Choose the wrong path and you could lose from the get go
How not to lose money in your real estate business
 Cindy has been an active real estate agent for 2 years, working 60 hours a week. She has picked a broker near home, taken some training on filling out contracts and forms, set up a home office with a printer, copier, FAX and DSL. She has been sending out postcards, advertised in a few publications, even bought a website, and is ready for the phone to ring.
But it seems Cindy’s plan always falls a little short. Thinking postcards and ads were not enough, she spends even more in bigger ads, and marketing systems that promise 20 listings a month.
Most people get into real estate expecting to make a lot of money. And it's true. Real estate commissions are huge, and someone you know might be looking to sell and move up right at this moment. But there are also lots and lots of agents out there too. You see their ads and postcards everywhere. They couldn't all be successful, could they?
How can you avoid the wrong path and stop pouring needless money down the drain? Wouldn't it be wonderful to get a head start, find a few customers, make money, and continue growing your business - without spending a fortune?
It's Simple, and It's Not.
You see, getting the salesperson or broker license is only the first step, and far from becoming a successful real estate agent. Have you had experience in building a profitable, growing business from scratch? Have you been successful in professional selling prior to this career?
Many of us have not. If your answer is no, making a lot of money in this field and building a long-term successful business is nearly impossible without getting the right help.
Here are eight ways you could quickly lose money and hair in this business
1. Not running your business like a business
Are you still thinking like a salesperson, chasing prospects, and working on a deal by deal plan?
 You have to run your business as a corporate CEO. Elements of a successful business include how you acquire new customers, generate repeat and referral business, manage your time and the time of your assistants, automate and achieve efficiency in front and back office tasks, continuously differentiate in ways the market cares about, control your budget, stay ahead in technology, and plan for growth.
It is not a trivial job description. It should be no surprise that over 80% of real estate agents close less than eight deals a year, and the top 10% of agents generate 90% of the business! The good news is, you can learn how to do it well and join the top producer rank.
2. Not having a lead-generation marketing plan that works
Do you know that the most expensive advertising is often the least effective? Mass marketing is a thing of the past. Complex media choices of today push thousands of messages on the air, in print, in the mail and through the Internet to an average consumer daily. What message will stand out, and how much will it cost to deliver to the right person at the right time?
Choose your market, and customize everything. Narrow your focus, deliver a consistent message and value relevant to your prospective clients, and you have a chance to dominate your market.
In addition to choosing a focus, an optimal lead generation plan also includes three systems that can run on autopilot: a farming system, a referral-based marketing system and a team marketing system. What is in your lead generation plan?
 “I started 3 months ago and I have closed eleven transactions and currently have four in the pipeline” - Angelica Betancourt (New agent)
3. Not being able to convert leads into sales
Most agents make the same mistake of how they rely on lead generation, i.e., ways to acquire and chase leads. For a consistently growing and profitable business, you need to work on how to help a prospect solve problems, and how to convert leads into sales.
You see, real estate and mortgage lending represent an industry worth over $100 billion in commissions each year. Leads are everywhere. Anyone who needs a roof over his or her head, and does not pay for it in all cash, is a lead. You know there are many opportunities around you. Anyone of your neighbors could be looking to sell and move up or down, or invest in another property.
How would you get them interested in talking with you, and to trust you to help them? Selling is not a numbers game. It is a game of skills and approach. It is not what you sell. It’s how you sell it.
4. Turning your clients away because you don't have what they need
Beyond marketing and selling skills, how do you maximize new business and referral opportunities? How do you profit the most from your current client relationships? How do you stop chasing from one deal to another?
It costs 6-7 times more to acquire new customers than to keep existing ones. Don't let them find someone else with products or services that you cannot offer. ”Customer For Life” is every agent’s aspiration, but how would you make them loyal? Simple birthday cards and refrigerator magnets won’t cut it anymore. You need to have a way to track your clients’ changing lifestyle and continue to build a value-based relationship, even if it means offering a different product or service.
Costco’s success is based on a masterful merchandising strategy, offering the most used high-quality commodities at the best pricing. What is your merchandising strategy?
 “The company has a great team to support each agent in growing their business. They constantly strive to raise the bar in Real Estate and Mortgage by implementing the newest technology available to make better tools for their agents” – Paul Yuen (from Re/Max)
5. Not having the expertise superior to your competitors
Skills are the foundation, and there is no substitute for knowledge. Modern real estate has become increasingly complex. You need new, additional knowledge to create competitive advantage.
Become an expert in real estate, mortgage lending, anything and everything relevant to your clients’ pains. Read as much as you can. Go to classes. Work with a mentor on and off the field. Team up with other experts in the office or the industry.
You need to stay ahead of your clients and your competitors, or you will fall behind.
 “Management and staff are always available for your needs, and they are very helpful. They train you well and give you all the tools necessary to be successful in your Real Estate and Mortgage business” – Vinod Jain (from Century 21)
6. Not pricing your services correctly
More real estate business models are appearing on the horizon from full-service to discount to flat fee, online to offline, and everything else in between. Regardless of which model you employ, make sure your time is well compensated for. Understand the financial aspect, opportunity costs, and the costs of doing business, line item by line item. How do they compare with other agents?
