2025 Housing Market: Insights from HomeSmart’s Top Executives

Summary

Stay Paid Podcast

Episode: 2025 Housing Market: Insights from HomeSmart’s Top Executives
Release Date: December 9, 2024
Hosts: Luke Acree and Joshua Steich
Guests: Todd Sumney and Rich LaRue from HomeSmart

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Introduction

In this insightful episode of the Stay Paid Podcast, hosts Luke Acree and Joshua Steich welcome Todd Sumney and Rich LaRue from HomeSmart to discuss the evolving 2025 housing market. Todd, as the Chief Industry Officer at HomeSmart, oversees branding and marketing initiatives, while Rich, the Vice President of Corporate Brokerages for the western region, manages alignment among market leaders and brokers across multiple states, representing approximately 12,500 agents.

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Current Market Landscape and Future Outlook

Time Stamp: [02:30]

Luke opens the discussion by addressing the numerous challenges facing the real estate industry, including commission lawsuits, low inventory, high interest rates, and shifting political climates. He inquires about HomeSmart's perspective on these changes and seeks advice on how agents can navigate these turbulent times to achieve success in 2025.

Rich’s Perspective: Rich emphasizes that "change is the only constant in real estate" ([00:30] D). He underscores the importance of adhering to fundamental marketing principles rather than chasing fleeting trends. According to Rich, "relationship building and serving your clients" remain the bedrock of sustained success, even as marketing techniques evolve with technology.

Hope for 2025: Rich reflects on the tumultuous year of 2024, describing it as "a brutal year" ([04:02] D). However, he remains optimistic, pointing to a renewed sense of hope observed at the NAR convention in Boston. The key focus for agents, he asserts, is cultivating the right mindset, which he views as the most powerful tool for overcoming challenges and building a resilient business ([05:12] D).

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The Power of Mindset and Consistency

Time Stamp: [05:36]

Joshua challenges Rich to provide tangible examples of maintaining a positive mindset. Rich shares his personal routine, highlighting the importance of starting the day early with exercise and meditation. He explains how waking up at 5 AM, initially prompted by his puppy, has become a cornerstone of his daily discipline: "If you can just get that first hour right, the rest of the day seems to fall together" ([07:55] D).

Accountability Tools: Todd adds that accountability is crucial for maintaining consistency. Using tracking apps, Rich monitors his progress, reinforcing his commitment to daily routines. Todd notes, "Accountability is a coach. It helps you achieve more if you embrace it" ([08:34] C).

Actionable Advice: Luke echoes the sentiment, emphasizing that success in real estate isn't just about strategic marketing but also about disciplined daily actions: "Success really comes down to your ability to manage your calendar and do what you said you were going to do" ([12:14] A).

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Building and Managing Relationships

Time Stamp: [21:37]

The conversation shifts to lead generation and the importance of relationship-building activities. Todd and Rich advocate for strategies that foster genuine connections rather than high-volume outreach. They discuss various methods such as phone calls, texting, handwritten notes, and neighborhood reports, all aimed at nurturing relationships.

Deep vs. Wide Outreach: Rich champions the "go deep" approach, focusing on developing meaningful relationships with a smaller group of clients. He explains, "If you can have 25 card carrying members of your fan club, you will never want for referrals" ([25:46] D). This strategy contrasts sharply with the "go wide" method of mass marketing, which often leads to burnout without substantial returns.

Success Stories: Josh shares examples of top agents like Frank Assoldi and Garrett Maroon, who have achieved remarkable success through concentrated relationship-building. Frank manages nearly 200 core relationships, resulting in $100 million in annual volume, while Garrett’s focused database of 287 leads supports 88 transactions ([27:20] A).

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Database Management and Organization

Time Stamp: [35:26]

A critical takeaway from the discussion is the necessity of organizing one's database. Both hosts and guests agree that a well-segmented and managed database is essential for sustained growth. They recommend starting with a manageable list of contacts, segmenting them into categories, and gradually expanding while maintaining organization.

Practical Steps: Luke provides a clear action item for listeners: "You must segment and get your database in order. Spend the time to do that." He suggests beginning with trusted contacts and systematically expanding the network ([37:55] A).

Common Pitfalls: Many agents struggle with database management as their business grows. New agents often overlook the importance of early organization, leading to cluttered and ineffective contact lists. By establishing a structured database from the outset, agents can efficiently manage and leverage their relationships for ongoing success.

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The Role of Empathy and Service in Real Estate

Time Stamp: [30:55]

Todd and Rich emphasize that empathy and genuine service distinguish top agents from the rest. Their discussion includes insights from a study on DISC profiles, revealing that top 10% agents excel in empathy and commitment, fostering long-term client relationships over mere transactional interactions.

