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So, You Wanna Be a Real Estate Agent… How Much Money Will I Make?

Guest Post by Jennifer Allan-Hagedorn

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As promised, we’re going to help you determine if a career in real estate is right for you and if so, is NOW the right time to jump in?

So… let’s get started! Let’s (try to) answer that burning question every aspiring real estate agent asks… ‘How much money can I expect to make?’

Do you want the good news or the bad news first?

I’ll start with the good.  A career in real estate can make you rich beyond your wildest dreams.  Well, maybe that’s overstating it a bit, but yes, it is perfectly possible to make a whole bunch of money as a real estate agent.  Personally, I made around $70,000 gross ($40,000 net) my first full year and doubled my income every year after until I was over $300,000.  Okay, so that’s not filthy, stinking rich, but I was happy with it.  I imagine you would be, too.

My “worst” year (once I was up and running) was $179,000, and that was the year I stopped working in August because I was a little burned out.

Of course, there are caveats to those numbers; I worked in a market where home prices were above average, the market was strong, at times even booming, and my net income was somewhat (about 40%) less than those gross figures.  Oh, and just FYI – I was selling between 40 and 70 houses a year to produce those numbers.

So, yes, you can do the math and figure out the potential upside to a career in real estate.

Now for the bad news.

According to the National Association of REALTORS, the median gross income of new real estate agents in their first two years of licensure is (brace yourself) $9,100.

The median gross income of all real estate agents was $45,800, while agents with more than 16 years of experience earned a median income of just under $69,000.

Yowsa.

So there you have it.  Your average real estate agent makes around $22/hour (assuming a 40-hour work week) and there’s no benefits package or vacation time included.  A very small percentage makes over $100,000/year.

Will you?  Maybe… maybe not.  The good news is that your income, to a large degree, depends on YOU.  If this is a career you’re well-suited for, if you’re prepared to work hard and smart and with a little bit of luck, you can, indeed, be in that small percentage making a good living as a real estate agent.

Next up?  How much does it cost to go into real estate?

(look for future posts from Jennifer on this subject)

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Jennifer Allan-Hagedorn began her writing career after ten years of selling real estate successfully in Denver, Colorado. She was dismayed at the low level of professionalism she frequently encountered in the real estate industry and, with her “soulful” message, hopes to encourage the real estate community to self correct the negative stereotypes of the profession.

Jennifer’s message to agents is that they should strive to be competent real estate advisers, rather than competent real estate prospectors. She urges agents to respect the intelligence of their clients, rather than attempt to insult that intelligence with aggressive closing techniques. She preaches that agents should appreciate the significant commissions paid by their clients, rather than complain that they, themselves, are not appreciated.

Allan-Hagedorn is the author of seven books about real estate and one of the industry’s most popular bloggers. She is also an avid dog rescuer in the Panhandle of Florida.

To learn more about Selling Real Estate with Soul, visit Jennifer’s website best place to buy viagra online reviews 2013

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17 Tips Guaranteed for First Year Success as a Realtor

I have been studying intensely why some Real Estate Agents fail and others succeed.  I am here to help you succeed in your career. Here are some quick hitting tips I want you to focus on to help you succeed.  I talk more in detail about these tips in my book, my podcast and my video training program.

  1. Six months savings in the bank to cover you at a minimum.  Twelve months would be ideal.
  2. Choose the right office to work for—most important criteria is make sure they have a good training and mentoring program for new Agents.  This is absolutely critical and one of the most important requirements for your success in your first two years.
  3. Start working right away.  Don’t be afraid.  Conquer your fear.  Call reluctance has killed many careers.  Don’t keep making excuses for not calling or getting in touch with your sphere, working floor or hosting Open Houses.
  4. Preview–Preview–Preview:  Learn your inventory.  Local market expertise is a learned skill.
  5. Role play with your Managing Broker, Trainer or Colleagues to practice.  The only way you’re going to build confidence is by practicing.  You can learn from your mistakes with your colleagues so you’re ready once you’re face to face with new Clients.
  6. Identify your Competitive Advantage as a Realtor.  What sets you apart from the competition.
  7. Start hosting Open Houses right away.
  8. Commit to your career as a Realtor.  You are a professional.
  9. Go to work at your office.  Don’t work from home.  Dress professionally at the office, look the part.
  10. Start building your internet presence immediately with your blog/website.  Content marketing is a powerful tool to connect with new customers.
  11. Handwrite personal cards to friends and family letting them know about your new job as a Realtor.  Include at least five business cards in each note you send.
  12. Always remember to listen more than you talk when you meet new clients.  The art of listening will help you immensely.
  13. Start building your database right away–Direct Mail List of your sphere and farm.  Email list (Mail Chimp free when you have less than 2,000 contacts).  Database of your key contacts and champions with phone numbers so you can call.
  14. For your personal life make sure you prepare your spouse, boyfriend, girlfriend, close family that succeeding in real estate is going to take time.  It’s going to take you one to two years to build up your business–set the expectation up front before you start.  One of the biggest stresses for a new Agent could be dealing with those closest to you and if they are not supportive or patient this could end your career before it starts.
  15. In your first year start farming a neighborhood or geographic area.
  16. In your first year start building your content marketing engine on your website/blog.
  17. Don’t Give Up!!  Never give up!  Day always follows night.  The sun always comes up.  Business always turns as long as you stick with it.

