Making Money in Real Estate

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

2 minutes
Woman writing in a notebook while at a computer.

The Path Toward Real Estate Success: Mastery

Joshua Smith May 1st, 2020
Joshua Smith
Making Money in Real Estate
Real Estate Advice

Mastery happens when eyeballs are not on you. It happens behind closed doors. It happens with extreme focus. 

You will not master your craft by simply working each and every day inside your real estate business.

Mastery happens after you put in a long work day, and you go home, and then practice your presentations and scripts over and over and over.

You will never go on enough listing presentations daily, weekly, or monthly to truly master the craft of your listing presentation. So you must practice it over and over. After a long work day, once you get home, after you spent some time with the family.

While your competition chooses to watch TV and relax, you choose to practice your listing presentation every single night for two hours.

This is how mastery takes place.

And here is the really cool part about mastery: So few people focus on it, so, once you do, you really have no competition!

Some absolutely critical items you MUST master inside your real estate business:

-Lead Generation

-Lead Follow Up

-Your Appointment Setting Scripts

-Your Buyer Presentation

-Your Listing Presentation

-Your Objection Handling Scripts

-Your Closing Scripts

Of course that’s not everything you must know about real estate, but the above is a list of some absolutely essential items you must focus on mastering inside your real estate business if you want to create success.

So start working on mastery and start creating MASSIVE SUCCESS!

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
Notes out in a meeting

The Path Toward Real Estate Success: Standing Out

Joshua Smith May 8th, 2020
Converting Leads
Joshua Smith
Making Money in Real Estate

The marketplace is overrun with realtors.

What are you doing to separate yourself from your competition to make sure you stand out?

Not everyone is thinking about buying or selling at this given moment, so the ultimate goal is to offer those who either may want to buy or sell at some point in the future something of value and stay in touch with them to build a connection over time.

In the noisy world in which we live, we must think differently and lead from a place of contribution.

Let's think about For Sale By Owners. Instead of just asking/begging them for their business, what about offering them some free tips and tools that can ultimately allow them to be more successful?

The reality is, only 8% of FSBO’s are ever successful at selling their homes on their own, and per the National Association of Realtors, the FSBO’s which are successful, on average, sell their homes for 16% less than the average realtor listed property.

If you offer free tips/tools, you are establishing a stronger relationship over time. So, when the 92% that are unable to sell on their own decide they want to hire a realtor, BOOM, you are the first realtor they think of!

What if you offered for FREE:

  • An in-depth current market analysis report
  • A “How To Prep Your Home For Sale To Get Top Dollar” guide
  • A guest registration login book
  • A blank Association of Realtors contract
  • A seller's guide from your local title company
  • Some tips on creating social media ads
  • Some tips on lead follow-up
  • Some tips on holding a successful open house

This is not an exhaustive list, but rather some suggestions to give you a mindset of ways to offer something of value and become a resource. While other realtors are begging for their listing and telling them how they are going to fail, you are offering value and building a connection. So when they get to that point of frustration at which they decide they need to hire a realtor, you are the realtor who comes to mind.

The key is to always offer something of value in exchange for the consumer's contact info, and then you can follow up, continue to be a resource, and develop a relationship over time.

Keep pushing hard, and keep up the amazing work!

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
Leading a meeting through glass

The Path Toward Real Estate Success: Breaking Down Lead Generation

Joshua Smith May 22nd, 2020
Joshua Smith
Lead Generation
Making Money in Real Estate

It all starts with lead generation.

You can deliver amazing service to your clients, you can know the contract inside and out, you can know how to look out for your clients’ best interests, BUT if you can’t generate a constant stream of leads, you won’t have the chance to excel at the preceding tasks.

So, how do you generate a steady stream of new leads?

You have to start by acknowledging the importance of generating new leads. Every single day, you must make new people aware of you who were not aware of you yesterday, offer those people something of value in exchange for their contact information, and then follow up with them frequently. The essence of lead generation and lead follow-up.

Most realtors make two BIG mistakes make with lead generation: #1: They do not make lead generation a daily priority, and #2: They pursue too many lead sources.

A different approach:

#1: You must make lead generation a daily priority. You have to wake up each day with a plan in place to generate leads. Block off that time on your calendar. You must become intentional each day with your lead generation.

#2: Success is not found in doing 1000 things but in doing a few things brilliantly, thousands of times. Don’t try to focus on having twelve lead sources, but instead, focus on three or four. Do those three or four things constantly to become world class.

What is the best lead generation source? It doesn’t matter. The only thing that matters is your consistency and willingness to generate leads day after day. The best source is the source you enjoy, and the one you will continue to use over and over and over. 

Identify your personal strengths, and then identify the lead generation methods that align with your strengths. For example, if you love talking with and networking with people, then try joining local networking groups and working those groups for new leads. If you are more introverted, and don’t like networking, try Facebook lead generation.

If you study all the top producers on the planet, they have different lead sources, of course, but the one factor that runs through the most successful realtors in the industry is a willingness to be radically consistent.

A magic lead source has yet to be invented. You must plan to win with consistency.

Your lead generation task list:

#1. Break down your personal strengths.

#2. Identify three to four lead generation methods which align with your strengths.

#3. Block off daily time on your calendar to intentionally work those lead generation methods.

#4. Go build a constant stream of new leads to fuel your success in the real estate industry.

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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