New Real Estate Agent Business Plan For 2022! [Step By Step]
![New Real Estate Agent Business Plan For 2022! [Step By Step]](/pic/new_real_estate_agent_business_plan_for_2022_step_by_step_/eFpWSU5neWtSeVk_.jpeg "New Real Estate Agent Business Plan For 2022! [Step By Step]")
hey guys i'm gonna give you today the 2022 business plan for a new real estate agent we're gonna keep it real simple because the more complicated you make this the less likely you are to actually follow the plan now what i'm going to give you here is a breakdown first of all of the numbers required for you to actually have an amazing 2022. then i'm gonna share with you the breakdown of the sources of business that you should consider where's your business gonna come from and finally i'm gonna give you you a daily schedule these are different parts of a business plan again a business plan can have some other items to it we're going to keep it simple since you are brand new i am assuming since you are new to real estate you have zero business right now and i'm also gonna assume that you're not interested in spending money buying leads i don't recommend that i'm going to give you a business plan where you can generate business every single day you are going to generate the transactions and you're going to learn how to do that and the power in this whether you like this idea or not this is a duplicatable skill that you're going to learn mindset meaning what's going on in your head your beliefs about what's possible for you is also going to be a huge part of the results that you get but these are whether it's mindset or sales skills you're gonna work on them you're gonna develop a great mindset and great skills and they're yours forever and as long as you continue to work on them you're gonna get stronger and stronger and better and better and sell more and more homes each and every year so as a brand new agent let's talk about the breakdown of numbers i believe it's 100 realistic for a brand new agent working full-time in real estate to sell 24 homes their first year maybe 25 i like the 25 better than 24. how do i come up with 24 two closed transactions per month to a month times 12 you got 24. i want you to write that down as a goal
now i also want you to write down your average price what is the average price home in the area that you are selling i'm gonna use the number 320 000 average commission about 10 000 approximately i just want to make it a round number here so average price average commission let's call it 10 000. if yours is five or eight obviously what you adapt the number you're gonna multiply 24 by your average commission check if it is ten thousand two hundred and forty thousand 000 would be your gross income in 2022. now it's a small percentage of the population that actually earns that kind of money on an annual basis and you with your real estate license without any experience if you follow the plan that i'm going to share here with you today you can make it happen the next thing that i want you to write down is of the 24 closed transactions that you will have in 2022 how many will be listings sold meaning a seller who hired you as their listing agent and this property sold and you got paid the listing side of this commission how many will be listings sold and how many will be buyer sales i will say 24 listings sold zero buyer sales now let me stop here for a minute and tell you why i am saying that listings mastering the skills to take listings is the single most effective powerful thing you can do in your real estate career it's not working with buyers buyers take a long time uh buyers many times you can show them a lot of homes and they could end up buying from somebody else or deciding not to buy or deciding to rent and when you have a listing as long as you price it right that property is going to sell you're going to help this homeowner because they need a great agent and it's a win-win in every way i think most real estate agents if you're brand new um maybe you have not had the experience yet any agent that's been in business for any period of time and worked with buyers knows how time-consuming it is not to mention the fact that of every buyer inquiry that you get it could be a sign call it could be an internet call it could be a buyer that walks into an open house wherever it could be a referral from somebody you know a very small percentage of all these buyers that may come to you are what we call ready willing and able a buyer has to have those three ready willing and able uh criteria let's call it for you to even remotely consider working with them and and the three things that i mentioned are not enough for you to put them in your car and go show them homes they have to be absolutely committed to buying from you because they may be ready willy and able you may show them 10 houses and spend a few days researching setting appointments spending time with them and then they decide not to buy or they buy from somebody else they drive in front of a home they see a sign they call the listing agent the listing agent shows them the property and that's it they're gone so when you take list genes that doesn't happen this listing is yours for at least six months because that's the standard length of a listing agreement and that's how long your listing should be and again as long as it's priced right this listing is going to sell and you will get paid so why would you want to spend time running around with buyers that can be rather unpredictable and extremely time consuming let's not do that you're brand new to real estate let's start your career doing what's most effective now is finding sellers who want to sell so you could take a listing is it easy no it's not easy is it easy working with buyers no it's not easy neither one is easy i guess if i had to to choose which one i think is easier i'm biased i would say definitely finding people who want to sell so you can take those listings and again it's a duplicatable system that you're gonna have and you're gonna get better and better at it so 24 listings sold no buyer sales now what's interesting about this also is when you have listings you're going to have buyers coming to you you don't have to look for them they're going to come as a result of the listings that you have so what should you do with those buyers if you're not going to close any of them refer them to initially since you're brand new at some point in your real estate career you may choose to hire a buyer's agent first year i don't recommend that you need more experience and it's gonna take some time to hire and train the right buyer's agent for your first year so you can stay focused do not start running around with buyers it you're gonna get totally off track derailed from just