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About the Author

With some luck, I bought my first house just two years after

college. A family friend had a “fixer-upper” he wanted to sell,

and was willing to help with the financing to get rid of it. He

lent me the down payment, giving me a year to pay it back. I

agreed to the terms and started saving as soon as the escrow

closed.

Unfortunately, saving money and having fun as a 24 year old

were a conflict with each other. I soon realized there was no

way I could save enough money to pay him back on time, so I

went to Plan B, I started fixing it up, in hopes of selling it before

my debt was due.

I finished the work in about nine months, but I still needed to

sell. So, I interviewed three agents, two with large firms and

an independent real estate broker. I chose the one that quoted

the highest sale price, like a fool. Sure, I sold the house, but in

hindsight I should have picked the real estate broker. It would

have been a smoother ride I am sure, as my agent dropped the

ball a few times. The broker was the most experienced of the

three and had an excellent reputation, as I later discovered.

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After paying off my debt, I had $30,000 left over. It was the

largest payday of my life, and it didn’t take long before I bought

another fixer-upper.

In less than a year, I fixed it up and sold it, not making as much

this time, but learning some valuable lessons along the way. I

also discovered that my agent made nearly as much as I did.

His commission on the purchase and sale was close to my total

profit. This was reason enough to get my real estate license,

hanging it with a small firm that allowed part-timers.

Soon thereafter, an electrician who helped during my second

project, asked if I could find him a fixer-upper as well. This

turned out to be the beginning of my career as an agent.

After helping him buy his first property, I continued to buy, fix

up and sell properties. But along the way, I picked up a few

more clients, and ended up doing some real estate sales for

them. My experience started to grow, and a year later I

decided to try my hand as a full time real estate agent, now 28

years old.

I moved my license to the largest firm in town, becoming a

minnow in a sea of whales. I was instantly in awe of the top

agents and often looked for ways to engage in conversations

with them.

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When getting a lead for a listing, I would occasionally ask one of

the top agents if they would pitch the listing with me in

exchange for a “co listing”. I knew I would learn from their

presentation, and if we got the listing, I would learn even more.

I did anything I could to get new clients. As a motivator, I often

thought of an agent my family used many years prior, an agent

that “hustled” (a word my father used, in a good way, to

describe him). My father said he would go after the business

versus waiting for it, listing and selling more homes than

anyone else in town. As a kid, I remembered the agent, and

really liked him. Years later, after learning about his success, I

liked him even more.

In addition to the agent, my father inspired me as well. He was

able to accumulate a large number of rental properties, and

profit from them, while teaching high school and getting his

doctorate along the way. But it was real estate that brought

him wealth, something I saw firsthand, making it easy to sell

the investment potential.

I also found motivation from the awards given to the top

agents. The bottom rung of all the awards was the “Executive

Circle”, or the top 20% in the company. This became my goal,

and after scratching up some sales, both my own and from new

clients, I somehow made the Executive Circle that first year

with the big firm. Then, it was the top 10% the following year,

and the top 3% a few years later.

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I continued working as a full time agent, while doing rehab

housing projects on the side that included some small

subdivisions. I would make the top 10% or better every year

until finally reaching a pinnacle in 1994. After my brokerage

merged with another, one that had a large number of top

producing agents, many with decades of experience, the

challenge to be one of the top agents was ominous. But

somehow I made it happen, actually making the top 10 of all its

agents, surpassing my top 3% award a few years earlier.

With my motivation being driven in part by company awards, I

felt I couldn’t do much better. I saw how the #1 agent kept her

crown, and I wasn’t willing to make the same sacrifices. I also

felt the wind go out of my sails, so to speak. I could feel my

motivation drop…which was a bad thing. So, it was time to

move up and on, and be a minnow again. I applied as a real

estate sales manager, landing a position with another firm.

As a sales manager, the time served was valuable, but within six

months, I knew it wasn’t for me. Recruiting as many agents as

possible was the company goal. I had a hard time buying into

it, so I started my own brokerage in 1995, now 34 years old.

On my own, I knew I couldn’t compete with the larger firms as

far as name recognition. However, the larger firms were often

set in their ways, being more rigid when it came to commission

rates, and not as fast to change.

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I always felt it was unhealthy for a relationship to begin with

the negotiation of a commission. Property sellers would often

ask for lower listing fees, and agents would do their best to get

6%. After the initial “arm wrestle”, the client and agent were

supposed to move forward as a team.

So, with that in mind, I offered some optional plans. If a client

wanted to pay less, fewer services were offered.

The Internet was taking shape at the time, so I provided an

online program where clients could access information through

our website, reducing face-to-face time. I was still in the habit

of going after the business, approaching for sale-by-owners and

other leads. But now I had an edge, a way for clients to save

time and money.

Long story short, I created a monster. I remember having as

many as 90 homes for sale at the same time.

Over the next five years, I averaged over six sales a month,

twice selling over a hundred homes in a single year. Of course,

I couldn’t have pulled it off alone. My wife Therese quit her job

to help, overseeing much of the paperwork while handling the

phones. Without her, the sale’s numbers would have been

much lower.

Over the next 20+ years I continued to sell real estate full time,

gaining recognition as a consistent top producer. I also ran my

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brokerage, trained new licensees and eventually tested the

waters of expansion, having as many as four offices and sixty

agents at one point. However, this took me away from what I

liked to do best, helping people buy and sell real estate, so I

scaled back the operation.

In my 30th year, after buying that first fixer-upper, I published

Real Estate 1A, A New Agent Roadmap to Success. I shared my

insight in doing a high volume of real estate sales for over 25

consecutive years, and as an agent trainer. The focus of the

book was on new real estate licensees and how to get their

careers off to a good start, offering tips, examples and personal

experiences.

As a sequel, Real Estate 2A focuses on agents that are near, or

at a point where they have some control of their sales activity.

The goal of this book is to harness these abilities, and channel

an agent’s strengths into a higher level of success.

vii

Copyright 2015 by Glenn Mendell

All rights reserved.

Published by Glenn Mendell

Danville, CA 94506

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Dedicated to all the agents who want to make their mark in the

Real Estate Business, with the client’s best interest in mind.

x

xi

I would like to acknowledge John Sobrato, my early inspiration

and the best real estate agent our family ever had.

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xiii

Chapter 1 No Longer at the Market’s Mercy ............................. 1

Paying your dues .................................................................................. 2

Don’t let your client drive ..................................................................... 3

Chapter 2 The Foundation: A Client’s Best Interest .................. 5

Salesman or real estate professional? .................................................. 5

Forget about them and they’ll forget about you ................................. 6

Why you’re an agent ............................................................................ 8

The Real Story - A fair commission rate? .............................................. 9

Charging top dollar for services .......................................................... 12

Chapter 3 Be Different . . . In a Good Way .............................. 15

Marketing’s slippery slope .................................................................. 17

Taglines and slogans ........................................................................... 18

Creating your tagline or slogans ......................................................... 19

90 taglines and slogans ....................................................................... 20

10 notable taglines and slogans (all industries) ................................. 23

Tips for creating your own message ................................................... 23

Being chosen ....................................................................................... 25

The Real Story: Lesson learned from a client ..................................... 26

Being different in how you communicate .......................................... 28

Separating deal makers from deal breakers ....................................... 33

The Real Story: Irate buyer ready to cancel ....................................... 35

The Real Story: My first stereotype encounter .................................. 43

Chapter 4 Winning against Multiple Offers ............................. 45

Win, but make it close ........................................................................ 46

The Real Story – A win without the highest offer .............................. 46

The multiple offer equation ............................................................... 48

The Real Story: An all-cash offer is no sure thing ............................... 51

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The Real Story: As-is offer and a good deed....................................... 55

The Real Story: Meet and greet for success ....................................... 57

The Real Story: Renters can be buyers ............................................... 59

The Real Story: Foresight for success ................................................. 62

The Real Story: A good dealer and a bad deck .................................. 66

Chapter 5 Your Name versus Your Firm’s ............................... 73

Careers can outlive brokerages .......................................................... 75

Chapter 6 Spring Boarding to New Business ........................... 77

Listings are king .................................................................................. 77

Be a “Go To” agent ............................................................................. 79

Referral machines ............................................................................... 80

The real story: Dynamic client/referral machine ............................... 80

Referrals and past clients ................................................................... 84

Getting the most out of your for sale sign ......................................... 86

The Real Story: One that got away ..................................................... 87

Loans and property management ...................................................... 88

Chapter 7 Self-Marketing ..................................................... 103

Self-marketing points to remember ................................................. 103

Get on the social media train ........................................................... 106

The Real Story: Tech savvy for profits .............................................. 110

The Real Story: “Direct” self-marketing ........................................... 111

Chapter 8 Maturity and Humility ......................................... 117

Milestones and accolades ................................................................ 117

Prepare for taxes .............................................................................. 118

New goals ......................................................................................... 118

Your vehicle ...................................................................................... 119

Personal upgrades and psyche ......................................................... 119

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Chapter 9 Smart Spending ................................................... 123

The Real Story – Stupid spending ..................................................... 123

Spending summary ........................................................................... 126

Chapter 10 Your Brokerage: Stay or Go? .............................. 127

Pluses and minuses to consider........................................................ 127

The Real Story – Moving to other brokerages .................................. 129

Chapter 11 Road to Being a Top Producer ............................. 131

Staying on Top .................................................................................. 132

References ............................................................................ 139

Appendix .............................................................................. 143

Agent Business Plan Example ........................................................... 143

Agent Business Plan (Fill In) .............................................................. 153

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xvii

Preface

New agents are at the mercy of the real estate market. They

usually have no repeat customers, no referrals and often no

clue when the next sale will occur. As a seasoned agent, you

have more control. Instead of income by luck or happenstance,

you’ve got both hands on the steering wheel and you know

where to find the sales.

It’s not your company name that draws in the clients as much,

it's you. It's a wonderful feeling, but it takes time and effort.

There are many different strategies you may try to get to this

point in your career—expired listings, door knocking, floor

time, for sale by owners, open houses, and farming to name a

few. You might try seminars, marketing meetings and real

estate training as well. For me, consistent prospecting helped

the most. I also did sales and leases—big or small—just to

accumulate transactions.

When I finally got to a position of control, some guidance with

my newfound abilities would have been helpful. I still

floundered, wasting time with things that didn’t pay off. Even

though I learned important lessons from these fruitless

endeavors, they also took me away from productive targets.

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In this book, I will share insight and examples of what worked

for me and for other agents who transitioned from apprentice

to journeyman agent. These insights will help you understand

where to direct your focus in order to gain and keep more

clients, without wasting time on ineffective attempts to

increase business.

In reading the chapters ahead, hopefully you will discover some

ideas and examples that will help with your career. And if you

encounter things you’re already doing, that’s good too.

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Chapter 1 No Longer at the Market’s Mercy

As a new licensee, you were like a newly licensed

fisherman. You almost had a better chance of the fish

jumping into the boat than hooking one on your own.

You dropped your line in the local pond, like a new

agent soliciting friends and family, and maybe you

caught a few.

But eventually, you stopped being content with that

little pond. It didn’t provide enough to make a living.

So, it was off to the nearby lake or coast where lots of

fish could be found, as well as lots of competing

fishermen.

You were a little boat in a big sea. It was easy to be

intimidated, but you hung in there. You learned about

fish finders, bait and the different fishing seasons.

Then, one day, you realized you can make a living at

this. You knew what to do when you got up in the

morning. You had confidence and you knew how to get

results.

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As an agent, this means your time spent being at the

market’s mercy is over. You now have some control,

and things really start to happen. The phone rings and

it’s a referral. Someone you’ve never met is calling you,

asking you to be his or her agent. Next, you get an

email from a past client. They need to sell and want to

buy something bigger. And, what might be the best

news of all— you don’t need to sell yourself or worry

about competing agents. These people are sold on you.

Furthermore, they are more apt to heed your advice,

which is a wonderful thing. Believe me.

Paying your dues

New agents are often unsure where their next client or

their next paycheck will come from. Going from a

constant feeling of uncertainty to a feeling of control is

a big step, one which many agents never take.

In order to get to this point, you likely paid your real

estate dues. In other words, you scraped up business

anyway you could, gaining experience and confidence

along the way. Some agents tap into a lead goldmine

early on and never look back, but that’s rare. It doesn't

hurt to try to strike gold, but the real key to gaining

experience and ultimately having some control over

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your business is to be active in your early years. Doing

as many transactions as possible and consistently

interacting with as many new prospects as you can is

how you pave your way to success. You can be picky

about your clients later in your career, but it won’t help

you early on.

By keeping this activity up, a day will come when you

can shift your focus (if need be) to get the results you

want. Imagine yourself as that new agent, having no

past clients and no referrals. Almost half of veteran

agent income comes from those two sources. Half!

As a new agent, you were like the passenger in a car.

You had no control of its destination. When you finally

move to the driver’s seat, you now need experience

driving. You need to know where to go for “destination

transaction” (a real estate sale), and once you find out

where that is, you need to go there often. You will need

to polish your skills as an agent, who finally has some

control, in order to seize the opportunities as they arise.

Don’t let your client drive

It’s one thing to be the passenger when your brokerage

or a partnering agent is driving, but when it’s your client

4

who is driving the transaction, you may want to walk

instead. Having no client control and letting your client

drive can lead to extra work and an unhealthy working

relationship.

When working with a veteran agent, they will often take

control. As a newer agent, you may learn from them.

Like a teacher-student relationship, it can be a

worthwhile education. But when a client controls the

process, it can be a recipe for disaster. It’s part of our

job to please our client, but it’s much different when a

client dictates your steps and micromanages your

duties.

There are times when it’s good to be the passenger.

I’m pictured here with a limo driver before a “Top ten” lunch.

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Chapter 2

The Foundation: A Client’s Best Interest

Salesman or real estate professional?

Are you selling homes just for the money? Is your focus

on getting paid as soon as possible? Or, is it more

important to find the right home for your buyer-client

or the best offer for your seller-client, even if it means

more time and effort?

As the driver who’s taking a client to “destination

transaction”, it's not about how fast you get them there,

it’s about getting them to the right destination. It’s also

about getting them there in a safe manner while making

them feel comfortable. Upon arrival, you don’t rush

them out of the car so you can turn around and pick up

another client. You need to stop the car, turn off the

engine and guide them, making sure the destination

(the property) is truly the right fit for them. If it’s not,

invite them back into the car and bring them to another

destination. Once you find the right property for your

client, you still can’t leave just yet—you need to make

sure the destination is as good as it appears, bringing

some experts in for a closer look. After that, you need

to make sure your client can finance it.

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If everything checks out, you can then shift part of your

focus toward your other prospects and other duties as

an agent. However, you need to stay connected with

your clients, as well as the other agent and those

connected with the property sale - until escrow closes.

After that, contact your clients from time to time. There

are two reasons for this. First, it’s the right thing to do.

You are supposed to be the pro and have the ability to

streamline any issues that may come up after your

client’s purchase. Secondly, you will increase your odds

of getting repeat business and referrals from them.

Forget about them and they’ll forget about you

Remember, nearly half of agent business comes from

past clients and referrals.

Some agents start thinking about the commission as

soon as a client gets in their car. They rush to the

destination instead of thinking of their client’s safety

and well-being. And, they rely on the other agent or the

title company to do the rest of the work.

This is not the kind of agent you want to be. A TRUE

real estate professional will begin by making sure the

destination is a good fit for the clients – what they want

and what they can afford. The ride shouldn’t officially

7

begin until the right destination has been determined.

Then, the client’s comfort and safety becomes the

focus. There may be bumps along the way, but a true

professional prepares themselves and their clients for

this possibility. Avoiding the bumps altogether is

another trait of a true professional, but this is difficult to

achieve and often comes with experience and wisdom.

That said, having experience is no guarantee that an

agent can avoid bumps in the road. Some agents,

unfortunately, still make the same mistakes they made

early in their career. But even the best agents can’t

guarantee a perfect ride. There are just too many

variables in each real estate transaction. No matter

how skilled or experienced you are as an agent, it is still

best to prepare clients for the reality that everything

may not go as planned. Providing realistic expectations

or even worst-case scenarios to clients can lower the

risk of clients overreacting to pot holes in the road.

Clients sometimes think that the real estate process is a

simple math equation. But, as we agents know, there

are lots of things that are out of our control. Other real

estate agents, lenders, title companies, inspectors and

the properties themselves are just a few of the factors

we must contend with as agents.

8

These clients that think our job is like a simple math

equation might be harder to please. Luckily this is rare.

For almost everyone else, a smooth ride and honesty

should leave a good impression. And, as mentioned

earlier, checking in with these clients when the ride is

over will increase the odds of future rides and referrals.

Why you’re an agent

Put yourself in the shoes of your client. You want your

agent to help you find a home in a good location, with a

sound structure, within your budget and with some of

the amenities you like. You are not looking for an agent

whose main focus is the commission.

The foundation of your business should be your

client’s best interest. Without that, you are nothing

more than a stereotypical salesman. You should

always do what is best for your client. If you observe

poor construction or a poor location, you should let

them know, even if it means no commission.

Likewise, when representing a seller, advising them

against the acceptance of an offer is the way to go if the

offer is not in their best interest. As a listing agent, your

job is not only to market their home in its best light—it’s

9

to help them select the best offer while negotiating the

best deal on their behalf.

I still remember one of my early career epiphanies. I

was representing a buyer-client and I was objecting to

the findings of a property inspector on a million dollar

home I was selling. Then it happened—my client looked

at me and said, “You are looking out for my best

interest, right?”

