Here’s a detailed look at how to make $200,000 as a real estate agent.

Today I want to talk to you about your economic goals. Do you know how much money you want to make in real estate and how to get there? If you don’t, you’re in luck because I’m going to teach you today.

Let’s just say for the sake of this scenario that you have a goal of making $200,000 this year. It would be nice to just get checks that add up to that amount, but that’s not how it works in the business. The IRS wants some money, you have expenses, etc.

“You will need to move 40 units to reach those hypothetical income goals.”

When compared to your GCI as a whole, your net income should be 40%, operating expenses 30%, and cost of sale is 30%. If we take your net income of $200,000 (40%) then add $150,000 (30%) for expenses and $150,000 (30%) for cost of sale, you will need to have a $500,000 total GCI to make that $200,000 in income. When you take that total GCI of $500,000 divided by the average commission of $12,500, you find that you also need to sell 40 units each year to reach those income goals. 

Next, look to see how many sellers and buyers you’ve worked with in the past year. Check out a detailed mathematical breakdown of the  buy- and sell-side commissions at 3:00 in the video above. When the math is all done, we find out that you would need 36 total buyer appointments and 36 total seller appointments equaling 72 total appointments for you to reach that $200,000 income goal. That’s an average of six per month and just one and a half per week. You can certainly handle one and a half new appointments each week.

Reaching your income goals in real estate doesn’t need to be daunting. Every great journey starts with one step, and that one step for you is the one and a half appointments per week.

If you have any questions about how to get more appointments, reach your real estate goals, or the real estate business in general, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.

Elizabeth “Liz” Heaphy-Benuscak
Mobile: (845) 480-4086
lizbrealestate@gmail.com