Key Attributes: Successful agents demonstrate strong empathy and a commitment to serving their clients' needs, aligning with the inherent relationship-focused nature of real estate ([30:55] C). This approach builds trust and encourages repeat business and referrals.

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Conclusion and Action Items

Time Stamp: [38:03]

As the episode wraps up, Luke encourages listeners to implement the discussed strategies:

1. Organize Your Database: Start small, segment contacts, and maintain consistent engagement.
2. Focus on Relationships: Prioritize deep, meaningful connections over high-volume outreach.
3. Maintain Consistency and Accountability: Develop daily routines and use tools to track progress.
4. Embrace the Right Mindset: Cultivate a positive, proactive attitude to navigate industry challenges.

Todd and Rich provide their contact information and promote their podcast, Real Estate by HomeSmart, available across various platforms for additional insights and strategies.

Final Encouragement: Luke leaves listeners with a powerful message: "Take action today. Start small, be consistent, and build those deep relationships to thrive in 2025."

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Notable Quotes

• Rich LaRue: "Relationship building and serving your clients... drives results." ([02:30] C)
• Rich LaRue: "If you can just get that first hour right, the rest of the day seems to fall together." ([07:55] D)
• Rich LaRue: "If you can have 25 card carrying members of your fan club, you will never want for referrals." ([25:46] D)
• Todd Sumney: "Accountability is a coach. It helps you achieve more if you embrace it." ([08:34] C)
• Luke Acree: "Success really comes down to your ability to manage your calendar and do what you said you were going to do." ([12:14] A)

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This episode provides actionable strategies for real estate agents aiming to excel in a dynamic market. By focusing on mindset, consistency, relationship building, and effective database management, agents can navigate challenges and achieve remarkable growth in 2025.

Transcript

[A]

Welcome to the Stay Paid podcast where we help agents and entrepreneurs master the latest business trends to unlock growth and create a life of freedom. Brought to you by Reminder Media.

[B]

Welcome to Stay Paid. I'm Joshua Steich.

[A]

And I'm Luke Acree.

[B]

And before we bring on our guest today, we'd love it if you take a minute to subscribe to Stay Paid on Apple Podcast or Spotify if you're not already subscribed. While you're there, drop us a review. We will read it here on the show. This week's featured review comes from Coach via Apple Podcast.

[A]

There we go.

[B]

I think that might just be a handle, but be cool. It's a coach.

[A]

That's not a bad name. Coach.

[B]

Good name, they say. One of the best podcasts for agents. 5 stars. Great podcast with actionable strategies you can implement today. If you don't, it's your own fault.

[A]

Thank you, Coach. But the only thing I heard in that is one of the best. Why are we not the best?

[B]

We have one of the other best on the episode today. With us today we have Todd Sumney and Rich LaRue from HomeSmart and the real estate podcast. Todd is the chief industry officer at Homesmart, responsible for the company's entire branding and marketing initiatives, including a heavy emphasis on providing marketing tools and media for Homesmart franchise and agents. And Rich is the vice president of corporate brokerages in its western region at Homesmart, overseeing and ensuring alignment among market leaders and brokers across California, Arizona, Colorado and Texas, representing around 12,500 agents. Gentlemen, welcome to Stay Paid. Thanks for being here.

[C]

Oh, we're to be here. Yeah, we are.

[A]

You guys are the real deal. I've gotten the chance to know you over the last couple years and, you know, been following a lot of what you're doing. We also have a awesome new partnership that's been rolling out with Home Smart. So I've gotten a also peek behind the curtain a little bit of what you guys are doing as a business. And we just love everything that you guys are about. I'm interested, though, to pick your brains. You've been in the industry a long time, so you've seen the ups and downs. You're very high up in a big organization and I'm curious where you guys see the market today with all the changes that have happened, from commission lawsuits to low inventory to high interest rate. Not to get doom and gloom on us here. Politics changing. Like there's so much change as you look to 2025. What are you trying to encourage agents to Focus on and do in order to be successful and make it their best year.

[D]

Go ahead.

[C]

Go first.

[D]

Go ahead.

[C]

All right.

[D]

About cleanup.

