What’s up, BP? I hope business is great and life is full of fun and adventure.
Today I want to talk about something we’ve recently implemented in our wholesaling business that is really making a HUGE difference.
You know, real estate is a lot like sports. Getting to your target income goal is a lot like preparing for the championship game.
And you know, just like sports, getting to the “championship” in real estate takes a lot of time, commitment, and tracking.
In sports growing up, I always remember our basketball team kept a wins and losses column to help us track whether we had a shot at the championship game or not. We also had to track all of our game scores, our drills at practice, and a number of other items in order to help us determine where we stood compared to where we needed to be.
Related: Why All Entrepreneurs Should Track Leading Indicators (With Examples!)
Download Your FREE copy of ‘How to Rent Your House!’
Renting your house is a great way to enter the world of real estate investing, but most first-timers (understandably) have a lot of questions. Fortunately, the experts at BiggerPockets have put together a complimentary guide on ‘How to Rent Your House’. All the skills, tools, and confidence you need to successfully rent your house are just a mouse-click away.
Wholesaling is the Exact Same Way
Recently, I’ve started having my team fill out something we call a “score card” each week, so that we can clearly see where we stand compared to our target income per month.
With it, we’re tracking everything. How many people we talk to, how many showings we’re doing, what our closing ratio is — everything!
It’s revolutionizing our business, and I have confidence that it will do the same for you.
You know, this whole business is simply one big numbers game.
In my business, I know because of our score card that we get about one deal for every 1,000 letters we send out in direct mail.
But if I hadn’t tracked that, I would have never known and would be taking a shot in the dark each time.
If your goal is to do 10 deals a month, but, say, you’re only putting out 5,000 letters, you’d miss it! You’d only get half — but how easily would it be if you weren’t tracking to think, “Five thousand seems like a lot — I’m sure to get the deals I need from that! I mean, shoot, 5,000 is about $5,000 in direct mail!”
But if you only send out 5,000 and your goal is 10, and you end up only with five — it’s not the letters’ fault!
Determining Where Your Business Should Go
In your business, you have to track in order to determine your ratios and your patterns so that you can determine your plan of action for your target goals.
Related: 5 Direct Mail Metrics Every Real Estate Investor Should Track Religiously
It’s like running drills at practice. Keeping score shows you what areas you need to work on and determines what “drills” you need to run in your real estate business in order for you to finally be ready for your championship.
Keeping score and tracking everything in my business has really helped us begin to make more gross revenue than I ever have consistently in the past.
We have data to determine what needs to be done, and if you do the same, I promise you that in a few months your business is going to look drastically different.
Entrepreneurs: How do you keep track of your business’s stats?
Let me know with a comment!
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks, and techniques delivered straight to your inbox twice weekly!
- Actionable Advice for Getting Started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
13 Comments
That’s a great idea Brett, especially for people working full time. It’s very hard to keep track of all the small details after you land a deal. It also helps to determine what advertisements are working and what is a waste of time…. Luv it
Thanks Erica, YES, It is good to keep track of what letters or postcards, or Google Adwords, or whatever you want to track is working so you can put more $ into what’s working. Thanks so much for the comments.. Brett
I wish I’d kept a score card earlier when I was doing direct mail. It didn’t cross my mind back then. Thanks for sharing how you use the concept of measuring.
Thank Kerry, I appreciate the comments, and hope you can implement this strategy. Thanks, Brett
Anyone willing to post their own score card? I’d have liked the author to have at listed the measurable points in his business? IE score card’ing is taken from management education. The difficult part is to state “measurable” issues, not fuzzy subjective issues.
IE
– mailed NNN letters vs goal of YYYY
– talked to MM sellers, made ZZ offers
– close offer ratio was 20% where goal was 50%.
One might want as a goal: found better lead sources. This is hard to measure, no mater how valuable… So this is not a 100% coverage of your business tactic in my view. Comments?
Hi Curt, Thanks for sharing and commenting. I would be happy to share our scorecard with the categories listed… Shoot me a PM, and I can send it to you.
We measure a lot of different categories depending on the person on our team.
I measure # of letters sent out
# of new incoming calls (For person take the calls
# of calls we missed (Ratio, as we like to miss less than 20% of incomg calls)
# of appointments set up from those calls
# of offers made
% of closing ratio out of this appointments that turned to purchase agreements, etc..
We have goals each week, and then the team sits down every Friday morning to go over the Scorecard and everyone fills out their own scorecard (As it’s a shared File)to see if we reached our Goals. .
Thanks for the advise, We should have added the categories in which we measured to this article. But anyone wanting to have a copy of our score card to get an idea of what we track, I would be more than happy to share. Thanks, Brett
Thank you for the supper ideas. What elements and numbers should I be traking? I’m just starting whoseling. Can you help. Thank you.
Thanks Kerry,
I can send my Scorecard what we track. But We typically Track:
How Many letters sent for the Week?
How Many Calls did we get from those letter?
How Many Appointment we went on?
How Many offers were made?
How many of the appointments turned into Contracts?
How much money was spent on Google Adwords on our website?
How many leads did we get from Google Adwords and from our Website?
How many deals did we get from our Website?
We track things like this, Hope this helps, I can send you my scorecard if need be. Thanks
Thanks Brett if you don’t mind sending me your score card with target numbers to strive for, so that I can get an idea of were I need to be, that would be great and much appreciated, My email is [email protected] thank you.
Kerry Thomas
Hey Brett,
Great point! Keeping score shows how the success is moving and where a person is going instead of just sitting stagnate. Thank you for putting out this good content!
Thanks Peter!
Great article! Coming from an accounting professing in the past, I’m starting to see how important numbers really are. Not just with traditional RE analysis and bookkeeping, but marketing as well. Best to you!
Thanks Dorothy, Best to you as well! Thanks for the comments!