I wanted to share the 3 critical drivers in any business. This presentation was for real estate agents but the fundamentals apply to all businesses. Every business owner needs to understand these 3 critical pieces of information l to determine the health of their business and l to effectively scale and grow.
First, you have to look at the PAST, or what happened. The best place to look at this is last month’s P&L. Here you should be looking at the true numbers, your actual ...net margin %, expenses as a %, and cost of sales as a %. If you had a good month---ask, What caused it? If you closed more listings than normal, try to find the driver so you can do more of that. Review every single expense---remember, "profit is created by managing the expenses on the revenue that you already have". In our business we spend 1-2 hours per month reviewing that information.
Next, you need to look at the Present, or what is currently happening. One great number to look at to determine the health of your overall business is your pending GCI. If you look at this number daily or weekly you will notice trends. If that number continues to rise, your future looks better than today, if it continues to fall you want to make changes before bad things happen. You want to review how many prequalified buyers did you get, how many listings you took month to date, and the leading indicators for both of those. Other things to look at here are cost per lead, lead counts for marketing sources, etc. I spend approx. 30 minutes to 1 hour per week on this.
Lastly, you need to look at the Future, or what could happen. The key here is to look at your lead counts, your total nurture count (how many buyers and sellers have committed to sell with you in the next year), how many clients you have in HOT status or buying or selling in the next 90 days. The key here is to focus on your sales agents active sales pipelines. We have our agents keep no more than 100 leads in their active sales pipelines so that can put more effort into their leads. We spend 30 minutes weekly looking at this and further drive this home at the weekly one on one’s we have with each of our agents individually.
Looking at these critical drivers have allowed us to grow a number of business. Hope this helps!!!
Purchasing the right home can be a lengthy process. It can take a lot more time than many people anticipate, and that is largely because they sometimes forget to factor in the days or weeks it can take to actually find the perfect home. Before you can worry about how long it will take for you to close, you should know that the average homebuyer sees between 10 to 15 houses before finding the best fit. To learn more, watch this short video.
Whether you plan on selling your home in the near future or not, there are certain maintenance items that all homeowners need to handle. Today, I’ll go over nine home repairs that you shouldn’t put off. From simple repairs like changing AC filters to getting the roof checked out, these tips will keep your home shipshape. To learn more, watch this short video.
Being surprised at the closing table is something you should always try to avoid. Today we’ll go over four common things to look for. Whether it is an issue with the home itself or with your financing, there are a few items that can show up at the last minute that can really affect your purchase. For one thing, always pay close attention during the final walkthrough. To learn more and hear about the three other common closing surprises, watch this short video.
If you are listing a home it’s likely that you want to be as involved as possible in the process. For this reason, a question I often get is, “Should I leave my home during showings?” Ultimately, the answer is yes. Staying in a home during showings can make buyers feel uncomfortable and could even cost you offers. To learn more about why this is, watch this short video.
Receiving multiple offers on your home is a good problem to have. It’s the position you want to be in as a buyer, but where do you go from here? You could just find the offer with the highest price and accept it, but that would be unwise. You need to take a number of factors under consideration (including price) to find the best offer. To get all of our tips, watch this short video.
If you’re a buyer in our highly competitive Phoenix market, how can you make your offer better than the competition’s and win your dream home? Today, I want to share a few strategies you can use. The first thing you can do is reach out to the seller and find out what their motivations are and what their timeline might be. Getting a better understanding of what the seller wants can help you structure your offer. To learn more about what you can do to make your offer the best it can possibly be, watch my latest video.
Today I wanted to take the time to talk a little bit about disclosures statements. These statements are important in the escrow process because it helps the buyer make a fully informed decision about purchasing the home. It’s important that you include everything you know. To learn more about disclosure statements and a way to make the process easier, watch this short video.
Every homeowner wants to get the highest possible price when they sell their home, but they don't always realize how much control they have over its value. There is a myriad of ways you can increase your home's value, but five stand out among the rest as the most effective. Today, I wanted to explain how and why these five things will get you the most money possible when you sell. Even just a coat of paint can make a world of difference. To learn all five things, watch this short video.
It seems like home sellers make the same mistakes over and over again. There are three of them that stand out in particular. These mistakes are easily avoidable if you know about them in advance. For example, not making the property as accessible as possible to interested buyers and their agents is a big no-no. To learn all three mistakes to avoid, watch this short video.