[C]

For the last year, we have been talking about change is the only constant in real estate. Literally, our industry changes every day. Interest rates change, inventory levels, prices change. The market changes every single day. And yes, we've had some other industry changes going on, but top agents, top teams, they always find a way to thrive in any market. And so even though it's a different year and we're calling, we're kind of really, our mantra next year is thrive in 25. We want to thrive in 25. And the thing that we have seen, that I've seen over my career is that really, the tried and true marketing principles, they are the best at getting results, and it never changes. It just what changes is getting better at those marketing principles and not actually chasing shiny objects. Yes, we need to adapt a little bit, but really stick to the basics. And that's why we love how your company has had tried and true marketing for years. And yes, you've modified it a little bit. You've kept up with the times. You've layered on top of it new features maybe based on technology, but the tried and true principles of relationship building and serving your clients, that's what drives results. That's my point of view.

[D]

I'm excited for 2025, because if our mantra is thrive in 25, we got gored in 24. And I mean, it's been a brutal year. Let's not pull any punches about it. And I think that there's a lot of agents that are licking their wounds. And it's been a tough year, but I'm very hopeful for 25. I think that we've been through the worst of it. I think that. Well, I was in Boston at the NAR convention, and there was a feeling of hope there that I hadn't really felt throughout the year. And so it was very encouraging. And So I think 25 is going to be a great year. And the number one thing that I'm talking to agents about right now is mindset. That's their biggest tool that they have at their disposal is to make sure that their mindset is ready to jump in. Let's get that right. And the tools that you put together to build your business will come about, but it's all mindset.

[A]

I tend to agree with that. When you think right mindsets, which I feel like everybody agrees with, it's almost something where they go, yeah, yeah, of course you got to have the right mindset. How do you tangibly, how have you lived that out like tangibly in your life, Rich? Or how do you try to coach agents to have the right mindsets? Like what are things that you coach them to do?

[D]

Well, I am happy to share with you. What I've been doing is getting my tail up every morning early and working out. You know, we got a puppy this year and I promise the story will make sense in a minute. So the puppy was getting up really early. He was getting me up at 5am and I had normally slept in a little bit later, but he's getting me up at 5am, he's training me. And so with that then I started working out consistently every day, which I had been doing, but I started adding to it. Exercise clears the mind and gets you ready for the day. If you get up a little bit earlier, you have a jump on the day. And so now the dog has gotten a little bit older, the puppy, and he's sleeping until seven. But he's got me trained. I'm up at five to do my exercising and meditation and getting ready for the day. And that's really what it is. You know, we get so caught up in the day to day stuff that happens and we become a victim or we become reactionary to the day that if we can take a few moments in the morning and be intentional about that and however you go about that, some people will meditate, some people will pray, you know, whatever it is, whatever that practice is to find that space where you can step back and have a clear head to start your day and be intentional about it. You know, if you can just get that first hour right, the rest of the day seems to fall together. And in real estate and you can tell, you know, I've, for those of you who are watching this and not listening, when I got into real estate, I couldn't even grow facial hair, let it have come in white. And so this isn't my first rodeo and I've been reactionary and I've been thrown in the river and had piranhas come after me. Right, Metaphorically of course. But we have to be intentional about our day and that's one way that I can stake my corner there. And it really helps me.

[C]

And he's been very intentional and I'm going to layer on, tell him accountability is a large part of it. And he tracks on his mobile phone, he has an app. So literally he tracks every day. So it's been how many days that he's gotten up and done what he said he was going to do. And so it's like, you know, some people are afraid of accountability. Accountability is a coach. It is something that. And in this case, it's an app, but it is, it's accountability and it helps you achieve more if you embrace accountability. And I love the fact that you have that app and you use that app.

[D]

Yeah. Because it's a promise to myself. It is. It was a couple of years ago and, well, I guess it was February 19, 2022, so. February 18, 2022, I listened to a book by a fellow podcaster, Gary Vaynerchuk. Gary V. Most everybody who listens to podcasts knows who he is. The book is 1212 and a half. And I can't tell you what that book was about. However, one of the things that he threw out there was, was guys our age can benefit greatly by doing pushups. And I'm going, well, I can do pushups. So I've been doing push ups now for 1009 days consecutively.

[A]

No way. Wow, man.

[B]

Weren't you doing that for a little bit?

[A]

No, I never did the push up thing. I did 70. I did 75. Hard is probably what you're thinking of. Cody Askins did the push up thing, who's a guy in the insurance space. Like, he's almost like the Tom Ferry of insurance, but he, he does that same thing. He did like a hundred push ups a day for 365 days straight or something like that. Transform.

[D]

I'm not that enthusiastic about it. It's the consistency. I'm not doing 100. I got up to 50 and that's where I level out. And I can bang out 50 pretty, pretty quick. And for a guy my age, you know, okay, I'm good with that because of the consistency. But it's not just the pushups. It's not just the consistency. It's the fact that I've made a promise to myself and I'm intentional about it and I bang it out every single day. So I can start my day by saying, all right, I got that. If everything goes to crap, the rest of the day, I got the first stuff right. So I do a couple of other things working out too, but it's all centered around that, making sure that I start my day right.

