How to Make a Dr’s Salary as a Real Estate Agent! One Simple Trick that Makes All the Difference!
[00:00:00] Well, hey everybody. My name is David Caldwell. I’ve been working with Nazar here for a little bit. I’m a real estate agent up in Portland, Oregon. I. Have a team. I still actively sell. I’m listing an expired listing that I called last Monday today. Woo woo. I’m super excited about that. And I’m lucky that I get a coach some really like awesome, proficient teams for Tom Ferry.
So listings, right? We all want, we all need, want, deserve more listings and actually listings, the strategy we’re gonna talk about today. To get listings. It’s something that’s also gonna help us nurture past clients. It could help us nurture online leads. It can help us in a lot of different places.
So, you know, I had a client years and years ago, we were just trying to find like a really easy way for him to operationalize conversations with his database. There’s this thought of a, you know, an unsolicited CMA, right? We’ve all heard about unsolicited CMAs for years. CMA makes me feel like you want to sell me, right?
And we’re in this world where not everyone wants to be sold all the time. Like, I go to Nordstrom to buy a blue jacket and they’re like, can I help you with anything? And I’m like, no, I’m just looking. I know I’m looking for the, the blue jacket, right? I just don’t wanna be sold, right? I wanna be sold maybe when I find something.
But people do always wanna talk about real estate. They want to talk about how’s the market, and when they’re asking that question, they’re really asking about the health of the market, the strength of the market is the market appreciating. So we started working this strategy and then I shared it with the ecosystem and other people started working this strategy.
And now it’s really awesome as I see a lot of other coaches talking about this strategy because it works. Talking to our clients about the marketplace works. So I’m gonna share my slide deck. I’m gonna show you guys some examples. We’re gonna talk about how to do this Might not take even the whole 30 minutes.
I try. I’m gonna try my hardest not to be boring. So we’ll get into this. So this is who I am. Not very important. This is important. Every business should be focused on client acquisition and client retention at all times, every day. Client acquisition lead, lead generation, prospecting, marketing, putting more people into my funnel, client retention, nurturing the people I’ve already worked with.
You know, when does somebody become a client? It’s not when you get a commission check. It’s not when you earn a deal. It’s when they’re willing to refer you real estate when they’re willing to think about you. For real estate, this strategy does this really well. It helps you focus on getting new clients.
It also helps you retain old ones.
According to the National Association of Realtors, 68% of sellers and 60% of buyers find their realtor by way of personal connection or referral past client, someone we know. This appointment isn’t about getting a listing from the people we’re meeting with. It’s actually about earning a referral. It’s about cementing ourselves as the realtor of choice, maybe to earn that business in the future, but this was really designed to create referral opportunities.
By the way, according to National Association of Realtors Research, this is the highest probability way that you’re gonna get a client. A lot of us over-index on a certain lead type. If there’s a lead type to over-index on, it’s gonna be with people we know, because that’s where the majority of our opportunities have the ability to come from.
I like this quote from Seth Godin. There’s no shortage of remarkable ideas. What’s missing is the will to execute them. I don’t think this is a remarkable idea, but it’s making a lot of people, a lot of money. And the people that aren’t making money from it, they’re just not executing because what we’re gonna talk about today is gonna sound really simple, but it is actually challenging to do.
Putting this in your schedule and prioritizing it is not the easiest thing that you’ll do in the next 12 months. But I’m very confident if you do operationalize this in your business, it has the ability to earn you multiple six-figure incomes. So what is an equity review? You guys, it’s a fancy word for a CMA, an unsolicited CMA.
There are a couple of different ways that I do it to create conversations. I’m gonna show you an example of one of my friends review that she puts together, the verbiage I have on the screen. This is actually kind of the way I sell it because I put this in emails to people if they’re an online lead.
I talk to people at open houses about this and I call my past clients. A research analysis of local market trends and close sales in your immediate neighborhood and area. That’s just a fancy way of saying what’s going on with the average sales price over the last 12 months. This data is available to you in your ML Fs with certainty.
Hey, a view on the conditions driving the real estate market. In Portland, there’s a couple things driving the real estate market. We have a 31 year low of new listings coming to the market. That’s creating multiple offers, situations for some sellers. We also have probably a 31 year low buyer sales, right, because of 7% interest rates.
So we kind of have this tale of two markets here in Portland, but just my opinion, right, like the may have some breakfast driving the real estate market. Let, can we mute, mute ourselves, everybody. Sorry about that, David. It’s okay. Hey, our co our home’s current value range. Why do I do value range? [00:06:00] I wanna see the property before I give someone a, a concrete value.
