realtor/Mentor/Entrepreneur

-Voted 30th Top Realtor in America by The Wall Street Journal

-Over 5,000 Homes Sold & Currently Selling More Than 1 Home Daily

3 minutes
Looking and pointing at graphs on a table.

The Path Toward Real Estate Success: Making Money

Joshua Smith Apr 24th, 2020
Joshua Smith
Real Estate Advice
Real Estate Success

Realtors must perform three tasks to make money.

Of course, you have to do other things to make sure you get paid, but those things are not actual money making activities.

What is the difference?

Think of it this way: several essential things must happen to close a deal that you already have under contract, like ordering the home inspections, filling out an addendum, etc, but those things do not actively make money come in the door.

Money making activities are things you do which increase your production, that take you from having four deals under contract to having five.

The Three Real Estate Agent Money Making Activities Are:

#1: Setting Appointments. Includes your lead generation and lead follow-up activities and includes anything you are doing that leads to your setting an appointment for a buyer consultation or a listing consultation.

#2: Appointment Conductions. You were successful with setting an appointment. Now you must deliver a great buyer consultation or listing consultation so you can turn that appointment into a signed/committed client.

#3: Writing/Negotiating Contracts. Once you get the first two items on this list completed successfully, you need to lead the process to getting your clients under contract, which entails writing and/or negotiating contracts that result in an accepted contract for your clients.

These are the only three activities that lead directly to making money.

Some may say things like, “I have to write up this repair request form which is necessary for the closing to move forward, and eventually close to get a commission check”.

But that is still not a money making activity. It is nurturing business you already have. Yes, this action is essential, but it is not increasing the number of properties you have under contract.

Also, I am sure you have heard of the 80/20 rule: most people spend 80% of their time on the items which make them 20% of their income, and only 20% of their time on the things making them 80% of their income.

But top real estate producers understand the 80/20 rule and flip it around. They make sure 80% of their time is spent on what makes them 80% of their income, and 20% of their time on what makes them 20%.

If you want to become a top producer, you must spend 80% of your time, energy, and focus on these three money making activities.

Thanks for reading!

  Joshua Smith, Realtor/Mentor/Entrepreneur

-Voted 30th Top Realtor in America by The Wall Street Journal

-Over 5,000 Homes Sold & Currently Selling More Than 1 Home Daily

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