[C]

So let's bring it back to real estate real quick. So Rich and I, we have talked about this in front of our agents for the last year, and then we bring it to real estate and we talk about choosing to do the right marketing actions and Then making a promise to yourself and then executing them. And it starts with just a plan and a commitment. It could be just on one piece of paper, it could be in an app and it's a promise to yourself. But two nights ago we had an event here. Rich and I were both at the event and an agent came up to us who had been to one of our sessions and she said, I did it. I did 30 open houses in 30 days.

[A]

Yeah, get out of here.

[C]

And she said, we. What were the results? She said over 300, 400 buyer partners that we're working with, that we're helping our customers, but more importantly, nine closed transactions in the month of December. So she started this three months ago. So that's 120 days ago. 120 days ago. She made the commitment, did a little planning for the first part, then she did her 30 days of open houses and she was reaping the rewards.

[D]

It's the consistency that makes the difference because we all get fired up and we'll go out there and do an open house and might even do two over the weekend. But it's not about that. It's not about burning yourself out, you know, it's not about doing 200 push ups and hurting yourself. It's about doing a few and doing it every single day.

[C]

Right.

[D]

And doing the open houses every day. And that's tough for a lot of people because it's every single day. She did it, you know, she didn't take a day off. And that consistency creates the momentum to get the business and much wisdom there.

[A]

So much. It's interesting that the more I'm in this industry and watching agents try to execute sales and marketing plans, the more I realize like success really comes down to your ability to manage your calendar and do what? And that's just a way to say to do what you said you were going to do and what you put on that calendar has to get done. And it's like that's almost where I'm starting with agents now when building out, trying to help them is going, hey, we can talk about what you post on social and I have great ideas for that. We can talk about what you put on your direct mail pieces, all that stuff. But I want to know like, tell me what you've done today so far. Like when we're recording this right our time, what is it, 3:22 or something like that. It's like okay, it's 3:22. What have you done since 5am this morning? Walk me through what you've done and do you know what you've done? And was it planned or was it, you know, popped up? Because it tells you everything you need to know, like, and if you can get that in control, which speaks to the consistency of owning the morning of what you're saying, Rich and all that, it's like incredible what it does to your life. And I think what happens to most agents, which I don't want people to miss, is like, Todd, what you said is if you don't have accountability, what happens to all agents, myself included, is you want to hide failure naturally, you want to avoid pain naturally. But when you avoid pain, when you hide failure, you're giving power to the pain and you're giving power to the failure. When you just state to people, your failures that you're not afraid to fail in front of people. And when you go into the pain of the cold calls or the open houses, the push ups, you actually have power over the pain, power over the failure. It doesn't have power over you. It's like people will say, oh, you failed at that. Yeah, I know I failed at that. I don't care. Everybody can know I failed at that. It has no power over me. I'm just moving forward. Most agents I see this with, agents that I work with, one on one, they don't want to tell you what they've done all day because they're, they want to just avoid the failure. I kind of, you know, watched too much on my phone or whatever. It's like, no, no, no, you're giving power to that. You've got a voice. Yeah, this thing has no power over me. And, and I think so few people realize that it's not really the marketing strategy, even though you should have good marketing strategies. Yeah, it's really how you run your day calendar wise in your consistency and.

[D]

To piggyback on that. So it's, it's having the power over your emotions. Yes, you need to have control of your, your calendar, but it's our emotions, it's our moods. If we can, if we can control that, if we can control our reactions, then, then the rest of the day it just, it just works. I know I get all touchy feely about this crap, but it works. At least it works for me. And I think that there's somebody out there that, that will resonate with, you know, by, by having that control, having that power over it. I mean, it's speaking directly to what you're saying. And in doing that, we stay on point, we stay on our Calendar. We stay on task to. To get things done right. We.

[A]

What are we missing? As. As leaders in the real estate industry or, you know, people would say we're thought leaders. Right. Where you guys are leading thousands of agents and we're working with thousands of agents. Like, why? What are we missing? I've reflected on this a lot, and I can't figure out the answer. So why is the failure rate still so high? Why, if the knowledge is out there? You guys have an incredible podcast, the Real estate show, and you know, we have to stay paid. We're bringing all this info, but agents are still not doing the work. What's your thought process on that? Like, how are you guys trying to attack. Because I really. That's been on my mind lately of, like, how do I attack this in 2025 to actually make a difference for these people? Do we need to get more aggressive in calling people out? Like, what is it that of why the failure rate is still so high and agents don't do the work?