Also, this is a time saver for me if I’m being honest. It’s a lot easier to give someone a value range range than pinpoint a price. Doing a value range also gives me the opportunity to get into a deeper conversation with them later if they are serious about selling a projection of where we believe the market is headed over the next 12 months.
We all have that right? And if we just shrug our shoulders we might need to talk to someone in the office to help us give some sort of an outlook. Hey, you know, if interest rates stay at 6.5% and above in the Portland Metro area, we’ll probably contin continue to see home values decline by half of a percent to 1%.
If interest rates go down to 6%, now we’ll probably see home values start to increase again. I like talking about where the market might be heading because the first part, what I said with home values declining in Portland, which is what we’re experiencing, that actually might make someone move their timeline forward.
That might be the insight. Someone needs to refer me to one of their friends who’s thinking about selling because homeowners want to protect their equity.
So here’s, here’s a couple things I really like to discuss. Three years of appreciation. So I would talk about 20, 21, 20 22, and year to date. And why do I do that? To demonstrate that not every year is the same. To give people an actual picture of what has happened in the marketplace. You know, in the Portland metro area, we had some years, we had over 10% appreciation back to back, but if you guys went to my Instagram page right now, you’d see a, a pinned post that shows the last 30 years of appreciation in the Portland metro area.
And it’s different every year. It’s just to make people think neighborhood, c m A, those are quick to put together, you know? Most recent three comps, you know, if they’re in a subdivision where there’s multiple plans, putting those in there. Homes value range. Where the market’s headed. Again positive, negative.
We, we wanna support our, our opinion with data.
I like this quote. Stop counting conversations and start making conversations count. This isn’t a appointment or a conversation you have with someone that you’re just checking a box. Here’s what’s happening with the market and leaving it there. It’s important to go deep with our clients so we can see if they have a need, if they have a problem that we could solve.
Also, just to build rapport. You know, everyone in this room probably has a past client that they haven’t talked to for some time. Maybe some, it’s been a year, two years, three years, right? This is a great appointment to create an opportunity to have a conversation that counts. The data is obvious, right? Realtors do not call their past clients.
I think it’s ’cause we’re afraid of what to say or to hear maybe some negative feedback. Who knows what it might be. This is an amazing, amazing place or conversation to build rapport. Inequity review. Here’s are some of my favorite questions I’d like to ask. What’s your dream home look like? I ask that question a lot in 2021, and people would tell me they might actually point to an actual house that’s available on the market, and then we could actually see if they could transition outta the home they’re in, into the new home.
Little bit harder with 7% interest rates, but still a question I ask. Hey, do you have any concerns about the housing market? That’s an obvious one, right? This is one of my favorite ones. I like this. Even when I meet someone at an open house or an expired listing or that home that home buyer lead we get that’s like, oh, I’m not really interested.
I was just looking. Well, can you foresee any life changes in the next three to five years that’d make you a home seller or home buyer? You guys, most people move every 10 years. Yeah, I’m gonna retire. Yeah. My kids are gonna graduate from college. All my kids are gonna graduate from this. We’re getting a little bit older.
We don’t want stairs anymore.
Well, would you wanna do one of these annual equity updates, a home equity review every six months until you move once a year? Hey, what if every April we got together and had this conversation, Hey, do you have any updates or repairs in the future that you know about any looming repairs? Let’s talk about how they would impact the value of the home.
Sometimes it makes sense to make a trade at that point, right? Sometimes it doesn’t make sense to do the entire remodel. Sometimes it makes sense to do a trade. I always like to ask people what people believe their home is worth, just to get a sense of where they are with value. I.
So here’s important things to do during the review. Then I’m gonna show you Marley’s equity review, and then I’ll help you guys kind of make, create a little system to get going on these. But the most important thing is to make good on your promised offer. There’s an agent in my marketplace I really like, and I went to this The state of the luxury housing market class he was doing, I’m like excited.
I’m gonna learn like what’s going on in the 2, 3, 4, $5 million range and where buyers are coming from and where sellers are coming from. And really, he just like gave us his professional bio. It was like, I’m awesome at selling luxury homes. And I used to do this and I used to do this and I used to do this.
And while it was like a good event, he didn’t make good on his promised offer. And we’ve all had that [00:12:00] experience. Right. And real estate marketing especially is full of people not making good on their promised offers. You have to ask questions and create a dialogue about the client, about the person that we’re talking to.
Right. And let’s talk real quick about where we can have this conversation. It is best face-to-face. There’s no replacing, getting belly to belly, voice of voice, face to face with people. I saw one of my coaching clients for the first time in person the other day, and I had this common reaction people have to me, which is like, oh, you’re bigger than I thought.
Right? But it was fun ’cause like we just see each other on a screen once a week and then we gotta spend 48 hours together and the relationship’s totally different. Right. Like we never really texted outside of coaching calls and like we’re texting, right? Like our relationship turned the corner. ’cause there’s power being in the same room together.
