Keep the Best, Loose the Rest
For the most part, a broker’s split is based on a combination of 2 things – time in grade and sales volume. Neither will help your business grow over the long term. I think there is a better and more client-focused approach. Base the splits on client satisfaction. Here’s one approach:
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Get rid office politics by posting everyone’s split outside your door and track them on a monthly chart.
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Everyone starts at a 50/50 split.
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At each closing, the client is given a survey by the title company after the broker leaves. There are only 3 yes or no questions.
1. Were you happy with your broker?
2. Do you feel your broker deserves the $18,567.89 commission?
3. Would you use this broker again? -
For every positive survey (2 out of 3 or more “yes’s”) the broker’s split goes up a point in their favor, for every negative survey (2 out of 3 or more “no’s”) the broker’s split goes down a point against them.
In a short period of time, the ones who aren’t providing an excellent client experience will leave because they can’t make it. Those who provide an excellent client experience will stay and grow because they are being rewarded to do so and have the capital to continue to enhance their experience.
Go one step further and let them keep 95% of repeat business commission.
“But what about the huge operating expense to keep the office running?” you ask.
Over time, if your client experience is so good your at a 5/95 split with your brokers, you’re clients won’t care if your operating out of a shack.
How I’ll Hack Your Weak Password
A great post recently popped up outlining how a hacker can get your password. You can read the interesting details here:
After my Dad died, we found that he had password protected his Microsoft Money file. Fortunately for us he used a really bad password and after downloading a free cracker utility from the web, we cracked the password in 3 seconds (he used “bucks”). I tried this method below and gave up after 3 continuous days as the password still was not cracked.
As a real estate professional you’re responsible for a lot of sensitive client data as well as personal data. For those of you who’s passwords are based on your kid’s name, pet’s name, birthday etc. I’ve got an easy 3-step solution to have a different password for every site and NEVER forget it.
- Simply start with a base word – in this example I’ll use our dog’s name “Bashor.”
- Change one letter (at least) to a number like 0 (zero) for “o” or 3 for “E” or 5 for “s.” In this example I’ll change the “s” to a 5 – Ba5hor – Great now I have a base word that is extremely hard to crack since it contains upper & lowercase letters and numbers. Remember, the more characters the better. But we need a unique password for each site.
- Pick a consistent character or characters from the name of the website and append it to your base password. In this example I’m going to pick the first and last character of my banking site wellsfargo.com. I’ll take the “w” and the “o” and append it to the beginning of may base – woBa5hor. So my passwords begin to look like this:
www.countrywide.com: ceBa5hor
www.united.com: udBa5hor
www.schwab.com: sbBa5hor
This gives you a different password for each site that you’ll always remember and is really, really hard to crack (just remember to tell your loved ones about it).
Why do I Have 2 Keys?
I have a 1989 Grand Wagoneer. Great car, built like a tank back in the days when plastic was steel. But it has 2 keys, one round & one square. I have to keep both on my keychain and I have to remember which goes where. Sometime after 1989, American car makers went with a one key system. Much simpler and easier to use. 
I often see real estate professionals marketing themselves with 2 keys. They have one email address and a completely different web address. For example,
Email: johnC@springsips.com
Website: www.skitownhomes.com
Your prospects and clients have to remember your 2 keys. Why? Make it easy for people to remember how to find you. Market yourself with one key – johnC@skitownhomes.com – your email AND website all wrapped up in one key. It’s the little things like this that add up over time to produce a terrific client experience.
Every Broker Should Watch This – Redfin CEO Interview
In the mid-90′s when Dell announced they were going to use the web as their primary channel for sales, other computer makers for the most part ignored it. Around the same time I remember meeting with a prominent full-service investment brokerage, regarding their internet strategy, who completely discounted the internet as a viable channel for investments. Dell was right & the others were wrong. Dell has reigned supreme for almost 10 years and how often do you actually walk into an investment broker’s office?
The size and location of Steamboat provides a bit of insulation to disintermediation changes but all that does is buy you time. Redfin is out there looking to change the game. They’re not going away and even if they did, another would pop up the next day. Your 2nd home clients are going to begin expecting this kind of information, followed by your local clients. You’ve got some extra time – watch this interview with the CEO of Redfin and get busy.
Killer Application
Imagine you’re driving along and an important idea comes to mind. You NEED to capture it. Or you think of something you forgot and need to send a reminder to someone or remind yourself. You’re late for your appointment so you can’t stop – what do you do?
Enter Jott – Push the Jott speed dial button on your cell phone, speak your message and voila – minutes later your voice note has been transcribed into text and is in your email inbox – or your co-workers’ inbox, or all of your employees’ inbox – whatever you choose.
I think this service provides real value in that it leverages technology to truly help you remember, communicate and stay organized. Plus it is soooo simple to set up & use. I have a digital voice recorder that I use all the time but the one bottleneck is that I have to stop and transcribe my voice notes into my system manually. This service does that for me. Give it a try – it’s free for now so there’s no risk. I signed up yesterday and have already used it 7 times.
www.jott.com
I can’t for the life of me understand why cell companies didn’t think of this.
New Real Estate Reality TV Show
Here’s another one. I haven’t seen it but I’ve got tonight’s episode Tivoed
Description:
Real Estate Confidential
Most people only see their real estate agent when they’re touring houses or at closing. FINE LIVING’s Real Estate Confidential goes behind the scenes of the real estate world to find out what happens before the “SOLD” sign goes up! The action behind closed doors is an arena filled with enormous amounts of phone calls, wheeling and dealing, and the nerve-wracking rollercoaster ride of negotiations leaves homeowners’ lives hanging in the balance. We meet a team of hungry, funny, and professional real estate agents who show us how realtors price homes, how to best prepare your house for a quick sale, and what type of imaginative and often wild strategies work best in order to “sweeten the deal” when bidding on a home.
Move Up & to the Left Please
Seth Godin has a great perspective on buying a home:
http://sethgodin.typepad.com/seths_blog/2007/03/the_joycash_cur.html

What can you do to improve the buying experience?



Jay has proven himself over the years as an incredibly resourceful and inspirational business leader. I have known Jay in several capacities, from corporate strategist to self-made entrepreneur and have always been inspired by his abililty to see problems and challenges from a new angle. Not only does Jay naturally question the way in which things are done, but he has a gift for inventing superior means and solutions by which to be even more successful.”








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