We all have limits to our professional resources because professional resources are finite, not infinite. Our professional resources are as follows:
Time
We exchange time for income. If your skills and expertise are at a high level, you can exchange them for a large sum per hour. This personal exchange of resources will be the most profitable segment of your business model. When your time gets diverted from production to management, your resources move into a lower revenue generation category.
Knowledge
We invest our knowledge into our prospects and clients. We often invest too much knowledge into prospects – in essence, giving our knowledge away for free. Few professions operate in this free exchange of knowledge. When you see or speak to a Doctor, Dentist, Attorney, or Accountant, all of them will bill you for their investment of time and knowledge. Increasing your knowledge through reading, studying, attending seminars, listening to training CDs or DVDs, and coaching expands your value and earning potential in the marketplace.
Energy
We all have a finite amount of energy. We aren’t given an unlimited supply of energy each day. The decision we make in usage and investment of that energy has a large bearing on our income and quality of life. We invest energy in each prospect and client we work with.
Selecting the wrong one can be disastrous in terms of our return on investment. Some clients will demand more energy from us to serve them and complete a sale. Others will be easy to work with and demand less. Selecting the right client with your energy expenditure in mind will enable you to have more available for other prospects and clients and your family.
Money
We invest money in prospects and clients. We invest in marketing to attract them. We invest money to show property to them in the form of vehicle purchases, gas, maintenance, insurance, etc. We invest dollars in the fees we must pay to be an agent, NAR dues, MLS dues, licensing fees with our state, and broker costs. We invest money in each and every prospect we are trying to land as a client. We invest dollars at a greater level once they become a client that we must serve.
Emotion
Real estate agents are the most emotional bunch of people I have ever met. We have these peaks and valleys of emotions that are rarely felt in other professions. Part of that is due to the engagement we have with our clients. They are involved in one of the top five most stressful experiences of life. Moving and buying a home rank right up there with divorce and death. It’s not an experience for the faint of heart.
Another reason for this gamut of emotions is the risk we take on as real estate agents. It is stressful to only receive compensation when a transaction closes and when all the work you do for 60 days for a client can be wiped away without compensation in a moment. All of those hours invested in searching the MLS, showing property, writing and negotiation the contract, inspections, appraisals, and repairs for the home – all of that work for no pay – affects our emotions.
At least if it happens as a listing agent, you still have the property to sell. When you represent the buyer, you are usually out of luck and left to deal with your emotions and no income.
Dirk Zeller is a sought out speaker, celebrated author and CEO of Real Estate Champions. His company trains more than 350,000 Agents worldwide each year through live events, online training, self-study programs, and newsletters. The Real Estate community has embraced and praised his six best-selling books; Your First Year in Real Estate, Success as a Real Estate Agent for Dummies, The Champion Real Estate Agent, The Champion Real Estate Team, Telephone Sales for Dummies, Successful Time Management for Dummies, and over 300 articles in print.
To learn more, please visit: http://www.realestatechampions.com/.