Ok, agents....I am ready to take the exam in the state of Michigan. I would love to learn from others' experiences, so tell me, what are some mistakes that rookie agents make? It's a pretty vast and overwhelming world when you are just getting started. In addition to being new to the field itself, I am also new to my area and I am starting basically from scratch. Any advice? Tips and tricks?

As well, I would like to mention that my philosophy approaching this new career is one of honesty, doing the best job I can, and just plain old showing up to do what I need to do!! (You know how some people just never answer the phone....) Thank you in advance for any replies.

answer your phone!

This is the best tip I can give you. And one that you should follow during your entire career.

Don't sit around waiting for business to come to you...you need to build a huge network.  If you're going to focus on buy and holds, join an association of landlords and investors and go to their networking meetings regularly.  Get involved.  Get to know other agents specializing in the same area.  Get as much training as you can and become the expert.  (And, @Frank Leonardi is spot on.  There seems to be a terrible trend with younger agents of not answering the phone.  How can one do business without answering the phone?  Text is ok--but you have to answer that too!)  All the best in your new business!

The biggest mistake I see new agents make is waiting for the business to find them instead of going out and getting it. You're only as good as your last closing so keep the pipeline filled and always be on the lookout for new prospects who can potentially become clients. Keep in touch with your sphere and past clients to keep the referrals flowing. Respond to emails and texts in a timely fashion, and always answer the phone or call back as quickly as possible. 

Besides that, don't be afraid to invest some money into marketing yourself. I had a limited budget when I first got into the business and was afraid to waste it with no results. It seemed like the minute I put a couple of bucks into marketing things really picked up. You're essentially becoming a small business owner so run it accordingly and you will see great results!

@Kelly Choate

Pick your "farm" area, see who is the reputable Agency in that area and go interview with them (If you are thinking about St Clair Sine and Monaghan may be a good place to start). Now that you have your reputable Agency that gets calls in the area you are farming get as much floor time as you can because you will need it. Join local groups and make sure you tell everyone you know and will meet that you are a Realtor. Finally and this is the most important, DO NOT QUIT! You are going to have adversity, friends won't want to help you, people are going to lie to you, you will waste hours upon hours of your time on the phone and talking to people that have no chance of ever buying a house, bills will keep coming (ETAR is 542 a year, RealComp is 110 a quarterly and there are other expenses) and you will ask yourself "Why am I doing this?" but you can not give up, you have to keep grinding it out and know that some day you will make it. 

Having an Agency that can train you on what to say and the process is very helpful so while I mentioned Sine and Monaghan don't pull the trigger with them until you've talked about how they train new Realtors.

Hope this helps!

@Kelly Choate , what a great question!

I am in a similar position. I moved into my area, and then got my license. I am not as knowledgeable about my area as other agents are. One way to overcome this is to partner with someone who IS more knowledgeable. Another agent would be great, but get to know the mailman who services your main farm area. 

Another person who can provide valuable information? Your local pet sitter. Some of the best information I have about my farm area came directly from a close friend who is a pet sitter. She is in and out of multiple neighborhoods literally every day, and has the kind of knowledge you only get from experience. She knows that this neighborhood has very low water pressure, that one is downwind from a cow farm that makes it unbearable in the summertime, and the one over there, the floors bounce when you walk, indicating less than solid construction.

But even better advice is that which you have already received - answer your phone. 

Listening to the wrong people! Be very careful who you select as your mentor in the office. And yes, answer the phone! :)

Great question! I'm a new agent as well and want to start 2016 off strong with networking and having at least one active deal going and 2 in the pipeline at all times as a starting goal.

x3 on Answering your Phone!!!

Also, "write the check." If you have a deal go bad or whatever for a mistake you made, write the check to your client.  

You are about to be spammed by people selling leads, website services, etc. Don't do it. Get your own leads. Good luck! 

Thank you everybody for all the fabulous tips! I really appreciate it.

What's sets you apart? Find your difference maker and market the heck out of it.

If you have 100 cards in the audience and one is RED and 99 are WHITE you stand out.

Run your career like a business and set written goals with time management. If you know you want to make 100k a year after a broker split and the average sale  is 200k in your area at 3% that is 6,000 per sale. If you give half as a new agent to the brokerage you get 3,000.

You would need 34 closings a year to reach your goal of 100k commission to yourself. Now if you are doing almost 3 sales a month your split will go up considerably as you will be outdoing 99% of agents out there. So realistically could probably hit 100k off of 20 plus deals a year with a better split.

Don't take a listings or work with an unrealistic buyer who wastes your time. Qualify all potential clients and if they do not meet the screening criteria then do not work with them. Listings cost money to market. Buyers waste your time. You get paid when you close.

Originally posted by @Clay Powell :

Don't sit around waiting for business to come to you...

Bingo!!!!!!!

Here's my experience with new agents...

I see them happy to be at the office.  First few weeks they have big smiles on their faces thinking about all the money they're going to be shoveling into their pockets.  They're checking their phones and doing whatever on the computer.

Then a few more weeks go by and they start to show up only a few days a week.  Half smiles.  Still checking their phones and doing who knows what on the computer.

Then a couple more weeks go by and they come into the office here and there (mostly there).  Maybe once a week.

