Categorized | Agents, Brokers, eXp, General

New Goals or New Losses?

As we move into a new year it’s common for most successful real estate professionals to take a few moments to project themselves forward and set new goals for a new and promising year.  However, it’s rare that some would take the time to look back and see if the decisions they made in the beginning of the year were in line with the results they actually wanted to achieve.  Not just for the year, albeit important, but for their future.

Of course, it’s important to set some strong sales goals, listings and closings etc, more importantly is; are you creating something, anything that will generate an income for you above and beyond the traditional income of working with buyers and sellers.  While I am not out to discount the importance of setting these goals, I merely desire to make you aware that there are options available that need to be a part of your goal strategy.

While looking at your goals from the previous year, also take a look at what income was generated without a transaction.  What growth did you accomplish without working with a buyer or seller?

Part of setting that goal is to understand that you need to have yourself in a place that offers other residual income.  Yes, I am going to take a little of your precious time to talk about my company, however, what is important here is that you read with an open mind.  I am not going to tell you that what eXp Realty has to offer is the best place to be to achieve additional income opportunities, I do wish to share with you other options available in the industry that you may not be aware of.  Things that can generate income for you without interfering with your other goals for growing your income through the typical real estate model.

I’m going to throw a disclaimer in here because I don’t in any way wish to mislead you to think my results are any indication that your results will be that slim.  Yes, I said slim because I don’t consider myself a quick, out of the box person.  However, my results exceed my own expectations of anything I ever thought I would have available to me to achieve.  So with that said, let me be clear that my results may not match yours in any way, nor can I ever predict or wish to try to predict what will happen in the stock market.

So, let’s talk about two other parts of your goal program that you should consider.  The first is to decide how much of your income (commission) you will set aside and then decide where you will put it.  In real estate, we have absolutely no retirement plan.  So we need to set aside part of our income.  I know, the typical plan is to get a few rental properties, pay them off, etc, etc.  That was my plan.  Just a reminder, when it’s time not to work anymore, being a landlord is still work.  If the plan was to keep the rentals until they are paid off and then sell them so you can retire, unfortunately, you can’t forecast the market and although you may get a surge of cash, it still won’t sustain you through retirement.

Oh, did I say retirement?  Maybe that’s too far off from your plan.  How about instead of thinking about retirement, your thoughts may be towards when you wish to pull back some from the business.  Chances are that may not be part of your plan either – but it should be.  Think beyond your goal for this year, and think about 10 – 15 years down the road.  This is the time you make that plan!

So what about setting some cash aside from your commission so you have a nice kitty stashed?  With eXp Realty all our agents have the option to have 5% of their commission set aside for stock purchases.  That 5% is used to purchase EXPI stock at a discount.  The company will sell you the stock at a 20% discount from the last trading day of the month.  Pretty sweet.  No big deal right?

Take a minute to study the numbers.  In January 2016 the stock was $.83/ share, January 2017 it was $3.84.  Closing out 2017 it was at $7.60.  Don’t know about you, I consider that some very impressive numbers.  Should it be in your goal pan?  I’ll let you decide if 97% increase in your investment is a good deal or not?  One thing for sure is; if you don’t have any plan like this in your goal program, then you made ZERO.  I’ll let you decide which is the better plan.  Again, I can’t or won’t try to forecast what the stock will do, however, there are plenty of resources for you to take the time to do your own studying, and I suggest you do.  eXp Realty is the fastest growing real estate company in the country and is the 11th largest.

The other part of your goal setting should include a residual income.  I thought this was a good defination:

Residual income (also called passive, or recurring income) is income that continues to be generated after the initial effort has been expended. Compare this to what most people focus on earning: linear income, which is “one-shot” compensation or payment in the form of a fee, wage, commission or salary.

Also known as “Do Nothing Money”.

I’m not talking about rental income here.  I’m talking about income that is generated simply by sharing a concept.  The business model at eXp Realty gives all our agents the opportunity to generate residual income simply by sharing our business model with other agents.  Not a very complex program,  you tell others about what eXp Realty has to offer, if they decide to be a part of our company, you receive an income based on the commissions they generate.  On top of that, when those agents do the same thing you receive income from that new level of agents.  That’s about the entire program.

Yeah, I know, you don’t want to get into that whole recruiting thing.  However, it does offer that other source of income that should be part of your goal plan.  I don’t want to lay the plan out in this blog, but I’ll give you the facts.  Again, I’m not considered the big hitter.  I don’t have a program to recruit a hundred agents this year, but I do know that simply talking to other agents about additional income opportunities opens doors to them.  When they see the light they join the company and I make an income.

Don’t mind sharing some numbers.  Since June 2017 to the end of this year my revenue share income was just over $32,000.  Let me make this clear – this did not include any income generated from any other commission I earned.  So, is an additional $60,000 per year in additional income part of your plan?  Should it be?  Is it possible – yeah, very possible.  Here is something that is also very exciting – I am starting 2018 with almost twice as many agents that I started 2017 with.

So I guess my question would be – does an additional $120,000 per year interest you?  Is that part of your plan?  Don’t you think it should be?  Could that much income happen for you next year?  I’ll let you decide that.  If it takes 5 years would this type of income interest you?  Chances are this number exceeds what most of the agents plan on making doing just general real estate, you know, just in commission.

So I’ll ask – do your goals include a plan that extends past December of this year? Do they include a residual income that is generated without a commission you earned?  Is the money you set aside growing? (I hope you are setting some aside)  Don’t you think this should be part of your goal plan?

Let’s just chat about this.  Give me a call – I’d be glad to go into more details about our business model and what it can do for you – Jim Girard 864.414.4675

 

Maybe you would like to learn more?

 Let's just sit and chat over a cup of coffee.  Nothing hard pressed, just general conversation, get your questions answered.  My goal is for you and everyone else that may have an interest in eXp Realty to have a good understanding of who we are and what we offer our agents.  I think you will be impressed. Give me a call - Let's talk - 864.414.4675 or email me at jim@jimgirard.com. Strictly Confidential  

Mission Statement - We want the value proposition of eXp Realty to be so good that it would be irresponsible for an agent or broker to hang their license anywhere else.

 

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