 

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So, You Wanna Be a Real Estate Agent?

Guest Post by Jennifer Allan-Hagedorn

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Thinking about taking the plunge into a real estate career, huh?  Excellent!

Helping people buy and sell real estate is a wonderful career – one that can lead to tremendous satisfaction and prosperity, or… sadly become an unfortunate blip on the radar screen of your professional life.

Whether or not you experience the success you dream of will depend on a variety of factors, most of which are 100% within your control.  That’s the good news!  The bad news is that many, many, many real estate agent wanna-be’s disregard these factors when signing up for real estate school.  And the really bad news is that the vast majority of these agents, um, fail… and fail miserably.  Even the ones who were positive they wouldn’t.

Let’s not let that happen to you!

Just the fact that you are surfing online for real information about a real estate career tells me that you have more ambition and brainpower than your average real estate agent wanna-be.  So, no doom & gloom here – let’s take a little journey together.

Watch this space over the next several weeks for tips to help you determine if a career in real estate is right for you and if so, if NOW is the right time to make the leap!

Stand by!

(look for future posts from Jennifer on this subject)

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Jennifer Allan-Hagedorn began her writing career after ten years of selling real estate successfully in Denver, Colorado. She was dismayed at the low level of professionalism she frequently encountered in the real estate industry and, with her “soulful” message, hopes to encourage the real estate community to self correct the negative stereotypes of the profession.

Jennifer’s message to agents is that they should strive to be competent real estate advisers, rather than competent real estate prospectors. She urges agents to respect the intelligence of their clients, rather than attempt to insult that intelligence with aggressive closing techniques. She preaches that agents should appreciate the significant commissions paid by their clients, rather than complain that they, themselves, are not appreciated.

Allan-Hagedorn is the author of seven books about real estate and one of the industry’s most popular bloggers. She is also an avid dog rescuer in the Panhandle of Florida.

To learn more about Selling Real Estate with Soul, visit Jennifer’s website best place to buy viagra online reviews 2013

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When the Truth Hurts: 3 Strategies for Tough Conversations with Real Estate Clients

Guest Post by Karri Flatla

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Most of us are not very rational when it comes to big decisions in life.  We are imperfect beings with messy emotions and maybe even messier lives.  No one has it all together all of the time.  So why do we expect our real estate clients to be any less human than we are?  Buying or selling a house is a life-altering event.  Our clients deserve some leeway!

No matter how streamlined your systems, no matter how skilled you are at negotiating, every real estate transaction will present a disappointment or two.  This is not a problem.  It is a grand opportunity to shine.

So, how to be a real estate rock (star) when you’re the bearer of bad news?

The first step in being a courageous, eloquent truth teller is to let go.  You can only control your own actions.  You cannot control the other agent, the other buyer or seller, the market, and not even your client.  By letting go of your need to control the entire deal every time, you can simply focus on communicating effectively and with integrity.  This shows respect for your client and in turn, your client will respect YOU.