[D]

There is no magic pill there. That's. That's what a lot of agents are looking for. They're looking for the one thing that will make all the difference in the world. If I do this one thing, it will transform my business. And while yes, there probably is one thing, but that one thing is inside us, it's not outside. We're always looking for something outside ourselves.

[A]

Right.

[C]

But to answer your question, though, Luke, I think that we as leaders have an opportunity to just continue to spread the message and to say it over and over and over again. Because each time we say it, there's a group that hear it and a group that apply it. But there might be a group that they're just not applying it, but then they hear it the second time or they hear it the third time or the seventh time. What? The seventh time? And that's the whole. The whole thing that I think that we as leaders in the industry, we have the lucky. We have the. You know, we are lucky enough basically to work with top agents all over the country. So we hear on a regular basis. That event two nights ago when she came up and said that that bolsters my fortitude to continue to preach the message because someone adapted it and took it and did it and it worked. And it doesn't have to be open houses. It could be your plan and your process that you have with reminder media. That's one thing that I love. You have that day where you get off track. You don't do something, you know, and instead of focusing on your failure. Like you said, if you have a system and a process that, hey, every day I'm supposed to do this, just get right back to the system, get back to the process. And I know you and your brother have implemented what you have built at Reminder Media in your own local area. And so you have the process down and then you communicate the process. So I think we just as leaders need to get our agents back to continue that process. If you missed it today, no problem. Start back up tomorrow and just start with that system. But get back to the system. And if you're following a system, it's faster and easier. You don't have to think about it, they don't have to go try to create it. They just need to follow what you've built or follow the ideas that we talk about. Does that make sense?

[D]

No.

[A]

It's such a golden nugget. On even the marketing side, you think about like us leading Reminder Media and you go, yeah, people can't hear a message one time and it stick. It might for one person out there that I was at the right moment. Right.

[B]

But biggest mistake, I'll be like, but I said that, I said that, but I didn't say it 27 times. So.

[A]

But. And this is probably like too soon, right? Because politics, we're all sick of it. But if you think of like politics, they, they teach you a ton about marketing and leadership and all that stuff and how often is it about the message and staying on message and repeating the message and hammering it and hammering it and hammering it. And they'll even say you lose or win elections at your ability to stay on message and hammer it over and over and over again.

[C]

Right.

[A]

And it's probably, you know, self reflecting. It's like I teach people all day that you can't market one time and expect a raving fan, you can't share with an agent one time that they need to be consistent and expect them to get it, that they need to be consistent. It's like as a leader, you should be consistent. Yeah. Over and over and over again to them. Because that is essentially what marketing and what leadership is ultimately is consistently showing up and reminding people of the vision over and over and over again. I'm curious with you guys as you're looking towards, you know, 2025 and we're pretty much in it now because I'm sure this releases first of the year.

[B]

No, no, this comes out next week.

[A]

Oh, it comes out next week. Okay, there you go.

[B]

Second week of December.

[A]

So here's what? Like we just went through a webinar with people, walking them through how to do planning. Yeah. Marketing plan, essentially. And the way we talked about it was you got to determine. Well, the way I view it is you got to know your purpose, because that's what's going to keep up. To do your plan, then you've got to set your goal based upon that purpose. So what gets you closer to your purpose and what goal is it? And for most people, it's a monetary goal. They want to make, you know, let's say six figures, or they want to make a certain amount of money so they can do XYZ for their family for them, all that good stuff. So then you got to figure out from there if I'm going to want to make 100k, then I what's my average sale price? What type of volume do I need to have based upon my commission that leads me to the number of deals I need. And then that is what do I need to do to get those deals. Which is the actual activity, the what we would call like the source. Where are they going to come from? You know, and then it's like the activity. How are you going to go and work that source? And so we just went through a whole webinar on that. What are you guys seeing in terms of goal setting and the sources that they should focus on? You mentioned open houses for this lady that she did really well. Are you guys seeing certain sources work better than others?

[C]

Anything that's relationship building.

[D]

Yeah.

