Prospective Agent's Necessary Considerations To Joining The Industry

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Hi, how long does it take, on average, for a new agent to close deals? how many deals to close to generate a min income of $12k per mth? how does an agent decide which sector (eg HDB, condo, landed, commercial) to focus on? Given the slow mkt, is it advisable to join the industry now? Thanks.

Posted by Anonymous - 2015-03-13 12:38:11 - Viewed 89 times

Answers (5)

Mervin Tang

Posted 2015-03-19 00:40:51

Hello Prospective Agent,

On your question above, there are many important aspects for your consideration. I will answer your question in 4 parts:

1. How long does it take to close your first deal?

For time to closing of your first deal, some do so really fast, and some never. In my case, I closed my first deal in 3 days of joining the industry. It was a chance mix of sheer luck and tenacity that secured that first deal for myself.

What you need to pay attention to are the commission payout timelines. For Local Project sales, the minimum timeline is between 3-6 months, International Projects pay out longer. As such new joiners need to pay attention to having sufficient savings and cash flow to tide over this period of time. My team newbie holds the Division record for fastest and biggest cases closed. $90k in 3 weeks working together with me in the context of a team based effort.

2. Choosing the sector to focus on

Yes, focus is necessary to build skills competence, however, today's market is such that your clients choose your focus area, not you.

A top sales person said, "I sell what the buyers want to buy, not what I want to sell."

Thus the easiest place to start is to start in the place where you have existing leads or are most familiar with. Therein building up your market share in the context of your business. Within this concept, also have a back yard focus that I call the GTA aspect of real estate. Everything that is in close proximity to your home should be a base area for you to work in. HDB, Private, Commercial and landed are all fair game.

3. How many deals to generate $12k a month

This question can be answered in many many ways. My approach is different. Real Estate should be seen as a business, and not a job. A job in this case meaning that you actively do your work and get paid for it. A business is one that generates its business daily.

I would suggest a different benchmark. I advocate a level of training and dedication from my associates that overtime, each of their clients will be worth $12k as a minimum benchmark from them. In this sense, the business and income is lifelong where you are now their advisor/consultant, and not purely a transactor. This is far more profitable and sustainable that looking to close 1 time deals.

The second perspective to this part of the question is simpler. Huttons Asia Pte Ltd is the market leader in project sales. In the current market situation, developers pay the highest commissions that private sellers or landlords simply cannot match.

Lastly,
4. Is it a good time to join the industry now?

In my opinion, now is the best time to join. 2014 and 2015 see the erosion of the sacred "exclusive agreement". In today's market, cases previously managed by close friends, relatives etc are all opened up. No blood relation can save you if the agent does not have the skills or competencies to move the units.

A case in point, all our top earners for 2014 ALL experienced an increase in income. It will be the same for 2015.

Hope this breakdown gives you a better insight into what you are looking for.

Best Regards,

Mervin Tang
Group Director
Division Lead Trainer, Project Sales, International Projects
CEA Reg No. : R030951Z
Huttons Asia Pte Ltd

Mobile: (65) 9184 0208
Website: http://sg-realestate-sg.blogspot.sg/
Sales Enquiry: mervintang.huttons@gmail.com
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