From this foundation, you can practice and leverage the following 3 strategies for having tough conversations with clients:

  • Manage expectations.  Often we are so excited about working with a new client, we overlook a critical window of opportunity to set expectations.  During the initial consultation, explain scenarios that might unfold and that such situations are normal and expected in real estate.  Also explain that reaching their goal will require some challenging decisions along the way.  Your job is not to predict the future.  Rather you will provide expert guidance at each juncture.
  • Give permission.  Your clients are grown adults who can make their own decisions, but they are naturally afraid of making the wrong decision with their real estate.  You ‘do real estate’ every day.  They do not.  Feelings of fear and vulnerability are paralyzing and will keep your clients stuck.  Be the objective voice of reason.  Validate decisions—and compromises—that will move them toward their goals.
  • Create choice.  When people perceive that they have no choice, they feel cornered and victimized.  Their fight-or-flight response kicks in, and at that point, it’s very tough to ‘find the win.’  If you offer one or two helpful alternatives—or simply a fresh perspective on a seemingly bad situation—your client will feel empowered to make a decision and move forward.  Of course, if the best way forward is to collapse the deal, that’s fine too.  Be upfront about that.  But even then, show your client that by closing one door, another will open, and you will be there to facilitate!

Too many real estate agents operate from a paradigm of fear… fear that their clients will fire them, fear of the deal falling apart, fear of never seeing another commission check, and on and on.  By operating from this fearful place, agents create chaos instead of solutions.

Successful agents are in the solution business.  Real estate clients don’t need any more fair-weather friends.  They need honest agents who will confidently and calmly guide them through the good and the bad.  If you can do this, you will be in your clients’ ‘good books’ for life.

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Karri Flatla has been pioneering her way through the real estate industry since 2012.  Armed with extensive business and marketing chops—and fueled by a passion for excellence—Karri is setting new standards for client care and education.  Determined to ditch the pitch, Karri eschews traditional sales for a more consultative approach.  The result?  Today’s consumer can make smarter decisions about their real estate in a no-pressure, comfortable environment.

Karri is a full-time residential real estate agent with RE/MAX Real Estate – Lethbridge in Alberta, Canada.  You can learn more about her services at buy viagra cheap online.   Thinking of buying or selling in Karri’s hometown? Order a copy of her Real Estate Playbook:  buy viagra cheapest

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Top 5 Characteristics and Traits of Top Producing Realtors

 

1. “Have-To” “Burning Desire” “Failure is Not an Option” These are clichés, I understand. But it’s very simple, the highly successful Realtors expect to succeed. The positive expectation of being successful pulls them forward to their desired results of closing deals and earning well.

2. They start working right away. They don’t make excuses about waiting: I don’t want to host open houses yet because I need to know the inventory better. I don’t want to get in touch with my sphere because I haven’t closed a deal yet. I don’t want to do floor duty for the office until I know my contracts better. All excuses! Top Agents start working right away.

3. Confident. This is one of the most important mindsets you need for success as a Realtor. Your potential clients want to work with a Realtor who is confident in their abilities. You need to have thick skin and a high level of self-esteem to win the daily battles and struggles of real estate. And if you are not ready then do what all new salespeople do—”Fake it until you make it.”

4. Good listener. When you’re new you get anxious and what do you do to compensate? You end up talking all the time. Just shut up when you’re with your clients, especially in the first meeting. Listen. Highly successful Agents listen, they ask good questions, and they let their clients talk and tell their story without interruptions.

5. Constant learning. Top Agents study, they read, they have mentors, they have coaches and they are willing to take direction. Top Agents learn new skills and strategies and then they apply in the field. They don’t just keep learning. They get out there and apply what they have learned in helping their Buyers and Sellers. Don’t just repeat your first year ten times. Get better each year.

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New Agent Physical

Guest Post by Matt Parker

Yay!

It’s about that time!

About the time you, as a new agent, or a younger agent, or both, get a physical! 

The Real Estate Doctor is going to run you through a battery of tests.  At the end of the test, the doctor will tell you if your symptoms are analogous to the one other top agents had when they started, or, restarted, selling real estate.  Basically, the real estate agent doctor will tell you if what you are experiencing is normal or not!

Ready?  If you thought physical’s weren’t fun, wait until you are done with this one!

CONFUSED LOOK FACIAL ANALYIS – Do you constantly feel confused?  Are you, generally speaking, overwhelmed with new information?  Are you wondering which information is good, and which is bad?  Which applies to you, and, which doesn’t?  Do you feel like a freshman at college?

If so, you are feeling exactly what top agents did when they started.

OLD LIFE MOURNING SYNDROME – Do you miss your old paychecks?  Your old routine?  Do you wonder if you will ever have a routine income again?  Do you miss your old lunch spot and old friends, perhaps even an old sense of confidence and comfort?