[C]

That is what works best. That might be picking up the phone and calling. It might be texting. It might be sending someone a handwritten note stapled to your American lifestyle magazine from Reminder Media. It might be what we call a neighborhood report. We're big fans of sending out valuable information to homeowners about. Here's what's going on in your neighborhood. Here's how many homes right now are for sale that aren't under contract. Here's how many for sale that are already under contract. Here's how many have sold in the last six months. The price range for these homes was between this and this. And I know that according to the records, you've owned your home for over four years. You have at least you have a good amount of equity in your home right now. We just want you to know we're here to help you serve. If you ever have the need to buy or sell, you know you're giving them a neighborhood report. Those neighborhood reports were phenomenally. I'm big fan of Those. But the idea is you're building a relationship with someone. I'm Todd. I'm your neighbor. Live on the same street. I want you to know what's going on in our neighborhood. And sometimes you're picking up the phone and it has nothing to do with real estate. You're picking up, hey, I know you're, you know, used the example before. I know you're in your church choir. You know, your church band. How's it going? You know, last Sunday, what? I know you had a big day. How did it go? You know, if you genuinely care and want to serve our customers, that to me is relationship building. And that is what real estate is all about.

[A]

Would you agree?

[D]

Absolutely. And for some people, open houses just aren't their thing.

[C]

Yeah.

[D]

And so that's okay. There's dozens of different lead generation activities. Find something that resonates with you and do that. But it is all about the relationship. You know, we've been through sales training and there's, there's still a few sales trainers out there that are just about making the calls. You know, you got to do so many calls a day. You're going to make calls until you make an appointment. If you don't make an appointment by lunch, you don't go to lunch. You stay there and you just grind through the calls. You can take one look at me and tell that that doesn't resonate with me, all right, I'm not going to miss a lunch. And so it's just about finding what works for you and what you will do to grind through, to work on those relationships. Because at the end of the day, this is a relationship business. What you said about the church choir, you got to find those things.

[C]

But that's where there's the opposite of strategy, of the, okay, you got to do all these calls and it's a volume thing. Then there's the opposite approach of here's 300, 400 people that I am really. And you and I have talked about this a lot.

[D]

We argue about this online all the.

[C]

Time that we're going to go really deep with and we're going to make sure that those 300, 400 relationships are strong and that we are serving them, we're providing them value, we're there for them, and also that we care about them. Because at the end of the day, we really are trying to help people achieve homeownership or achieve their real estate goals and starts with the relationship. So go deep is another strategy on 300 or 400. Right.

[D]

There's a new agent out there listening to this thinking, oh my gosh, you know, people have been in business forever and they've got thousands and thousands of clients, you know, or they've got a farm, a geographic farm that they're hitting where there's 10, 15, 20,000 people that they're bombarding with information all the time. And it's not about that, you know, it's not about going wide, it's about going deep. If you can have 25 card carrying members of your fan club, yeah, you will never want for referrals right now if you can work it all the way up to 50 or 100 people like that, you're set for life. You're a beautiful business.

[A]

Yeah, we have proof of that. I mean, we just interviewed Frank Assoldi, who is out of Westfield, New Jersey, does about 100 million in volume every year. He's been in the business almost 30 years now. He's been a longtime client of ours and he's. What do you say it was 200 core relationships that he has? His database is almost 410,000 people. Yeah, it was like 10 to 12,000 people in his town and almost 200 relationships. And this guy is a top producer now. He's in the luxury market. So I think 1,000,005 was his regular price range. So lucky there. We told him, Frank, you're lucky man. You know, got that high price range. But, but he's a testament of. And he said to tie it back to what we were just talking about. He said, the problem with new agents is it they don't realize that it takes a long time and you got to stay with Denise. Like, he's like, I go to dinners in town all the time to meet.

[B]

People, just to be seen, just to.

[A]

Be seen, just to get out there. He does cards for his people, he does our magazine, he does a bunch of different, different stuff. But he only has. Here's a guy that only has 200 solid relationships, but they are deep solid relationships and he's doing 100 million in volume. Then you have Garrett Maroon, who's a friend in client of ours in, in Hampton Roads. He had how many? 287 in his database and he did under 300. Yeah, he did 88 transactions. Because Garrett, I mean, lives in Breeze Preaches. He goes, it's six degrees of separation. He goes, every one of those people, if they're true to me, if they're really true, they know five to six other people. And he goes, you think I only have 287 or whatever in my database. I don't, I have thousands.

[C]

Right.

[A]

I just have 287 people that I'm really solid with because they also know six people. And those people know those people. And he goes, that's all you need. And I mean the guy's living proof, proof of it. It's great.

[D]

Yeah, it's.

[C]

You're exactly on point. One of those 287 people has a brother who, his sister has a co worker who just got engaged and needs a home. Right. It's that, it's that connection of the four or five lay that connect him that, hey, this is the person you need to talk to.

[D]

And somebody else in there, one of their brothers in law is licensed, but he's not going to get the business. No, seriously. But who gets the business? The guy with the 287. Absolutely solid relationship. He gets the referral. Yeah. Or she gets the referral stat.

