Getting Over the Hump: Earning 100k or More in GCI Per Year
June 1, 2021
In the last 12 months we have seen a massive influx of new agents entering the real estate market here in Phoenix. Concurrently, we are also seeing what seems to be record numbers of agents departing the business as well. This influx of movement sheds some light on the perceptions versus realities that people have about becoming a real estate agent. The reality is that being a realtor is tougher than most people think, but many seemingly believe it is the path to easy money. Other than those who became agents for the purpose of helping a few friends, buy or sell their personal residence, or maybe do a couple fix and flips or investing, most underestimate the work required to make viable living in the industry. This is a business and, sadly, 95% of new agents will depart the industry within 2 years. This is a significantly higher failure rate than a typical small business where 80% of will fail within five years.
The fact is, being a realtor is a tough career choice where a relatively few truly succeed. One statistic suggested that fewer than 10% of agents earn over $110,000 per year.
My advice to those entering the industry is to think long and hard about what their intent and goals are. If they are truly interested in making this a career where they could earn six figure incomes, they need to understand the sacrifice and the work that is going to be required in order to succeed. Attributes such as intense drive, discipline, ability to bond well with others and being coachable are necessary to success.
Even with those attributes, it is still tough. The learning curve and skills needed to achieve high levels with excellence is steep. It is not impossible especially if an agent masters two primary things.
#1 – The Right Mindset.
I challenge agents and business owners to carefully and introspectively consider underlying beliefs that drive fears that stop them from taking action.
One day I had a conversation with an agent who had just completed a comprehensive training program for realtors. She had learned all the skills necessary to effectively interact and engage a prospect in a potential real estate transaction. She knew the core. Yet, she was reluctant to connect with her sphere of influence to begin marketing herself and start doing business.
When we spoke, she came face-to-face with a belief that she had adopted that if she did not have the right answer for every possible situation, she might embarrass herself. As a result, she resisted putting herself in a situation where a prospect might ask her a question that she could not answer.
Without breaking that cycle, she would continue learning and educating herself in the business but really never take action to build it. Because she became self-aware of her subconscious behavior, she was able to move forward and begin marketing herself while being in a continual state of learning and growing.
#2 – The Right Skills.
Crossing over the $100K GCI threshold requires mastery of specific tangible skills. Many agents, whether brand new or seasoned in the industry, lack some of the critical skills necessary to consistently earn over $100,00 per year in commission.
At Realty Executives, we have created specific programs to help agents, whether new or experienced, who are serious about their career and want to make a six-figure income, develop the skills and mindset necessary to achieve extraordinary results. In addition, adding an environment of intense accountability and coaching ensures that the right actions are being completed the most effective way.
Here is a quick list of the 12 areas that any brand-new or evolving agents in the industry must master if they want to experience exceptional success in real estate.
- Creating a Winning Mindset and Productive Attitudes
- Setting and Tracking Inspirational and Effective Goals
- Defining Your Unique Brand and Messaging
- Getting Your Database in Order
- How to Build a Pipeline of Quality Leads
- Building a Killer Sphere of Influence
- Making Social Media Work for You
- Conducting Opens Houses that Command Attention
- Creating Your Perfect Most Productive Day
- Winning the Listing Every time
- Establishing Committed Buyer Relationships
- Effective Listing Management
- Becoming a Master of Negotiations and Getting Deals Done
- Strengthening your Client Relationship Long Term
Developing mastery and applying these areas of real estate will dramatically increase your odds of producing a six-figure income. Contact me to learn more about the Realty Executive’s Excelerate Program for details on our program designed to produce six figure income earners.