The answer was “no”, I was rooting for the sale. I got

caught up in the size of the commission and forgot why I

was a real estate agent.

The Real Story - A fair commission rate?

It was 1994. I was representing an elderly couple in

Redwood City, California. They only had a moderate

amount of equity in their home. They were moving up

north to a less expensive community so they could

retire. They did not make a lot of money over their

careers and were hoping to use the proceeds of the sale

to assist with living expenses over their final years. I

had listed a home for a friend of theirs, before my

brokerage merged with another. They too were looking

to retire and were actually moving into a retirement

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facility. That escrow was relatively simple—they were

easy to work, so I reduced my listing fee. I don’t know if

it was the reduced fee in particular, the results of the

sale, or both, but I am sure my good relationship with

those clients helped in getting the Redwood City listing.

When I listed the Redwood City home, I didn’t have to

do much. The home was well kept and within three

days we had several offers. I was able to drive the price

up a little with the multiple offers, the escrow was short

and it was an as-is sale. After those first few days on

the market, the remaining escrow was a breeze. Even

easier than the one I did for their friends.

I was now working at a new firm, and not by choice. My

old firm had just been purchased by a national

franchise. Our manager left for a large local brokerage

and all our agents followed, including me, creating the

largest brokerage in the area. I liked where I was

before, but I couldn’t stay in an empty office.

The new brokerage had a great reputation, but one

thing was different—their stinginess on commissions.

Our listings were typically at a 6% commission rate, and

in years past this was negotiable. In the case of my

elderly clients, this was probably one of the easiest

escrows I ever had. They were wonderful clients to

11

work with and our firm did almost no advertising at all.

As we approached the closing date, I asked to talk to

our new management team. My old manager was now

teamed up with the manager of the new firm. The

manager from the new firm was not willing to reduce

the commission below 6%, even with such an easy

escrow. I pleaded with her to give these sellers some

slack. The commissions would wipe out over half the

equity they had built up over the years, and the thought

of all that money going to my new firm made me sick.

In the end, I failed. The sellers paid 6%. They never

asked for a reduction in the commission but I felt they

certainly deserved it. A year later, I started my own firm

and made sure we had a policy in place where agents

could reduce commissions at their discretion.

Even though I wasn’t successful in getting my new

brokerage to reduce the commission in that case, I

learned that my focus was in the right place—the best

interest of my clients. The thought of my behemoth

firm insisting on that big commission bothered me so

much that I ultimately changed the way my own

company charged clients.

12

Charging top dollar for services

Over the years, I also learned about another way to

approach client fees, which is charging top dollar for

services. From real estate agents to chiropractors,

many service related professionals feel comfortable

charging more than the going rate.

Some of these professionals have told me that they are

worth it. Maybe they are, and maybe they’re not. I’ve

also heard that some consumers believe a higher price

conveys better quality.

A marketing expert once told me a story about tequila.

He said tequila was considered a cheap alcohol for the

longest time. Then, companies started to brand it in a

way that suggested a premium grade, all while charging

a lot more for a liquor that many people said was

basically the same stuff as before. Supposedly, the idea

worked and consumers paid more because they thought

it was better.

Charging top dollar was never in my DNA, but that’s me.

If you feel good about charging the going rate or more,

go with it. For me, I believe the flexibility with my fees

creates more volume, and ultimately more business.

13

This is not necessarily the right path, though. I have

seen pricier service people do very well. This includes

more vacation time, expansion of their operation and so

on. They may do fewer transactions, but the additional

money they earn from each one offsets their time away

from the business. I like to stay busy, keeping my skills

polished, but I can also see the value in taking more

time off. Recharging the batteries by having a better

balance between work and play definitely has its merits.

What you charge clients may ultimately come down to

what you feel comfortable with. For example, if you

force yourself to charge more based on what your

brokerage wants, potential clients may sense that you

lack confidence and end up balking at your prices. It’s

hard to sell a product when your heart’s not in it or

when you or your clients don’t believe in it.

14

When clients show their appreciation, you know you have

succeeded in looking out for their best interest. Keep all of your thank you notes and testimonials—they can

come in handy someday.

15

Chapter 3

Be Different . . . In a Good Way

If you ever watch television, you might see some crazy

commercials. Ones that are funny or outrageous, ones

with special effects or ones that claim to have a

revolutionary product. There are the serious ones too,

like the attorneys that say you need them when you’re

injured, or the medical spokespeople and their “clinical”

studies.

Like all the different products and services out there,

there are lots of real state agents too. There’s so many,

it's hard to get noticed.

Insurance companies, as an example, often try to stand

out. For the ones that do, it works. Of course, they

need to provide good service in the first place. But to

get new customers, insurance companies often need to

get noticed.

From little lizards to well known actors, these insurance

companies do their best to get our attention. After

that, they might claim remarkable levels of coverage or

pricing that is second to none.

16

As an agent, using funny little creatures or recognizable

spokespeople in our advertising might make us stand

out too. Unfortunately, we probably won't have the

marketing budget for that.

Saying you have integrity is a bit overused, but your

years in the business, the number of sales you’ve

completed or how you’re #1 in an area might be an OK

way to go, if these things are true. However, what

really pays off is using these common claims on a

regular basis. Consistently conveying your marketing

message through various sources and media is even

better. Having a catchy tagline or a flattering photo can

separate you from other agents. But this is only a start.

It’s the consistency and the number of places your

message appears that often dictates results.

I recall an agent that had a very long last name that

started with a “B”. So what did she do? She used her

first name on all of her marketing material followed by

the letter “B”, and a honeybee. It was catchy and it set

her apart. All her newspaper ads, property brochures

and internet marketing contained that catchy little

honeybee.

Years later, a new agent came to work for me with a

long last name that also started with “B”. I told her

17

about the catchy marketing idea, and since she worked

in an area far away, she copied the idea.

It worked well for a while, but like so many agents, she

eventually backed off on her self-marketing, perhaps

losing potential clients.

Personalized license plate. A Great way to be unique

and even better if it’s real estate related.

Marketing’s slippery slope

Constant changes to your tagline, your picture, or the

name of your brokerage won't help. Failing to back up

your tag line or claimed reputation won't help either.

An inconsistent marketing campaign or ads with false

claims are a waste of money. You are almost better off

doing no marketing at all.

Successfully completed transactions and follow up with

clients you have a good working relationship with are of

utmost importance, but an effective marketing

strategy is also essential to success. As mentioned

already, nearly half of all agent sales come from past

18

clients and referrals. The other half? Those sales come

from a combination of farming (direct mail and/or

canvassing specific neighborhoods on foot), open

houses, floor time, networking, for sale by owners,

advertisements, social media and other sources.

So, with such a smorgasbord of lead sources, how do

you plan a marketing strategy that can reach them all?

Carefully.

Taglines and slogans

First of all, what is the difference between a tagline and a slogan? A typical tagline is a short statement, often next to your logo or photo. A tagline often appears in the same spot (again, next to your logo or photo) on all of your advertising.

A slogan is often a short statement as well, but where it differs from a tagline is that it might be used for a particular neighborhood or a particular purpose, rather than used all of the time. So, you might have a tagline with your photo, but an additional slogan specific to that neighborhood. For example, “Jane Doe, your Realtor for life,” as the tagline, then “Oakwood Specialist since 1998,” as the slogan. You can also use more than one slogan. Some agents will use more than

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one slogan, whether it is the result of marketing to different neighborhoods, or a simple rotation of a few slogans to change things up.

Creating your tagline or slogans

Begin with what you offer that is different from other agents, if you can. You may also look at something that makes you unique, something that is to a client’s advantage. For instance, someone with a law degree might say they offer a legal edge. Or a former builder might mention this and pitch it as an added benefit to the client. Whichever way you go, try to stay consistent and be truthful about who you are or what you can do, while also trying to evoke a positive client response through your messaging. Some agents use the “brag method”, such as: “I sold over forty homes last year”. This might have an impact, but some people also won’t want to be a future statistic. Whether it’s a really good message or just an average one, the consistency of getting it out there will be the key to success. A mediocre message may bring better results if used often, versus a great message that is rarely seen.

The bottom line is that we agents should have a

message, and that our message should convey that we

are focused on the job at hand rather than on the

commission.

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90 taglines and slogans

A name you can trust

A tradition of [Excellence, Trust, Service]

A tradition of trust

Bringing customer service to a new level

Bringing profits to your pockets

Buy with confidence, sell with success!

Caring for my clients to a tee!

Combining traditional values with cutting edge technology

Committed to getting the results you deserve

Consistent commitment, high quality service and results!

Consistently delivering more than my clients expect

Dedicated to results

Dedication + service = consistent results

Doing everything but the packing

Don’t sell/buy homes alone!

Enabling you to attain your real estate goals

Exceeding your expectations is my goal

Excellence through experience, integrity, and resourcefulness

Experience has its rewards

Experience, service, results!

First time buyer specialist

For all things Real Estate

For exceptional service, call…

Foreclosure specialist

Friendly professional service

Getting the most for your property

Going above and beyond to find your next home

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Going the extra mile is worth the run

Great things happen when “Jane Doe” gets involved

Hardest working realtor in Santa Clara County

Helping Californians find their home

Helping Californians find where to live

Helping Californians move since 1998

Helping home searchers save time and money

Helping you find the property of your dreams

Helping you from start to finish

Helping you get more for your Real Estate

Helping your Real Estate dreams come true!

Homework is what I do best

Honesty, integrity & commitment

I’ll lead you the way home If you think it’s expensive to hire a professional, wait ‘till you hire an amateur

Individual, personalized service

Integrity, sincerity & credibility

Leading you In the right direction

Let’s get you moving

Looking out for your best interest

Luxury home specialist

Move in the right direction with…

My only purpose is to deliver successful results

Nobody serves you better

Northern Hospitality

Oakwood Specialist – Since 1998

Opening the doors to your next home

Our experience + knowledge = success for You

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Own the home meant for you

Personal service, quality Results

Professionalism is just a phone call away!

Profit from my experience

Real Estate is our life

Real Estate without the hassle

Real Estate…as it should be

Representing your best interest since 1998

Results that move you

Results that will move you

Selling (Oakwood, Palo Alto, Sacramento)

Selling Oakwood…One home at a time

Selling results, not promises

Selling solutions, not promises

Selling the neighborhood we live, work & play

Service designed for you

Service you deserve

Serving all your Real Estate needs

Serving you with honesty, integrity, and professionalism

The best in the business

The key to your Real Estate dreams

The sign of experience

Turning dreams into reality

When performance counts, call…

Your concern Is my priority

Your edge in Real Estate

Your expert in Real Estate

Your friend In Real Estate

Your neighborhood expert

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Your neighborhood specialist & 20 year resident

Your Oakwood Specialist

Your Real Estate connection

Your Real Estate professional

Your Real Estate resource Your referral is the best compliment I can earn!

10 notable taglines and slogans (all industries)

“Diamonds are forever.” (DeBeers)

“Just do it.” (Nike)

“The pause that refreshes.” (Coca-Cola)

“Tastes great, less filling.” (Miller Lite)

“We try harder.” (Avis)

“Good to the last drop.” (Maxwell House)

“Breakfast of champions.” (Wheaties)

“Does she ... or doesn’t she?” (Clairol)

“When it rains it pours.” (Morton Salt)

“Where’s the beef?” (Wendy’s)

Tips for creating your own message

Make it easy to remember. A catchy phrase or one that has a rhyme can achieve a memorable tagline or slogan. Trying to make it 8 words or less can help too. When in need, ask for Ed Proctor, the real estate doctor”

or “Call Brian Heller, the Home Seller

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Create a slogan or tagline that benefits potential

clients. The focus of your message should be on the

clients and the good things that will come their way

when using your services.

Don’t be like everyone else. With so many agents out

there, you don’t want to be another member of the

herd. Observe the taglines and slogans used by other

agents in your area. Without attacking their messages,

consider something that is different, but accurate.

Consider a geographic slogan. First of all, make sure

your slogan isn’t already taken. If not, consider a slogan

that names a particular area. As mentioned earlier,

although agents should only have one tagline, it’s okay

to use more than one slogan. Furthermore, potential

clients looking to buy or sell in a specific area are more

likely to find you as a result of internet search engines -

if you have a website or do blogs that include your “area

specific slogan.”

Beware of the bad tagline or slogan. It’s better to have

no message at all than one that’s egotistical or makes

no mention of client benefits. The claim of being #1 is

overused, but some agents can get away with it,

especially if they have the statistics to back it up.

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Being chosen

Why would someone you’ve never met choose you

when there are so many other experienced agents out

there? What will set you apart? It could be your photo,

your association with a specific cause or it could even be

a blog that you wrote. Whatever it is, you need to be

yourself. Sometimes I wonder what people think when

they meet an agent for the first time whose marketing

photo is from twenty years ago. You have probably met

an agent who looks nothing like their photo. The

consistency of the photo can be good, especially if it is a

flattering one, but the element of false advertising or

potential embarrassment might come into play as well.

Why did you choose your insurance agent? Why did

you choose your doctor? Why did you choose your

dentist? One thing you need to remember is that

clients won't be knocking on your door unless they have

heard of you, seen you or met you somewhere.

Potential clients are looking for the best agent to

represent them if they don’t have a good referral or a

good agent already, just as you would do. So, what

does being “the best agent” mean? It could mean that

the best agent is the one that knows a particular

neighborhood the best. It could be the one with the

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most ads in the newspaper, or the one that makes the

overused claim of being #1.

One way to increase your odds of being chosen is to be

good or excellent in several areas of the industry.

Knowing the market, understanding real estate

contracts, possessing strong negotiation skills and

having a sound marketing campaign can all help. Are

you intimidated by other agents? Your clients don't

want that, so standing your ground, even against top

producers, can earn you points. Do you have a

background in construction? Maybe you can provide

insight into remodeling questions that other agents

can’t answer. Using your strengths and expanding on

them is an important strategy to consider.

The Real Story: Lesson learned from a client

One of my clients was VP of Marketing at a national

grocery chain. I recall a conversation with her years

ago. I mentioned that I was thinking about changing my

marketing strategy.

Being in two different industries, selling groceries versus

selling homes, I was not sure if she could offer any

advice that applied to real estate agents. However, I

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soon realized in talking to her that marketing is

marketing, as an agent or otherwise.

I began by asking her if she had any basic tips, and she

quickly replied, “You need to market yourself in a

truthful manner.” I interpreted this as an exercise in

putting yourself in the shoes of a consumer, who

chooses you based on your claim. If you are marketing

yourself as a high-end home specialist, for example, you

need to be consistent with that image, actually selling

expensive homes from time to time. If you are asked

for a list of recent homes sales, hopefully you can name

a few that match your claim. Bottom line, what you say

and what you do must be consistent.

In addition, our conversation led me to another obvious

point, “I am not marketing homes, I am marketing

myself.” Of course there is marketing involved when

selling homes, but to create more opportunities to sell

homes, you need to market yourself. Just like my

client’s grocery chain, who can’t sell groceries unless

they get people into the store, I can’t sell homes until I

get people to choose me as their agent.

She also emphasized consistency in what you specialize

in, and with the marketing campaign itself. She agreed

in my belief that it’s important to touch people with

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messages from more than one source. Newspaper ads,

shopping carts ads, magazine ads, name riders on for

sale signs, blogs and youth league sponsorships as a few

examples.

Being different in how you communicate

Now, let’s go back to the idea of being different, in a

good way. As you might know, there are a gazillion real

estate agents out there. Some of them are full-time and

some are part time, but there are lots of them.

Begin with what you’re good at, or what area of the

market you want to specialize in. Some agents focus on

bank-owned properties, fixer uppers, or homes that are

worth well over a million dollars. Some focus on areas,

such as a neighborhood they live in, the local alumni of

a nearby school they went to, or fellow members of a

church.

For me, in addition to making myself stand out via

messaging and branding techniques, I have also always

tried to be different in how I approach potential clients

in face-to-face situations. Instead of approaching

potential clients by saying “Can I be your agent?”, or

“Are you working with another agent?”, I try to discuss

something other than real estate when I first meet a

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potential client – especially at open houses. Most

people that walk into an open house have done it

before, and have been approached by “hosting” agents.

Face it, hosting agents are often there to pick up new

clients. You know it, and oftentimes, so do the people

that walk into the open house. So, what do I do? I

often hand them a flyer with a smile, and then I walk

away. Or, I might hand them a flyer and make a

comment that is not real estate related.

Even when they find their way back to where I am

standing, I rarely ask if they like the house.

When the time is right, I usually make a statement that

demonstrates my credibility or that shows how I can be

a valuable resource to them. That’s my style, which is

more of a soft sell. This does not work for everyone,

and sometimes it doesn’t work for me either, but I feel

comfortable with it and genuine. There are probably

clients out there I could have worked with had I been

more assertive, but I believe I secured more clients by

sticking with my personality. When I walk onto a used or

new car lot, I often brace myself for being approached

by a salesman. I know their goal, and that after showing

me a few cars, they’ll want me in their office. If I don’t

buy a car on the spot, then I must meet their manager,

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answer some questions, then give up my phone number

so they can hound me. I don’t want to be one of those

guys. I want people to know right from the start I am

not going to pressure. Once I establish that, I want to

convey experience and knowledge.

Another way of being unique is where you find your

clients. I remember an agent that did the majority of his

business with a fortune 500 company. He found a way

to get an ongoing source of referrals from the company.