[A]

I haven't verified it, but I saw stat that basically said it's essentially about half of your database right now knows five other agents, just like they know you. Statistically it was like 49%. I think Jimmy Mac put it out 49% of your current database. So if you have a hundred people in your database, 49 of those people know five other agents right now, just like they know you. And once you start understanding what that means, you go, oh my gosh, I mean you can throw a rock. You can throw a rock and hit a real estate agent. So what is the differentiator? What's the separator? And every agent knows there are agents that do better service than others. Right. And there's people that have better tech, but it's not really going to be the tech and what your offerings going to separate you. It's not like you have a software offering that's different from this software offering. No, no, no. It is literally you, like you're, you're the differentiator. Your, your ability to build a relationship and get your brand out there is really going to make the difference. And the problem I see, and I don't know if you guys have seen this within your agents, is relationships are by nature long term. Like you can't build a relationship instantaneously because it takes trust. And trust is not something that is given right away. It takes time. Right. And so there's a lot of things that go into building relationship. And because it's not instant gratification, that is why agents don't focus on it. It's why they run to the legion because it's not instant gratification.

[D]

They're looking for the magic pill, right? Yeah, exactly.

[C]

But you know, we did a study years ago on you've. I'm sure you've heard of the disc profiles, the dsc. Right. And we had as many of our agents fill out those profiles as possible. And then we looked at all of the data that came back and we looked, what's the difference between our top 10% of our agents and the rest of the agents? What, what is the difference? And what we saw was everything was the same except for in one area, the top 10% agents were off the charts on empathy and caring and serving, which leads to long term commitment. Because if you're a. There are some salespeople in the retail industry maybe that, you know, they just care about that sale right then and there and they're chasing and they're chasing and they're going to sell you something whether you need it or not. That's not the real estate industry. The real estate industry is long term, deep commitment to our clients. And I think it shows in the data. Right, right.

[D]

Yeah.

[C]

So I, So were most of them.

[B]

Like in the disc, were they mostly S's or were they. Because I would think I, the, I would be the more like influence.

[C]

Yeah, they're very much on the. I.

[D]

Yes, very much.

[C]

But very strong on empathy and service.

[A]

Off the charts, which you are correct. You don't see that as often in a lot of sales based positions that are out there.

[B]

The service.

[A]

Yeah, the service aspect. But it makes so much sense on the real estate side because of the relationship. And I wonder, I bet financial advisors and stuff like that would be very similar that successful financial advisors have that built in as well. Man, I feel like I could talk to you guys forever. We're just getting started here, but tell us a little bit about the real estate you guys show. I want people to know about that. They can go, you know, check that out. Tell us why did you start that? What is the kind of passion behind that?

[C]

Take it.

[D]

Well, you started it.

[C]

Oh, well, we started and I just.

[D]

Got to jump in midstream.

[C]

We started it because it came right from that service oriented heart. We wanted to help agents serve more clients, more buyers, more sellers by learning from other top agents. And we wanted to share bits of information like what I just shared with you about service, not sales. So in order to do that, we created the podcast. We started interviewing top agents, interviewing top brokers, interviewing top marketers like yourself and just teaching and hoping that the agents could absorb it and be inspired and then go apply it. And so the audience of the real estate podcast is real estate professionals who want to serve their clients better by learning. Yeah, yeah.

[D]

And basically our audience just gets to listen in on a conversation like this that we're having. Yeah. And they get to go along for the ride. You know, it's not very scripted, if at all. Maybe a couple of bullet points here or there, because we want to see where the conversation goes. We want it to be authentic, which is also what I see you doing with your podcast. You know, it's, it's real time. Somebody says something, your guest says something, and. And you jump on that. You, you, you ping off of it and, and go a little deeper.

[A]

I've always said, I think what makes a great podcast, because I think you guys have a great one, people should check it out, is just natural curiosity like that. That's what I'm just naturally curious based upon what people say, because I want to learn myself. What do you think has been the number one takeaway or top two takeaways for after interviewing and talking to a ton of people that you've gotten out of the show?

[D]

The diversity of people in general and what makes them tick and what gets them motivated. And that's been an awful lot of fun to see and be a part of.

