What Does the Rear-View Mirror Tell You?

It’s all well and good to look to the future, setting goals and targets that we aim to achieve. In fact, that’s an important part of advancing our career and becoming established in this industry.

But there’s also merit in looking back, in reviewing where we are now, compared to where we hoped to be.

So, what should we review and why is it important?

Know your numbers

When it comes to reviewing there’s no better place to start than with your numbers. What targets did you set, what did you actually achieve over a given period?

I’m talking a regular deep dive here, looking at all the metrics that help shape your career. In a sales agent’s case this would include:

• Calls made

• Appraisals booked

• Listings secured

• Properties sold

• Gross commission income

• Nett income after expenses and more

Your finances

But the reviewing doesn’t stop there, it should also extend beyond your KPIs to your income, expenses and your personal life as well.

This includes knowing your break even, your GCI, and your bottom line. Then dive a little deeper…

• How much surplus did you have after living expenses?

• How much wealth did you add in terms of superannuation, investments and an emergency fund?

• How much do you have available for things like major purchases and living expenses that are on the horizon, such as a holiday or home renovation?

• When did you last touch base with your accountant or financial advisor?

It’s important to regularly determine and review your budget both business-wise and personally. It’s also important to seek the right guidance at the right time, because let’s be honest finances aren’t everyone’s area of expertise.

Meanwhile, when did you last review critical business elements such as your insurance, business registration and licensing to ensure it’s all up to date?

The numbers don’t lie

The great thing about numbers is they never lie. They are what they are, no excuses, no emotions, no ‘over-embellishing’ or ‘garnishing’ the truth.

They also leave the most amazing clues about areas which might require improvement or focus.

For example, if your call volumes and appraisal numbers are on track, but the listings don’t meet their target, that’s telling you your listing presentation needs work.

If your income is solid, but you still can’t make ends meet, that means your expenses are out of hand.

An honest assessment

Reviewing your numbers, including your finances, is an honesty check. It’s the ultimate act of accountability that allows you to identify weak spots and areas of improvement.

And I’ll be frank, not knowing your numbers is a cop out. Often driven by fear, this lack of willingness to look at how you shape up financially and in regards to your metrics is burying your head in the sand.

It’s akin to flying blind, and that makes it a threat to both your professional performance and your financial welfare. It’s also a mistake too many agents make.

Invest in becoming wise

Sure, you might look at your numbers and discover you don’t like some of the things you find.

That‘s not a bad thing. That discovery gives you a course of action to take.

In the words of Thomas Jefferson: ‘Honesty is the first chapter in the book of wisdom’ and there’s no time like the present to invest in becoming wise.

It’s about more than money

Whilst I’m no expert in the financial area and the above tips are of a general nature, I encourage everyone to spend a little time on the subject of finances and to also seek advice from a professional.

Financial discipline and education is about far more than ‘making money’. It’s about learning and taking charge of your destiny, no matter what stage or income level you are currently at.

Knowing your numbers and uncovering your ‘financial DNA’ is how you can take control and make the most of what you have. It’s how you release yourself from fear and start loving the journey.

Knowing your numbers, embracing financial knowledge, and seeking financial education is the first step to financial and personal freedom. And isn’t that a key reason why we’re all here?

About the Author

Manos Findikakis is the CEO of Agents’Agency, Australia’s first multi-brand real estate network, ‘the only fully integrated solution for you and your people to create an unforgettable experience.’

For all enquiries and more information on how the Agents’Agency can help you take your career to the next level, click here to get in touch.