He thrived for years until his source dried up. However,

the sales he made as a result of that company created a

large database of clients, bringing him business for

years to come.

If you don’t have a strength that differentiates you from

other agents, or a particular connection you can use to

get leads, you are like the majority of agents out there,

and that’s OK. Being a part of a group or being a team

player works best for many agents. So, if your

personality does not fit the profile of being

independent, don’t force it.

For me, I wanted to be part of a team at first, but found

more success as an independence agent. Of course,

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once my volume of sales became almost unmanageable,

my wife stepped in to assist me.

When I started my career as an agent, I was one of the

youngest in town, and just being accepted with older

and more experienced agents was a challenge. Luckily, I

had done some fixer-uppers before getting my real

estate license. I made some money on them and

continued to do these projects on the side during my

early years as an agent. This gave me some credibility,

both with agents and potential clients. I also had some

experience with “creative financing” (seller assisted

financing and small or no down payment purchases).

My father did some seller financing and other types of

loans when he was in the real estate business, and I

learned from him. Buying fixer-uppers and doing

creative financing were not things taught in real estate

school. Few agents had this type of experience, and

that set me apart.

Early on, an electrician who did some work on my

second fixer-upper ended up as one of my first sales.

Soon after, a contractor who worked on my personal

residence asked if I could find a property with seller

financing or some sort of financial assistance. He made

good money but didn’t have enough down payment

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money. This became another early sale as a result of

my creative financing experience.

I was able to get some people into homes that other

agents couldn’t. High-end buyers and sellers were not

attracted to my unique experiences, but some of my

early clients now own homes valued in the millions.

Another thing I found helpful as an emerging agent was

valuing all transactions, even if they were very small.

Once I started doing more of them each year, I started

to find my strong points…..and my weak points. Some

were unique and some were not. As for my strengths, I

was often told that I was patient and didn’t get over

emotional. These seemed to be key ingredients when

buyers and sellers would occasionally get emotional or

irrational, because I could help balance them out.

Unfortunately, this was not something I could use in my

marketing campaign, but it seemed to help me close

more transactions, ultimately increasing my repeat

business and referrals. As far as my weak points,

paperwork was high on the list. Again, if not for my

wife, who enjoys the sea of documents for each

transaction, I probably would have sold fewer homes

and exposed myself and my clients to additional liability.

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Separating deal makers from deal breakers

Putting deals together is one thing, and keeping them

together is another. As agents, we are the center of it

all. Knowing when to be assertive or when to step back

can be the difference in keeping the inertia moving

forward. Some escrows are rock solid, and may close

even if you screw up. Others are on thin ice from day

one and even a flawless performance on your end is no

guarantee. However, you can improve your odds.

1) Keep a level head and don't get emotional.

Unfortunately, buyers and sellers can get emotional.

Becoming emotional can lead to being irrational. Being

irrational adds an unpredictable variable to the

transaction. As an agent, being irrational or

unpredictable is far worse than a buyer or seller acting

this way. You need to be the driver that knows the road

for your clients. You need to be the glue, so to speak,

that keeps everyone sticking together and moving in the

right direction. This includes the other agent and their

clients, the loan broker and any others who can

influence the outcome of the escrow. If you can be the

shock absorber that smooth’s the ride for everyone,

even better. Some agents are good mediators, or

skillful at easing the ride when hitting bumps in the

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road. By being one of those agents, you will likely close

more deals. Agents that fail to stay calm can jeopardize

the transaction and run the escrow off the road.

2) Be patient. Anxious agents are prone to making more

mistakes. Having patience, especially when dealing with

emotional or angry people, can pay off. Try to position

yourself so you are not backed into a corner, defending

yourself or backpedaling on something you said or did.

If you see a potential confrontation or unpleasant

situation on the horizon, prepare yourself. As the

saying goes, “Every battle is won or lost before it is ever

fought.” Agents that are anxious and don’t put thought

into their actions are more likely to suffer unfavorable

consequences. It is almost inevitable you will face an

unpleasant situation with someone involved in a

transaction. It might be the other agent or it might be a

client, but either way, take a step back and think about

your response and actions moving forward. Knee-jerk

reactions can trigger and escalate emotions, leading to

irrational decisions that put deals in peril. Also,

remember that emails can be copied and forwarded, so

if you vent your frustrations through an email, be

prepared for it to be viewed by others, potentially being

used against you.

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If your time is limited before the day of reckoning, when

you need to face the heat, use your time wisely in

preparing for it. Have your facts at your fingertips and

try to play out the likely battle ahead. Another tip that

sometimes works, especially with people with explosive

emotions, is to let them explode. Instead of countering

each point they are making, consider listening to their

points in a calm manner. You are more likely to find a

meeting of the minds when the other party is calm and

has let off steam. It is also said that times heals

everything, or in these cases, cools people down.

The Real Story: Irate buyer ready to cancel

I was representing both the buyer and the seller, and

this was going to be a very large commission for me if it

closed. The seller was very set in her ways and did not

want to do a thing to the property as part of the sale. It

was totally as-is, no ands, ifs or buts. The buyer was a

very intense, savvy real estate investor and seemed to

get her way most of the time. We were getting close to

the removal of all contingencies when the buyer wanted

to make sure the seller would clean the house once all

the furniture was moved out. I conveyed this to the

seller, and she said, “as-is means totally as-is, and no

cleaning.” Typically, most sellers will do at least a

vacuum or sweep, if not a professional cleaning, but in

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this case the seller was adamant that she was going to

do absolutely nothing. Once the buyer received this

message she went ballistic. I was not on the other end

of the line when she called saying that she was going to

cancel the deal, and I was fortunate as it gave me time

to think. I knew she was that type of buyer, one that

would cancel a deal over something like this. She was

an emotional, fast- talking and bright individual, hard to

get a word in with edgewise.

I needed to call her back and see if there was a way I

could keep this deal together. So, in thinking it through,

it dawned on me that the cost to clean the house would

not be very much, only a small bite out of my

commission. I then called the buyer back, I let her vent

her frustrations, not saying a word or objecting, just

letting her exhaust all her hot air. When she was done, I

calmly told her that the house was going to be cleaned

before she took possession, just not by the seller. Her

attitude changed and she seemed to calm down. I was

turning a negative into a positive by telling her that the

seller is not in a position to clean the house, that we

needed a professional and that our real estate company

would take care of it, staying very calm as I explained

this.

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Luckily, it worked. Had I received the initial call, or

called her back right away, not having that strategy in

hand, I think the deal would have been lost. Sure, it

may seem like an obvious solution, but when someone

catches you off guard with rapid fire anger, it is can be

hard to calmly turn things around. As an extreme

example, the servicemen at Pearl Harbor were not

prepared for the surprise attack. If they had some

warning, and time to prepare, the result would have

been different.

I learned it was best to avoid situations where I didn't

have time to react. I got lucky in this case, since I didn’t

answer the phone when she called. The whole situation

taught me to, when possible, find a way to delay my

response so I can have time to develop a strategic

counter. I also learned to let people vent their

frustrations without interruption. I would let them

exhaust all of their hot air, versus countering along the

way and potentially adding fuel to the fire.

3) You need to be the authority. Asking your client what

they want every step of the way does not evoke a

position of authority. Usually, clients don't want an

order taker. They want an agent that knows more than

they do, just as you would when going to the doctor.

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You want your doctor to have the ability to help you

more than you can help yourself. Clients often respect

agents who are in charge and move forward with

confidence. Not B.S., but truthful, experienced

confidence. If something comes up that you're not sure

about, you can be quiet about it or you can tell them

that you will get the answer. This means you will go to

another source, whether it is the real estate attorney

hotline, your legal department, or your broker.

When it comes to conversations with your clients, being

friendly is important, but talking too much can hurt. I

have seen agents bringing buyers through an open

house that I am hosting, pointing out the obvious

countless times. “Look, they have a fireplace in the

family room!” they might say, or “oh they have a

laundry room,” or “wow look at the size of this kitchen,”

etc. We are not salesmen selling cars, we are on our

buyer’s side, looking for the positives and negatives of

each property. I try to make a point to come up with

both non-obvious positive and negatives with every

property I show my clients. When we walk in the front

door, I typically go in a different direction if I can. And, I

always try to give them some time in the house by

themselves. If possible, I will go outside or into a

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different part of the house. I don't want to smother

them.

4) No pressure. How do you feel when being pressured

to buy something, even something small? Imagine

being pressured to buy or sell something big, like a

home. Real estate is often one of the largest assets a

person will possess over a lifetime. High pressure sales

can work in some industries, even in real estate, but

going into escrow only to have clients get cold feet is a

waste of everyone’s time. Low or no pressure has

always been my motto, and luckily that has fit with my

personality. Some agents are more blunt and direct and

can't help to be more on the “pressure” side. But some

clients will be okay with that. The key is not to pressure

your clients as if you desperately need the sale, which

will convey that you only care about the commission

and not about them. However, there is a point where

you may need to nudge them into making a decision.

This can be done subtly or directly. Sometimes, clients

need to hear the question, “Do you want to buy this

property or should we move onto the next one?”

5) Dealing with aggressive agents. This is when you

sometimes need to eat that humble pie. There are

egomaniac agents out there, some that are deal

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breakers that can blow your deal apart. I have let

agents get my anger up numerous times. There have

been instances when I responded with anger and more

often than not, it didn't help. Recently, an agent got me

so fired up that I drafted a long email with every idiotic

thing he had done during the escrow to that point. And,

I was copying everyone involved so they could be aware

of this. Luckily, I decided to hold off on sending that

email. After about an hour I cooled down and reread it.

I put some thought into it and realized that—if I sent

the email—I wouldn’t have learned a thing after all

these years. What good would it do besides potentially

making him look like an idiot and me as the poor agent

that had to deal with it? Or, it might show how

emotions got the best of me, conveying weakness and

foolishness. I wasn’t focusing my energy in the right

place. My drama could have a ripple effect, hurting my

client’s position if additional negotiations came up. So, I

removed 95% of the email and responded to the latest

ridiculous request with professionalism, and left it at

that. Eventually, things got back on track and the deal

moved forward. It could have easily escalated into a

pissing match between agents if I had sent that email.

6) Never leave too much detail on a voicemail. And

never write emails that are too long. Countless times, I

have left long-winded voicemails and I always seem to

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regret them when I'm done. When having a

conversation with a client or other agent, you can often

figure out their reaction within the first sentence or

two. If the immediate reaction is unfavorable, you can

stop the conversation or change the subject. With a

voice mail or email, it may only take a sentence or two

for the recipient to get the gist of what you are saying,

or make decide if they are interested in knowing more.

By blindly leaving your message, you don’t know when

to stop. So when in doubt, make it short. Furthermore,

I have found that most people hate to listen to long-

winded voicemails, good or bad. Same with reading

long emails. Do you really enjoy emails that read like a

novel? Face-to-face communication is typically the

most effective because you can get verbal responses

while reading the other person’s body language. Phone

conversations are likely second best, but it's important

to be a good listener and leave gaps of silence after

making a point. Give the other party a chance to

respond every so often. And, try not to go off on

tangents before they can respond to the original point

you were making. Talking from a stream of

consciousness is generally not a good business practice.

7) Good response time to your messages. An important

part of communication is not only to communicate

back, but to do so in a timely manner. It is not only a

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sign of respect, it can be the difference in landing a

client. Unfortunately, in addition to receiving

correspondence from clients, you may get solicitations

from vendors and advertising companies while you’re

an agent. I admittedly am not good at responding to

advertising companies. They can burn up my time, and

sometimes I’m not very good at saying no.

Another important situation to mention is when a client

calls you all the time. In this case, delaying your

responses can help. I jokingly call this “client

communication training”. If you get back to these types

of clients within seconds of every call or email, they may

start to expect that every step of the way. Some agents

will say on their voice mail that they will return calls at

certain times of the day, which is another option to

consider. Mentioning other clients and commitments

can help too. You do have a life.

8) Don't judge a brokerage or agent by their reputation.

Being part of a real estate brokerage can be something

to be proud of. Sometimes though, brokerages create a

high and mighty attitude about themselves. And,

sometimes agents in the office talk negatively about

other brokerages and agents from outside the office.

While it can be helpful to get some insight about other

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agents and their tendencies, it is important that you

treat other brokerages and agents equally, regardless of

reputation. Early in my career, I worked for a large real

estate firm, and we often led the area in sales. I think it

was natural that this inflated some egos in the office.

There were stereotypes floating around about other

brokerages. At the time, Coldwell Banker and Century

21 were considered to be a bit ancient and out of touch

with the “modern” way of doing real estate. Our

brokerage had been around for a while, but with the

number of sales we were doing, I think we got cocky.

The Real Story: My first stereotype encounter

I remember doing my first deal with a Century 21 agent.

I went in with caution, worrying that I would have to

deal with a potentially inexperienced and flaky agent.

The negative attitude many of our agents had toward

Century 21, from the matching mustard-colored sport

coats they wore to their run-down offices had me

worried. Being a newer agent, I often listened to the

opinions of agents in my office.

So, after delivering my offer to the Century 21 office, I

prepared myself for a tough road ahead. However, it

wasn’t necessary. In fact, it was one of the smoothest,

44

most pleasurable transactions I had to that point in my

career. I ended up getting the broker for the Century 21

office. He was calm, experienced, and did all of his

paperwork in a timely manner without me needing to

chase him down. When it was over, I shared this with

other agents from my office, telling them what a great

experience I had. Even though my experience mostly

fell on deaf ears, it taught me that stereotypes are a

joke. Later that year, I ended up doing a transaction

with one of our own agents. It was one of the worst of

my career. The transaction was very difficult, and the

agent was very abrasive throughout. And, to make

matters worse, his client threatened litigation against

our firm and my seller after the escrow closed.

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Chapter 4

Winning against Multiple Offers

I’ve been through a few crazy markets. “Crazy”

meaning bidding wars or as most agents call them,

“multiple offers”. The first one I experienced was in the

late 1980s. The “Sino-British Joint Declaration” led to a

mass emigration from Hong Kong to other countries,

including the U.S.’s west coast where I sold real estate.

The British government had recently informed Hong

Kong residents that they would not be granted British

citizenship, resulting in a large influx of new home

buyers. Some might say that the aftermath of Black

Monday in 1987, when the stock market fell over 20%,

triggered the real estate surge. Either way, the demand

for homes and their values increased faster than I had

ever seen, with five, ten, twenty or more buyers making

offers on the same property.

I learned quickly that a key to winning a multiple offer

bidding war was to offer over the asking price. That was

definitely something new and very uncomfortable for

most buyers. Having client control was another key

factor. Sometimes it took buyers a few losses before

they realized we agents knew what we were talking

about.

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Win, but make it close

In order to serve your clients well, winning by the

smallest margin possible should be a goal. Sure, you

can offer way above all the other offers and win,

but that is not in your client’s best interest.

The Real Story – A win without the highest offer

It was 1994 and I represented a family where there

were 16 other offers. My clients were strong financially

and our offer was one of the best ones, pricewise. Once

the listing agent reviewed all the offers, it was narrowed

down to the top three, and we were included.

At the time, interest rates were a little higher than they

are today. I had a great loan broker, and with these

buyers, he could close the escrow in 10 days. So,

thinking worst-case scenario (that we were not the

highest offer) I explained during my offer presentation

how much interest the sellers would earn on the

proceeds by taking our offer versus one that closes in 30

days or more. At $860,000, the interest over 20 to 30

days added up to a decent amount back then. I also

mentioned that less could go wrong with a 10 day

escrow. Furthermore, I pointed out the fact that

offering parties would still be around in 10 days or less,

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unlike the case of an offer falling through after a month.

Of course, I assured the listing agent that my buyers

would close the escrow, but I wanted to mention this as

an added benefit just in case.

I also did some homework on the listing agent and was

told by more than one source that she held herself in

high regard. She was a veteran agent, and I was told

she liked to let everyone know this.

I coached my clients to say some complimentary things

to her if the opportunity presented itself, such as “I hear

you're a really good agent, etc.” Luckily, while the

sellers were mulling over the final three offers, I was

able to introduce my clients to the listing agent. They

did exactly as I had asked and the agent was predictably

flattered.

In the end, our offer was chosen. The agent told me

that one offer was a bit higher in price, but they were

going with us. Without actually being a part of the

decision process, I never found out exactly what got our

deal accepted. But, as I have done over the years, I

tried to increase our odds with more than one

advantage. In this case, it was the interest accrued by

our shorter close of escrow, the reduced risk for the

seller by closing in only 10 days, and the buttering up of

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the listing agent in hopes she might sway her clients in

our direction.

Years later, we hit another crazy market. New agents

that joined my firm asked for advice when competing

with other offers, so I gave them this example and

explained my theory of increasing the odds for the

client.

The multiple offer equation

One weekend years ago, when I had some free time, I

did some research on past sales that involved multiple

offers. I looked at the average list prices, then looked at

the actual sales prices, then divided by the number of

offers. What I was looking for was a rough idea of what

buyers needed to offer above the asking price to get an

acceptance. What I found was an average of 1.5% per

competing offer, above the asking price, to become the

winning bid. So, a $1 million home with five offers

would be 5 times 1.5% for a total of 7.5%, or $75,000. I

would take the $75,000 and add it to the $1 million

figure for a total of $1,075,000.

Once I started to implement the new strategy, I would

also explain to my buyer clients that this was not a

perfect science. In addition, I would explain that they

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could use the sum of my equation and adjust the price

upwards if they really liked the home, or downwards if

that was more comfortable.

