The bottom line of real estate? We all want to make more money. So in today’s episode, Jimmy shares his formula to help you make at least $160,000 per year. This formula can be adapted to your situation regardless of your specific goal to make it ideal and catered towards your real estate success.
But before you start, have these questions answered:
- What’s the average sales price?
- What’s the average price where you want to get?
- Or, what’s the average price overall in your area (if new to real estate)?
- What is your commission?
- Do you have a brokerage split?
Let’s run through an example:
- If you receive $8,000 per transaction (based on commission minus your brokerage split, if applicable), and if your goal is $160,000 per year, you’ll need 20 transactions to reach your target goal.
- On average, 50 real estate conversations yield one transaction. Based on that, you need 1,000 discussions to yield 20 transactions. Divide 1,000 by twelve, and you get roughly 84 transactions per month.
- Divide this again by four, and you get 21 conversations per week.
- Assuming you work five days each week, that means you need to have at least 4-5 real estate transactions per day to achieve your goal.
But where do you get these conversations?
- You either pay for leads, or you hustle and have conversations.
- To organically generate leads, talk to past clients, host open houses, speak to your sphere of influence, or utilize circle prospecting.
- If you use paid leads, make sure you keep in contact with previously purchased leads in addition to the new leads generated with Boomtown or another source.
- Remember, the lowest-hanging fruits are your past clients and those your know because they already know, like, and trust you.
Break down these numbers, figure out what your goal needs to be, and you’ll find success.
Connect with Jimmy Burgess on LinkedIn and Facebook, as well as his YouTube channel. If you like what you heard today, we’d love it if you’d share a rating or review and then subscribe to the podcast and tell others about it as well. You can find The Real Estate Sales Podcast on Apple Podcasts,Google Podcasts, Spotify, and Audible, and our website, The Real Estate Sales Podcast.