Hey, you could do this over the phone. If someone only wanted to do over, over the phone, people sometimes will go, what if I call ’em and ask if they want to do this and have this conversation? And they don’t want to. Great. They don’t have to. What’s important is the offer. The offer of the service is almost as important as the service.
Hey, if you, if this isn’t for you right now, I’m just curious. You know, anyone who’s thinking about selling a home or who has questions about the market that would benefit from this sort of conversation, you could make the offer. They could say no, and you could still create reciprocity and earn an opportunity.
By the way, if you make the offer and they say no, they’re still probably gonna think about you for real estate because it’s more than what the average real estate professional’s doing.
With that being said, the third most important part of the review is to ask for an opportunity. I really believe in the law of reciprocity. If I do something for someone, it’s a lot easier to ask for something in return. Emily, I don’t know if you knew this, but most people find their agent by way of personal connection or referral.
So if you know anyone who’s thinking about buying or selling a home this year or next year, it’d be really meaningful to me if you’d be willing to connect to send a text message. Does
anyone think they’d have difficulty using that script? It’s like the easiest thing to do in the world. And the first time when I was like, toying with how to ask, right? ’cause people get really in their head about not being salesy and how to ask. I called one of my best friends who I’d sold the property for and you know, he’s kinda like rough dude, really bad tattoos, got like the ear lobe gauge earrings and stuff.
Nice. But like, definitely someone who’s like gonna call you on your shit. I’m like, Hey Jeff, you know, I just sold this house for you and you know, hey, if you know anyone who’s thinking about buying or selling real estate this year that would benefit from the type of experience you had, would you be willing to connect me with them in a text message?
He’s like, yeah, of course I would.
So asking is really important in what we do. It’s really important, asking for the appointment, asking for the referral, asking for the price reduction. If you guys have a listing that isn’t selling, asking if someone wants to make an offer, the way you ask is going to, it’s, it’s going to it’s impact.
The amount of people that you close are the opportunities you get. There’s bad ways to ask. The way that I just showed you guys to ask is very simple.
Okay? Here’s how I would start with these. ’cause the hardest thing is getting started on this at Summit. I challenge people to do a hundred of these. What would a hundred be two week? Now a hundred might seem like a really hard place to start. Hi, Brandy Prat. I just saw you on the screen for a second. It might seem like a really hard place to start.
If you’re a new agent, it might seem like really difficult if you’re an experienced agent. How do I select the hundred? Right. Most of us have more people in our cell phones than we have in our database. We’re just afraid to have real estate conversations with them. Choose the easy ones first. Pick the people you know.
Own a home that would say yes to you. Choose the ones you know. Own a home that they say no to you. It wouldn’t hurt your feelings. Practice on your mom or your aunt or your uncle. It doesn’t matter, right? By the way, they know people who are thinking about buying a selling real estate this year, and it’d be really meaningful to you if they connect you in a text message, but you have to make a list.
Are you gonna do two a week? Are you gonna do one a week? One week a month? Are you gonna do 10 and get ’em out of the way? What’s a likely outcome if you went to 50 or a hundred people and offered them to talk to them about their home value? And or talk to them about their home value. One, you’re gonna get really proficient talking about the real estate market, really proficient.
You’re gonna kill your listing presentations when you actually have them. ’cause you’re gonna be super knowledgeable. My favorite questions ask as a coach is, what’s the average sales price on your market right now? [00:18:00] And people just look around like, oh shit, I didn’t know who was gonna ask this. What’s the 12 month rate of appreciation?
And like people start hiding. Like they, they don’t, they don’t know, right man, at an open house and people start talking to me about the marketplace. I just dump data on them. But I usually know because I just did a home equity review for somebody. It’s how I learn about the market, how many holders are selling, how many love being left.
Unsold man makes it really easy to convert opportunities that I have.
The hardest part of starting this is making the list and deciding who am I gonna do them with? ’cause the reports, the data is easy. I’m gonna show you guys Marley’s report here in a second. You guys can see how easy she made it for herself. She made it very easy for herself. The list is difficult, shouldn’t be, but it is.
Hey, if you’re a new agent, you do not have as many people in your database to talk to, right? You’re trying to turn the corner from, there’s a gal on my team, her name’s Jen Hamer. I love her. She’s been with me like six years. When she started working with me, I’m like, Jen, what do people know you as? She goes, oh, stay at home, mom.
I go, what do we have to do to get them to start thinking of you as Jen, an awesome mom and a professional real estate agent? Well, this is one of the tasks. This was an easy thing to put into play. Now, hard to grasp, right? Doesn’t this like seem really easy? Okay, let’s see. I think that’s my last slide. Oh, I did a, if anyone wanted to watch it, they’re, Tom and I did do a podcast on his YouTube channel about this, where you go pretty deep into, it’s pretty old now.