As mentioned, this is not a perfect science. The most

radical example I can give is when one of my agents

wrote an offer for $500,000 above the asking price on a

$1.5 million fixer-upper, yes, fixer-upper (Saratoga,

California). And, there were only a few competing

offers. Did she get it accepted? No, because someone

offered $1 million more than she did.

On the other hand, in regions that are just beginning to

get multiple offers, things can be very different. I have

seen cases where multiple offers were submitted on a

property, but all the offering prices were below the

asking price. Why is this? One reason is that there is

always a beginning to a trend in multiple offers. A

region may be experiencing this phenomenon for the

first time, and agents are part of the learning curve.

Trying to predict which multiple offer scenario to expect

can be difficult, so do your research by looking up the

recent sales, and compare the list prices with the sale

prices. How far above the list price, if at all, are the

sales going for in that particular area?

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The inventory, the historical demand for the area and

the experience of the agents there can help in your

preparation. In Silicon Valley, for example, multiple

offers and bidding wars are more common than most

areas. And, agents in that area are used to it. Agents

from other areas, who make offers for their clients in

Silicon Valley, are often faced with stiff competition,

especially if they‘re from an area where multiple offers

are rare. In the 1990’s, when other parts of Northern

California saw bidding wars for the first time, it took

some time for agents in those areas to adjust. From

time to time, agents from Silicon Valley would venture

into those other areas, winning the bidding wars with

ease. In addition to their experience, they often had

Silicon Valley clients who could pay “all-cash” (no loan

needed) and/or were also used to seeing offers well

above the asking price.

In the most recent crazy market that started in the

spring of 2012 for several regions in the Bay Area, I

found some additional strategies for getting offers

accepted in a multiple offer situation. At one point

during this time, I had a nice run of six consecutive wins

when representing buyers against other bids, facing

anywhere from 2 to 15 competing offers. One of those

six clients was an all-cash buyer, so I had an advantage

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on that one, but the other five were more of a

challenge, like most multiple offer situations tend to be.

Because my five other buyers had to get loans, they

needed all of the help they could get for a chance to win

against the other buyers. I used the “1.5% above the

asking price equation” to help guide them. I also

recommended a short close of escrow and short

contingency periods, if possible.

You have probably heard of agents including photos of

their buyer’s kids or a photo of the whole family when

submitting an offer, and this is good to do. However, I

discovered some new ideas that worked even better.

The Real Story: An all-cash offer is no sure thing

On the first of my six successive multiple offer “wins,”

my clients were making an all-cash offer (I wish I had

more clients like this). They were one of 15 offers. This

raised my concern that there might be another all-cash

offer like us. I did the old 1.5% formula but this was a

condo where the HOA was in litigation with the builder.

When this happens, the values are lower than normal,

even in a hot market, because not all buyers can get

loans on a condo in litigation. The litigation always ends

at some point in time, but values are often suppressed

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until that happens. So, I found a nearby condo complex

and compared its values with the value of the complex

we were offering on, during a different time when

neither was in litigation. The condo we were offering

on was priced less than similar sized ones in the

complex down the street, however, I could see it would

be the opposite if there was no litigation. After running

the sales prices a few years prior, when neither complex

was in litigation, I found the sale prices to be 25% more

in the condo complex we were offering on. I needed to

show my buyers what the condo could be worth once

the litigation was lifted. I felt there might be some

other buyers out there that would look at this as well. It

was almost like an undervalued stock.

Having an all-cash offer is great, but it’s important to

remember that offers from buyers with loans are still

all-cash to sellers in the end. A buyer with a loan,

offering more than an all-cash offer, can still get

selected as the winning bidder. On some occasions, the

listing agent and seller will counter an all-cash offer at a

price that is around the same as the highest offer when

that one needs a loan. Reason being, there is no loan

contingency and usually no appraisal contingency with

an all-cash offer, an important factor. When prices are

going up fast, appraisers can only use past sales, which

are often lower in price during a hot market.

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That said, when a buyer needs to get a loan, there are at

least two things that can blow the deal that an all-cash

offer doesn’t have to worry about: the final approval on

the loan, and the need for an appraisal to match the

sale price. Sure, buyers with loans can bridge the gap in

cash between an appraisal amount that falls short and

the sale price, but they must have the extra cash in

order to do so, thus reducing their reserves. The loan

company may have an issue with this, as they often

want to see a certain amount of reserves as part of the

approval process.

Back to the all-cash deal. Once I did the homework on

values and explained this to my buyers, I knew we

needed a short close of escrow and that we would need

to offer some free rent back. I was doing everything in

my power and from my experience to give them the

best odds of getting the offer accepted, without going

too high above the pack. It was after all my ideas that

my clients came up with one more – “Legoland".

When touring the home, they noticed that a young boy

lived there and had lots of Legos in his room. So, as part

of the offer, they ask that I include a $100 gift certificate

for Legoland. I am not sure if this made any difference

in the end, but the more things that can get a positive

reaction from the seller, the better.

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Creating a positive relationship with the listing agent is

important, too. In the case of this condo, I was able to

educate the listing agent about the homeowners

association his property belonged to. I didn’t want to

humiliate him, but I did want to offer him some

assistance in hopes he would appreciate it. I also

wanted him to know that I knew the development and

would not be spooked by anything. He was an out of

area agent, so I knew the odds were high that he

wouldn’t be as familiar as I was with the two

associations his condo belonged to. I could see the HOA

fees he had entered in the MLS listing, and they were

wrong.

Once the agent started to ask me questions about the

HOA, I knew my strategy was working.

Once all of the offers were reviewed, he contacted me

and said his seller was considering a multiple counter

offer that included us. However, he said his sellers

would likely choose us if we could hit a certain price,

just a bit higher than we had offered. So, I called my

buyers, they agreed and we got the deal.

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The Real Story: As-is offer and a good deed

On my second multiple offer win, just a few weeks after

the all-cash offer, I once again needed an edge. On this

one, offers had already been submitted, but no decision

had been made by the sellers.

The listing agent for this property farmed that

neighborhood, so there was no chance I could educate

her on anything like the agent from the all-cash offer.

She mentioned that we had done a transaction together

years prior, and reading between the lines, I took this as

a good thing. She then said that one of the offers was

full price, but was asking the sellers to do the section 1

termite repairs.

When writing the offer, I made sure my clients went

$1,000 over the asking price and agreed to taking any

section 1 termite repairs “as-is”. The $1,000 put us at

1.2 million, the maximum my clients could qualify for, so

I didn’t want to be a part of a multiple counter offer,

driving the price up even more. We needed to get our

offer accepted or we were out.

During the process of submitting the offer, we got wind

of the seller being a schoolteacher. My buyer, knowing

we were at our max and knowing the full price offer

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could offer more, made a suggestion to me. He came

up with the idea of making a donation to a charity that

supported local schools. I don’t remember if this was

actually his idea or if I had told him the story of the

“Legoland offer”, but either way, it was a good idea. He

was familiar with a school charity the seller would

recognize, and likely appreciate.

He asked if this would be too cheesy of a thing to do. I

said no, but I also said I would check with the agent to

make sure. So, the next time I spoke to the agent, I

conveyed my client’s wish to make the donation, and

she was fine with it. I then suggested that she mention

the donation when presenting the offer, or, at a time

that might make a difference. Normally, this would be a

lot to ask of a listing agent, but I felt it wasn’t over the

line in this case, especially after her positive comment

about our past escrow together.

The next day, when the sellers were looking at our offer

and again at the full price offer, they were in a remote

location and their Internet was not working. Even if

they could come to a decision, they could not get the

Internet to work and would not be able to use DocuSign

to move forward. The wife, who was the teacher,

became frustrated. She was talking to the listing agent

by cell phone and the listing agent could sense the

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frustration she was going through. I am not sure I

would have picked this time to mention the charitable

contribution, but this is when the listing agent

mentioned it. This may have been luck, but apparently

the statement changed the tune of the seller, thinking

this was a very nice thing for my buyers to do. Two

hours later, when the sellers finally got internet access,

our offer was accepted.

The Real Story: Meet and greet for success

Another strategy that I now try to incorporate

whenever I get the chance is what I refer to as the

“meet and greet”. This all started when a young couple

I was representing met the listing agent at an open

house. The listing agent enjoyed meeting with my

buyers and when I had the opportunity to meet the

listing agent myself, I made her feel confident that we

would close the escrow without a hitch, while also being

friendly in a genuine way. With lots of activity on the

property, I did not want to be a pest, but I did want to

connect with her so she knew who I was, and who my

clients were.

While at one of the open houses, I observed how other

buyers and agents would ask question after question,

some actually pressuring the listing agent. I could tell

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that the agent felt good about me and my clients as we

left the open house. She approached us unlike the

others that had pressured her, and said she looked

forward to hearing from us.

When our offer was accepted, it was even more

surprising than normal. This was the first time I had an

offer accepted for an FHA buyer when offering the same

amount as an all-cash buyer. With the right loan officer

and the new FHA guidelines, it is possible to make an

FHA (3.5% down payment) offer with no loan

contingency and a close of escrow in just a few weeks.

I was later told by the listing agent that the all-cash

offer did not initial and sign all the disclosures when

delivering their offer. Bottom line, crossing all the t’s

and dotting all the i’s can also make a difference.

My young couple with FHA financing that offered

the same price as an all-cash offer, and won!

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The Real Story: Renters can be buyers

The forth of my run of multiple offer wins should have

never happened. My wife had received a call from the

landlord of a home she was managing, saying they no

longer wanted to keep it as a rental, and wanted to sell

once the tenants’ lease was up. The tenants were very

nice people, who even invited us to their Christmas

party.

Being the one that would be listing the home on the

market, I would be the one to give the tenants the

news. I felt bad about this and when I spoke to them by

phone, I felt even worse. They informed me that their

last home was a rental and was also sold from

underneath them. I knew the rental market had

changed for the worse since then, if you were a renter.

The tenants started to look for another rental, with no

luck. They found the inventory of rentals to be very

low, and the prices exceptionally high. As the end of

their lease approached, their desperation grew.

However, my wife reminded me of the young couple we

had just helped with the FHA financing and a 3.5% down

payment. She suggested that the tenants speak to the

same loan agent that helped the young couple, and in

less than a week, they got pre-approved for an FHA

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loan. So, we started looking for homes to buy, but

under $650,000 to stay within the FHA guidelines. They

wanted their kids to go to specific schools, so our search

became limited to an area where few homes were

under $650,000. But I found one that had just come

back on the market in a neighborhood near a family

friend of theirs. The asking price was $599,000 and it

was the same size of the home they were currently

renting. A size they said was ideal for their needs.

I probed a bit with the listing agent and discovered that

the home had received three offers well over asking

price when it first came on the market. The accepted

offer fizzled out and the home came back on the

market. I told my clients about it and they did a drive-

by. Soon after seeing the home from the street, and

looking at the rest of the neighborhood, they expressed

interest and asked if I could show them the inside. So, I

set up an appointment for that same evening.

There was no lockbox and it was appointment only, so I

contacted the agent for access. She told me that one

offer was written, coming in that evening, and another

was likely on its way. I told my clients about this and

they decided to hold off, as they felt this would lead to a

rushed decision.

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Then things started to go our way. The next day I got a

call from the listing agent saying the offer they were

expecting had to hold off, for the moment. And, the

second offer didn’t submit either. We speculated that

the second offer backed off when hearing about the

first one. She then told me that if my clients wanted to

see it, I should let her know. I called my clients and they

were actually in the area driving by some others. I then

asked the agent if they could swing by and take a look

within the next 30 minutes. The home was quite a

distance from where I was at the time, plus it was

during rush hour, so I tried to make this happen even

though I couldn’t be there. In the back of my mind was

the “meet and greet” scenario.

For the sellers of the house, the situation was obviously

disappointing after losing out on their first deal, and

now having no offers after expecting two. So, it was not

surprising that the agent made sure my clients could get

into the home right away. Unlike me, she was around

the area, and both she and the sellers were there to

meet my clients and let them see the property. The

showing of the house went well, my clients really liked

it. The meeting between my clients, the agent and the

sellers also went well as the agent said that everyone hit

it off.

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We decided to make an offer right away. We knew they

originally had offers well above the asking price, one

offer in wings and other buyers still showing interest.

We knew it was just a matter of time before more offers

would come in, so we offered $1,000 above the

$599,000 they were asking, plus two weeks of free rent

back. They accepted our offer and the rest is history.

From desperate renters to new homeowners.

The Real Story: Foresight for success

The fifth of the successive multiple offer situations took

some luck. I was representing a family that needed an

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in-law set up, and there were very few properties of this

type on the market.

After a large encompassing search, we not only found a

nice home with in-law quarters, but one that was far

superior to anything we had seen. It was the only one

that every family member was excited about.

My buyers were from the east coast where multiple

offers are not as common as in California, so I met their

thought of coming in almost $100,000 below the asking

price with caution. Luckily, they listened to me and I

wrote an offer only $30,000 below the asking price. I

still tested the waters with the other agent before I

wrote the offer. I wanted to make sure we were not

paying more than we needed to, so I mentioned their

thought of offering $1,100,000 on the $1,190,000

listing. The agent was nice about it but said she did not

think it would fly. I asked if the sellers might counter us

if we offered that amount, but she replied with what I

consider the kiss of death. She said her seller was on

the emotional side, and might get angry if we started

out too low. I know how emotional sellers can be,

holding a grudge even after a buyer increases the price.

I have seen this happen, and I didn’t want an angry

seller.

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We offered $1,160,000 and gave them 24 hours to

respond. I knew it would be hard to beat a property like

this, so I didn’t want the negotiation to reach the

weekend and risk competition. It was fairly new to the

market, with its only weekend being Easter, so I knew it

was a matter of time before other buyers would take a

look.

The strategy was set but we were thrown a curve ball.

The seller’s son was celebrating a birthday and they

needed to push out the response time another 24

hours. We took a gulp and said OK. Then, the next day,

I got a call agents never want to get–a call saying that

another offer had come in.

Being the first offer in with no other offers on the table

allowed us to come in below the asking price. However,

when an offer is in, and a 2nd offer is on the way, listing

agents will often tell the agent with the 2nd offer about

the existence of the first offer. This usually results in a

higher offering price from the 2nd buyer.

Knowing this, I had a long talk with the agent and

suggested that she educate her sellers and tell them

that if the second offer knows about us, they will come

in stronger with their first offer. It doesn’t take a lot of

foresight to know this, the key is getting the listing

agent and sellers on board to give us a second chance.

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Had we come in at $1,100,000, I think we would have

had no chance, but coming in only $30,000 less would

hopefully keep us in the running.

I said to the listing agent, “If the new offer is indeed

higher than us, please include us in a multiple counter

offer at the very least.” I guessed right, and later

learned that the other offer had come in at full price.

The sellers did counter us and the other offer— $5,000

above the full price at $1,095,000. My clients were pre-

approved up to 1.2 million. I suggested that since we

can go another $5,000, per the loan broker, let’s

counter the counter offer with a higher price versus

accepting it. If you are not familiar with multiple

counter offers, more than one buyer can accept a

multiple counter offer, but it takes a second signature

by the sellers for acceptance.

My hopes were that the other agent might be on the

newer side, or had never countered a multiple counter

offer before. If the other agent also countered at 1.2

million or higher, we were sunk. We wouldn’t be able to

go any higher.

Luckily, the other agent and her clients signed their

counter offer. They had accepted the $1,095,000

counter offer and we were back on top by $5,000. The

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sellers signed our counter offer, we dodged a bullet, or

hit the curve ball so to speak, and got the home.

On a personal note, this was the first time in my 30-year

career that I had two homes in escrow, at the same

time, at the same price. The 1.2 million dollar sale with

the teacher was still in escrow when we went into

escrow on this one. That was a good month.

The Real Story: A good dealer and a bad deck

The sixth of my string of multiple offer wins was a bit of

relief at the beginning, especially with so many close

calls on the previous five. Even though my clients didn’t

offer the highest price on the townhouse, or have all-

cash, our offer was accepted amongst five others.

Normally, this would be considered an unusual victory

for my clients, and maybe it was, but it felt easier than

the other five.

Being fresh from several multiple offer wins, I used

every possible edge I could, including some I recently

learned from the prior deals. I did the meet and greet, I

did the 1.5% above asking calculation, short contingency

periods and free rent back to name a few.

What eased my job in this case was the listing agent.

She had done some transactions with some of my

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agents, and we had met before. I think we were even

friends on Facebook.

I made a point to visit her open house with my clients.

When she wasn’t there, I made sure the agent holding it

open said “hello” to her from me. He said she planned

to make it to the open house but was running late. We

had other homes to see so we left before she made it

back. After looking at the other properties, my clients

told me they liked the one listed by the agent I knew.

My clients asked what would be the next step and I said,

“Let’s go back to the open house and see if we can meet

the listing agent.” So we did and she was there as I had

hoped. I got a nice hug and I introduced her to my

clients. I told her the property was exactly what we

were looking for and that I would be in touch. She said

she would look forward to working with me if the

opportunity arises, and I said likewise.

In drafting the offer, I included all the things needed to

give us the best odds, as mentioned. As I always do, I

had asked the listing agent ahead of time what the

sellers were looking for. She informed me that a short

close of escrow and the need to rent back were among

the things they would like. So, a short close of escrow

and not only a rent back, but a free one, were both

incorporated into our offer.

