Listings are the high-leverage, maximum-earning opportunity in our industry. Conventionally, your income from having a listing sell is no different than closing on a similarly priced home for a buyer. What separates the two is the amount of time necessary to work them. In our experience, a highly productive individual can personally obtain fifteen to twenty-five seller listings per month. The same agent would be hard-pressed to sell homes to seven or eight buyers a month for any prolonged period of time. With the right approach over time, you should be able to secure and sell as many as two to three listings for every buyer you could sell.
So from the very start, by concentrating on listings first and foremost, you could potentially double or triple your gross income on the same amount of work. If this isn't incentive enough, then consider how listings provide a lead-generation platform through direct mail, ads, signage, and open houses. It is a fact that being in the listings business begets more business. Our research shows that one listing properly marketed should generate enough leads to produce a minimum of one closed buyer.
At the end of the day, listings give you better control. They give you better control of your time, your marketplace, and your future. That's why we affectionately call them the "Gift of the Real Estate Gods."
We've all heard that time is money. Well, that simply isn't true. In fact, it is one of the worst mental maps perpetrated on us by unknowl-edgeable people. The truth is that time does not always translate into money. Those who work the longest hours are not always those who make the most money. As business-people, we look at the time-money relationship in a different way. We're continually trying to net the maximum amount of money for each hour of time invested. In the beginning of our careers we spend time to earn more
money. Then we learn to work smarter and begin to earn more in the same amount of time.
Just like in our discussion of ceilings of achievement, we've discovered that there are limits to our personal efficiency. The ultimate key to tilting the money/time ratio in your favor will be leverage. Leverage can be divided into three categories: people, systems, and tools.
By far, the most important of these is people. While good systems and tools can help average performers consistently contribute more to the bottom line, nothing comes before hiring and keeping talent. If you're like most salespeople, then designing and implementing systems and tools may not be your strong suit. The best way around this is to hire someone who is proficient at details and systems. That's why we recommend hiring administrative support talent first. When you've put in all the time you have or are willing to give and still want to increase your income, add leverage.
The Three L's of the Millionaire Real Estate Agent—Leads, Listings, and Leverage—are the pillars of any successful real estate sales business. I believe these are the core issues that drive massive sales volume. In fact, we made them the framework for our foundational model of The Millionaire Real Estate Agent.
Leverage Answers Three Important Questions
Who is going to do it? How will they do it? What will they do it with? The Answers: People, Systems, and Tools
Now that we've established the three cornerstones for your achievement model, it's time to set out on the path to becoming a Millionaire Real Estate Agent. We've discovered there are four natural stages you'll go through on your journey.
The Millionaire Real Estate Agent should progress through these four stages: Think a Million, Earn a Million, Net a Million, and Receive a Million. From our experience, most real estate professionals do not even begin, if ever, to Think a Million until they are well into their careers. The failure to see this much potential from the beginning can lead to the inevitable and devastating work of reinventions, take backs and do overs. But even more important than avoiding massive reinvention is the fact that this kind of short-term thinking does not position you for big long-term success.
There is a big advantage to studying and understanding all four stages before you begin. If you can Think a Million, you have cleared the path to Earn a Million. Our hope is that by examining the process at the start, you'll progress at a faster pace and make fewer mistakes. Let's return to the analogy of climbing Mount Everest. Over one hundred years elapsed between the time Everest was identified as the highest point on Earth and the day the first person reached the top. Interestingly enough, a second group reached the summit just one year later.
The Foundational Model of the Millionaire Real Estate Agent
The Foundational Model of the Millionaire Real Estate Agent
Today, dozens of people reach the top every year. Once the path was identified, the journey became more accessible to others. It is our intention that this book will have the same effect on your real estate career.
The truth we discovered is that if you don't achieve the goals of one level, you'll find your sales career probably won't progress to the next. You have to Think a Million in order to Earn a Million. Earn a Million is the platform that supports the ideas of Net a Million. Successful progression through all three is a definite prerequisite before advancing to Receive a Million.
Commit the Foundational Model of the Millionaire Real Estate Agent to memory. Draw it on the back of a business card and stick it in your wallet. Tattoo it on your forearm. Frame it and put it above your desk. Share it with your staff, and enlist the support of the key people in your life. Just don't forget it no matter where you are in your real estate journey—it will keep you focused.
- Moving Forward
I want you to be your best. Some people dream of doing their best, while others just go out and do it. You may choose to think big and aim high but never reach the kind of production described in this book. And that's okay, because by thinking big and aiming high, you will certainly reach a higher place. In fact, you will probably reach your highest potential possible, which is magnificent. Here is an inescapable truth: People who push themselves to their limits make peace with their limitations and avoid regrets at the end of the day and at the end of their life. They give it their all. It's the difference between being able to say, "I'm glad I did" versus "I wish I had." And there is a big difference.
Many have pointed out that we work in a recognition-seeking, awards-driven industry. We believe that awards and recognition, though important, can devalue the true rewards of giving it our all. In the end, it's not a race or a competition. Maybe it is not even about achieving the summit. The true joy is in the journey. If achievements and experiences define your life, then it follows that maximizing your experiences maximizes your life.
Points to Remember: Overview
■ People have lived before us and success leaves clues, so it would be wise for us to learn from their journey before starting on our own.
■ Big Models lead to Big Success. With proven models, avoid placing creative innovation ahead of effective implementation. Know your models before you personalize them.
■ Everyone will hit a personal ceiling of achievement. Adopting the right foundational models will enable you to break through that ceiling.
■ Focus on the Three L's of the Millionaire Real Estate Agent: Leads, Listings, and Leverage.
■ Remember, everyone has two jobs—their chosen profession and lead generation.
■ Listings give you control of your time, control of your marketplace, and control of your future.
■ Leverage is about people, systems, and tools. It answers three important questions:
■ Lastly, the path of the Millionaire Real Estate Agent goes through four stages—Think a Million, Earn a Million, Net a Million, and Receive a Million—and they are best pursued in that order.
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You already recognize that rich individuals think differently than middle class or poor individuals in every aspect of life. But particularly when it comes to money. That's why they're rich. Their selections and decisions just by nature bring about riches.