Then, a few more weeks pass, I get an email from LinkedIn saying, "Congratulate so-and-so on their new job!"

Yes, @David Hunter , I have read/heard about that syndrome before....I  did a lot of research before I embarked on the course, and I feel I am under no illusions about the amount of work and perseverance it takes. 

Just the fact that ONE person can/has done it, means that I can too. I used to come from a mindset of lack. "Not me," I would think. Now I say, "Why not me?"

I think one of the biggest mistakes new agents mistake is not understanding that being an agent is running a small business and not having a job. Like starting any business you need to be capitalized. You need to spend money on marketing.

Another thing new agents do not do is that they do not actively market to their sphere of influence. They assume friends and family will use them, or send them referrals. You need to actively market to them.  Any time they think real estate, they need to associate you with it. I touch my sphere with an email once a month, a direct mail piece once a month, and get something of value into their hands once every 3 months.

people like to work with agents they know and trust.  Focus on meeting people and making friends and generate your leads from that network rather than buying ads.  

Don't be afraid to ask for the business.   Being a secret agent never works.  

@Kelly Choate I gleaned a lot from Brian Buffini's "Peak Producer" class. It was 8 or 12 weeks - and helped me build and solidify my network.  You have to do the actions though, not just watch the videos. :)  I like that there are specific action steps daily...as many new agents want to feel busy, but have no idea what is going to move the needle. There are so many good systems out there,  but you have to pick one horse and ride it.  Just like investing, you can get easily distracted by the newest and greatest strategy.   You've got this! 

Hi @Kelly Choate

I've been in real estate for 3 years and boy have I learned a lot. I'm still fairly new to the game so this list is a work in progress. My 5 year goal was to make the top 3% of agents in my area -I reached that half way through my second year. As I reflect on my first few years, here are a few tips that i have picked up along the way.

-Communication is key. Answer your phone, texts and emails. No agents know everything about real estate, so don't hesitate to tell your clients that you will get back to them with answers to questions. (And then actually get back to them with answers.)

-Learn, learn, learn. Listen to experiences from co-agents, engage in as much training as you can and go on appointments with multiple agents. Everyone is different so it's important to see a few different ways for listing presentations. Take what you have learned from all of them and develop your own style.

-Don't be afraid of rejection. Just get out there and do it. If a contract falls through keep your head up and learn from it. Focus on getting your next win. Your not going to be paid while your mourning and no one will want to work with you when you're bitter. (:

-Build strong relationships within your brokerage. You will need someone you can call for real estate help at 11pm on a Sunday. Having close relationships with a title company, lender and home warranty company will also come in handy.   

-Don't spend too much time with tire kickers. Let them know you are available, but set the relationship from the get go that you are not here to waste time. Your time is extremely valuable.

-Be willing to put in the time and effort. Kiss your weekends goodbye and adjust to the real estate lifestyle sooner rather than later.

-Experienced agents will try to intimidate you with their 25+ years in the business. They're not afraid to tell you how long they've been in the business. Don't let that intimidate you, you are new and un-jaded by the industry.Your drive will outweigh their experience. 

-My biggest struggle as an agent has been learning that you cannot make decisions for your clients, even when they are clearly making an irrational one. Follow your fiduciary duties and do what they ask, and try not to take it personally. 

-Lastly, build meaningful relationships with as many people as you can. Let people know what you are about and they will want to help you succeed. Their referrals will keep food on your table and a roof over your head. 

Good luck on your test! It sounds like you are going to be a great agent!! (:

Originally posted by @Kelly Choate :

Yes, @David Hunter, I have read/heard about that syndrome before....I  did a lot of research before I embarked on the course, and I feel I am under no illusions about the amount of work and perseverance it takes. 

Just the fact that ONE person can/has done it, means that I can too. I used to come from a mindset of lack. "Not me," I would think. Now I say, "Why not me?"

Of course you can do it and so can anyone.

But, you have to go after the business.  You can't just set around looking at your phone and checking your computer.  That's why I shared the story, because that's what most newbies do... nothing.

Rock on!

I'm halfway thru my real estate courses as well. You guys mention not being afraid of spending a few dollars marketing.. Curious as to what are some good places to spend a few dollars on marketing? Facebook, newspaper ads.. ???

@Crystal Aasir I am just starting to look into that as well. The marketing aspect is so huge. I posted on the social media forum to see if I could get some advice on social media strategies for newbies. It seems like you could spend so much time trying to find content for example that it would be easy to lose focus on prospecting.

@Michael Jobe   You mentioned how putting some money into marketing made things pick up. Do you mind if I ask what you did specifically? There are so many options.

I like the tips posted.  I passed my exam and now looking for a broker.  Some good tips that I will put in my notes.

I have owned rentals for many years and one thing that my tenants said they like best is me to answer phone and fast response.  This is something very important in running any kind of business. Answer phone and doing what needs to be done fast.

@Kelly Choate

One of the biggest game changers (and ironically, the most expensive) was dumping some money into online advertising via Zillow, etc. Since the majority of buyers start their home search online I figured I need to be one of the agents whose face they see consistently when looking in specific zip codes. Another thing was investing in a professional and functional website then learning enough about SEO to make sure if someone searches for me I'm hitting page one on the search results. 

Thank you @Michael Jobe . Makes sense.