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I made a point to contact the agent early on the day she

had planned to review the offers. Not knowing how

many offers would come in, I drafted one offer with the

list price, but 5 unique front pages to the offer, all with

different prices. As a strategy I often use, I wait until

the last minute to submit my offer in hopes of finding

out how many competing offers there are. If no other

offers, we will offer below the asking price. With one or

two, we will go slightly above, after that, it is the 1.5%

rule per offer to guide us.

When making my first contact with her during the day

of offers, she said she would be willing to give me a

count on how many offers if I could call prior to the 5:00

pm deadline. She said she was expecting at least four

offers, with two of them being all-cash. Once I heard

there were two all-cash offers I knew my clients, who

needed to get a loan, would be going up against offers

with no appraisal contingencies. This was a big factor as

the complex had very few sales over the past year, so

finding comparable sales would be a challenge. This,

coupled with recent increases in property values, and

the high price I expected with so many offers, would be

a challenge for most appraisers. So, I explained the

situation to my clients and how no appraisal

contingency in our offer could help. I also explained the

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risk, which was the need to bridge any shortfall in the

appraised amount with cash.

They agreed to remove the appraisal contingency, giving

it their all. The next step would be my call just before

5:00 pm to find out how many offers had actually come

in, so we could decide which offer price to submit. We

were prepared for no competing offers up to seven or

more, using the 1.5% rule for our various offer prices.

When I called the listing agent just before 5:00 pm, she

said there were indeed four other offers. She kept

talking so I didn’t interrupt. She went on to say they

were all good offers, some just over asking and some

well above. So, I told her that I actually drafted more

than one offer. I told her we had an offer that was

$30,000 over the asking price and one that was higher

than that. Once again, she started to talk so I shut up

and listened. She said one of the offers was also around

$30,000 above the asking price. I definitely had the

feeling she liked my buyers and felt confident I would

complete the escrow. I thanked her for the information

and said she would have our offer within a few minutes.

I called my clients and told them the news of the four

other offers, with one being at least $30,000 over

asking. I suggested that we go with our offer of more

than $30,000 above asking price so we wouldn’t get

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involved in a multiple counter offer bidding war. Since

there were four offers versus seven or more, I felt we

did not need to go in with our highest bid, which was

$75,000 above the asking price. So, we went with our

second highest offer amount.

The good news is that our offer was accepted. The

interesting news was that another offer came in just

minutes after us, for more money. However, that good

offer price was not matched by good terms, per the

listing agent. The terms we offered, such as free rent

back and a short close of escrow, were not a part of the

other offer. I have a feeling that the removal of

appraisal contingency helped, and the listing agent

probably said some positive things about me and my

buyers. She said she never met the other buyers or the

other agent, so that may have helped as well.

Now, where the deck was bad so to speak. When the

appraisal came in, the value came in low, by $13,000.

My clients would need to come up with $13,000

additional cash to keep the deal together. Their loan

would be $13,000 less as an offset, but a 90% loan was

the original plan, and now it would be more like an 85%

loan, and they were prepared to do it. But then it got

worse when we discovered that the development was

going into litigation. The loan company they planned to

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use would not do loans on developments in or

approaching litigation.

So, what did we do? We did what we had to—we

renegotiated. I explained how my clients were willing to

keep moving forward, but the sellers would need to

reduce the price by $13,000 and offer a credit to my

buyers in order to offset the larger down payment they

would need to get a “litigation loan”. The sellers were

buying another home, and were closing escrow soon, so

starting over with another buyer would force them into

a double mortgage. They would also have no assurance

that any of the other buyers would move forward, once

informed of the pending litigation.

Litigation is, from my experience, almost always

resolved. The hard part is that it tends to last for a year

or more, and values can be depressed during that time.

I explained this to my clients, who planned to keep the

home for a long period of time.

Getting a loan on a property that is in, or approaching

litigation, a “litigation loan” as I call it, requires a

minimum of a 20% down payment. It may also have a

higher interest rate and higher fees. In years prior, it

was very difficult to find a lender willing to loan money

when there was litigation. Even the discussion of

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litigation in the minutes of a homeowner’s board

meeting could scare off loan companies.

In the end, the buyers had to increase their down

payment, but got a $25,000 reduction on the price of

the home. The escrow was challenging, but it closed.

Summary

The six multiple offer examples show the differences in

strategy that I’ve employed in order to get offers

accepted under competitive circumstances. I wish there

was a surefire way to win every time, but with all the

variables, including the various types of properties,

listing agents, sellers, buyers and so on, it is impossible

to find a recipe that works without fail. Even the 1.5%

equation has nuances to it. The best advice I can offer is

to increase your odds any way you can, since you never

know which one, or how many of them, will be the

difference in getting an offer accepted. Of course, price

is often the most important factor, but sometimes,

giving sellers the “warm and fuzzies” about you and

your client can make a difference as well.

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Chapter 5

Your Name versus Your Firm’s

Consumers that don’t know better have a tendency to

contact the big name companies when in need.

If you ever thought about starting a financial portfolio,

you might call Merrill Lynch, Charles Schwab or another

“big name” institution. And, when you do, you might

get someone in their first month, or you might get a 10-

year veteran. Even with the veteran, there is no

guarantee they will do a good job. This is why the more

savvy folks go with a referral, if possible.

Agents can benefit greatly from a large brokerage. Real

estate customers, without and agent or a referral, often

contact the largest firm in town. When the calls and

emails come into the brokerage, they are often sent to

the agent who is on duty to handle inquiries, the “floor

agent”. Sometimes, the broker or manager will

distribute the leads instead, but either way, there are

often more opportunities to meet new clients with the

larger firms.

You, like potential real estate clients, may have picked

companies in the past based on their name or their

advertisements. It could have been a financial

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institution, an insurance company or a retail outlet. You

had a vision of what their representatives and their

product or service would be like. You placed that

company on a pedestal and when you engaged with one

of their representatives, your experience likely didn’t

meet your expectations. It often takes time for people

to figure this out, but eventually, they do.

With that said, in order to capture and maintain those

clients who have put your firm on a pedestal, you’ll

need to match or surpass their expectations. Whether it

is going above and beyond your normal protocol, or

engaging your sales manager or staff to keep your client

happy, you need to try and live up to your client’s

expectations. If you succeed in satisfying your new

client, they will ask for YOU next time they call and will

use YOUR NAME instead of your firm’s name when

referring friends.

Bottom line, you will gladly accept those new clients as

a result of your firm, but you shouldn’t be satisfied with

just that. Instead, you need to shift the focus of your

marketing to yourself. You are still a team player and

still support your brokerage, but it is important that you

lead with your name and not your brokerage’s name as

you move forward.

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Careers can outlive brokerages

Furthermore, brokerage names come and go. As

independent contractors, we need to ensure that

people remember our name. There's a decent chance

that you will work for more than one brokerage over

the course of your career, so it needs to be you that

your clients want, rather than your firm.

So, when do you transition out of dangling your

brokerage’s name as bait and into using your own name

as the hook? The first thing you’ll need to do before

making this transition is to be sure that you have the

self-confidence to pull it off. Secondly, you’ll want to

have at least a year or more of consistent production

under your belt. Thirdly, it’s useful to have a marketing

campaign that is generating leads and putting your

name in the public eye. If you find yourself on a roll,

whether it is the number of sales you are doing or the

domination of a certain neighborhood, this could be a

good time as well to make the transition.

Some agents focus on their name right from the start,

risking some early leads that were more interested in

their firm, but this strategy can work. If you are a gifted

communicator, using your firm’s name only as needed,

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you might get a head start even without the sales or

marketing to back it up.

When you start using your name as the lead in your

marketing, this begins your self-marketing campaign

that should last the rest of your career.

Newspaper quotes are a great way of

gaining name recognition and credibility.

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Chapter 6

Spring Boarding to New Business

I’m not sure if “spring boarding” is the best term or if it

should be “snowballing”. Either way, once you get

experience and confidence, new business can come

your way like never before. Being active and interacting

with as many people as possible will give you more

chances, and of course doing more transactions is the

best way to grow your future business. However, it is

wise to understand how this happens. Your experience,

confidence and sales activity can lead to more clients,

but this is just the tip of the iceberg. By playing your

cards right, your sales numbers will increase even more,

and at a faster pace.

Listings are king

Having a listing, as an example, is one of the best ways

to add more business. Why? First of all, you have a sign

out in front of the property for potential buyers to see.

When you have an open house, you have several signs

out for buyers to see. As a result, you will have more

face to face meetings with buyers when you have an

open house to host. Phone calls and emails from buyers

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also occur more frequently when you have a listing. In

addition to the sign, the Internet exposure reaches

buyers far and wide. Bottom line, listing homes for sale

may be one of the single best ways to add more clients,

in a hurry.

For me, even though I am well aware of how much extra

business can be created from listings, I know that I can

still do better. Like many veteran agents, the

excitement of holding an open house is not always

there. I am quite busy Monday through Friday, and

often look forward to some freedom on the weekends.

Sitting at an open house is not at the top of my list, but I

know if I take some initiative, I will likely pick up more

clients. Even the inquiries on my listings are often

underutilized. I will always call them back, with the

exception of solicitors, but a constant follow up is not

something I do anymore. This is one area wherein I

don't set a very good example. Early in my career, any

lead I got would be contacted on a regular basis until

they used my services or went elsewhere. Listings, as

mentioned, are one of the best springboards to new

business, but it takes some work to make that happen.

Listings can also attract potential sellers. Holding the

home open and having the sign out in front can get the

attention of neighboring homeowners. We real estate

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agents often chuckle at how many “nosy neighbors” (as

we often call them), come through our open houses. I

do the same thing as a homeowner. If something

comes on the market in my neighborhood, I'm nosy and

I check it out. However, most of the homeowners out

there are not real estate agents like me, and if they're

stopping by your open house, there's a chance they

might be selling in the future.

Be a “Go To” agent

Another springboard opportunity is getting yourself in a

situation where you are the go-to agent, or the one

looked upon for your real estate prowess. For me, I am

the residential real estate guy at our health club. More

often than not, someone is asking me a question about

the real estate market or about a property they saw for

sale. Because I am often surrounded by other members

who overhear these conversations, my credibility grows.

For me, my springboard is a health club, but it differs for

each agent. I have seen agents pull a lot of business

from their church or a group of individuals that share a

common denominator with them, such as a language or

hobby. Being respected within a network of people you

associate with is helpful. Fellow members who respect

you within the group may carry that respect over to

your line of work. As I mentioned in my first book, Real

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Estate 1A, some of my early clients came to me because

they respected my racquetball abilities at the health

club. Although I was new in real estate at the time, a

number of members asked me for real estate

assistance. Had I been a lousy player, I doubt I would've

acquired any of those members as clients.

Referral machines

Influential clients are another potential springboard

opportunity. I have had clients tell me they would refer

me loads of business, but for some reason, those are

not the clients that have sent me the most business. It's

the ones with the dynamic personalities, who are in a

position to talk to people on a regular basis, that have

been the best.

The real story: Dynamic client/referral machine

I don't remember how I got the listing, but it went well.

I sold a home for a husband and wife, and she was a

hairstylist. Shortly after the escrow closed she

introduced me to another hairstylist in her salon.

I met with this other hairstylist and within a short period

of time I found her a property. We closed the escrow

and she lived there for a little over a year before putting

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it back on the market with me. She was skilled with

interior design, so when it came time to selling, the

place looked much better than it did when she first

bought it. When it sold, she made a nice profit. Soon

thereafter, I found her another property. She told me

what she was willing to pay for it, and after I negotiated

a price for less than that amount, I was put on a

pedestal.

She then became a referral machine. All of a sudden, I

was getting phone calls and emails from her clients. She

was well respected hairstylist with a large following, and

had a very engaging personality. People listened to

what she had to say, and when she made

recommendations, people took her seriously. Even

better was the fact that these referrals were already

sold on my services, making them easy to work with,

and listening to my recommendations without question.

For years, I continued to get a steady flow of referrals

from her. She would also live in a property for only a

couple of years, fix it up, then sell it through me, making

a profit each time. This story does not have a happy

ending, however. As fast as things turned in a positive

direction at the beginning of our relationship, things

began to turn quickly in a negative direction later on. It

was probably the fourth or fifth house I was selling for

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her when a family member of hers got involved. The

family member had some real estate experience, but

from a different geographic area.

As we approached the listing date, the remodel was

complete and the house looked spectacular. The

interior design was emotionally grabbing and the home

would certainly appeal to a large number of buyers. But

something happened. When I did my market analysis,

the price I came up with was $200,000 less than what

the hairstylist had in mind. I met with her at the

property to discuss it, and to my surprise, her relative

was at the meeting. Being in my 25th year of real estate

at the time, I knew what I was doing, but I started to get

grilled with questions from her relative. I answered the

questions with ease, and while I was not 100% sure on

the answers I gave about current market statistics,

when I looked them up later, I found I was very close. I

could tell that this relative was the one driving the

higher list price. The price I recommended would bring

a nice profit to my client, but apparently that was not

enough. So, we listed it at the price my client and her

relative recommended. Once the home went on the

market, the response was wonderful about the house

itself, but poor about the price. I had a number of

agents tell me that they could sell it at a lower price,

closer to the listing amount I had recommended.

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Eventually, with a lot of effort, my client dropped the

price $100,000. Unfortunately, as I told her, this would

not be enough, but I did my best anyway. We held open

houses, printed fancy brochures, and even did a video

tour, but to no avail. The market was good, but I knew

the price was our problem.

When the listing term expired, she did not renew with

me. About a month later, she listed the home with

another agent. The price was adjusted to the amount I

had suggested from the outset. However, the damage

was done as most agents could see the number of days

it had sat on the market. This was often a red flag to

agents and buyers who attribute a high number of days

on market to a home with issues. When the home

finally sold, it was $100,000 less than the amount I

could've gotten when I first listed it.

Without saying, I have not received any more referrals

from her. Maybe the saying, blood is thicker than

water, applies here. If it wasn't for her know-it-all

relative, I think my referral machine would still be in

operation, and my client would be $100,000 richer.

With real estate, sometimes it is luck and sometimes it

is the skill involved that makes a difference. In this case,

my skill in doing a good job landed me the referral

machine. It might have been luck that I got the dynamic

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hairstylist, and skill that got things rolling. Maybe I

lacked the skill to overcome the know-it-all relative,

maybe another agent could have overcome that hurdle,

but I consider that bad luck. Good things happen in real

estate as well as the bad. Some things will be out of

your control. This is one reason to stay active and keep

prospecting. The more you prospect, the more

springboard opportunities will arise.

Referrals and past clients

In recent years, nearly half of agent business came from

referrals and past clients. One of the best springboards

to future business is to focus on past clients and those

that may refer business to you. Staying in touch with

your database of clients on a regular basis is critical.

Establishing relationships with past clients is something

many agents claim as an important factor as well.

However, there are other ways to develop new business

from past clients. For example, I once represented a

man on the sale of his townhouse. He was happy with

my services and by luck, his wife worked in the human

resources department of a large corporation. She was

in control of connecting new employees to real estate

agents who could help them buy or lease real estate in

the local area. For the next several years, I received an

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ongoing number of referrals from her, until she moved

to a different department. Obviously, the more

transactions you do, the more chances you will get at an

opportunity like this.

Another example of increasing business from past

clients can occur right after you sell their home. This is

a time when they are often excited and hopefully

thrilled with your service. I have taken photos of my

clients in front of my real estate sign, with the “sold”

rider on it, and have asked for testimonials as well. I

check with them first of course, but I have a large

number of client photos and testimonials from over the

years.

One time, a seller that had just sold his home through

me, approached a neighbor that was going to sell in the

near future. He told the neighbor about the great job I

did for him, and the following year, I sold the neighbors

as well.

Again, the biggest springboard to new business is often

from your past clients, unless you don’t do a good job

for them. Be consistent in communicating with them,

staying in touch during the year. Establishing a solid

bond or relationship with your clients, as many agents

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advise, can lead to even better results. You want your

name to come up when your past clients talk with

others about real estate. People talk about real estate

all the time, and by consistently communicating with

your past clients, the odds of being mentioned will

increase.

Getting the most out of your for sale sign

Once your sign goes up, your name rider (the separate

piece of plastic that hangs below the sign) can be

added. I often attach my name rider with plastic zip

lines below the sign versus “S” hooks. I do the same

thing when adding a “Sale Pending” rider. Placing riders

on top of the sign post in the groove (if one exists) is

risky. Wind and mischievous individuals can easily

displace it. Eventually, a sold rider can be added too,

giving you some credibility with neighboring

homeowners.

One point to mention about sale pending riders and

sold riders, aside from the credibility they can add, is

the potential reduction in buyer inquiries. Getting

phone calls from potential buyers, even after an offer

has been accepted, can help you and your seller.

Potential buyers are less likely to call the number on the

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sign when a sale pending or sold rider is attached.

These potential leads, or potential “backup” buyers, are

more likely to call when the property appears to be

available.

The Real Story: One that got away

Years ago, I represented a couple on the purchase of a

their first home. The transaction went smoothly and

they were very happy. This was toward the beginning

of my career, when my follow up with past clients

wasn’t the best. They made good money and it was

obvious they would eventually buy a larger home.

