3 ways real estate agents can instantly increase their income

It’s that time of year again.

Every year it’s the same thing. The end of the year approaches, and brokers ask their agents to start thinking about next year, and they begin to encourage their agents to develop a business plan for next year. Were you happy with your work this year? Were you pleased with your closings? What will you do differently next year? These are the types of questions that you hear at the office meetings.

If you’ve been in real estate for any length of time, the preparation of the business plan and the encouragement to set goals is part of a cycle and the same questions arise about this time every year. The best agent I know believes that the only way to see loads of closings in January is to put loads of deals in your pipeline in September, October, and early November.

He believes that this will pump you up and get you motivated because you begin the year strong. Makes sense, right? If you start winding down around Thanksgiving, you may not have another closing until February. And, if you consider real estate your full time gig, it may be hard to make ends meet without those regular closings.

3 Ways to Instantly Increase Your Income

If you are a residential specialist in your local area and you are looking to boost your income and your closings in 2014, there are many things that you could do to revise or adapt your current business model. Here are some things that you may want to add to your real estate bag of tricks:

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1. Short Sales. If you are one of those people that hates the paperwork and the general dysfunction associated with working on a short sale, you may want to think again. According to RealtyTrac data, there are still 19 million borrowers that are underwater on their mortgages (25.3% of all homeowners with mortgages) that may need your help today. Consider marketing for short sale listings and co-listing with a short sale specialist.
2. Property Management. In the past six years, millions of homeowners have become renters. Consider the steady income associated with property management as a great way to pay the bills in good and bad economic times.
3. New Neighborhoods and Farm Areas. What’s the average sales price for your closings? Are there local neighborhoods that have a higher median sales price? Market in new areas where the median sales price is higher and you can increase (possibly making more money, while closing fewer transactions).

Of course, when considering ways to change your business plan, you have to give to get. If you expect to increase your income and your market share in 2014, you may need to spend time and money in order to get in front of the clients that you want. Don’t just sit around the office and wait for the phone to ring. With landlines becoming increasingly obsolete, there’s no excuse for sitting around anymore.