Arizona Association of REALTORS GRI Module 100 Business Planning. Module 1 Journal Entries. Module 2 Journal Entries
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1 Arizona Association of REALTORS GRI Module 100 Business Planning Module 1 Journal Entries 1. Are you today where you wanted to be when you first entered the real estate business? 2. Is your income where you want it to be? 3. In your opinion, when did you turn the corner and get to where you are today? 4. What force or forces caused you to turn that corner? 5. Rate the following on a scale of 1-10: MOTIVATED? DISTRACTED? 6. Identify that which motivates you: 7. Identify that which distracts you: 8. Between motivation and distractions, which is the: Easiest for you to control: Easiest for you to submit to: 9. Is your private life an obstacle or asset to your business? Module 2 Journal Entries THINGS I LIKE TO DO: Include both business and personal THINGS I DON T LIKE TO DO: Include both business and personal Real Estate Skills Self Assessment 1. On a scale of 1 10 rate your Real Estate skills: ITEM: RATING PROSPECTING: Managing my farm
2 Calling FSBO S Calling EXPIREDS LISTING: My presentation Qualifying my sellers Pricing my properties Marketing my listings Counseling my sellers Negotiating offers BUYER CONTROLLED TRANSACTIONS: Finding buyer prospects Qualifying buyer prospects Locating properties to suit my buyer Showing properties Helping my buyers to decide Negotiating offers TRANSACTION SKILLS: Controlling the escrow Managing time Communication skills Avoiding management by crisis GENERAL KNOWLEDGE: My market Emerging trends My personal marketing program My use of the internet
3 My use of technology Interaction with other Realtors Module 3 Journal Entries PERSONAL BUDGET - MONTHLY CAR EXPENSES (personal vehicle) Car payment Gas Insurance Licensing Repairs Reserve for tires/batteries/etc. Other FIXED PAYMENTS Credit Cards Insurance o Dental o Disability o Health o Life Loans _ Retirement plan Other HOUSING Payment/rent Utilities Maintenance Other PERSONAL EXPENSES Child care Clothing Dry cleaning Dues/memberships Education/Tuition Entertainment Food/toiletries
4 Gifts/contributions Medical/Dental/Drugs Subscriptions _ Other TAXES Federal State OTHER TOTAL MONTHLY EXPENSE WHAT PERCENTAGE OF THIS BUDGET ARE YOU RESPONSIBLE FOR? BUSINESS BUDGET - MONTHLY Assistant/Independent contractor Business apparel Car Expenses Business vehicle Car payment Gas Insurance Licensing Repairs Reserve for tires/batteries/etc. Other Commissionectomies Dues/fees E & O Insurance Education Entertainment/Gifts Listing marketing expenses Monthly desk cost Personal marketing program Supplies Technological Tools Cell phone Digital Camera ISP Reserve for replacement (PC/Software/etc.) Other Other Other
5 AS A PERCENTAGE, WHAT IS YOUR PROFIT OBJECTIVE? % Your business monthly expenses Times your profit objective Your personal monthly expense YOUR MONTHLY INCOME REQUIREMENT Module 4 Journal Entries Strengths and Abilities My greatest strengths/ abilities/ traits/ things I do best: At least two things I can start doing/ do more often that use my strengths and bring me joy: Vision My Vision: Mission Statement Words to help you create your Mission Statement: Apply Develop Fulfill Change Cooperate Assist Illustrate Perform Act Encourage Promote Educate Create Support Market My mission statement:
6 Slogan My slogan: Business Objectives Some sample objectives to help you create your Objectives: Increase percentage of listings sold from % to % Reduce listing time on the market from average days to average days Reduce number of showings per sale to Increase ratio of listing presentations to listings taken from % to % Switch from % proactive methods to find buyers/sellers to % My personal objectives: Improve % of listings sold to listings taken by: My percentage of listings sold to listings taken is: First strategy Second strategy: 1. Increase your listing inventory by: Current inventory is: listings (Note: This will also be used in the Unit 6 calculation to determine Prospects Needed per Week). First strategy Second strategy: 2. Increase the number of buyers you will work with over the next 6 months by First strategy Second strategy: Current number of buyers you are working with is: 3. Improve % of listings sold to listings taken by First strategy My percentage of listings sold to listings taken is:
7 Second strategy: Module 5 Journal Entries Tracking Buyer Name 1. In your opinion, why did/didn t they work with you? 2. How did they find you? 3. How did you find them? 4. What did you do different than in any other transaction? 5. Can you repeat the success? 6. What can you do to improve the results? Seller Name 1. In your opinion, why did/didn t they work with you? 2. How did they find you? 3. How did you find them? 4. What did you do different than in any other transaction?
8 5. Can you repeat the success? 6. What can you do to improve the results? What did you do different than in any other transaction? Can you repeat the success? What can you do to improve the results? Time Management Keep A Time Log. This is how you are going to monitor your results What activities do you do on a typical day? How much time do you spend on them? How do you allocate your time to business? family? yourself? Elevator Speech Write down your elevator speech. Module 6 Journal Entries Step 1: Set Your Goals A. Income Goal $
9 B. Average Sales Price $ C. Average Office Commission Rate Per Side (%) D. Average Office Commission Per Side (B times C) $ E. Average Office Commission Per Side Less % For Services Fees, etc. 1. Write amount from D here $ 2. Multiply D times % noted above -$ 3. Subtract answer from D and write on line E... F. Sales Associate s Commission Split (%) G. Average Sales Associate Commission Per Side (F times E) H. Number of Closed Sides Needed (A divided by G) I. Number of Sides Under Contract (H divided by %) Step 2: Calculate Prospects Needed Per Week 1. Listing Sales Under Contract Needed ( %** of line 1) 2. Listings That Must be taken*** (J divided by %) 3. Market Presentations Needed ( times K) 4. Number of Weeks Worked Per Year 5. Market Presentations per Week (L divided by M) 6. Buyer Sides Under Contract Needed ( % of line l) 7. Buyers Needed ( times O) 8. Number of Weeks Worked Per Year 9. Buyers Needed Per Week (P divided by Q) *Reflects fallout ratio **Percent of total sides ***Reflects listings that don t sell Due to the nature of this class and the class exercises performed, commission rates will be used for the sole purpose of completing the class exercise. Commissions payable for the sale, leasing, or management of property are not set by any board or association of REALTORS, or multiple listing service or in any manner other than between the broker and client.
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