Years later, I ran into them at a local art and wine

festival. We greeted each other with smiles and

handshakes and had a nice conversation. Just as we

parted ways, the husband said to me, “shoot, I

should've used you when we sold our house and bought

the big one we have now.” Of course I was

disappointed to hear this, but I didn’t show my

disappointment, even though it tore me up on the

inside. I know how people are when it comes to buying

and selling real estate. There’s a chance he could have

stumbled across an open house or an ad on a home he

liked, spoke to the listing agent, and next thing you

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know, the listing agent represents him on the purchase

of the new home and the sale of the old one. This was a

good lesson though, and I learned from it. Had I just

sent a yearly Christmas card, he may have thought twice

before engaging with another agent.

Loans and property management

During a growth phase of our company I started a loan

division. My thought was to offer loans to existing

clients, and eventually others. Aside from generating

additional income from existing clients, the hope was to

gain new clients who would use our real estate services

as well.

Giving agents an option to do both real estate sales and

loans became popular. It actually increased the number

of company agents. Low interest rates fueled the fire

and I too decided to get into the act. I executed a loan

for one woman who was looking to refinance her home,

but boy was I in for a surprise.

Years prior, I remember telling a friend, just before he

opened a bagel shop, “Stick with what you're good at.”

He was a hard worker, but from the auto industry. This

was something he always dreamed about, having his

own little business, but he didn't have the experience as

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a business owner. Unfortunately, the bagel shop went

out of business after a short time.

I should have listened to my own preaching. Real estate

loans are a big part of real estate sales, and I was

familiar with parts of the process, but I didn’t have the

experience for immediate success. I would have needed

to do it full time, jeopardizing my real estate business,

to have any chance of making it worthwhile.

On the one loan I did execute, the good news was that I

completed it. The bad news was that it tied me down

for so many weeks that I couldn't do much of anything

else. And, after all that work, the commission I earned

was just a fraction of what I earned on a real estate sale.

This was a good learning experience though, as loans

were not for me.

I continued to keep the loan arm of our company for

several years, until it got a bit out of control. This was

the time just before the loan industry took a downward

spiral around 2007. I started to question some of our

loan officers and what they were charging clients. The

loan fees were not as standardized as real estate

commissions, and I think some of my loan brokers took

advantage of that. Managing real estate agents on real

estate sales was something I knew about, but managing

loan agents was a whole different story. Real estate

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sales increased as I had hoped, but this was the result of

some package deals a couple of agents offered. They

were a one stop shop for both real estate

representation and financing, and they spoke fluent

Spanish, creating a niche.

Eventually, I shut down the loan division. I missed the

extra income but I didn’t miss the headaches and the

potential liability.

So, out of this decision is where our property

management division was born. With a void left from

the removal of the loan division, both agents and staff

started to find time to manage properties. The real

estate sales market was in the midst of a slow time and

sales were hard to come by. Although the pay was low,

property management fees were consistent. Each

month or each quarter, agents were paid a nominal fee

for their services.

It started as an informal “side business” that I allowed

our agents to participate in. Other real estate

companies were not as keen on letting agents handle

property management, so some agents joined our firm

as a result. Soon thereafter, I started to realize that our

property management division could be a complement

to the real estate sales side of the company, something I

had hoped for with the loan company.

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Most of the agents who participated in property

management were not top producers. They closed a

few real estate sales here and there while having some

property management accounts. As I started to oversee

more agents with property management accounts, I

started to make some observations. These agents were

not turning any of their renters into buyers, and were

not getting the listings when their landlords decided to

sell. I didn’t understand this. Great leads were right in

front of them, but the landlords were using other

agents to sell. So, I thought to myself, “Would I hire a

property manager to sell my rental property?” “No, I

would use someone that specializes in selling real

estate, not someone that specializes in property

management.”

I put some more thought into it and looked around to

see if any top producers were also managing properties.

The answer was no, and probably for good reason. The

real estate sales were these agents’ bread and butter,

and they didn’t want to jeopardize their time on

something else. However, with the sales side of the

market rather slow back then, there was more idle time

for top producers, including for myself. I was still

among the most active agents in the area, but my sales

numbers were down in comparison to normal markets.

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So, I went ahead and rolled the dice and formally

started a property management division. My wife, who

was licensed and excellent at the paperwork side of the

business, was going to manage the new division. We

owned rental properties over the years and had some

personal experience, not to mention the recent

overseeing of some “property management agents”.

My thinking was, if we could grow the number of

property management accounts, leads would be placed

in front of us and my most experienced real estate sales

people. Also, our property management division would

be a selling point to our clients looking to purchase

investment properties. They could stick with one agent

to buy the property and manage it. We could assist

them in finding the best rental property, which was

often different from something they would live in. It

was the income potential and not the bedroom count or

school district, as examples, of what we focused on.

Furthermore, it crossed my mind that some of these

investor clients might eventually sell their investment

properties, buy more of them, or refer other investors.

Fast forward, it has now been over five years since I

rolled the dice on the new division. My wife now

manages nearly 30 properties, and, I learned early on

about the additional income from leasing fees when

renters leave and new ones are found. I studied the fee

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structures of other property management companies

and decided to offer our services for a little less. And, I

let people know we were licensed real estate agents

and brokers, something a lot of property managers are

not.

I have learned that there are pluses and minuses in the

property management field, like I discovered with loans.

First, the pluses. We earned approximately $50,000 last

year, just from those property management accounts

alone. This was from the monthly or quarterly fees we

charged, and one half month’s rent each time we

needed to re-rent a property.

Another plus is the number of real estate sales it is

adding to our repertoire. Not only are some of our

landlords starting to use our services to sell their

properties, some have decided to buy more income

properties and use our services for that. The idea has

worked, and to this day, there are still very few top

producing real estate agents that do property

management, or get property management leads. Our

competition from entities that offer both property

management, and experienced real estate agents, is still

quite low.

Recently, with the new ease in getting FHA loans, we've

been able to turn tenants from our managed properties

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into buyers. Needing only 3.5% down payment, several

of our renter clients can qualify to buy homes.

Another thing that has added to our success rate, and

provides an advantage for our clients, is our work ethic.

With years of experience doing real estate sales, and

the professionalism that's needed to satisfy those

clients, especially in hopes they will come back again,

the service we provide is top-notch.

Now, the negatives. Because of our “top-notch”

service, and the fact that we treat our landlords and

tenants like our real estate clients, we sometimes spend

too much time and energy on property management.

The biggest drain of our time isn’t in the collecting of

rents or doing quarterly statements—it’s dealing with

the repairs, leading to discussions with unhappy

tenants. And, landlords that want bids before

consenting to the work. For smaller repairs, bids are

not needed, but if tenants work during the day, we

must meet the repairman, and wait until the work is

done.

Dealing with repairmen is no picnic either. The

scheduling of repairs and getting them to show up on

time can be a challenge. Getting the problem fixed is no

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sure thing either. Sometimes it seems like we are doing

“project management” versus property management.

At the beginning of each month, when the rent checks

are paid, we always seem to get a list of fix it's from the

tenants. This often leads to more phone calls, more

emails and longer hours until matters are settled. If we

also have multiple real estate sales going at the same

time, it can be stressful. Luckily, there are two of us.

In our 4th year with the property management division,

and as a result of the increased workload it was

creating, I started to do some research on large

property management companies. I wanted to find

some ways to streamline the operation.

After some probing, I seized an opportunity to sit down

with the owner of the top property management

company in the area. His firm was managing over 900

properties at the time. He was willing to fill me in on his

successes, as well as the pitfalls. It was great, he had

nothing to hide, so I also told him about our 30

accounts, our desire to streamline things and possibly

hire an assistant. I explained how our property

management division was profitable, but an assistant

would cost too much, cutting the profits by more than

half. He agreed, saying he had been there before. He

said at least 100 accounts are needed before an

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assistant makes sense. I did the math with 100

accounts, and he was right. Even at a low average of

$100 per account, that’s $10,000 per month. Paying an

assistant $2,000 to $3,000 a month would leave a

sizable profit margin. With 30 accounts or less, this

equates to around $3,000 per month, and not enough

to justify an assistant. However, this does not include

the lease commissions we earn, or the sales that are

generated. This additional income does not occur every

month, but it does happen periodically.

My conclusion after our discussion was that I had two

choices if I wanted to grow our property management

division. The first was to stay with the status quo and

continue to work hard, acquiring more accounts without

an assistant. Or, the second option, hire an assistant

anyway, depleting nearly all the monthly management

fees in hopes of reaching the goal of 100 accounts

sooner. Of course, we would need to train an assistant,

and no guarantee it would pay off.

So, with the time commitment and the problems that

can pop up, it may seem obvious to many that property

management isn’t worthwhile, and they may be right. It

is definitely not for everyone. Most agents shy away

from it, and many brokerages don’t allow it as

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mentioned earlier. With that said, this is one of the

reasons I chose to pursue it.

If you ever saw the movie Forrest Gump, you might

recall a part in the movie where Forrest (Tom Hanks)

tries his luck at catching shrimp…for a living. It is

difficult at first, but then a storm hits and all the other

shrimp boats are damaged, except for his.

With no competition, things change and catching

shrimp becomes easy. So easy, that he buys more boats

to handle the supply of shrimp. This eventually leads to

the creation of a huge company and incredible wealth

for Forrest.

The point here is the lack of competition. Sure, there

are property management companies out there.

However, very few are positioned to buy more

properties for their landlords, sell properties for their

landlords, or represent tenants when they want to buy.

Case in point – After our year of hitting around $50,000

from our 30 management accounts, our income

doubled the following year. One landlord bought

another property, one tenant bought a property and

one landlord sold a property - each using our services.

We also increased the monthly management fees, and

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when the year was done, those 30 accounts added over

$100,000 in revenues.

Bottom line, property management has definitely been

a complement to the sales side of our business. That

said, I believe it is essential to have experienced real

estate professionals available to take the leads, or the

upside won’t be there..

Furthermore, being a good property manager requires

work. And, it requires being organized. We are used to

working seven days a week when doing real estate, but

it is easy to do the same when working with tenants and

landlords. To a degree, this has been a mistake, since

tenants and landlords will now contact us, day or night,

seven days a week. Most property managers are

available only four or five days a week. They have

online programs where tenants can submit a repair

request, something we’ve looked into, but haven’t

made the transition.

Appfolio and Buildium are two of the online companies

that help property managers with their day-to-day

operations, client statements, etc. Admittedly, I am

sure we can do better as far as streamlining the way we

do property management. We've been in real estate for

30 years, so we are experienced when it comes to real

estate sales. In contrast, our property management

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division is only five years old, so we are still learning. If

we embrace the online programs available to property

managers, we should improve quickly. Imagine what it

would be like to sell real estate without using a PC or

IPhone?

I am fortunate to be part of a real estate team though,

as my wife oversees the property management. And,

our company allows property management in addition

to real estate sales. Not all agents have the luxury of a

partnering agent, or a firm that allows property

management, but there are other ways.

Not long ago, an agent approached me at an open

house and asked me about our property management

division. I told her how we did it, along with the pluses

and minuses. She worked for a company that did not

allow property management, but I could tell she was

intrigued and saw the possibilities that come with this

kind of integration model.

She then told me that an agent in her office was doing a

similar thing. He worked as a real estate agent, but his

wife, who was not licensed as a real estate agent, did

property management. The agent elaborated, telling me

that the agent and his wife not only earned some

decent side income, but that they also obtained leads

on renters looking to buy, and landlords looking to buy

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or sell. This was the first time I heard of another agent

doing what we were doing, and I was pleased to hear

this.

A few years back, a property management company

popped up that made arrangements with real estate

agents. Agents would refer landlords to the property

management company, and the property management

company would refer tenants looking to buy and

landlords looking to buy or sell, to the real estate

agents. I don't know if this company still exists, but I am

sure there are property management companies that

would be willing to do some sort of reciprocal referral

program.

Final note on property management

One thing about property management, that surprises

me, is something I discovered when applying for a loan.

I was looking to buy a building for our real estate

company and was applying at a bank that facilitates

loans for businesses. What amazed me was how much

emphasis the bank put on our property management

accounts, even though the bulk of our income came

from real estate sales. Our sales had a longer track

record of consistency, but despite this, it was the

property management accounts they considered as the

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certain income. With that said, property management

accounts have value.

I have asked other property managers about this, and

they confirmed my discovery. I also found that a

number of property management firms had actually

been bought or sold during their history. I’ve been

offered money for our property management accounts,

and now I know why.

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Property management, past clients and being the “Go To”

agent can all result in more real estate sales, but one of the best springboards to more sales is always....LISTINGS!

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Chapter 7

Self-Marketing

You are your own business. You are not an employee of

a large company, chipping in to help the cause, getting a

steady paycheck even if it’s a bad month.

Sure, you may work in a large brokerage firm, but you’re

likely an independent contractor that needs to fend for

yourself to get paid. Your firm may help with your

marketing efforts, but maybe not. An active firm may

generate leads, but you can’t count on that, so a self-

marketing plan is vital to have. One exception might be

for agents that are part of a team, but in general, it is

wise to have consistent marketing exposure where your

name, face, or both can reach potential new clients.

Also, when meeting a potential client for the first time,

it can help with credibility if they have seen your name

or your photo prior to the meeting.

Self-marketing points to remember

1) You must commit to do your self-marketing plan

over a long period of time. Plan for your self-marketing

strategy to take at least a year to get off the ground,

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and know that it may take several years before you

notice a response.

2) The message you convey must be truthful and

accurate about yourself, especially if you plan to use

more than just a photo or a logo. As far as a photo

goes, agents often use a photo from a long time ago.

There are positives and negatives that can come with

this decision. Hopefully you look somewhat the same as

the photo you use for your marketing. The last thing

you want is for someone to be looking for the person in

the photo, and you’re not it.

For some potential clients, this can be a hit against your

credibility. However, staying consistent with the same

photo over a long period of time can also be effective.

The photo is very much like your logo. So, try not to age

too much ;)

3) Stick to the same graphics, photos and message. Be

consistent with your media throughout your marketing

campaign. Instead of trying different approaches over

the short-term to see if you get a response, take your

time by putting some thought into the campaign. If you

have some assistance with your campaign, great, but if

not and you're not confident in creating a successful

marketing campaign, then keep it simple. Just a photo

and your contact information may suffice in most cases.

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Again, it’s the consistency of the campaign that often

makes the difference.

4) The number of different touches (places your ad is

seen) is important. Reaching potential new clients in

the newspaper’s real estate section, as an example, is

one way to go. However, it is best that potential clients

see your image in other places as well. Shopping cart

advertisements, open house signs, real estate for sale

signs, direct mail pieces, community events, volunteer

functions, school and children's functions are just a few

additional examples. The more places you are seen, the

more credibility you will have. Imagine hearing about a

company on the radio, then seeing a billboard for that

company, then getting a mailer, then seeing them again

on TV. You would probably remember that company.

Of course, this strategy takes money, but think of it as

an investment in your business.

5) Be easy to contact. You need to make sure your

contact information is easy to find. Phone numbers that

are easy to remember are helpful, as well as shorter

email addresses if you can get one.

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Get on the social media train

Facebook, Yelp, Twitter, Instagram, Pinterest, Zillow,

Trulia, Google and others can all help with your

marketing campaign. The average age of real estate

agents is the mid 50’s, so it can be hard for some of us

to embrace the new age of online marketing, but we

need to adapt.

When I first started in the business, new listings were

posted once every two weeks in a real estate book.

Eventually, real estate firms could log on to the MLS,

and we could find new listings once they were inputted

into the system, but no pictures. Today, we have virtual

tours, video tours and music to enhance the experience.

Who knows what the MLS will be like over the next ten

years.

How do I market myself today? With some of the old

advertising methods such as newspaper ads, sign riders

and direct mail. Classified ads and yellow pages are a

thing of the past now. I no longer do shopping cart ads,

but have increased the number of real estate related

blogs and real estate related material that can be

posted on the Internet. This is done in hopes of ranking

as high as possible and as often as possible on the

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Internet search engines, while educating others at the

same time.

Cityscoop.us is a blogging site I have used. I noticed an

increase in inquires from the Internet when I posted

blogs with them. A website helps too, and making sure

its meta tags are properly set up can connect more

people to your profession along with the area you

service.

For a while, I received quite a few Internet inquires from

Yelp, an online business review site. I had several

reviews from clients, all giving me the maximum

number of stars. Then, our office got a call from

someone who wanted a special rate for property

management services, a rate we offered our first year as

an introductory program. The rate had been gone for a

long time, and was no longer listed on our website, but

the caller persisted. Finally, the staff member that

answered the call emailed the caller the page from our

website that listed our rates.

About a month later, the caller posted a negative

comment about us on Yelp, and gave us the minimum

number of stars, even though we never met and the

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reviewer never tried our services. After that, we did not

get any more Yelp calls.

I also had some success with Google AdWords. This is a

program where I paid Google anywhere from a few

cents to a few dollars, every time someone would click

onto my website, as a result of specific descriptions of

my choosing. Danville real estate agents and San

Ramon homes for sale were examples of what I used. I

could put a cap on the amount I paid each month as

well as other restrictions in order to avoid a whopping

bill at month’s end.

After a while, the $300 to $400 monthly deductions to

my credit card became a bit uncomfortable when the

inquiries stopped. Like other online marketing

programs, other agents sign up and choose the same or

similar descriptions. In the case of Google AdWords,

the price per click increases based on the demand, so

the cost goes up for the descriptions that bring the most

activity. As a result, it didn’t take long before my

monthly costs increased.