[C]

Agreed. And that real estate is such a dynamic industry that so many can succeed at their own terms because they all have different goals, different reasons, and there's. And everyone is diverse. I do. When you ask me the question, though, one thing popped into my head. We will often ask the question of a seasoned agent who's been in the business 20 years, 15 years, a long time, and will say, what is the one thing you wish you would have learned or someone had told you or what's one thing you wish you would have done differently back at the beginning of your career versus where you are today? And almost always the answer comes back, I wish I would have organized my database better when I first started, because as I got busier and busier, it became unruly and now it's more work. And I'm trying to get it tamed and I'm trying to get it organized. And some of them are still. I just. My next door neighbor, you know, you know, home smart agent, she just said the other day, she said, I've made good progress, but I still, I'm so busy. I'm. My database is still not where I want it to be. And so I think that's the one Thing that I think if a newer agent could start and set it up correctly with groups and different. Just organize their database a little better at the beginning. I think they're gonna grow faster.

[D]

It's easier to be intentional with your.

[C]

Marketing that way and your messaging or your talking. Yeah, yeah.

[B]

Isn't that what your brother said the other day?

[A]

That's almost. It's so his brother.

[B]

We gotta organize our database this year too.

[D]

Funny.

[C]

Love that.

[D]

Yeah. Not surprising.

[C]

Yeah.

[A]

So, man, it's like everybody, same thing. Because. And then you realize like the top producers. Because one of the biggest takeaways that I think we've had over the years from Stay Paid has been, wow, these people. There's so many ways up the mountain. Like you guys are saying, and everybody's doing different things, but the common trait amongst the ones that are winning are they're not overthinking it and they're just. They're doing. They are, they are doing and taking action. Which is, I think actually it plays into the fact of why they're not organized and they don't do the.

[C]

Yeah, they learn.

[A]

But it's so funny. It's like you go, wow, you really didn't think through what you were doing there. You really don't have the most well thought out strategy. Strategy. But you're just doing it. And it's, it's pretty encouraging and amazing.

[D]

To see taking massive action.

[C]

It is, it is. But using your brother as an example to any agent, what I would say is don't let that stop you. Start today and start with a smaller subset. So if I remember the story correctly, your brother started with like a neighborhood and started with a neighborhood and really focusing in on that and then expanded and grew as well as a small sphere of those card carrying fans. And so the database could have been 25 people or 50 people at the beginning, but then it grew and it grew.

[A]

Yeah, he didn't even have 25 people because he was a college student that just graduated in that area. But then he just grew. Now that's 700. I think we're at like 749 people database. So it's exactly what you're saying.

[D]

It's exactly how many years later?

[A]

What, seven years now?

[D]

Six.

[C]

Okay, later.

[A]

700 Quarter podcast. Now the neighborhood too is. You're spot on. It started at 250 and is now up to 4,000. That he is, you know, but he has team members now. Right. That are on it. But that. You're exactly right. It's just start small. If you only have 15 people. You only have 15 and you segment them correctly.

[C]

Right. Start with that group and then you can add into it and reorganize later. Yeah.

[A]

So good man.

[B]

Gentlemen, thank you so much for coming on the podcast today. Before we close out, let people know how they can connect with you and check out your podcast.

[C]

Well, you can find the real State by Homesmart on Spotify, iTunes, YouTube, anywhere. I think that we have a couple other platforms. Anywhere you get podcasts, you get podcasts. So you can always find us there. You can always find [e-mail] as well. There's little bio pages that have our links and our connection as well. And yeah, thanks for having us. Thanks for having us. This has been great.

[B]

Awesome. And thank you all so much for listening. You can head over to stay paid podcast.com for the show notes of this episode and we'll include links to everything for Rich and Todd as well there. And if you enjoyed this episode and want to show your support, head on over to Apple Podcasts and Spotify. Drop us a review. The best way to support the show is simply share this episode with somebody that you know. If you want to get hold of me or Luke, you can email us at podcast reminder media.com and of course you can follow us on social media. We are at Stay Paid podcast for this episode of Stay Paid. I'm Joshua Stike, guys.

[A]

I'm Luke A. Creek. Todd. Rich. Thank you guys so much. Knew it would be good. Did not disappoint. A ton of golden nuggets. I would encourage people to go re listen to this. Also love what you guys are doing with Home Smart. I think you're on the right track. Keep preaching the relationships. I might be a little biased, but keep preaching the relations because I know it's the name of the game. Here's the action item. Todd made my job really easy here to give you an action item for this podcast. The action item is simple. You must segment and get your database in order. You must spend the time to do that. We're here at the end of the year. You want to thrive in 25. As they said, it starts with your database. You need to organize your database and if your database is so out there, just think about the people that you love. Who are the people that you love that you would go, yeah, man, I love Rich. I love Todd. Get them into your I love list. Get them into your A list. Start there. Those are your raving fans that you need to turn into your walking billboards for you remember the difference between top producers and mediocre producers. In every business, it's top producers. Take action. Take action on that today.