As I continue my venture into coaching, training, consulting, and recruiting, many agents find my questions surprising.  Would you agree that we are running businesses?  Well, would you also agree that businesses need to focus on their numbers and make decisions accordingly?  I recall a conversation from a colleague of mine that we “need to focus on strategically managing our business by the numbers.”  My question then becomes, why do only a small percentage do so?  Not to mention that small percentage also likely encompass Pareto’s theory of the 80/20 rule…Interesting!

The benefits to helping someone realize their potential, helping them grow and become successful can’t be tangibly measured.  That is a purpose that has it’s own benefits.  It’s amazing when one realizes that it’s not as difficult to make decisions when you have the numbers to justify it.  Nooowww the shades are lifted and their vision becomes more clear and attainable. 

My questions to you, the strong realtor base, why are we so afraid of the numbers?  Does anyone have a reason they are willing to divulge?  Thankfully, I went only a small amount of time without tracking my numbers……unfortunately I can’t say it was my idea.  A mentor of mine was the one who made the biggest impact and required me to watch my numbers!  And I’m glad I listened.

So what was your reason?  Was it fear based?  Can you justify not tracking numbers because of time  constraints?  Have you thought about the money that may be wasted without tracking?  I realize this may hit some as being harsh, but my goal is to help those realize that it’s important, and if I can change just one bad habit……..success is yours!

He has been working in a corporate position for over a decade now.  He has seen where the company was and where it is now (this is a well known company).  He unfortunately feels, through various layoffs, vulnerable as there is little security in his job.  Due to the structure of the company and their strategic plans, he has very little control over his situation, regardless of how valuable he is.

This makes me put things into perspective.  Think about it, we ultimately control our destination and the success we achieve.  Now I’m not ignorant enough to think that the current economic state doesn’t have an impact on our business.  What I can tell you is that if you really want to succeed, you will be able to in any market, regardless of outside factors.  That is something that I’ve taken for granted in the past year.  I know I can succeed in this business, and nobody has the ability to “let me go” from my position.  I get to make that decision.  That is powerful considering the friend of mine has very little control.

Now as we know, things aren’t always easy.  That factor alone makes us who we are as people and as professionals.  It isn’t easy in any position, corporate or entrepreneurial.  I think it’s important for us to maintain the many positive aspects of our business and our lives.  We should embrace our situations as things could always be worse.

CONTROL YOUR OWN DESTINY, DON’T ALLOW OTHERS THE PLEASURE!!!

I understand the state of the economy and the need to cover deficits, but continuing to take away benefits of home ownership does not provide a solution to the problem.  Homeownership has always provided individuals the comfort of knowing that their home can provide great financial benefits.  I understand the drop in values, but if you consider the long term investment and the annual appreciation of real estate, the benefits of homeownership should be left alone.  Housing is a critical part to the overall economy, and we saw just how powerful it got when the economy boomed and when it crashed.  Providing some stability in the housing segment is great for a long term approach.  To start taxing gains now I find to be a bit rash and influenced by current economic times.  Homeowners shouldn’t be punished more than they have been already.  Many people are relying on homeownership gains for their retirement, and even if they still have over the allocated amounts in which they will be taxed, it is still far less than what they thought they would have dating back 4-5 years.

I’m getting the feeling that those that have worked 40+ years and have been responsible in their spending and increasing their overall are being punished for doing so.  I struggle with the premise all together.

Here is a link for further clarification – http://www.factcheck.org/2010/04/a-38-percent-sales-tax-on-your-home

I’ve continued to see posts of “the future downfall of real estate”.  I’ve stated this in previous posts, but what are the three most important elements of how we survive?  Food, Water, and Shelter.  There will always be a need for housing, and people will have plenty of reasons to move.  Now, for the foreseeable future, short sales and foreclosures will certainly obtain a large portion of sales. 

Now let me get to my point……if we truly want to succeed in this market, we will!  I think it’s fair to assume that most would agree that there will be plenty of good people in difficult financial situations.  If we honestly want to help others, we have a huge pool of clients to service.   There is opportunity in any situation, it is up to us as an industry to hold ourselves to a higher standard and become true experts in helping others!  The opportunity here is not only to help those in distress, it is showing who we are as people.  If we are in this business for the right reason, just think of the vast business we will reap when the market stabilizes.  People may forget what you did for them, but they will never forget how you made them feel!