Zillow and Trulia, separate Internet companies for many

years, merged in 2015. Both post the homes currently

listed for sale, along with valuations on all properties,

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maps and other information. I have engaged with both,

inputting profiles of my experience, area of focus and

testimonials. I tried Trulia’s zip code program, where

buyers and sellers see postings of agents next to the

homes they find through the search program. I received

numbers calls and emails through Trulia, converting two

into sizable sales during the first six months of the

program. Both sales were from buyers who saw a home

of interest, contacting me for access. The homes I

showed both buyers did not work out for them, but I

established rapport with both and found other homes

of their liking instead. I paid a separate fee for seller

leads, but nothing came of that. Like the buyer leads,

Trulia’s site can be a bit misleading as the buyers in

some cases, thought I was the listing agent of the

property they called about. The seller leads came to me

when sellers were looking for some sort of detailed

valuation of their home. The sellers that I contacted

had no intentions of selling, and seemed a bit surprised I

called. I quickly dropped the seller program I had signed

up for, not wanting to do any more calls or emails to

unsuspecting home sellers. However, the buyer leads

were fruitful for a while, before the inquiries dropped

off.

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The Real Story: Tech savvy for profits

Although this does not apply to profits from marketing,

it is an example of embracing new communication

technology to one’s advantage.

It was the late 1980’s, and I had just invested in a Texas

Instruments keyboard that could log on to the MLS

system, giving me early access to new listings so I didn’t

have to wait for the next edition of the MLS book.

I was still in the real estate investment mode, keeping

an eye out for good deals that I could buy, fix up and

resell at a profit. The market was hot, so nice places

would sell fast and for good money.

On one particular evening, I was searching an out of

area MLS, knowing that they sometimes listed

properties in my local area before listing on my local

area’s MLS. Sure enough, a small condo came on the

market in a complex I knew. The sellers in that complex

were seeing multiple offers for above the asking price.

That last one that sold came on at $135,000 and sold for

$170,000. So, I contacted the agent right always and

said I would like to submit an offer – for myself. I told

her I was willing to pay her the full price she was asking,

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$135,000. She contacted the seller and within 24 hours

I was in escrow at that price. She had not listed it on

the MLS closest to that property because there was still

a bit of red tape to go through to do that. She could

easily list it on her local board’s MLS (San Jose), but to

list properties on the Mountain View MLS, only 10 miles

away, it wasn’t as easy.

Long story short, I did a couple of small improvements

(less than $1,000), put it back on the market a month

later and sold it for $169,000, making a profit of over

$25,000 in one month.

The Real Story: “Direct” self-marketing

One of the first agents that worked for my brokerage

found an angle by searching for homes that were

offered by owner on Yahoo. I discussed this in my first

book, Real Estate 1A, and it’s another example of

embracing technology to your advantage as an agent, so

it bears repeating here.

It was the late 1990’s, and the Internet was just starting

to take off. He found a way to connect with sellers

before they listed with other brokers, utilizing Yahoo’s

free service on the Internet. He gave them the option

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of still selling on their own, but if they let him list the

home on the MLS, he would represent them if an offer

came that way, and get a commission. Of course, the

MLS created way more qualified buyers than Yahoo and

eventually my agent became so polished that he could

rattle off all the liability pitfalls of selling for sale by

owner, as well as all the advantages of using an agent.

He marketed his unique service and himself to each

seller he found on Yahoo. This was his best way of

getting business, by far.

Eventually, other agents started to solicit those “online

FSBO’s” as well, and the sellers started to get

disenchanted with the solicitations from agents, so this

lead source eventually dried up. However, the

transactions he did as a result of those online FSBO’s

padded his database, leading to future business for

years to come. The volume of business he did, gave him

experience and confidence, spring boarding his learning

curve to new heights.

With today’s social media and what is likely to happen

in the future, being aware of the advances that

technology can bring will likely pay off. Don’t stick your

head in the sand, only doing what has worked in the

past. At the very minimum, have a website so current

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and potential clients can access your information, even

if it’s your brokerage’s. Your own website is better

though.

You need to be found on a Google search if possible.

Better yet, write some blogs, make sure your listings are

posted on the Internet and you will start appearing in

searches. LinkedIn is free, so you can set up a profile

there. Yelp also has a free page you can set up, as does

Facebook and other sites that enable you to create a

profile. Trulia and Zillow, as mentioned, are real estate

sites, both having free and paid advertising

opportunities. Like Realtor.com, there will be a lot of

competing agents on those sites.

Once you reach a level in the industry where you feel

you have some strong marketing points to make about

yourself or you have a steady stream of listings, you

should add this information to your online sites. It

could be the number of homes you’ve sold or it could

be your president’s club award, or some testimonials

from past clients. Lastly, monitor the sites periodically

to make sure your information is up to date, and,

monitor the activity and costs. Several of the paid sites

will bill your credit card, so be careful of going too long

with a site that no longer generates leads.

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What impresses potential clients can vary. You have

probably seen the agents that post their accolades, their

number of sales or their supposed #1 ranking. Does this

actually impress potential clients? It will impress some,

of course, but some agents, may snicker at that type of

advertising. There’s a fine line between impressing

potential new clients through advertising and offending

agents you need to work with on common transactions.

Whatever you decide, the key factor to remember is

that most successful advertising campaigns reach the

general public through various forms of media. Online

sites are now important, but the offline places are

important as well. Furthermore, connecting with

potential clients face-to-face often brings the best

results. The phone calls and emails that come by way of

online and offline marketing can be looked upon as the

first step in a two step process. Ultimately, you want

that second step where a face-to-face meeting takes

place and where communication and rapport is

established.

Self-Marketing can accomplish the instant calls and

emails, as well as your branding as a real estate agent.

Branding and credibility go hand in hand, but this takes

time to develop and often comes from a multitude of

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sources. The business you get from branding yourself

and from establishing credibility may not be as

instantaneous, but is equally important.

I recall one year where I had my photo and information

on shopping carts at a local grocery store. I also had a

huge sign on a busy road where I was selling a large

piece of land, and I got my name in the newspaper

when a reporter called me about the real estate market.

Soon after, people I had never met started to say they

had seen me somewhere or heard my name. The array

of spots where my image and name could be found had

added credibility.

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Shopping cart ad.

One of many things I did under my self-marketing campaign.

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Chapter 8

Maturity and Humility

Milestones and accolades

Reaching milestones and receiving accolades, such as

real estate awards, do not guarantee wisdom or future

success. In fact, the opposite can be true. Agents can

let these things go to their heads, sometimes becoming

egomaniacs or arrogant asses. Some agents can

disguise their arrogance as confidence, something

clients might like, but other agents and clients may be

turned off. Verbal boasting about the number of sales

you have executed or the awards you have received will

expose insecurity to the more sophisticated listeners.

Milestones and accolades usually come as a result of

success and experience, ultimately leading to increased

confidence. And good agents are often experienced

and confident. The key is separating confidence with a

swelled head.

Once you start doing some transactions, it’s easy to get

caught up in your success. Veteran agents will often

keep calm after large transactions or active months.

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Think of your real estate career as a marathon, not a

sprint. There will be times of high activity and times of

low activity.

Prepare for taxes

Another thing to remember when having good years is

to be prepared for taxes. Don't spend too much of your

commission money right away. You might be in for a

big surprise from Uncle Sam. Increased earnings often

lead to increased spending. You may have heard of

movie stars and professional athletes who ended up

owing a lot of money to the IRS, some going bankrupt.

It happens to agents too, so be careful.

New goals

Now that you are consistently doing more transactions

than you did as a rookie agent, you need to change your

goals. You need to reach a bit farther now. It is more

than just the number of transactions you do each year

that’s important, it’s the improvements to your business

as a real estate agent. Whether it is a real estate

degree, your broker’s license, or joining a better real

estate organization, taking a step up is important. Stay

active with your prospecting and set higher transaction

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goals, but learn new things, especially with our changing

industry and technology.

Your vehicle

Another thought to consider is a step up with your

vehicle, even if it means buying a newer model. Clients

sometimes judge agents by their car, and you might

notice how many agents drive a Mercedes, BMW, or

other expensive vehicle. Even agents that don’t sell

much real estate will sometimes drive a fancy car to

look the part. At the very least, consider a new car with

a hands free phone feature and a navigation system. A

car that you can work from is great, and one you can

depend on is even better.

Personal upgrades and psyche

Upgrading your wardrobe, your watch, or acquiring

something for your business as an agent is like investing

in yourself. I remember my first Rolex watch. The

agent in the cubicle next to me had one and convinced

me to get one too. So, I bought a used one (I sold it a

few years later for more than I paid–what a deal!).

After selling my used one, I bought a new, upgraded

model.

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After I got the watch, I was surprised by two things.

One, how some people were impressed with it, and

two, how it actually gave me additional confidence. Of

course, a watch will not give everyone confidence like it

did for me. Some might get more confidence from

additions to their wardrobe, but no matter what it is,

confidence and a positive demeanor can definitely help

when connecting with potential clients and others in

our field.

Maturity is different for everyone. As explained in the

last chapter, don't get arrogant from a big month or a

big year. You can look foolish in the eyes of veteran

agents when getting caught up in your success over a

short period of time. Don't let it get to your head.

Being in control of your business, doing it with

consistency and staying humble is the key.

On the flip side, when you have no escrows, this isn’t

the time to goof off, play golf, or take long vacations.

This is when you can prospect even more, or think

outside-of-the-box about where you can find more

clients. Open houses can often result in immediate

results. Ask other agents if you can hold an open house

at one of their listings.

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Last but not least, the power of the understatement is

enormous. I love this saying. Being one who liked to

talk about my accolades when I was younger, I struggled

at times to keep quiet about my successes. When

others talk about your successes, it has much more

impact than when it comes from you. When I hear

others talk about themselves, I immediately think they

are probably not as successful as they claim, but that's

often my own personal impression. The highest

producing agents I have known seemed to talk the least

about their awards and accolades.

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Not the most humble type of watch, but better to wear your success than to talk about it.

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Chapter 9

Smart Spending

The Real Story – Stupid spending

I was 23 years old, just a year out of college, and my

small business was really starting to pay off. I had great

cash flow and the money was burning a hole in my

pocket. I needed to buy something big as a reward to

myself. So, I bought a brand new sports car– red of

course. In addition to the large down payment, I had a

huge monthly obligation to the finance company and

typical repair costs that go with owning a sports car. I

could have put the money back into my business,

expanding and improving it, or using it as a down

payment on a house, but I was young and naive.

Eventually, I sold the car, selling it for thousands less

than I had paid only a year and a half earlier. A good

part of my cash flow went towards the monthly car

payments and repair costs, and when I finally unloaded

the car, I had no money in the bank. Furthermore, I had

done nothing to improve my small business operation,

as it was doing no better than it was a year and a half

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earlier. Live and learn, the car was fun but was a

financial disaster.

Automobiles can be a terrible investment. However, as

a real estate agent, it is common to drive a fancy car. As

previously mentioned, agents are often judged by the

car they drive, and it’s better to show properties in a

newer, fancier sedan than in an old beater.

Some agents lease instead of buy. There can be tax

advantages, and every few years you can lease a new

one. Whether it is leasing or buying, getting a super

expensive car beyond your means can be a financial

drain. As an agent, siding towards a nicer car can be OK,

but you need to be sensible about it.

Another important, but potentially costly decision is

with the advertising budget. Remember, nearly 50% of

agent business comes from past clients and referrals.

Advertising is not the other half, it is a small fraction,

although it should be done. The most expensive ad I

ever ran got me no leads. It was a full-page magazine

spread that may have garnered some name recognition,

but it didn’t land me any calls. On the other hand, a

clever little two-line ad I placed in the newspaper

classified section was one of the cheapest, yet most

successful ads I ever ran. I got more calls, more clients

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and ultimately more sales than several other ad

campaigns combined.

Advertising, as part of a self-marketing strategy (as

discussed earlier in this book) should be done on a

consistent basis, but it should be done within your

means. You have a lot of costs as an agent, so you need

to have a budget.

The Real Story – Advertising not in the budget

Big time and one-time expensive ads are things to avoid.

I remember getting a solicitation from a company who

was using a well-known actor to pitch different types of

companies. For a large fee, I could run an

advertisement on television with the actor who would

say good things about us. I decided to go for it.

Despite the popularity of the actor, we didn't get a

single inquiry. I got caught up in the whole celebrity

endorsement thing and being mentioned on television.

With the price of the television ad, I could have farmed

a neighborhood for a year.

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Spending summary

As mentioned previously in this book, it’s important to

watch where you spend your commissions. You need to

budget for taxes as a start. However, putting money

into self-marketing, real estate education and things

that strengthen your business should be considered.

Furthermore, these expenses are often tax deductable.

Agents love to see their picture in the newspaper and in

magazines. And, advertisers know this. You are just

one of thousands of real estate agents. Be careful on

the time and money you spend on advertising, as it can

be expensive. Getting your name out there is

important, but be smart about it and don’t overdo it.

An expensive TV ad that did nothing.

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Chapter 10

Your Brokerage: Stay or Go?

Is the grass greener at another brokerage? Or should I

say, is the cash greener?

Are you happy at your brokerage? Do you like the

people you currently work with? Or, have you been

solicited by another brokerage and the idea of making a

move intrigues you?

Agents are “free agents,” just like professional athletes

are when their contracts expire. Like the athletes that

jump to other teams, agents switch to new brokerages

all the time. It may be the new brokerage in town with

the fancy ads, or it may be the manager you met on a

broker tour that made you feel special.

As a seasoned agent, it's you now, not so much your

brokerage. You are like a veteran athlete in their prime,

and even better if you’ve put up some good numbers.

Pluses and minuses to consider

With a larger or fancier brokerage often comes more

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expenses. Commission splits may not be as desirable

either. However, there may be more activity and more

potential leads at this type of brokerage. With a smaller

brokerage, you may get more desk space, your own

private office and a higher commission split. You may

also end up working from home, and be a bit removed

from the activity of a busy real estate office.

You may ask yourself, would you rather be a big fish in a

small pond or a small fish in a big pond? Some agents

benefit by sticking to a smaller brokerage, while others

like the camaraderie of a large brokerage. The odds of

growth are more likely to happen at a larger brokerage.

Being a big fish in a big pond gives you the best odds of

making it to a much higher level – a top producer

among all local firms.

Careful thought and some research may be wise before

making a move. As a seasoned agent, joining a new firm

is almost like a merger between a small firm and a

larger one. You, as the smaller firm, get gobbled up by a

larger one.

I’ve been told that when there’s a merger between two

companies, the excitement of the merger is often the

high point. After the merger takes place, it’s downhill

after that. When joining another brokerage, it’s

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common for expectations to be high….and it’s also

common that these expectations are hard to meet.

There are times when it's necessary to move. It could

be a new sales manager you don’t like, a new brokerage

location that doesn’t suit you, or an influx of agents,

coming or going, that hurts your production.

The Real Story – Moving to other brokerages

I have had agents that worked for me then switched to

different brokerages, some staying with those other

firms and some coming back. I have remained close to

nearly all of them, and have found that larger

brokerages offer a great deal of advantages.

I am grateful for my early years working for one of

California’s largest brokerages. The knowledge I learned

from that experience helps me to understand my agents

when they consider larger franchises.

That said, my first brokerage was small. I had my own

office but learned only from my own transactions. I had

a lot of one-on-one time with my manager as a benefit,

but my growth would have been limited had I stayed.

As our company’s broker of record, I have had as many

as sixty agents working under my license. With that

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many agents, there was a lot of activity, but I wasn’t

always available to give one-on-one time to everyone.

Eventually I scaled down to less than 30 agents.

Some of the agents that started with my firm never had

the chance I had to work to work in a large office of

agents. So, I understood and was not upset when some

of them went elsewhere – it’s all part of the business.

By staying in touch with them, I was able to learn about

the positives and negatives of other brokerages. For

example, one of my dear friends who joined my

company as a new agent, staying for many years,

decided to join an up-and-coming brokerage closer to

where she lived. In less than a year, she left that

brokerage. I asked her why she left so soon and said

she was being charged an expensive desk fee, and when

selling properties, her commission split was very low.

She made more money when she was at our firm.

The big marketing campaign by that brokerage caught

her eye. She was in need of an office closer to her

home, some fifty plus miles away from our office, and

ended up choosing a book by its cover so to speak. She

learned though, and selected her next brokerage using

careful thought. She has been there ever since.

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Chapter 11 Road to Being a Top Producer

As a young comedian, Jay Leno would sit at a Hollywood restaurant table practicing his lines, over and over. People walked by looking at him, thinking he was just another struggling entertainer. Eventually, he started to make a name for himself. Then, he became a late-night talk show host. Today, people might react a bit differently if they saw Jay Leno sitting at that same restaurant table. When top real estate agents started their careers, they probably had a lot in common with the early Jay Leno. Working hard, practicing the trade and remaining unknown for a long time. Then, it starts to happen. Agents, and people you never met before, know your name. A level of respect is conveyed, some are even in awe of you.

As far as actually being a top producer, my definition

does not necessarily include agents that do well within a

small real estate firm. I am not necessarily including the

top agent of a large brokerage either. My definition of a

top producer is an agent that is consistently one of the

most active in an area, and likely well known by both

the general public and other agents. The competition

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for top producers is often top agents that work at other

firms. Kind of like an athlete who is the best player on a

team, but is not satisfied with that, and strives to be the

best in the league.

Staying on Top

Top producers often knock heads with other top

producers, and sometimes form “round table”

discussion groups as well. These round tables are

usually a handful of top agents, often from different

firms, looking for others that understand the trials and

tribulations of being a prolific agent.

