5 Reasons Real Estate is a great business
Online Real Estate Training: 5 Reasons Real Estate is a great business – Podcast #52
Hey Everybody, This is Kelly Johnston the Creator of the 4X Formula Real Estate Mastery system. We are revolutionizing how Real Estate is performed in North America and we are tackling two main problems in our Industry. Real Estate Poverty and Realtor Reputation.
Here are the stats: The average agent makes between $40,000 and $45,000 per year in gross commissions! That is gross. And Realtor Reputation…we are still in the top 10 list of least trusted professionals. So, if you are watching right now, I am going to assume that you want to make more than $100,000 per year and you want to be one of the most trusted professionals in your market area. Let’s Flip those stats ok? Together. Can I make that assumption? Money and Income is important but to create consistency is the key. As long as you are a salesperson you will never feel freedom…
If you are listening to youtube videos teaching you how to be a better “salesperson” it is my opinion, that, there is a mindshift that needs to happen and I want to help you with that. Go to my podcast which is on iTunes, Google Play or Stitcher, or just listen to the episodes on our website 4XFormula.com…I also have some FREE training and some FREE Scripts to download there on the website….4XFormula.com. If you enjoy the content today…don’t forget to hit the subscribe button and hit the little bell to be alerted to more episodes as they drop! We will be doing specialized episodes to give you value and also you will see interviews with people that I believe will give you value as well…
Ok…so…WHAT is so great about the REAL ESTATE BUSINESS?
I am going to talk about 5 Reasons that I believe make this a great business. Before I get into this…do you think of your Real Estate career as a business? The word career…denotes a job mentality. Doesn’t it. It does to me. Are you in a career? Did a Real Estate company hire you? Are you an employee of that company? Think about this really seriously. This is crucial. This mindset can change your perception and ultimately effect your success in the Real Estate business. You need to think like an entrepreneur – a REALTOR-PRENEUR. We dive deep into this in our real estate course in the Mindset Mastery portion of our course. So, with that in mind. You are in business for yourself….I will start with the first reason that this business is fantastic.
- Minimal Business Complications. Owning and running a business is complicated.
Most Entrepreneurs are faced with the fact that they are selling something. A Service, a Widget, a Physical product. Tons of Logistics are involved. What about collecting and protecting the money. There are a lot of businesses that give terms on payment. You have to get the product to the Customer or Consumer somehow. After sales service and warranty. Sometimes, there has to be a place that the Customer will visit. SO now there are lease costs and building costs for the space that the business is located. Stocking products, Warehousing, Trucking, those products.
The Ever-Changing markets and trends of products. Importing and Exporting complications. Then you end up with too much stock that is just sitting there not selling. Then the demand for that product changes or depletes and you are stuck with it. You are paying lease money for space to stock that non-selling product. What about hiring people. Now you are subject to the Employment Standards and remitting money to the government. Hiring and Firing is not fun. Training is costly. Expansion and Scaling your business. Marketing Expenses. Working with Investors. Government Regulations impacting Importing or Exporting or obtaining Parts. What about dealing with theft and robberies?
There are so many challenges that Entrepreneurs face….But Let’s look at what the “REALTOR-PRENEUR” has to face. He or She gets up in the morning and looks in the mirror and says – What are you going to do today? What are you going to accomplish today to move the ball down the field? Where do I create opportunities for my business? You can work from home? You can work from a coffee shop? You can work at your space in your Brokerage Office? Nothing to Stock…other than your inventory of listings which is a minimal cost in relation to the income that inventory can create. No Receivables…you get paid out of proceeds of a transaction. No Shipping other than the gas in your vehicle and with online signing programs now you can save a lot of vehicle wear and tear.
I now drive about 40,000 km less a year than I did in the beginning of my career! No Storefront – You are the storefront. You and your cell phone, sachel or brief case or tablet and your website. This is the most cost-effective business out there if you build it properly. If you employ what we teach, it will get easier and more cost effective and as it gets easier and more cost effective….it will get easier and more cost effective. As you grow and Scale and add people, you will grow exponentially, and the risk is low to do it. Because at that point you are simply leveraging time….that’s all.
Does that make sense?
- Creativity Expands
A lot of Businesses are reliant on traffic coming through the door. They rely on old school ways of attracting business. Or their business is focussing on a very specific need, so they have limited ability to be creative. Or have you noticed that in a J-O-B you are there to fulfill what you are being told to do in order to trade your time for money. This is where our Creativity Muscles get flabby. In Real Estate we get to flex those muscles and exercise Creativity on a daily basis. In so many awesome ways. As you flex those muscles you develop those muscles and suddenly you become more and more creative. Being creative is fun. That is exciting. That is how we are meant to be.
Where do we exercise Creativity?
- When we write copy for our listings
- When we write copy for Marketing our Listings
- When we market our listings
- When we are working with Buyers and working on solutions for them
- When we are faced with market changes we need to get creative sometimes in order to stay relevant.
- When we are navigating through the financing world to help our clients
- When we are marketing ourselves to the outer Universe
- When we are planning our days, weeks, months
We have so many opportunities to flex those creative muscles. Why is this so important? I believe that we were made to be creative. I believe that we were made to think outside of the box. Look at nature. Are there any straight lines? Are their any boxes?
