Real Estate Agents
Areas of Expertise
Real Estate Agents
You think, “If I can make enough sales I will be very successful and nothing else will matter.” This thought may be true in theory, but not in reality. Most of your training relates to motivation to make sales. How to get more referrals? How to develop more leads? This training is not about the BUSINESS of a real estate agent or Realtor. It is only about sales. Sales training alone is not enough to make you successful.
Here are some interesting observations about the Real Estate Industry:
- About 80% to 90% of the sales come from 10% to 20% of the agents
- 50% to 60% of the sales representatives leave the industry every 3 to 5 years
- Part-time real estate agents cause a saturated market
- Half the real estate agents sell less than 1 properties a year
- Real estate is a non-repeat business
- You must maintain an ever-increasing connection with your referral contacts or you will likely lose them to a competitor.
- Competition is everywhere and growing every day. It is hard to survive, or be successful in such a competitive marketplace.
- Periodic income makes day-to-day business and personal cash flow difficult.
Yet, being a real estate agent or Realtor offers you one of the best opportunities to make your dreams come true.
The average attention span of an audience is 5 to 10 seconds.
Over the last 30 years, I have watched the real estate industry change. Brokers had 10 to 30 agents working out of an office. Now, brokers have 100 to 1500 agents working out of an office. As a result, real estate agents – Realtors have become a pool of “every agent looks the same.”
Of course there are always standouts at the top. Everyone recognizes the industry leaders, but what about the rest of you?
All those split-second decisions people make about agents do matter.
The decision of choice is in the details you convey through your story, your images and your language. Everything Matters. It makes the difference between “I’m interested” and “Seen that before. What’s the difference?”
In the public eye, people see 95% of real estate agents – Realtors as the same thing.
IT IS HARD TO BE DIFFERENT.
This is where I can help.
Being different starts with a Business Plan, a solid foundation to build on. Your plan must include a system for obtaining the best use of your time, defining your chosen specialty area, and defining your Magnetic Marketing Message. Next, you need to Master Your Everyday Money for both your personal life and your business. Keeping your financial information up to date and separated requires constant effort. Then, you need to compare your Business Plan to your actual results. Are you staying on track? You need to maintain your bookkeeping and accounting. This makes reporting of results and filing taxes on time easy.
Yes, I can show you the way and be your Accountability Partner to keep you moving forward.
You may be hesitant about being helped. My question is. “How have you done so far on your own?”
There is something I have learned. RESULTS DON’T LIE.
PERSONAL REAL ESTATE CORPORATION (PREC)
On October 1, 2020 Ontario, real estate brokers and salespeople received the ability to form a Personal Real Estate Corporation (PREC)
The main reason for forming a PREC is the tax benefits that are available.
- Tax in a PREC is a lower rate than personal income tax.
- You will have the opportunity to pay yourself a salary or dividend. If you pay yourself a dividend then the PREC does not pay CPP meaning more money available to invest.
- You have the possibility to split income with other members of your family. There are special restrictive rules dealing with income splitting requiring compliance.
- You can defer income by leaving income in your PREC until you have lower income years.
The big question is: Should I incorporate or not?
For some successful Realtors, this has been a long time coming. But, for the majority of Realtors, incorporating may not the best decision right now.
There are many factors you need to consider before deciding to form a PREC. I note a few considerations here:
- Where are you in your real estate career?
- Are you starting?
- In the middle?
- Closer to retirement?
- Are you earning more income than required for your regular living expenses?
- Do you want to sell your business?
- Plus many other factors…
OREA encourages you to work with your financial advisor to determine if forming a PREC is right for you. I can help you with this decision by reviewing all your decision factors with you.
I would like to learn more about you. The best way to get connected is to fill out the form below and book a conversation.
Schedule Your Free Consultation Today!
Why Choose Us
Over 30 years as a trusted Chartered Professional Accountant and Licensed Insolvency Trustee in Mississauga
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Offices in Port Credit, Erin Mills, and Brampton