It’s like two years old, guys. This is just a strategy that works. So let me pull up Marley’s report. I’m gonna show you guys like a real live example of one, and then we’ll send you guys off or see if you have any questions. So this is Marley. Marley lives in Charleston, South Carolina. Great agent, if anyone has any referrals to go that way.
Hey, what’s an equity review? Right? She just wants people to know this is all information. From her M L s or housing reports, she’s been able to get how many walks? Hers is actually pretty thorough. Hers is crazier than mine. Hey, area market trends. What’s going on with our sales price? Hey, in your zip code there was an 8% increase in average sales price.
The average sales price was X. How do we compare to a neighboring zip code?
This is just a report right here that her M L Ss gave her that she shoved into A P D F.
Here’s what’s going on in her, the neighborhood. Here’s what’s going on with average sales price. Here’s a couple recent sales similar to the property.
Now she has this operationalized, she only has to switch out a couple comps. Oh, and she’s on here now, so that’s embarrassing for her or for me because I don’t know if I told her I was gonna do that.
Does anyone have any questions about this?
Does anyone think this is something that they could execute? Hey David, I do have a question. Yeah. So let’s just say you, you have a perspective seller that you’re gonna go meet with, but the data unfortunately is saying that their value lower than like, what it could, obviously, what it could sell for last year.
Or maybe over the phone they told you what they thought their home was worth and you have to go there and deliver some, you know, not so great news. How would you have that conversation with them? Very pragmatically. And I tell ’em the truth ’cause no one gets mad at you when you tell ’em the truth. It, it’s just the reality of the marketplace that we’re in.
And sometimes it can be challenging ’cause maybe we sold in the home and the market didn’t perform the way that we all hoped that it would. But you know, our values increasing or decreasing where you guys are right now. I think it depends on the area. Each city is different. Yeah. Yes. We’re, we’re about the same.
The Portland metro area is going down, but some of the suburban areas where we work more frequently are still increasing in value. People appreciate when we really tell them what’s going on ’cause it’s what helps them make decisions. The decision either to stay in place or the decision maybe to act with more urgency.
You know I’ve said this for a long time, that a lot of real estate professionals, we wanna make doctor money, right? Like, I know I wanna make doctor money, and doctors have to tell people really difficult things like you have cancer, and we just have to tell people, your house isn’t worth as worth as much as you think, or you might have to pay more to get this house.
That’s it. It’s very, very simple to support decisions with data and take some of the thing so that the pressure off us right off yourself. ’cause home values are just home values. You guys, right now in Portland, it’s about 4,000 active listings on the market, and last month, 2200 pendings went, or 2200 homes went pending.
So we have almost two homes on the market for every buyer sale. The truth that I’ve been telling all my seller clients right now is there’s a high probability your house will not sell [00:24:00] unless you price it aggressively. ’cause we have an oversupply of homes on the market, basically two homes on the market for every buyer.
So what are we gonna do to stand out? My clients deserve to know that. And your clients deserve to know the same thing. So, hey, delivering bad news, it sucks, right? It’s never gonna feel good, but people rarely get upset with you for telling the truth. That’s what I would focus on. Any other questions you guys?
So are you just sending these out in emails or are you going to their house and giving them like a physical copy of this? So if you really wanna have an impact with this, doing it in person is going to give you the best impact. Doing it on a Zoom probably give you a little bit better impact. Doing it on a video that you just send to someone probably have a decent impact sending it in an email.
I don’t know. Like it’ll probably still have an impact. It’s still an offer. You’re still doing something for somebody. The script that we talked about right. Probably won’t have as much of an impact, right? So there, I would say this, there’s no wrong way to do it, but if I was really challenging you, if like you really want to turn this strategy into something that can make you doctor money, do them in person or attempt to.
I’ll accept any way you wanna do it As a real estate coach, if it’s not something you’re doing now and you start doing it, I’ll accept you doing it anyway, but you will get the best result doing it in person.
Anything else you guys? So anyone wanna ask Marley a question since she’s here and we used her resources?
Okay, Emily, is that, are we, are we good? Should we call it half hour? Perfect, perfect timing. No, you’re right on time now. Good. Alright. Okay. Yeah, you guys, if you guys have any questions, Then let me know Emily knows how to get ahold of me. You guys can, you know, my Instagram’s David C. Caldwell. You guys can email, email me, firstname.lastname@example.org, and if I don’t get back to you within 24 hours, it means your message got buried and just send it again.
All right? Awesome. Thanks David. Thank you. Thanks.
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