You either have a large sphere of influence (people you know), or you don’t.
The first six months of being a real estate agent will be a struggle (especially if you’re young). I’m 24, and I don’t know many people that are buying or selling right now because my sphere is not in the market to buy a home yet.
So this leaves me building my database from the ground up. Real estate is an unpredictable industry. It could be 45 days after becoming an agent for your first closing (you get SUPER lucky). Or it could be 145 days. Or even longer.
You are known as a salesperson if you’re a real estate agent. Therefore you don’t make any money until you close a sale which can be scary. Especially if you don’t have any other income at the moment.
It’s all about who you know
I’ll even say this: life is all about who you know.
What’s one thing the top entrepreneurs (Elon Musk, Warren Buffett, Gary Vaynerchuk, etc.) have in common?
They know A LOT of people. That’s how you build a business. That was the case 1,000 years ago and will still be the case 1,000 years from now.
Real estate is the ultimate contact sport. The more people you know, the more homes you sell and help buy, and the more money you make. That’s the formula.
I’m building my business from the ground up. As I mentioned above, my sphere of influence is still young. They’re not ready to buy or sell yet. Hence why I need to prospect.
I need to prospect, like a lot. I’m not going to make money unless I get out of my comfort zone and:
- Cold call
- Door knock
- Send mailers
- Build a brand on social media
- Build relationships with other Realtors, lenders, attorneys, etc
Real estate is sales. You have to get out there and sell. That’s the only you’re getting from point A to point B (money).
When I joined my current brokerage in March of this year, I was dreading the day when I needed to start cold-calling people. That has always been one of my biggest…