We go through life where the system out there is always trying to put us in a box. That becomes our identity. We as humans are always looking for a Prescription for a problem or an ailment of some sort. I talk a lot about asking the right questions. Ask questions that cause your brain to go to different places and come up with alternative, more empowering solutions. Ask questions that get you to an answer… Instead of “Why ME?” Ask “How Can I?” for example. That gets your creative subconscious mind working on the solution.
Your Mind is so, so, powerful when activated by the right thought patterns. Which one do you want to be a Chicken in a pen or an Eagle Flying all over the place? That is why it is important. Once you activate the creative part of your brain….it will take you to places that you didn’t even know existed before. I like to compare the wings of an Eagle to our ability to be creative. If we fail to be creative we end up like Chickens in a pen unable to fly out of the caged area. Business is out there. We just need to get out of our pen to see where the opportunities are and how to develop them.
- Different Genres in Real Estate to fit different personality types
There are so many facets of the Real Estate business to get your paid. There are so many different types of people to help. There are so many amazing opportunities to embrace. There are so many mini-niches that someone can build a whole business on in Real Estate…There are no limits. Any one of you can build a great business with different client types that you gravitate to…Let’s put this on the screen beside me.
- Residential Homes in Neighborhoods
- Working Farms and Large Acreages
- Condos – Townhomes – Duplexes – Row Homes
- Land for various Residential Developments
- Commercial Land for Development
- Income Producing properties
- Leasing and Rental Management
- Fractional Interests like Timeshare sales
- Vacation Homes and Rentals
- Hotel Sales
- Industrial Land and Development
- Investment Homes and Rental Properties
- Project Marketing
- New Construction working for Builders and Developers
- Luxury Properties Concierge Type Services
These are just 15 Different Types of Real Estate business focusses that any one of you can build a profitable business from. There are quite a few here that compliment other genres as well, so there may be 5 or 10 that you may dabble in as opportunities present themselves. That is exciting. Have you thought about that? Some of these genres will require more education in order for you to be able to serve people well in those genres but that is all available to you. The Real Estate profession can mean so many different things to many of you. The client type that you begin to attract may help you gravitate to certain areas of Real Estate. That is amazing! Tell me a business that offers that?
- Low Barrier to Enter into the Profession
We have the opportunity to earn incredible incomes in this business. What are we taught in School? Go to School, Get a Degree , and then get a good job. The world is changing in this mindset somewhat but that is what is bred into us. Colleges and Universities are full of students who have been promised a career and an income to eventually support a family and realize relative success in their lives ultimately. Not all of us had that opportunity. Post Secondary, College or University education costs money. A lot of money. Tens of thousands and Hundreds of Thousands of Dollars are spent for that result. Billions of Dollars are going to those institutions every year. You can order up the Real Estate Course for under $1000 in most cases and take that course while still working in your J-O-B and get licensed. There are a few follow up courses in a lot of jurisdictions and then you are rocking and rolling in the Real Estate Business. There is no screening process.
There are few offices or brokerages that will refuse to have you join their team. Pay your membership dues to the various support organizations and you are on your way for under $3000 in most cases and sometimes far less money invested than that. Now you are in Business. 2 Things will happen. I see it all the time. Either the low barrier of entry, will, help, or hinder you. You will either treat it as a low risk, minimal impact, easy to digest, route to Failure and Insignificance…. OR You will treat it as an enormous Gift and you must do everything you can to maximize the Impact of this GIFT. The fact that you are here tells me that you are looking for the latter. Good for you…you are in the right place! Ok…what else makes this a GREAT Business? And that brings us to #5. My favorite. Because it is so true. So true.
- No Ceiling on Income Earning Potential
There is literally No Ceiling on your Income Earning Potential. None. There is no basement either. But you are not a chicken in a pen….you are an Eagle that wants to soar to new heights…right?
We utilize the 4X Formula – that I discovered after banging my head against the wall for 17 years. IT took losing everything and giving it all away and hitting rock bottom to get to the point of clarity that has caused me to start this revolution. Real Estate is not rocket science. But you don’t make money on the sidelines. You have to get on the field and make it happen. It requires participation. It requires failing a little bit. I requires learning from mistakes. It requires setting standards for yourself and putting forth consistent effort. But….can I say….so does a job. Right?
Even during the tough times in my real estate business…surviving through 2008, I always felt that there was amazing opportunity to harness. I always felt that there was a lot of money to make. I did make a lot of money. Once you understand your potential and your brain has been stretched, there is no stopping you. Did I experience doubts once in a while? Did I experience fear? Did I worry about paying the bills sometimes? YES. Yes I did. But my brain had been stretched, and once that happens, you can’t go backwards. There is no turning back.
I want that for you…I want this for every single Real Estate professional in the US and Canada. I believe that every single real estate professional that wants to should earn a minimum of $100,000 in gross commissions. Minimum. Once that is set up, then it is easier to double that and triple that but the start is $100,000. Are you interested in learning more… go to 4xformula.com….the link is below. Click on FREE training and take it from there. See you on the inside.