focusing on taking listings refer these buyers out take a referral fee and that will be added income for you you can count on when you close 25 listings sold you can count on 24 buyers coming to you as a result of these listings now are all of those going to be buyers that are ready willing and able if you refer it to an agent obviously choose someone who you feel confident will be able to actually get those buyers under contract so the buyer can get the service that they are looking for the agent you're referring to will get paid and you're gonna get your referral fee let's look at it this way even if not 20 all the 24 buyers close 20 or 15 this is extra income for you as long as you don't get distracted and start wasting a lot of time showing properties to buyers so in the breakdown of numbers there are a lot of numbers uh when i work with my clients they create a very detailed business plan again i'm considering your new age and you want to keep it simple and these are the main numbers that you need to remember i want to talk to you about the breakdown of your business you're a brand new agent the first thing that you need to do and you need to do it quickly and and just spend maybe a week get it done and then move on to the next thing you need to make a list of everyone that you know we call it your sphere of influence everyone you know look through your look through your phone contacts look through all of your contacts all of them don't leave anyone out and the first thing you need to do is you need to speak with everyone you know and let them know that you're now in real estate and you want to be their agent now when they are when they're interested in buying or selling you want to be their agent when they hear of anyone that might be interested in buying or selling you want to be their agent and you also want to offer your services and be a resource for them let them know if and when you have any questions about real estate anything at all call me immediately if you're driving through an area and you're just curious you're not really looking to move you're just driving by you see a for sale sign this is a beautiful neighborhood you're just curious i wonder how much home sale for in this area pick up the phone and call me immediately i have all that information at my fingertips and i'll be happy to give you all the information you need you want everyone you know to start thinking about you as a resource so anytime the words real estate pop in their mind they come to you and that's something that you're going to initially you're going gonna have this conversation with them and then you're gonna be again speaking with all everyone in your sphere of influence at least once every three months once a quarter so be four times a year minimum now the people that actually give you referrals that do business with you and a lot of them will you're gonna start contacting them more often those are gonna be your a client sphere of influence the ones that have already proven to you that they will send you referrals and give you their their personal business as well that's number one that's your number one priority and let's assume that you have 200 people you come up with 200 whatever the number may be it could be 50 for you 100 doesn't matter i'm just using 200 as an example what you're going to do is you're going to create this list and you can use any type of database i'm not going to talk there's so many of them out there and it almost doesn't matter which one you use you just want to pick one that is affected and only one you don't want to have some people here and some people over here where you lose track of what's going on so pick a a database a crm put all the people you know into that crm and within the first your first day in real estate you're gonna pick up the phone and you're gonna start calling them if they don't answer the phone these are people you know you're gonna leave him a message and you're gonna ask them to give you a call back now i don't necessarily recommend leaving messages when you're dialing and calling people you don't know so that's not what we're talking about here right we're talking about sphere of influence and the people you know so you go ahead and leave them a message because you expect a call back so you can let them know what you're doing you can let them know about your new career the second thing you're gonna do so let's say if you have 200 people your goal would be within the first week maximum first 10 days speak with everyone let's say it takes you 10 days we're talking about 20 conversations a day absolutely doable and you want to get that out of the way and then three months later you're going to call them again and some of them when you have a powerful conversation the very first time within between the first call you make and the next one some of them you're gonna hear from them they might have questions they might decide to buy or sell remember you're not going to work with the buyers but you're going to refer them to somebody you trust maybe an agent in your office or someone you know you could speak with your broker about that so they take great care of your clients and their referrals so some of them you're going to communicate more often because they're going to reach out to you right what do you do when you run out of the people you know you've already talked to all of them they're organized in your in your database what's next here's the reality of the business that you're in if you want to make a lot of money and sell a lot of homes if you're okay with selling four or five homes a year you don't need to watch this right now you could just stop and go do something else if you just breathe you're you'll sell five homes a year that's what the average agent in this country does i assume you're watching this right now because you want to have an amazing real estate career you don't want to be average mediocre you don't need my help anybody's help to do that if you just if you're looking to be average if you're part-time and you just want to sell a house here and there you don't worry you don't even need a business plan okay so assuming that's not the case the reality of the business you're in real estate for someone who wants to excel at it they want to be the best of the best it's a sales job in a sales job you actually have to look for people that want to do business with you sales people great sales people they don't sit around and wait for somebody to come knocking on their door and ask for can you help me no they go find the clients and this process of getting out there and finding clients is called prospect that's it prospect is not a bad word it's an amazing word that's gonna make you a fortune in real estate when you're calling