Michael Choi: Five strategies to double your income

Michael Choi, founder of national real estate network Area Specialist, explains 5 ways you can double your commission income in the next 12 months.

No-one overcomes a problem by looking the other way or repeating the same mistakes.

That applies even more so in a competitive business like real estate, especially in a changing market like the one we have now.

Some agents think, “I had my best-ever year in 2021-22 when the market was hot, how can I possibly repeat that?” Others are nimble.

They adapt to changing conditions and not just survive but thrive. They don’t see change as a negative but an opportunity.

To be a high-achiever in real estate sales you need to plan long-term and prepare for different market conditions.

Here are key changes you can make to ensure that your 2022-23 is even more prosperous than the past year.

Increase your average commission per transaction by charging more

You know what value is, that is your business every day as a real estate agent.

Your keen eye and local knowledge allow you to quickly assess what a property is worth.

You back your negotiation skills to fetch the best result for your clients. But do you apply the same keen eye you have for a property to your own market worth?

Simply, a lot of agents are good at selling houses and not good at selling their own services so they reduce their fees. Doctors don’t do that, other professionals don’t do that.

Their fee is set and people respect that. Your clients will pay a premium for quality. They know they need to work with the best to get the best result and will pay accordingly.

Sell more expensive real estate

It is easy to get caught up in day-to-day pressures and lose sight of the big picture.

Your GCI might be trending down for this financial year compared with the last, so you react by putting your energy into your comfort zone, the segment of the demographic that worked for you last year.

But have you analysed the overall market to ensure your energy is going to the kind of properties which will grow your income as well as your reputation?

As an example, if you could move 30 per cent of your sales from a price under $1 million into a higher bracket, how much difference would that make to your GCI this year?

In current conditions, the strategy to increase your income could involve increasing the quality of the properties you sell. 

List twice the number of properties you did last year

Thanks to advances in technology, agents have never been in a better position to build their personal brand without the need to rely on the traditional real estate franchise model.

You have the opportunity to make the system work for you rather than working for someone else while paying a hefty percentage of your hard-earned commission for the privilege.

Your personal brand is so much more than a marketing exercise. It is about telling your story and it is vital you communicate that as effectively as you can.

You no longer need one of the big franchises to do that for you, or to pay the huge costs of advertising in mainstream media.

A social media strategy is essential to reinforce the message about your personal brand. An effective personal brand strategy sets you up to handle every stage of the real estate cycle.

Now is not the time to neglect your prospecting either.

Of course you should make those personal calls, keep in touch with past clients and generally keep your finger on the pulse.

As with social media, there are now other options to have office support with best-practice customer relationship management systems so no potential client slips through the net.

That kind of help is now at hand without giving up your hard-earned commissions.

Work twice as hard

When the going gets tough, the tough get going.

Since launching Area Specialist, we have continually seen that it is not the commercial track record or even experience in sales that predicts success.

It is all about the energy people bring to their role, their goals to be the best in their area, and their desire to help their clients.

They find the positive in any challenge. If the market is tighter, that means vendor expectations change and they are more willing to accept a reasonable offer.

Some under-performing agents will leave the industry, leaving more of the cake for the high-achievers. If you put in two hours extra a day, your career will build momentum and your results increase exponentially.

Start your own business and keep 100 per cent

Chances are if you talk with some of your colleagues about what they have learnt about the real estate business they will tell you the same thing.

The way to get ahead is to be your own boss. Otherwise you are paying a percentage of your commission to a franchisee and franchisor, the better you do the more goes to your boss.

That is why Area Specialist has expanded so quickly around Australia. Agents see they can build their own personal brand and immediately increase their income with most of them doubling or tripling in their first 12 months.

They have flexibility to work from home, from their own office or with other agents in an Area Specialist office. Crucially, they pay a flat fee of $1500 a month to be part of the network.

The harder they work, the more successful they become, the more money comes back to their pocket. The bottom line is this: they see the reward for all their skills, knowledge and hard work.

Most of them do double their income and some have quadrupled and have the confidence to keep that growth going whatever the market conditions.

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Michael Choi

Michael Choi is the Founder of Area Specialist, a real estate platform that helps top performing agents open up their own business without the cost, time or risk.

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