Did you really think you would get more referrals by doing that one deal for nothing? A successful business is a profitable business. Get used to being filthy rich.
7. Not planning for growth
Your business needs to grow, or it will become stagnant and gradually die. How did you do last year, and how do you plan to do this year?
You don’t plan to go out of business in 5 years, do you? New business is the critical bloodstream of all successful businesses. What will be the new sources for business next year, or in the next 5 years? Where will your revenues and profits come from that do not exist today?
Raise your goals for the top and bottom line, set a goal for new business each year, and make sure they happen.
 “The Clientor system has worked for me from the first day. It was already set up. My branch manager was able to give me the motivation and help when I started. I was juggling another job, and with the support and mentoring they gave me, I was able to transition quickly” – Richard Lee (New agent)
8. Not getting the right help and support
Real estate today has been completely redefined by new technologies, savvy customers, skyrocketing home prices and hundreds of new competitors each month.
Brokerages and mega-teams have declared war on your customers. You cannot go it alone anymore. You will need to partner with someone who has a professional support system, newer tools and technologies, and the leadership to help your business grow.
 “The best aspect I really enjoy about Clientor is the depth and breadth of their training and technology applications. Nowhere do you receive the quantity and quality of trainings in all areas of real estate listings, purchases, as well as mortgage. And to put icing on the cake, there is a highly supportive and friendly environment in all the offices. I am finally enjoying a dynamic, integrated and professional real estate company that will help me reach my goals” - Gerald Booth (Independent Broker)
So who is The Clientor Group anyway, and what do we know about real estate?
If you are still reading, you must be agreeing with our research and experience that comes from working with thousands of agents like yourself and top producers who consistently close hundreds of deals a year and net seven figures annually.
 Carole Rodoni, formerly the President and Chief Operating Officer of Alain Pinel Realtors, Chief Operating Officer of Cornish and Carey Residential Real Estate, President and Chief Operating Officer of Burlingame-based Fox & Carskadon, is a familiar name in the real estate press nationwide, as a regular contributor to USA Today, The Wall Street Journal, and The Philadelphia Inquirer. Here is what she says about Clientor as she accepts an executive management role at the company:
“I’m excited for the chance to work with such a dynamic, fast-growing company. The world of real estate is changing, and The Clientor Group is helping lead the transformation. With their focus on technology-savvy customers, the company is strongly positioned for future growth, and being part of their team is a wonderful opportunity.”
The Clientor Group is a division of WonderAgents, Inc. With over 450 real estate agents, more than 1000 certified loan officers and 15 locations across the state, it is one of the largest and fastest growing non-franchised brokerage firms in California.
We provide real estate, insurance, and mortgage services for thousands of residential and commercial clients annually throughout California. Our strategic partners include the nation’s largest title companies, insurance carriers, wholesale banks, and mortgage lenders.
How are we different from the other real estate brands?
 “I had doubts about not working with a franchised brand. I had been in real estate for seven years and spent all of them with the usual brands, then I decided to try Clientor because another friend of mine just switched there. The tools, training and technology are the best that I have seen anywhere. The staff and management team here are superior – my business never missed a beat and continues to grow in ways I never imagined” – Michele Lane (from Coldwell Banker)
We believe that while the real estate industry is mature as are the common franchised brands, an evolution has only just begun ─ one driven by new technology and savvy customers, and opportunities to create unique, value-based relationships between clients and agents.
Today’s clients use technology and expect their agents to do the same. The Internet is no longer just a means to communicate. It has fully become a lifestyle.
Over 100 million people under the age of 35 who live on the Internet are coming at you - FAST. Are you ready for them?
For the client, our mission is to create new value that comes through embracing technology and their needs to manage real estate as an investment. Clientor Voice, Clientor Video and Clientor EquityViewer are amongst the latest technology innovations in the industry designed for such purpose.
For our agent partners, we aim to help them become more profitable and to build a long-term successful business based on solid training, support, products and technologies. These systems create a comprehensive, difficult-to-duplicate infrastructure proven to help agents stop losing money and start improving their cash flow.
 “Working with The Clientor Group has allowed me to stay competitive by using the unique technology it offers all the agent partners. Sellers want Clientor agents because they can offer homebuyers tools no one else can, helping them find the right house while learning more about the market” – Grace Erickson (from Re/Max)
“It sounds interesting, but I don’t know if I should switch now.”
Frankly, we don’t know if you should switch either, or if we would even make a good fit.
Do you need any help or have any of the issues described above? Even if the answer is yes, do you want to solve them now or would you rather work on other issues first?
On our part, we want to know if you have what we look for. Do you have an unrelenting desire to succeed? Are you open-minded? Are you ready to join the evolution where today’s clients are? Do you have what it takes to build a very successful business?
There are plenty of questions for us both to answer.
 If you are open for ideas, come in to talk to one of our managers and see if there is a good fit. Even as hundreds of agents and loan officers join us each month, both new and very experienced (such as a top Keller Williams producer who closed over 100 real estate transactions last year), we are not for everyone.
Fill out a short form below with your phone number and email address, and a manager will call to set up an appointment with you.
Warmest regards, and best of luck to your business.
Copyright© 2007 The Clientor Group
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