Goal Setting Form. Calculate Prospects Needed Per Week
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- Gervase Mosley
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1 Goal Setting Form Step 1: Set Your Goals Income Goal... A) Average Sales Price... B) Average Office Commission Rate Per Side (%)... C) Average Office Commission Per Side (B times C)... D) Average Office Commission Per Side Less *(EXAMPLE) 8% For Service Fees, NAF, etc. 1. Write amount from D here Multiply D times % noted above Subtract answer from D and write on line E... E) Sales Associate s Commission Split (%)... F) Average Sales Associate Commission Per Side (F times E)... G) Number of Closed Sides (A divided by G)... H) Number of Sides Under Contract* (H divided by 80%)... I) Step 2: (Fallout ratio 20%) Calculate Prospects Per Week Listing Sides Under Contract (60%** of line I)... J) Listings That Must Be Taken *** (J divided by 70%) (Fallout ratio 30%)... K) Market presentations (3 times K)... L) Number of Weeks Worked... M) Market Presentations Per Week (L divided by M)... N) Buyer Sides Under Contract (40% of line I)... O) (3 times O)... P) Number of Weeks Worked... Q) Per Week (P divided by Q)... R) * Reflects fallout ratio ** Percent of Total Sides *** Reflects listings that don t sell Page 1 of 5
2 Step 3: Calculate People Per Week Sellers Total Presentations (from line L) Phone In Person # of Presentations Per to Presentation Weeks Worked x 150 = = FSBOs x 5 = = Expired Listings x 15 = = Activity Calls x 50 = = x = = *These numbers should match Line L Total (from line P) # of Per to Buyer Weeks Worked Signs/Ads x 10 = = Open Houses x 10 = = x 50 = = Activity Calls *These numbers should match Line P * Check with your broker or manager first to validate the assumptions and suggested number of contacts for your market area. Page 2 of 5
3 A Note About Assumptions Initially, you may want to use these assumptions to complete the Goal Setting form. As you become productive and develop your own records, adjust the assumptions to reflect your actual performance in the field. 80% of all opened transactions will close (Step 1, Line I) 60% of your business will come from closed listing sides and 40% of your business will come from closed buyer sides (Step 2, Line J and Line O). 70% of all listings taken will close (Step 2, Line K). One out of every 3 marketing presentations will end with a signed listing agreement (Step 2, Line L). One out of every 3 buyer prospects will become a purchaser (Step 2, Line P). The plan also provides a suggested number of contacts needed to produce a marketing presentation and a buyer. NOTE: Check with your broker to validate the assumptions and suggested number of contacts for your market area. Page 3 of 5
4 Goal Setting Form (SAMPLE) Step 1: Set Your Goals Income Goal EXAMPLE... A) 80,000 Average Sales Price... B) 325,000 Average Office Commission Rate Per Side (%)... C) 3% Average Office Commission Per Side (B times C)... D) 9,750 Average Office Commission Per Side Less *EXAMPLE 8 % For Service Fees, NAF, etc. 1. Write amount from D here... 9, Multiply D times % noted above Subtract answer from D and write on line E... E) 9,000 Sales Associate s Commission Split (%)... F) 50% Average Sales Associate Commission Per Side (F times E)... G) 4,500 Number of Closed Sides (A divided by G)... H) 18 Number of Sides Under Contract* (H divided by 80%)... I) 23 (Fallout ratio 20%) Step 2: Calculate Prospects Per Week Listing Sides Under Contract (60%** of line I)... J) 14 Listings That Must Be Taken *** (J divided by 70%)(Fallout ratio 30%)... K) 20 Market presentations (3 times K)... L) 60 Number of Weeks Worked... M) 50 Market Presentations Per Week (L divided by M)... N) 1 Buyer Sides Under Contract (40% of line I)... O) 9 (3 times O)... P) 27 Number of Weeks Worked... Q) 50 Per Week (P divided by Q)... R).5 * Reflects fallout ratio ** Percent of Total Sides *** Reflects listings that don t sell Page 4 of 5
5 Step 3: Calculate People Per Week Sellers Total Presentations *60 (from line L) Phone In Person # of Presentations Per to Presentation Weeks Worked 12 x 150 = 1, = x 100 = 1, = 20 FSBOs 20 x 5 = = 2 Expired Listings 8 x 15 = = x 100 = = 10 2 x 100 = =.4 Activity Calls 3 x 50 = = 3 60 x = = *These numbers should match Line L Total *39 (from line P) # of Per to Buyer Weeks Worked Signs/Ads 13 x 10 = = 3 Open Houses 5 x 10 = = 1 8 x 50 = = 8 8 x 100 = = 16 Activity Calls 5 x 100 = = *These numbers should match Line P * Check with your broker or manager first to validate the assumptions and suggested number of contacts for your market area. Page 5 of 5
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