A lot of agents get into real estate and think they will make a boatload of cash, and before they know it, five years have passed and they’ve learned that real estate is not a get-rich-quick scheme. The ones who do survive for those first few years quickly learn this lesson: If you want to eat, you must know how to hunt. If you are hunting, you need to know what you are looking for.
You are a business owner, and you must work like one. You are responsible for how your business runs. You are responsible for planning it. Unfortunately, most agents don’t do that before getting their license, so know that if you don’t have a written plan, you have no business. You are just waiting on someone else to fill in the blanks for you. Write your own plan. That means planning not only for the good times, but also for all of the rejections you will get — especially in those first few years. If your plan doesn’t prepare you for the down times, go back to the drawing board, because in this business to get to the top you have to fall a few times.
If you ask any real estate agent where their business comes from, most of them will say it’s their referrals and sphere of influence (SOI). Referrals are the lifeline of your business. Remember this real estate agent truism: your network equals your net worth, and your database is your lifeline.
So, now that you have your license — some of you have had it for years — what are you doing to create your own opportunities? Nobody is sitting at home saying, “Oh, let me find my old agent from five years ago to give her some business.” They certainly won’t think of you if they haven’t heard from you since your last deal. Let me give you a reality check: You must create your own opportunities. Most agents’ business comes from their referrals, so start building a solid referral base. Want to know how? Let’s start with the number 50.
How many people do you currently have on your phone right now? Maybe 100 or more? I challenge you to add 2,500 new contacts in 365 days. You are thinking, “How do I meet 2,500 people and get them to refer business to me?” I want you to start by selecting 50 categories of people, like plumbers, gardeners, electricians, bricklayers, etc. Also create a list of hobbies like sewing, swimming, tennis, golfing, biking, etc. Now make a list of places people love to go, like restaurants, recreation centers, movies theaters, etc.
Go down your list of 50, and I want you to find 50 people in each one of the categories you chose. Find 50 teachers, 50 firefighters, 50 restaurant owners, 50 golfers — got it? This will help lay the foundation for your client base. Nurture these relationships. Remember: Secret agents don’t get paid, so get your name out there.
As you’re developing your lists of people who will eventually make up your referral base, also contact your friends and family, and ask them if they know anyone you might contact for your business. If they give you a name and number, that is perfect. Contact the referral with this sample script: “Hi, Mr. Plumber. Donna gave me your information and said that you were the best plumber in town. I am trying to build up my network, and I want to add you to my list. Do you mind sending me a few cards so that I can share with my network? I will send you a few, as well.”
See how easy it is to let your friends and family help you build your list. If you have fewer than 50 people per category, then of course you will have to add more categories. Put the word out on all your social networking platforms, and watch how your list will grow over time.
Have you heard about the 50:1 rule? Talk to 50 people — they have to be ones you don’t know — about your real estate business, and you’ll get at least one deal. For every 25 people you do know and talk to about your real estate business, you should get at least one deal. Now, here is where the magic happens. Get those 2,500 new contacts into your phone, start making calls and you’ll have at least 50 new clients. Now, get out there and start building some new relationships.
For more out-of-the-box strategies, visit Coach Ella @ iamcoachella.com. Find her on Facebook with 45,000 boss ladies making boss moves: https://www.facebook.com/groups/RealEstateLadiesRock