Facilitator: Chris Suarez, Portland OR
Panelists: Sarita Dua, Portland, OR; Ryan Tollefsen, Anchorage, UK; Mark Spain, Alpharetta, GA
The Millionaire Real Estate Agent (MREA) is a roadmap to success that contains four models for running a successful real estate business: the economic model, the lead generation model, the budget model and the organizational model.
The important thing to note is that these are models and not a menu. As Chris Suarez, facilitator of the panel explained, “I want to do X, but not Y” is simply not an option if you want to be successful. You must dive in and begin implementing one model at a time, with the trust that what has worked for the best in the industry will also work for you.
#1. The Economic Model
When asked what the economic model has done for his business, panelist Mark Spain responded that it has taught him to know his numbers. What was once in the hands of a rarely-seen accountant, has been brought in house with the hiring of a bookkeeper. This has helped Spain stay in touch with the key metrics that can make or break his business.
Ryan Tollefsen has truly taken the economic model to heart. In order to achieve his goal of becoming the top real estate agent in his territory, Tollefsen created an individual economic model for each member of his team as part of his overall business planning. When he combined these goals, he realized his goal was not as far-fetched as he once thought.
On a continual basis Tollefsen tracks both individual and team metrics in order to realize the strengths of his team members and offer mentorship to those who need a boost.
#2. The Lead Generation Model
A successful lead generation model treats all leads in the same manner. The mindset should always be that “this person could buy” so you should service every lead that comes your way. Whether the lead was earned though time or money, effort was made and the lead holds a value.
Another matter that the entire panel agreed on: purpose changes everything. A great example of this is the importance of “speed to lead”. The quicker the response, the more likely that the lead is to materialize into business. A team must be intentional and create a process, complete with creative messaging, before a lead even comes in.
#3. The Budget Model
The budget model is a powerful business planning tool because it brings awareness. The MREA’s red light - green light exercise ensures responsible spending as does the practice that the third panelist, Sarita Dua, uses of periodically canceling her credit cards. This act forces her to review her expenses and not become complacent with monthly charges that do not bring a return on investment.
As the head of a large team, Spain breaks his costs down by each of his 4 divisions: buyer, listing, investor and administrative support. He then holds each division accountable for their numbers month-over-month and year-over-year.
#4. The Organizational Model
“Your life will be super messy if you have a lot of people in your world” Spain says. As a business grows, a smart entrepreneur takes a step back and leverages leaders who can manage the day-to-day activities of the team. This frees the business owner from tasks that are not strategic to execution of their big vision. “This is the power of the MREA!” says Suarez, “You buy back time and production goes up. It gives real estate agents back their lives.”
In order to create a productive team, Suarez recommends performing consultative interviews each week with members of the team. This interview consists of four very simple questions:
- What was your goal?
- How did you do?
- How do you feel about that?
- Based on how you did, what is your goal now?
The answers to these questions, and the conversation that they initiate make it hard to get off track and ensures that the entire team is working towards the goal.