Where Does Your Business Come From?

Where Does Your Business Come From?

Where does your business come from? Do you solicit clients or referral sources? If you’re in the real estate business the answer is both! But, where does the majority come from?

Now we have to separate the different careers. Stagers solicit REALTORS®! Title agents solicit REALTORS®! Title agents solicit Loan Originators when rates promote refinancing. Loan Originators solicit referral sources, mostly REALTORS®, secondly consumers, and then the other referral sources that advise consumers. REALTORS® solicit consumers, directly and by referral!

Why the difference? REALTORS®/Agents solicit consumers directly and by referral because every one is a potential client.

Loan Originators/LO’s solicit referral sources mostly REALTORS® for four reasons. REALTORS® have already separate the wheat from the chaff the likely buyers from the masses. LO’s need 3 to 5 times as many closings as REALTORS® to make the same income!! LO’s send far less time per client than REALTORS®. Few LO’s are willing/should work for what the average to median income REALTORS® do.

The key to individual professional real estate success is networking! The big national mortgage companies are the biggest advertisers, yes it works for them, but not for their clerks or consumers. If a consumer’s needs are so simple that any telephone clerk can help them so be it. But, if the consumers needs or desires require more or they seek knowledge or comfort in a real estate professional they to need a referral.

It’s the same for REALTORS® there are big training offices and discount brokerages that pay little and offer the consumers less! Consumers, too need referrals!

Why? Because great agents and LO’s can be found in great shops and in not so great shops. So can the dregs. Consumers need to feel comfortable with their agent and LO!

REALTORS® with nothing more pressing should go play in public, make new friends and let all know what they do, it’s just that simple!

LO’s with nothing more pressing should go with REALTORS®, make new friends and let all know what they do, it’s just that simple!

My friend George Soto posted an excellent article on networking you should read.