While we are in a tough economic position, lets take the higher road and be the business owners we say we are.  The public, included Realtors, will be the only ones that will get us out of this recession.  We can’t rely on the government to bail us out, it is up to us!  So I challenge everyone to focus on taking a proactive stance and work towards a common good, not solely to advance your personal situation!  Paying it forward has many benefits!

I did a seminar for some agents last week, the second of hopefully many more to come. I find it interesting not only that I can learn while I’m putting on these seminars, but am provided with so many different perspectives. Ultimately, when I’m holding seminars, I want to help others learn, but at the same time am being taught from them as well. I understand that in general, there are differences in generations and how they perceive social networking. Many Baby Boomers are starting to grab hold of social networking, which I can applaud! However, I’ve encountered many that just don’t feel it is a valuable piece of their time. Here are just a few points to consider if you question social networking and its future influence on our business:

*Consider the age group of the younger part of Gen Xers and Gen Y groups…..They are getting (or are already there) to the first time homebuyer age.

*Also consider the vast size of these generations! The Gen Y generation is bigger than the Baby Boomer generation. And social networking is what THEY know.

*Communication and how we do business has changed with social networking, and it is only going to get more advanced.

*Employers and Consumers are “interviewing” you online before they even talk to you!

There is no argument that you can be very unproductive in social networking. However, I also know the side that you can reach out personally to many more people and get a great response from those that you otherwise may not have kept in touch with. Whether you like it or not, this is the way the younger generations communicate, and how they are comfortable communicating. While I’m open to say I’m not an expert, I see huge opportunity in social networking and doing it properly.

I will note that it is important to make sure you’re social networking for the right purpose. Yes, you’re on there to help grow your business, however, that shouldn’t be your sole purpose. I’ve generated some great business and personal relationships with others by being a resource and trying to help them! If you’re looking out for others, they will look out for you!

Be a resource and be a professional! If you can do these effectively, people will respect you and the way you run your business! Social networking should just be another element in your business plan that will help you define and achieve the goals you’ve set forth!

Best of luck on your social journey!

• Writing posts and articles like this is similar to how the media presents their stories….negative tones and scare tactics gain interest.  However, validity doesn’t always follow.  While the activities of real estate agents has changed and will continue to change with technology, the overall duties and expertise need will remain for the transfer of real estate.
• Real estate has become much more detailed with the large increase of foreclosures and short sales.  It will be up to us as agents on how we pursue these segments.  Many agents had no business plan in the early 2000’s as the market presented unsurpassable opportunity.   Now, if you want to succeed in real estate, it must be thought of as actually running a business.  Consider REO agents, the simple accounts payables and receivables are a necessity to succeed.  I would imagine many of those agents would vouch through their experience.   
• Liability continues to climb as the capital gains are now turning to losses.  When this happens, the general consumer will be looking to someone for guidance and honest expertise.  The reputable agents will finally reap the benefits of quality service as consumers aren’t basing their decision solely on commissions.  They are basing it on previous results, reputation, experience, and finally commissions!
• If you feel you may not be a value to your consumers, I challenge you to put forth your best effort to create a value based business based on the need that is desired by the consumer.

                While I understand some may not agree there is just too much at stake for the general consumer not to rely on the real experts in the industry.  There is value, and the professional agents would all agree that the industry as a whole deserves a higher perception that what has been given in recent years.

Jake Luehrs

Here are just a few things to consider in the grand scheme of things:

1. Unemployment has a direct impact on the housing market and it’s recovery

2. People will always need shelter as it’s one of 3 necessities that has to be met

3. All real estate markets are local, so to read a national headline and believe it verbatum is a  mistake

4. We control our success – “Whether you believe you can or can’t, you are right.” Henry Ford

5. The only thing that will get us out of the recession we are currently in is us, that is the truth.

While it is critical for us to understand the local markets through the press, it is also critical for us to use common sense and establish an educated conclusion based on what is written and who writes it. 

So the next time you are bombarded with bad press, emails, etc., be sure to analyze the purpose of what is written or said.  We control the direction we want to go, so make a decision and set a plan to get there.