The top producer round table discussions are a great

way to compare notes and motivate each other. Some

agents are #1 at their firm by a large margin, and have

no one else in the office who understands what it takes

to stay on top. Employing assistants and running

expensive marketing programs are just a part of what

top producers do that most agents don’t. This is why

top producers will often look to others outside of their

firm.

In addition, some top producing agents will seek out

professionals from other industries. These may include

specialists in business development, marketing,

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computer programming, and other fields that are not

available within the brokerage.

If you are competitive, you may look at the top

producers in town as your competitors. This can keep

some agents motivated when office agents are no

longer a challenge. Top producers often have assistants

or partners, and often become a small organization

within the brokerage. Some agents can afford an

assistant early on, and others find a partner they can

work with, providing a potential leg up towards being a

top producer. Without the income, assistants can get

expensive, and partnerships can be difficult, so there is

risk involved.

In looking ahead, are there any agents you still look up

to? Have you thought about being a top producer?

Now might be good time to start thinking about it, even

if you are still trying to get a handle on being a seasoned

agent.

For me, first it was being accepted as agent amongst my

peers, then it was the top 20%, then the top 10% and so

on. Eventually I became a top producer, however, I

never desired being the very top agent, year in and year

out. When working for my behemoth brokerage many

years ago, I saw how much work it took to be the

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number one agent. The agent that was #1 every year

was actually back to work in less than a week after

delivering a baby. I am naturally competitive, so that

helped me, but I wasn’t willing to do the seven-day

workweeks and make the same sacrifices as our #1

agent did. But that’s me, and striving to be the #1

agent, year in and year out if fine. I have always felt

that if I set my goals high, and fall a little short, that’s

OK. I am not going to sulk if some agents do more

business than me. It is not a win-lose contest. Coming

in 2nd or 3rd, or in the top 10% or 20% is OK, if you did

your best.

If you don’t learn from your mistakes or from your

successes, that would be unfortunate. Improving on

your weaknesses and capitalizing on your strengths is

part of this.

I have seen some agents that are very organized, much

more than me, and this helped them get to the top. I

have also met agents that succeeded because they are

super bright and/or super strong communicators. I've

met others that are super prospectors, doing nonstop

prospecting as their top focus each and every day.

At some point in your life, there may have been a hobby

or sport you became involved with. Then, you became

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really good at it. If you can relate to this, consider that

development in talent as an example of becoming a top

producer.

Going from a steady producer to a top producer is

similar to going from a novice agent to a veteran agent.

Top producers often get a snowball effect from their

reputation, their marketing, their consistent follow up

with past clients, and simply being numero uno in the

eyes of so many people. As a veteran agent, you have

the same advantage over new agents. Becoming a top

producer is just another step.

When I needed to get shoulder surgery, I went on

Google to find the best shoulder doctor. I had a referral

for a shoulder doctor out of the area, but when I

researched that doctor, I found some negative reviews –

plus I wasn’t thrilled about traveling that far.

For real estate agents, I can see people doing the same

thing when they need to buy or sell. If they have a good

referral, great, but if they don't, they will probably do

what I did and look for the best.

Becoming a top producer won't happen overnight. It

typically happens from a combination of things—years

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of being in the business, an excellent work ethic, a

dynamic personality, and numerous other things that

elevate an agent to the top. There is not as much

politics as there is for someone who is in the corporate

world. Thank God! This means that your individual skill

and efforts will often dictate your success or failure.

There are also some agents that get to that top level

sooner than later. I have seen quite a few agents, in

their early years, do a large number of sales. Some had

a connection to a builder, an accountant or had a well-

known spouse. One top producing agent had a very

successful business before going into real estate. She

knew a lot of people in the community and didn’t take

long to rise to the top, even though she started her real

estate career after the age of 50.

Years ago, I met an agent whose family member owned

a large accounting firm. The agent tapped into the

firm’s client base and jumpstarted his career. Even

better was the fact that most of the accounting firm’s

clients were wealthy. It was an elite accounting firm,

and most of his sales were in the millions, right from the

start. He became a top producer in a short time, and

with multi-million dollar properties.

Another top producer, who started as an assistant,

became one of the most prolific agents in the state

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when he took over the reins for a top producer in a very

expensive area. He devoted a good part of his career to

being her top assistant. The veteran agent he worked

for had been a top producer for several decades.

When she retired, she turned her clients over to him.

Yes, he was an assistant, but he was licensed and had

overseen more transactions each year than most full

time agents, plus, he knew the members of her data

base. To his credit, he improved the communication

with the huge database of past clients and didn’t miss a

beat with the marketing campaigns.

In summary, if an assistant can become the top agent in

the state, then going from an accomplished agent to a

top producer is quite doable. Setting your sights high,

learning from your mistakes and capitalizing on your

strong points should give you good odds of becoming a

top agent in your firm or in town. As mentioned earlier,

this is not a win-lose contest. If #1 is your goal and you

come in 2nd or 3rd, or if the top 3% is your goal and you

make the top 10%, that’s OK, if you did your best. The

key is steady improvement and setting your goals a little

higher each year.

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Just being mentioned as a good agent is fine with me, but making the top spot one year wasn’t bad either.

139

References

Advertising Age, New York, N.Y.

Caretta, Frank, Regional Sales Manager, Hewlett

Packard. Ret.

Carman, Al, Former Sales Manager, Coldwell Banker

Easy Agent Pro, Albuquerque, N.M.

Gaille, Brandon, Social Media Marketing Consultant

Levinson, Jay Conrad (1998) Guerilla Marketing. New

York, N.Y.: Houghton Mifflin

Mendell, Nancy. Los Altos, CA

Reed, John T. (2011) Success. Alamo, CA: John T. Reed

published

Shoemaker, Elizabeth, Former Vice President of

Marketing, Safeway Corp.

Tracey, Melissa Dittmann, Real Estate Writer, Editor,

Blogger

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141

Index

1.5% rule ........... 68, 69, 72 ads .... 16, 17, 26, 106, 124,

125, 127 advertising .. 11, 18, 25, 42,

106, 113, 114, 124, 126 Advertising .......... 124, 125 aggressive agents .......... 39 all-cash offer 51, 52, 55, 58 Appfolio ......................... 98 assistant ........ 95, 133, 136 Automobiles ................ 124 bankrupt ...................... 118 Be patient ...................... 34 be the authority ............ 37 bidding war ............. 50, 70 blogging ....................... 107 Buildium ........................ 98 Charging top dollar . 12, 13 Cityscoop.us ................ 107 client control ............. 4, 45 Client’s Best Interest ....... 5 Commission ................. 128 competing agents............ 2 competition ..... 64, 94, 131 confidence 1, 2, 13, 38, 77,

112, 117, 120 counter . 37, 52, 54, 55, 63,

65, 70 crazy market ............ 48, 50

credibility 31, 76, 103, 104, 105, 115

deal makers .................. 33 destination transaction . 3,

5 Don’t stereotype ........... 43 donation ....................... 56 Don't judge ................... 42 egomaniacs ................. 117 Facebook ...... 67, 106, 113 FHA ................... 58, 59, 94 fortune 500 company ... 30 free agents .................. 127 gift certificate ............... 53 goals ............................ 118 Good response time ..... 41 Google......... 106, 113, 135 HOA fees ....................... 54 independent contractors

.................................. 75 Instagram .................... 106 Insurance companies .... 15 Irate buyer .................... 35 lead ..... 2, 4, 18, 21, 27, 33,

60, 74, 76, 77, 78, 86, 112, 118

leads30, 75, 91, 92, 98, 99, 103, 124

level head ..................... 33

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LinkedIn ....................... 113 listing .... 46, 47, 48, 52, 54,

56, 57, 58, 59, 63, 64, 65, 66, 67, 69, 70, 72, 77, 80, 82, 110

Listings..................... 77, 78 loan broker ........ 33, 46, 65 lockbox .......................... 60 marketing ... 12, 16, 17, 18,

19, 25, 26, 32, 74, 75, 76, 103, 104, 106, 110, 111, 116, 125, 130, 132, 135, 137

marketing budget .......... 16 marketing campaign .... 32,

75, 76, 104, 116, 130 marketing message . 16, 17 Maturity .............. 117, 120 mediators ...................... 33 Meet and greet ............. 57 merger ......................... 128 MLS........ 54, 106, 110, 112 multiple counter offer ... 65 Multiple Offers .............. 45 past clients 3, 6, 18, 84, 85,

87, 112, 124, 135 Pinterest ...................... 106 power of the

understatement ...... 121 property management . 90,

91, 92, 93, 95, 98, 99, 100

referrals 2, 3, 8, 18, 30, 81, 84, 124

Renters ......................... 59 Self marketing ............. 103 self-marketing ....... 76, 103 Self-Marketing ............ 103 slogans ........ 18, 19, 20, 24 social media .. 18, 106, 112 springboard 78, 79, 80, 84,

85 springboarding ............ 112 staying in touch .......... 130 stereotypes ............. 43, 44 Taglines ......................... 18 tax ............................... 124 taxes ................... 118, 126 terms ................. 16, 69, 70 testimonials ................ 113 top producer ...... 128, 131,

132, 133, 135, 137 top real estate agents . 131 Trulia ................... 106, 113 truthful.................. 38, 104 Twitter ........................ 106 Vehicle ........................ 119 voicemail ....................... 40 wardrobe ............ 119, 120 Yelp ..................... 106, 113 Zillow .................. 106, 113

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Appendix

Agent Business Plan Example

Goals

Income goal for the year:

$150,000

Material goal for the year (type of car, house, piece of

exercise equipment, etc.):

Vacation Property

Destination goal for the year:

Europe

(Put in plain sight to be seen daily, visible only to you)

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Budget

Yearly real estate fees (Desk fees, E & O, board,

seminars, etc.): $10,000

Self-Marketing fees: $12,000

Yearly living expenses (Housing, car, food, utilities, etc.):

$75,000

Total needed: $97,000

Habit Goals (To help you financially & personally)

1 Be Humble

2 Remember first names

3 Shorter emails & voice mails

4 Prospect every day

5 Compliment others at greeting

145

Confirm supply of business cards

Update database. Past clients, new friends, family,

and others. Update their contact info and notes.

Attend office meetings (if offered)

Tour properties

Hold open houses

Do floor time (if offered)

Self-marketing

Prospecting

Get professional head shot

Create slogan

Area(s) of focus

Condos/Townhouses

Single family homes

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Income properties

Lots & land

Luxury properties

Rentals

Property management (if allowed by brokerage)

Other _________________________________

Type of agent you want to be

Independent

Partner with other agent

Part of real estate team

Other _______________

Sources of business

Past clients

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Referrals

Open houses

Friends & family

Other _______________

Yourself (buy or sell your own property)

Floor time

Networking

Type(s) of networking: (Health Club, Church, School,

B2B, Chamber of Commerce, Toastmasters,

volunteering, etc.)

______________________________________________

______________________________________________

For sale by owners

Personal Farm (send periodic emails/letters to

database)

148

Geographic Farm (Choose an area you live in, or

know something about, and go door to door and/or

send periodic postcards)

Send out Holiday/Xmas Cards

Expired listings

Renters

Create your own Website

Create profiles on Yelp, Zillow, Trulia and others

Create email signature with contact info (photo

optional)

Mobile Internet Ads

Internet Ads

Relocation

Door Knocking

First Time Buyer Seminar (with loan broker)

149

Social Media

Contribute to online real estate discussions

Create a Blog

Create Personal Brochure

Run Newspaper or Magazine Ad

Seek out Professionals for a Referral Exchange

(Accountants, Attorney’s, Loan Brokers, etc.)

Partner with an Affiliate on a Marketing Campaign

(Loan Broker, Insurance Agent, etc.)

Mail Outs (Notepads, Fridge Magnets, Team

Schedules, etc.)

Assist Productive Agent(s) (Open Houses, Overflow

Clients, Broker Tours, Office Assistance, etc.)

PR (Get mentioned, quoted or submit piece for

newspaper or TV)

Other (Sponsor Little League Baseball Team)

150

Self Improvement & Education

Attend Real Estate Seminar

Practice Listing Presentation

Increase Face to Face/In Person Opportunities to

Meet and Acquire New Clients

Create/Improve Personal Slogan, Voice Mail

Greeting and/or Email Signature

Come up with Niche or Specific Edge you can offer

(Not shared by most Agents)

Find untapped source of leads (Company Human

Resource/Relo Department, Property Managers, etc.)

Improve/Update Image (Wardrobe, Car, etc.)

Obtain Real Estate Degree/Designation

Attend Broker Tour Regularly

Improve MLS Search & Research Skills

Read Book on Real Estate Agency

Read Self Help/Improvement Book

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Exercise Routine

Meet with Broker for Ideas to Improve Production

Learn/Practice Real Estate Agent Scripts

Other _____________________________________

Productivity Breakdown

1. Income goal: $150,000

2. Estimated average commission per transaction:

$10,000

3. Transactions needed for income goal: 15

4. Buyer sales goal: 9

5. Estimated number of Buyers needed to reach goal

(try 2 or 4 times the Buyers goal #): 25

6. Estimated Buyer leads needed to reach goal (try 4 or

8 times the Buyer sales goal #): 50

7. Listings goal: 6

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8. Estimated number of Seller leads needed to reach

goal (try 4 or 8 times the Listings goal #): 25

Additional Business Plan Ideas

______________________________________________

______________________________________________

153

Agent Business Plan (Fill In)

Goals

Income goal for the year:

______________________________________________

Material goal for the year (type of car, house, piece of

exercise equipment, etc.):

______________________________________________

Destination goal for the year:

______________________________________________

(Put in plain sight to be seen daily, visible only to you)

154

Budget

Yearly real estate fees (Desk fees, E & O, board,

seminars, etc.): $_____________

Self-Marketing fees: $_____________

Yearly living expenses (Housing, car, food, utilities, etc.):

$_____________

Total needed: $_____________

Habit Goals (To help you financially & personally)

1 ___________________________________

2 ___________________________________

3 ___________________________________

4 ___________________________________

5 ___________________________________

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Confirm supply of business cards

Update database. Past clients, new friends, family, and

others. Update info: address, email, phone #’s, notes.

Attend office meetings (if offered)

Tour properties

Hold open houses

Do floor time (if offered)

Self marketing

Prospecting

Get professional head shot

Create slogan

Area(s) of focus

Condos/Townhouses

Single family homes

Income properties

Lots & land

156

Luxury properties

Rentals

Property management (if allowed by brokerage)

Other ________________________________________

Type of agent you want to be

Independent

Partner with other agent

Part of real estate team

Other ________________________________________

Sources of business

Past clients

Referrals

Open houses

Friends & family

Other ________________________________________

157

Yourself (buy or sell your own property)

Floor time

Networking

Type(s) of networking: (Health Club, Church, School,

B2B, Chamber of Commerce, Toastmasters,

volunteering, etc.)

______________________________________________

For sale by owners

Personal Farm (send periodic emails/letters to

database)

Geographic Farm (Choose an area you live in, or know

something about, and go door to door and/or send

periodic postcards)

Send out Holiday/Xmas Cards

Expired listings

Renters

Create your own Website

Create profiles on Yelp, Zillow, Trulia and others

158

Create email signature with contact info, with photo

(optional)

Mobile Internet Ads

Internet Ads

Relocation

Door Knocking

First Time Buyer Seminar (with loan broker)

Social Media

Contribute to online real estate discussions

Create a Blog

Create Personal Brochure

Run Newspaper or Magazine Ad

Seek out Professionals for a Referral Exchange

(Accountants, Attorney’s, Loan Brokers, etc.)

Partner with an Affiliate on a Marketing Campaign (Loan

Broker, Insurance Agent, etc.)

Mail Outs (Notepads, Fridge Magnets, Team Schedules,

etc.)

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Assist Productive Agent(s) (Open Houses, Overflow

Clients, Broker Tours, Office Assistance, etc.)

PR (Get mentioned, quoted or submit piece for

newspaper or TV)

Other

______________________________________________

Self Improvement & Education

Attend Real Estate Seminar

Practice Listing Presentation

Increase Face to Face/In Person Opportunities to Meet

and Acquire New Clients

Create/Improve Personal Slogan, Voice Mail Greeting

and/or Email Signature

Come up with Niche or Specific Edge you can offer (Not

shared by most Agents)

Find untapped source of leads (Company Human

Resource/Relo Department, Property Managers, etc.)

Improve/Update Image (Wardrobe, Car, Hairstyle, etc.)

Obtain Real Estate Degree/Designation

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Attend Broker Tour Regularly

Improve MLS Search & Research Skills

Read Book on Real Estate Agency

Read Self Help/Improvement Book

Exercise Routine

Meet with Broker of Office Staff for Ideas to Improve

Production

Learn/Practice Real Estate Agent Scripts

Other ___________________________

Productivity Breakdown

1. Income goal: $________________

2. Estimated average commission per transaction:

$_____________

3. Transactions needed for income goal: #_____

4. Buyer sales goal: #_____

5. Estimated number of Buyers needed to reach goal

(try 2 or 4 times the Buyers goal #): #____________

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6. Estimated Buyer leads needed to reach goal (try 4 or

8 times the Buyer sales goal #): #________________

7. Listings goal: #________________

8. Estimated number of Seller leads needed to reach

goal (try 4 or 8 times the Listings goal #): #________

Additional Business Plan Ideas

______________________________________________

______________________________________________

Glenn Mendell Over twenty-five years as a top producing real estate agent