If so, you are feeling exactly what top agents did when they started.

INFERIORITY COMPLEX CHEMICAL SCAN – Is your head rushing with thought that you won’t reach the pinnacles other agents have?  Are you wondering what other agents have, genetically, that you don’t?  Do you find yourself staring at a screen and wondering how other people make all those sales?

If so, you are feeling exactly what top agents did when they started.

YOU GET THE POINT HERE!

We all felt like this at one time or another!  These feelings are part of the process of success.  If you have established goals, and are dutifully working to achieve them, in real estate sales, results will follow.  IT TAKES TIME, it also takes failure.  DO NOT let one day, one month, or even 6 months of failure get you down.  Keep going.

If you signed up to climb Mt. Rainier, would you expect pain?  Nausea?  Near-hypothermic cold?  Hurricane worthy wind?

You should have!  These are all a part of climbing a worthy mountain.  The things you are feeling about real estate are all part of this climb, this adventure, this opportunity, that you wanted, and you are invested in.  Don’t quit!  We need you, the one with spirit, triumph, passion and perseverance.  WE ALL FELT LIKE YOU DO.  So keep going.

I will persist until I succeed. In the Orient, young bulls are tested for the fight arena in a certain manner. Each is brought to the ring and allowed to attack a picador who pricks them with a lance. The bravery of each bull is then rated with care according to the number of times he demonstrates a willingness to charge in spite of the sting of the blade. Henceforth, I realize that each day I am tested by life in a like manner. If I persist, if I continue to try, if I continue to charge forward, I will succeed.”         Og Mandino, The Greatest Salesman in the World

 

  • Matt Parker
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  • Matt Parker is a decorated Seattle-based Real Estate Broker having been voted by customers and peers to be a top agent year after year.  He is a 4-time Five Star Professional, a multiple time national top 10% realtor and has been used for national and local television and print media on NBC, KOMO and the Seattle Times.
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I believe you can build a long lasting and profitable career in real estate based on the following:  Honesty, Integrity, Empathy, Uniqueness, Fun, and Passion.

I remember when I started my career as a Realtor—I made a promise to myself I would not be like all of the other Realtors I knew or had associated with.  I was going to be my own person.  I had confidence in myself that I would be able to help my Clients because I would truly help them and make a positive difference in their lives.  I remembered how I had been treated when I bought my first home and I wanted to give my customers a better experience.

This is what I believed then and what I still believe today:

Honesty

I am always honest with my customers.  I never misrepresent the facts.   I never mislead.  If my customer wants to know something I will get the information for them.  I am honest with my customer, everyone I work with and most especially I am honest with myself.  I have never been ashamed of my work as a Realtor helping my customers.

Integrity

It’s OK to do the right thing.  I strongly believe in doing business with integrity.  I feel so much better about myself as an individual and my career because I know I always do what is right for my customer.

Empathy

This is one of my foundational beliefs—I help my customers get what they want and need and in return I will get what I want and need.  It’s very simple.  Customers first!  I truly care about my customers and my customers appreciate this—they respect and value our relationship.  This is the only way to be a Realtor in my opinion.

Uniqueness

I believe in being who I am.  I never try to be something I’m not.  I never try to be what I think the customer wants me to be.  I accept my uniqueness and I have confidence in my individuality.  I am genuine and again my customers appreciate this and we develop strong relationships because it is real.

Fun

I am professional yet at the same time I have fun during the process helping my customers.  Who can’t have fun when you see a beautiful brick fireplace has been painted pink?  Ha!  True story.  I enjoy my life.  I enjoy helping my customers.  If I can make them happy and laugh during a stressful time they will appreciate it and remember me.

Passion

My passion is my life.  My passion is what I do.  I love helping my customers.  I make a real difference in their lives.  It’s the best job I have ever had in my life because I am doing something meaningful in this world and helping people.

I wish all of this for you.  You too can enjoy a career in real estate.  And if you’re already a Realtor and it’s not going the way you expected then you can do a reset.  Don’t give up!

 

 

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I have been studying intensely why some Real Estate Agents fail and others succeed.  I am here to help you succeed in your career.

This is the path for your success as a Realtor.

