Recently, an agent and I had a conversation about what she needed to do to make $250,000 in the next 12 months. The conclusion we came to is actually pretty simple.

The topic I wanted to address with you today is conversion and the economics of our industry.

I was working with an agent recently and I asked her what she wanted to make in the next 12 months. When she told me she wants to make $250,000 in that span, I asked her how many appointments she thought she'd have to go on to hit that amount, which is a lot of money. 

She threw out a number, but I challenged her to look at it differently. 

First, we examined how many appointments she thought she'd convert. Conservatively, I asked what if she converted 75% of her appointments and made it to closing in 75% of those opportunities. Then we factored in taking two weeks of vacation, meaning she'd work 50 weeks in the next 12 months. I then asked what if she went on one appointment per week.

THE FORMULA TO MAKE $250,000 IS ACTUALLY PRETTY SIMPLE AND STRAIGHTFORWARD.

If she got hired for 75% of those appointments and 75% of those appointments closed, that's a total of 28 closed transactions. If we say an average commission is $10,000, that's a gross commission of $280,000 over 12 months. Even if you pay your brokerage $30,000, you'd still be making $250,000. 

So the formula is simple to make $250,000—you need to go on one appointment a week, get hired for 75% of them, and then close 75% of those deals. It's truly that straightforward.

If you'd like to talk more about your career or about putting a plan together to reach your goals, I'd love to talk with you. Contact me soon, I look forward to connecting with you.

Looking to improve your real estate career? We're here to help you make a smart decision when it comes to growing your business, improving your bottom line, and choosing a place to work in real estate sales. If you'd like to learn more about working with us, contact us at 855-835-5473 or info@greetingsvirginia.com.