Category: Realty Reality (page 2 of 16)

by Jeff Brown

Real Estate Investments Broker

Author website

Note: This post isn’t aimed at the (IMHO) 10-20% of the real estate agent population who, day in and day out, work hard, effectively, and with massive purpose.

Dad, ‘FDB’ to some of his friends and family, said those exact words to me a few months after I’d gone from part time agent/student, to real estate full time. He wasn’t one to sugarcoat his words. Silly me, I not only protested like a stuck pig, I gave examples of how hard I’d been workin’.

22 year olds can be exceptionally clueless at times. 🙂

Mind you, in 90 days of hard 40 hour weeks I’d produced exactly one damning goose egg on the listing/sales board. I now know what Dad was talkin’ about, cuz a 14 year old C- student could put something on the listing/sales board after 12 hard working 40 hour weeks. It’s seriously not possible to get shut out workin’ that many rigorous hours week in and week out for a full quarter.

The trick is to be honest about how you’re defining hard, effective, work.

It’s not what you tell everyone else either. Imagine your husband/wife is in the room with you. Now how hard are ya workin’?

I’ve never understood this, even though I was guilty of it myself. Dad busted me for constantly gettin’ ready to get ready, to do something really lame, that wouldn’t produce squat anyway. Why do people get licensed only to pretend to work, then complain about how bad the market is, or the rest of the litany we’ve all heard — or uttered ourselves.

Lord knows I’ve put in my share of overtime over the years. But I’m hear to tell ya, with rare exception, those who work at doing what gets them in front of serious buyers/sellers and/or doing what gets those buyers/sellers where they wanna go, don’t hafta work wicked long hours to make an exceptionally good living. If you like working longer hours for whatever reason, good for you — and your bank account. But you can earn six figures workin’ 40 hours.

It’s like diggin’ 4′ X 6′ Read more

by Jeff Brown

Real Estate Investments Broker

Author website

Had a nice conversation with an agent on the east coast recently who’s a world class buyer’s agent. He has his own site that sending roughly 7-8,000 leads his way each year. From those he picks the cherriest of the cherry, giving the rest to his assistant. He sells anything from a $100k place to cool houses whose price tags require a couple commas. I got the impression most of his stuff is $400k and above, though not much above, at least as an average.

Anyway, the guy’s wicked smart, knows what he’s doin’ backwards and forwards, and does very, very well. He expected to be at roughly 70 closed sides by the end of the year. Again, his website spits out leads like Grandma used to make muffins.

Talking with agents like him is a treat, mainly cuz they’re not only good, and work hard, but they get it. Big time smart.

I asked him why he’d never pursued being a dominant lister.

I asked cuz he’s such a natural, he’d kill. Agents like him can leverage the combination of their superior online skills and agent experience into a tremendous pay raise while keeping the hours level or even reducing them if preferred. For instance, my guess is Russell Shaw, who’ll probably do (my estimate, not his) 5-700 sides this year, works 30-50 hours weekly. Not sure how those sales fall into listing/buyer sides, but I’d wager more than a six pack of Dr. Pepper that 70% of ’em or more are listing sides. I’m sure he’ll correct me if I’m mistaken. 🙂

Back to the east coast guy.

He’s been at this for a decade or so with stellar results. That’s a lotta sales. A buncha homeowners who’re in their homes due to his efforts. They like him, and view him as an experienced, knowledgeable pro. Geez, I dunno, given a built-in database of roughly 500-700 satisfied homeowners, one might wonder if marketing your equally cool listing prowess might have some traction.

Just sayin’.

Let’s say it’s just 500 or so. He already ‘touches’ them with emails once or twice yearly, though Read more

by Jeff Brown

Real Estate Investments Broker

Author website

I love the team concept as it’s executed corrected by some in the business. However, most of them, IMHO, and through first hand observation, produce pre-tax income less for most team leaders than most think. Going even further, I’d say those workin’ by themselves or partnered, using only assistants, not commissioned agents, will almost always bank more coin than team leaders.

The model I’ve used since late 1996 is so old it was in place in ancient Rome. It starts at the top with The Guy who then has as many assistants as needed, doing all the work that supports rather than generates company earnings. I’d never go as far as to say it beats the Team approach every time out, but there are some distinct advantages to my favored MO when compared tit or tat with the typical team.

My MO, as stated up top, is simple. I hire assistants as business volume dictates. The more the business, the more assistants. When I was able to work in my local market, San Diego, there were long stretches when I had three full timers — none of whom were paid salaries or by the hour. All were paid based on my production. See what I mean? Nothing new or ‘cutting edge’.

The Boss (Don’t ask who that is — must I explain marriage?) for years has resisted my somewhat awkward attempts to point her in this direction for one of her companies. It’s a retail bridal gown ‘n stuff kinda store. She’s a well known designer who’s also sold to other stores nationwide via her wholesale operation — she’s been doin’ this for over 20 years. Her store (Yes Stevie, there is a God) shares a wall with Hooters in the Mission Valley area of San Diego. It’s a measly 500 square feet.

Her MO was to hire salesladies to deal with customers. It was a constant pain in the ass, as most of ’em couldn’t manage a one-man picnic if given a plan and a how-to video. I finally resorted to begging and pleading. Then one night not long Read more