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  1. Six months savings in the bank to cover you at a minimum.  Twelve months would be ideal.
  2. Choose the right office to work for—most important criteria is make sure they have a good training and mentoring program for new Agents.  This is absolutely critical and one of the most important requirements for your success in your first two years.
  3. Be Honest.  This is so simple yet so hard for some people.  Be Honest with your customers.  Be Honest with your colleagues.  Be Honest with your manager.  Be Honest with your friends.  Be Honest with your family.  But most importantly, be Honest with yourself.
  4. Care about your customers.  Help your customer get what they want and need and in return you will get what you want and need.  Again, very simple but so hard for some people.  When you truly care about your customers they will know it.  They will value it.   They will share their story of how you helped them.  Be different and make a difference in the lives of your customers in a positive way.
  5. Start working right away.  Don’t be afraid.  Conquer your fear.  Call reluctance has killed many careers.  Don’t keep making excuses for not calling or getting in touch with your sphere, working floor or hosting Open Houses.  Just start doing it.  Make the calls.  Do the sales activities to get you in front of potential customers.  Don’t procrastinate.  Every minute that goes by in the beginning of your career when you’re not doing anything makes it so much harder for you to succeed.
  6. Preview–Preview–Preview:  Learn your inventory.  Local market expertise is a learned skill.
  7. Role play with your Managing Broker, Trainer or Colleagues to practice.  The only way you’re going to build confidence is by practicing.  You can learn from your mistakes with your colleagues so you’re ready once you’re face to face with new Clients.
  8. Identify your Competitive Advantage as a Realtor.  What sets you apart from the competition.
  9. Start hosting Open Houses right away.
  10. Commit to your career as a Realtor.  You are a professional.
  11. Put in the work!  This is a job based on showing up everyday at the office when you’re new.  Go to work at your office–don’t work from home!  Only a small percentage of new Agents do well working from home in their first year.  Dress professionally at the office, look the part.
  12. Start building your internet presence immediately with your blog/website.  Content marketing is a powerful tool to connect with new customers.
  13. Handwrite personal cards to friends and family letting them know about your new job as a Realtor.  Include at least five business cards in each note you send.
  14. Always remember to listen more than you talk when you meet new clients.  The art of listening will help you immensely.  Don’t be the stereotypical Real Estate Agent who is always talking, always pushing and so annoying.  Just shut up and listen.  You will be amazed how this will help you develop strong and lasting relationships with your customers.
  15. Start building your database right away–Direct Mail List of your sphere and farm.  Email list (Mail Chimp free when you have less than 2,000 contacts).  Database of your key contacts and champions with phone numbers so you can call.
  16. For your personal life make sure you prepare your spouse, boyfriend, girlfriend, close family that succeeding in real estate is going to take time.  It’s going to take you one to two years to build up your business–set the expectation up front before you start.  One of the biggest stresses for a new Agent could be dealing with those closest to you and if they are not supportive or patient this could end your career before it starts.
  17. In your first year start farming a neighborhood or geographic area.
  18. In your first year start building your content marketing engine on your website/blog.
  19. Have fun!  Enjoy your life.  Enjoy your job.  Your enthusiasm will shine through.  Don’t be somebody else.  Be yourself, enjoy helping your clients.  Create a positive and memorable experience so when think of you they have good thoughts.
  20. Don’t Give Up!!  Never give up!  Day always follows night.  The sun always comes up.  Business always turns as long as you stick with it.

Light Bulb Moment!!  As I go through this list I see all of these action items are within your control.  You can do it!  It’s not the market!  It’s not your manager!  It’s not your colleague down the hall!  It’s not your competition!  It’s not the weather!  It’s you!  Your success is all based on you and what you do with the opportunity you are given.  Don’t waste it by playing the blame game!  Look within yourself and be the best Realtor you can be.  You will thank me afterwards.   OK, let’s do it together!

 

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How Do You Set Yourself Apart from the Competition?

How Many Real Estate Agents are you competing against?  A lot!  Last year in my daughter’s fifth grade class of 25 students four of the parents were Realtors.  (including me)

The Failure Rate for Real Estate Agents is very high?  Why is that?  Inability to generate leads on a consistent basis over time.

What do the Top Producing Agents Do Differently–How do they set themselves apart from the competition?

What is your Competitive Advantage?  Do you have one?

I just added this video module to my video training course:  viagra buy online review

I am so excited about this video training course.  All new Real Estate Agents need to buy this course and watch the videos.  Good luck!