your sphere of influence you're prospecting that's what it is you're just talking to people now realize that in in your real estate market in your area where you're gonna sell real estate there are infinitely more people that you don't know than the as an example 200 people that you know that are in your database and are part of your sphere of influence you're going to have to get out there you are going to have to talk to people you don't know and this can be a lot of fun it's yeah initially my you you might have some fears and doubt that you can do it or whatever maybe not maybe some of you are are watching this right now and you're like super excited and great okay that's that's an exception most people when they hear about making calls or door knocking and talking to people you don't know it's a little bit intimidating in the beginning and it's normal so there are different things you can do in talking to people you don't know the first thing i'm going to say to you is as a brand new agent you need to talk to everyone everyone that you run into i mean you have a life you go places you go to the grocery store you go get a cup of coffee you go to a restaurant to eat you maybe go to the gym you go to a hairdresser barber shop you go to a store to buy clothes and shoes you're out of your home and office every day all the time and you gotta remember that everyone everyone out there could potentially become a client for you now if they don't know you're in real estate if you don't introduce yourself if you don't speak about real estate how are they gonna know they don't know what you do and they don't know you want their business so start thinking real estate 24 7. it's what you do it's who you are it's not just a job it you're an entrepreneur this is your career and even being brand new not having closed the transaction yet maybe you are not confident about anything because just your your brand new i was brand new too everyone started as a new agent at some point you have to first of all you have to have great energy you got to be excited about helping people in general with their real estate needs and you have to continuously be working on your skills improving your skills learning about your business i'm going to give you the daily schedule very simple daily schedule in just a minute so start talking to everyone you know maybe wear a name tag pass out business cards just introduce yourself hey my name is jackie i'm a real estate agent here in the area just want to give you my information um do you happen to be interested in buying or selling a home anytime in the near future that i could that i can help you with no you know i'm good oh do you happen to know anyone a friend family or neighbor that might be thinking about buying or selling no i don't want anybody okay no problem hey thank you uh for taking my business card keep my name and keep my name and number and if you have any questions about real estate at any point or know anybody that need my help i'd be happy to to help them and and do a great job for them that's it i mean i just made that up quickly you can probably come up with something a little bit better it's a short conversation you may be uncomfortable with this at first get over it okay you gotta get used to the idea that to have an amazing real estate career you got to get out you got to get outside of your little comfort zone being in your comfort zone is not going to make you a fortune in real estate okay who's next well um you can call or door knock around a neighborhood um most of you even if you're brand new have heard of farming where you select a geographic area and you just start calling in door knocking and and doing community activities and open houses in the area and you just focus on a specific geographic area so you can build business in that area over time you could even if you have money or you want to spend money you could mail stuff and you can get email addresses and you could email them newsletters and market information in that area you don't have to spend any money okay and i i and i say this from personal experience but also i have coached tens of thousands of agents in my real estate career you don't have to spend money can you sure if you want to spend money i i'm not the resource for you i don't know where you should put your money that you're going to have a return are there good investments where you spend money to get business and it actually makes sense you get more than you spend 100 that's not my strength my strength is building a business from nothing without spending any money and in a way and again empower you to get better and better look if you're buying business and you don't learn how to sell and all of a sudden that business source that you're buying leads from dries up what do you do when you develop the skills and the mindset that i am talking to you about here the sales skills the powerful mindset of a great listing agent these skills are yours forever it doesn't matter what happens with the market it doesn't matter where you're selling real estate you can duplicate business no matter what is going on out there okay so and by the way even if you're buying business and i know you're not watching this because you're interested in that when you buy business you still have to talk to those people you're going to have to have conversations and you're going to have to handle objections and you're going to have to go on presentations and you're gonna need to learn how to close these are all sales skills that are gonna get you a ton of business from day one so now you can do the neighborhood prospecting you can also now these are my two favorites where all my real estate business came from and i absolutely love them expired listings and for sale by owners now why are expired listings and for sale by owners the single best prospecting calls you can make because you are talking to people who want to sell i mean the goal of talking to anybody is finding someone who wants to sell whether you know him you don't know him and it doesn't matter who they are where they're coming from you want to find somebody who wants to sell so you can go list their home expired listings and for sale by owners want to sell single best source now they may not be always easy to speak with although some of them are some of them you just sound confident and you ask for an appointment they say sure okay come show me what you've got and now you're meeting with a the hottest prospect you can meet now i said some of them may not be very easy to speak with um but it's it's quality it's the quality of the prospect you're speaking with and when i say they may not be easy to speak with well they're pretty easy once you know how to speak with them when you have