Why did you decide to become an agent…deep down, why? What is your product…what do you produce? Does selling real estate make you rich? What are all the profit killers in your business? Today we’re going to closely examine why & how you create wealth in your business, and how it affects your gameplan for success.
1- Why did you decide to become an agent…deep down, why?
You wanted to not have a boss, done.
You wanted no one to control your schedule, done.
You wanted to ‘own your own business.’ the romantic notion of the self made man/ woman appeals to you.
You wanted to be rich….not done.
2- What is your product…what do you produce?
With that profit you become debt free, buy investments that cover your personal overhead. Thus, you are no longer working for money…your money is working for you.
3- What is rich?
Does selling real estate make you rich?
First hard lesson is that SELLING Real Estate won’t make you rich.
Second not so hard lesson is that everyone CAN be rich. Its not hard provided you focus on PROFIT as your poduct.
4-What are all the profit killers in your business?
Why do you allow yourself to be seduced by profit killing easy buttons?
– Ask yourself…is your desire for things to be ‘easy’ (avoiding doing what you dont want to do when you don’t want to do it at the highest level) GREATER than your desire to be RICH AND FREE.
The answer is clearly yes or ZILLOW wouldn’t be in business (easy button) and all of you would be rich.
NO BS Phases of wealth building.
1) Phase one. Recognize and embrace that profit is your product.
2) Never buy anything that is an easy button. Don’t be seduced into poverty.
3) Accept that you must be a listing agent. Know your Magic Number.
4) Accept that fact that ONLY on the other side of doing what you don’t want to do comes the freedom which you desire.
5) Embrace being bored. Best businesses are boring.
6) Reject the idea that you need to have passion to be successful
7) Reject the idea that your goal is to ‘be happy’
8) Work is work because its work. Its hard.
9) Life is barely long enough to get good at one thing…choose wisely. Become the best listing agent you can be. Don’t dabble at it.
10) Keep yourself in motion at all times…in all aspects of your life. Remember that inaction IS ‘an action’.
11)Don’t lose your marriage as you build your wealth or you will end up with no marriage and no wealth. Involve your spouse, get their understanding and support that there will be times of imbalance.
1) Learn skills; don’t rely on luck.
2) Become a Listing agent.
3) Accept that everything takes about twice as long as you think it will.
4) Be myopic/ drill down and don’t stop.
5) FOCUS. Follow One Course Until Successful.
6) Keep your Ego in check even during your most successful months / quarters / years.
Pay off debt systematically and keep it paid off.
Force savings. Start with 10% from every check and increase it as your debt melts away.
Buy single family homes in good areas that are stable. Use info from last recession and make sure info is still relevant. USA is bifurcated.
Buy enough to cover personal overhead.
Keep selling and live off the money you earn…save the money from the rentals until you need it. Don’t be seduced into building a team that will supposedly do all the work so you can make all the money.
Houses need their own saving accounts, LLCs, insurance etc
Buy nationally…buy like the hedge funds do.
Invest the cash flow from the rentals into securities. Vangaurd index funds. Self direct you don’t need a money manager.
From Vanguard’s list of “core funds,” the funds that are best for a three-fund portfolio are:
Vanguard Total Stock Market Index Fund (VTSMX)
Vanguard Total International Stock Index Fund (VGTSX)
Vanguard Total Bond Market Fund (VBMFX)
So, a “three-fund portfolio” might consist of 42% Total Stock Market Index, 18% Total International Stock Index, and 40% Total Bond Market fund.