Welcome to Coach's Corner where industry experts and real estate coaches share self-improvement tips and advice on how to achieve success in today's market.
Tom Ferry is the founder and CEO of Ferry International, a leading coaching and training company for real estate industry professionals. He has more than 35,000 hours of coaching experience and works daily to help REALTORS® and brokers grow their businesses while simultaneously finding deep satisfaction in their personal lives. Here, Tom spoke with us about self-compassion, moving beyond survival goals, and how he advises his clients to conquer a lack of motivation.
Beating yourself up hasn’t been proven to help performance.
Consider who you’ll help by achieving your goals.
Start with your end results in mind.
Keep it simple. Do the work.
You’re going to die. When are you going to start to live?
In today’s housing market, we’re experiencing a buyer-seller stalemate with fears of inflation, limited inventory and mortgage rates approaching a near two-decade peak. What advice do you have for REALTORS® who are discouraged by these conditions?
I would start by saying give yourself some grace. The last few years have been extremely challenging for all. It’s normal to compare your performance to your past. The challenge we both know—the pandemic years—were, well, unicorns. The smart agent today is comparing this year to 2018 or 2019 or more normal years in real estate. Bottom line: Beating yourself up isn’t a strategy that’s been proven to create better performance. Remember, there’s no growth in criticism, complaint, or comparison.
Now is the time to see the market for what it is. We’re in a high interest rate, low inventory market with millions of buyers waiting for the rates to drop and sellers who are struggling to move into their next home and give up their current low rate. This cycle will end. You have to have a strong mindset and do more to outlast this temporary cycle.
Staying motivated can be difficult for anyone, especially when business is slow. What are some tips you can offer to help REALTORS® overcome a lack of motivation?
There are many drivers of motivation. It would be smart to reassess: What is your current motive for action? Start with the obvious: Do you have a clear goal — something that emotionally charges you? Something that gets you out of bed in the morning? If the answer is no, start there. What do you want so badly you can’t live without it right now? Or what do you want between now and the end of the year that’s worth fighting for? Survival isn’t a goal. It’s actually a tragic mindset. So, don’t set a survival goal or say, "I want to be able to pay my bills." That’s not going to give you the emotional strength or enthusiasm required for this market! The second motive would be to acknowledge you’ll probably do more for others than you will for yourself. So, who are you willing to support and help with the extra money you make by achieving your new goals? I dare you to put your butt on the line, call that person, maybe your family, and let them know when you do X, they receive Y, and if you don’t, they don’t. You’ll not only have a few new cheerleaders; you’ll also have more accountability. And I bet you’d do more to not let them down, right?
How should someone approach goal setting if it’s their first time?
In business, there are several best practices. I encourage you to start with the end results in mind. How much commission income do you want to generate after your commission split before your business expenses and taxes? Let’s say that’s $100,000 and your average commission after your split is $7,500.00. You would need to close 13.3 sales or 14 for good measure. The next step is to determine what actions are required to get there. What we know is the average agent needs to have in the range of 80 to 100 conversations to find a client who’s ready to transact. Regardless of the lead sources, you decide to work open houses, your sphere, social marketing, direct mail, and you buy leads from realtor.com or tens of others. You need to talk to people. Let’s call it 140 people a month (over 10 months, not 12) or 6+ a day. Though, if I was your coach, I’d have you start at 10 [calls] and climb from there. Now, the game isn’t to just talk to people. The real game is to have meaningful conversations and schedule appointments with people who want to see, talk about buying, selling, and investing in homes. (Just a reminder.) Now we have a goal and plan. The next part is to create a scoreboard to measure your performance. So, create a tracking board of conversations, leads, appointments, and signed agreements. Then get to work. Keep it simple. Do the work.
What are some daily practices you recommend REALTORS® take to level up their business?
I have a few. 1) Get up earlier than you do. Spend some time getting your health and mindset right. 2) Once you get to the office, get your knowledge broker game going by reviewing the daily hot sheets to know the new inventory and recent pendings and closings. 3) Then, jump into your meaningful conversations. 4) Throughout the morning, capture your actions on your stories on Facebook and Instagram. 5) Two social posts daily per platform that you’re focused on. 6) Go on appointments!
What advice do you have for REALTORS® who are having a difficult time leaving their comfort zone?
Google “Death Clock.” Fill out the questions. It will tell you approximately when you’re going to die. Yeah. It’s very motivating. You’ve heard every other cliché story as to why. Here’s mine. You’re going to die. When are you going to start to live?
Should every REALTOR® hire a coach?
No. Only those who know they’re not reaching their desired results. [Hire a coach once] you have a growth mindset. You’re ready to get an outside perspective and guidance on what’s working with thousands of other agents like you. But the real reason one should never hire a coach: if you aren’t all in on this business. If it’s a hobby, something you do when it’s convenient, don’t hire a coach.
To find out more about Tom Ferry and his coaching program visit www.tomferry.com.