the skills they're easy when you're not skilled uh it's a tough conversation but these are these are skills that you learn i learned them my clients have learned them and continue to learn and improve every day and you start converting more in the beginning even if you have no idea what you're doing if you talk to enough of them someone is going to say sure come over and even if your presentation is not that great they're going to end up listening with you it's quantity over quality in the beginning and then that conversation that that ratio changes and it flips and it becomes quality over quantity in terms of the quality of your conversation is gonna cause the number of people you have to talk to to go down but in the beginning you got to talk to more people period in every conversation you have you either win or you learn you've got to have that attitude because otherwise it there's only two ways to do this you either when you win or you learn or you keep doing the same thing over and over expecting different results definition of insanity i don't think so i don't think that's what you're up to right so that's where you want to focus your business the business sources now your daily schedule this is going to be very simple okay you're going to start making calls at 8 00 a.m now double check this with your broker in many states 8 a.m is the earliest you can make prospecting calls double check double check 8 a.m in florida i live in florida so
for everybody else go make sure with your broker that 8 am is okay what do you do prior to 8 am well i'm gonna i'll tell you what to do and also tell you what not to do from the moment that you open your eyes in the morning until 8 a.m you are not gonna check your emails you are not gonna go on facebook or instagram and social media or anything else you are not gonna return phone calls from the day before about real estate you are not gonna watch the news you are not gonna allow anything to distract you from working on your mindset reading great powerful motivational inspirational books watching powerful videos listening to audiobooks reviewing your business plan and your goals just getting yourself in the right mental state to have an amazing day and you're gonna practice your skills just like professional athletes they warm up before they go in the car to play the game you're gonna warm up you're gonna take your script you're going to read them over and over and over and over out loud as fast as you can you're going to practice practice practice then you're going to find a role play partner and you're going to role play the conversation they'll be the seller you're going to be the agent you'll take turns and you're gonna warm up at eight o'clock you're on the phone and you can take a 10 minute break every hour and when you take this break go to the bathroom go have something to drink something to eat do not get distracted don't go on social media don't start checking emails don't start returning phone calls if you're gonna if you have after you take a break and get a snack if you have a little a few minutes left mindset go read a few pages of a great book that's gonna inspire and motivate you to get back on the phone and continue doing your job at a really high level you got to stay on you got to create momentum and rhythm with the prospecting that you do this is this morning schedule and you're gonna do this until noon okay from 8am till noon this is what really separates great agents from everybody else and the majority of real estate agents are you know average and it's okay not everybody not everybody has the desire to be the best of the best now i know you've been this long watching this because you do have that desire and this is the plan this is the schedule this is what you need to be doing what do you do at noon go have lunch take an hour enjoy your lunch one o'clock come back from 1 to 1 30 you can follow up on the leads that you have a lead being someone that you spoke with in the past they weren't you weren't able to set an appointment the first time you spoke with them so you're going to have to call them again from 1 to 1 30. 130 to 230 administrative work now you could check your emails now you could go return phone calls for one hour and 2 30 until 5 30 you're gonna go on appointments you're gonna prepare for your appointments and you're going to go on these are listing appointments because you're not going on buyer appointments and that's about it that's the end of your day and you're going to do this monday through friday this is your schedule from monday through friday your goal is to set one listing appointment and then pre-qualify every single day that's that's your goal that's the only reason why you would spend four hours on the phone talking to people can i do that every day well uh yeah of course you could do that every day you gotta believe you could do it every day i mean what day would you not wanna do that you you would want to have days when you're just talking to people for four hours and not setting an appointment that's gonna be your goal every day and when you do that think about this five days a week and if you're not able to set one a day monday through friday you might have to make some calls on saturday morning from nine to eleven nine to noon is a great time on saturdays if you set one a day monday through friday then you get to take your weekends off okay which you should you're entitled to but in the beginning i worked i i worked endless hours my first two years in real estate and then it started to as my skills improved my mindset got stronger like i said fewer people more more and more efficient in the beginning you're gonna have to go all out so you set one qualified listing appointment every day and let's assume that so you're setting five a week one you end up not going on for whatever reason either they cast or you can so you go on four and let's say you just take one one because you don't know what you're doing you don't have a great presentation yet and you take four listings per month one a week four per month you're not very good at pricing properties yet so only fifty percent of them sell which then that percentage is going to increase for you again as you gain more experience and you learn how to price properties but let's say initially only half sell that's your two listings sold per month that's going to get you to 24 close transactions a year what an amazing first year that is they're agents out there that close 100 transactions first year we're talking starting from nowhere building your business from scratch just getting on the phone go door knocking talking to everyone i know for sure that you can make this happen and i look forward to hearing about your success
2022-01-28 16:06
