There are over 2 million licensed real estate agents in the United States and approximately 1.3 million of them are “REALTORS” (meaning they are dues-paying members of the National Association of Realtors (NAR), agree to abide by the Realtor Code of Ethics and have access to the MLS for detailed property information.)
Recent NAR statistics show that 5.3 million homes were sold last year. That’s a little over 440,000 homes per month. Simple math tells me that in an average month, there are 3-5 licensed agents available for every single home that sells! And when you further realize that the best-of-the-best real estate agents (the R.A.R.E. Agents) sell MORE than 1 home per month (many top producing agents sell 4-5 homes per month) that means that there are literally tens of thousands of licensed real estate agents nationwide who sell zero homes in a month’s time!
Let’s see now…zero homes sold times 3% commission equals…..ZERO INCOME.
Welcome to the incredibly painful and very real “don’t-know-where-my-next-commission-check-will-come-from” world of the average real estate agent.
My home town local area has over 60,000 licensed real estate agents and 35,000+ Realtors. Sometimes it seems like the majority of those 35,000 wannabes live on my street!
Most of the time, it’s every man (and woman) for themselves.
What does all of this mean? Why does it matter? If you really want to know, you have to start with the definitions of two critically important words:
RARE and COMMODITY.
RARE vs COMMODITY.
Do you want to be a “RARE AGENT” or a “COMMODITY AGENT”?
The late great Judge Ziglar wrote a book titled: “Timid Salesmen Have Skinny Kids“. In that book, Ziglar characterized salespeople (not just salesmen) who made their living selling things (like you do) who refused to master their craft and become experts in the art of selling. He described them as being “incapable of providing the better things of life for their children”.
I’m sure they had skinny spouses too (the sequel book that Ziglar never wrote)!
Well, I’ve got some not-so-good news for a lot of full-time real estate agents….because “Commodity Agents” have skinny kids too.
When you compare the number of licensed agents and Realtors with the number of homes that sell each year, it becomes crystal clear that the business of being a real estate “agent” is a highly competitive, cut-throat, dog-eat-dog business where success is reserved for the strong and mighty and the last ones standing at the end of the war are the winners.
The bottom line is this: if you are going to have a career in the real estate business (and make a decent living from it), you are going to have to figure out a few things, like:
- How to develop a business mindset.
- How to market yourself so that the public does not view you as a commodity.
- How to generate new leads who want to work with YOU (as opposed to ME).
- How to become a strong listing agent.
- How to work effectively with home buyers.
- How to negotiate on behalf of your client.
- How to use technology and tools to become more efficient with your time.
- How to leverage your past clients to develop referrals for future business.
- How to stay up-to-date with your local market and the overall industry trends.
- How to manage your day (your schedule) and build a support team to assist you.
Of course, there’s much more to it than this…but the 10 items above are a good place to start.
Now, if you’ve stuck with me this far, you are a good candidate for R.A.R.E. Agent status. And if you really take this seriously…your kids will eat well. But whether or not that happens is completely, entirely, 100% up to YOU.
If you’re tired of impersonating a Realtor (or worse yet, being a secret-agent), then join my tribe of success-seeking believers and sign up for my daily kick-you-in-the-butt emails titled: R.A.R.E TIPS.
Please understand that when you sign up for R.A.R.E. TIPS, you will receive a LOT of email from me.
And I mean a LOT of email.
Daily email. Occasionally even more.
Just remember, its a battlefield out there and you need to be armed with tools (weapons) that will give you an edge in the war for client connectivity and loyalty. So if you are too busy to learn more about the winning ways of R.A.R.E. Agent supremacy, then thank you for stopping by and I wish you well.
But for the rest of you, the soon-to-be next wave of R.A.R.E. Agents, I look forward to helping you on your journey to becoming one of the best agents in the real estate business.
The journey to becoming a R.A.R.E. (Really Awesome Real Estate) Agent begins by providing your email address in the box below.
Note: Please enter your primary email address (one that you check multiple times every day) and be sure to check your spam folder to ensure you do not miss any email messages.
The next email could, possibly, contain the information you need to catapult your career.
Let’s get started,