 The projection of the markets is just educated guesses, which really means nothing because nobody knows what's going to happen, but when you've been around for a long enough, but on the back end of that, once you get to that level, you realize it doesn't matter what the market does. If you lay the foundation that you're going to crush it no matter what, and then you make a big bet on what you think the market might do, that's when your business can explode. And every time you see it happens, the other side is an explosion of business, and they don't want to be in a situation where they don't know what their monthly expenses are going to be next year. When their lease is up, what's the rent going to be? But we've never seen this many 33-year-olds that we're seeing this year in our lives. One of the reasons is because investors want that return. They know people are going to refinance when rates go down throughout a seasonal slowdown or a big 10-year cycle slowdown, because it will surge back. And if you go into the next surge with double the people to know who you are, guess what happens to your business? And it's every single time 110%. Ricky Kerouz's program changed my life. And there is not one person in here who can't do it. It's a free coaching program. He gives you the step-by-step instructions. If you're not selling at least 50 houses a year, I say make sure you follow him on YouTube, watch his videos. But without further ado, I'm bringing Ricky Kerouz to y'all with zero-to-diamond coaching program. This is Garouz from Bob Short's Alabama. I had to be shooting. He's number one, not top four. He's the man of the real estate industry. And he will get you leads a lot more than you could bag them, which are the property owners and not doors get the data. Made a million first three years, lost everything. He's where he started, made it, lost it, made it back. Now in this industry, he is the larger. A lot of these coaches are kitchen who garbage. Ricky, he does it for freedom and charge. He's got the soul, so can you get some more? Give it up for her. I like it down here better. All right, you guys look serious. What are y'all so serious about? How many of y'all real estate agents? Oh my gosh, really? Okay. How many of y'all wholesale and flip and do all that too? So more real estate agents than wholesalers and flippers. I think they're cool. I'll tell you this, guys. We just went from DC to here. I bring my family everywhere I go. Give it up for my wife and daughter, wherever they went. And also give it up for Stephanie for putting this together and her incredible story and being so vulnerable. I think that's what it really takes honestly to be a great communicator and really connect with people. It's to show vulnerability. The moment that you show that you're willing to let your guard down, then your prospect or your client or your friend, your family, your spouse is gonna let their guard down. And now you've got some common ground to work with. A lot of times when we talk to people, prospects, by the way, where's the clicker at? A lot of times when we talk to prospects, we're scared. And then it's awkward. And the whole thing is, is they have their guard up and then you got your guard up too because you're nervous. Let your guard down. As soon as you let your guard down, they're gonna let their guard down and then magic's gonna happen. How many guys, how many of you, let me ask you this. What the image or word that you think of when you hear the word Alabama? Okay, what is it? What is it? Country, backwoods, alligators. We don't even have alligators. We don't even have alligators. That's Florida, hot. I was in New York and I asked that question and they said, mud. And then I was in Orlando and they said, civil rights. And I said, civil rights. This is not going the direction I wanna go in. Y'all are trying to get me. I won't go back up here now so I can see you guys. Y'all are trying to cancel me real quick. Let's see, how's this work, how's this work? There we go. So this is Alabama. Did you guys know Alabama look like this? So this is where I grew up, Gulf Shores, Alabama. It's right next to Orange Beach, Alabama. Right next to the Florida line. So the Florida beaches run right into Alabama, good 40 miles of this white sandy beach. Beautiful. If you've never been there or heard about this or know about this, it's somewhere you really need to visit. It's kind of like Destin, but not as busy. A little more spread out, amazing restaurants. Just an amazing place. So I grew up here before these, a lot of these condos were even built. And this is what I specialized in for the last 21 years. Selling these Gulf Front condos. It's been a blessing. A lot of the friends I grew up with, we graduated high school and they either became a beach bum or they left and went to some other bigger city to find something fun to do or lucrative to do. And I was able to settle right in to a nice career selling Gulf Front condos. So if you or anybody you know wants a nice deal on a Gulf Front condo, I know a good real estate agent. All right. This is gonna be weird here. So on this day, April 28th, 2020, I posted this video. All right. Now, what were we all doing on April 28th, 2020? It was your birthday. So you were doing shot, shot, shot, shot, shot. Like in the closet, we were shut down. We were doing nothing. Nobody was doing anything unless you were going to Walmart. I posted this video. I said, why real estate's gonna surge as soon as the economy reopens? Think about that for just a second. And by the way, guys, this is all about you, not about me. I'm just illustrating some facts so that I can lay out what I think's happening because this is honestly, I'm a great test taker. How many of you guys were great test takers, right? And it comes from being just an educated guesser on a lot of cases. Just a great guesser, okay? Process of elimination. It's not that one. It's not that one. It's one of these. It's probably that one, boom. That's how all these economists and everything tell you what they think the market's gonna do, the projection of the markets. It's just educated guesses, which really means nothing because nobody knows what's gonna happen. But when you've been around long enough, you start to understand the market cycles to the level that you're pretty good at guessing what the market's gonna do next. But on the back end of that, once you get to that level, you realize it doesn't matter what the market does. It could go up, down, sideways, left, right. You're still gonna crush it. But it's cool because if you lay the foundation that you're gonna crush it no matter what, and then you make a big bet on what you think the market might do, that's when your business can explode. And then if that big bet doesn't work out, you still crush it. Why? Because you crush it no matter what. This is a win-win scenario. But think about this for just a second. When we were all in our houses locked down, didn't know if our moms and aunts and grandparents or who was gonna die because of the virus? Did anyone, was anyone sitting in their house thinking, oh, the real estate market's about to blow up, especially to the level of putting out a video about it? Now, why did I think this? Well, because I've been around long enough to know that when I see a retraction of transactions and transactions go down, then that's just building demand. And every time you see it happens, the other side is an explosion of business. Now, when I saw that they started printing money and giving everybody stimulus, I said, oh my gosh, this is fixing to explode. So that's how I had that figured out, okay? Just, and I even said this in December, I'm looking for the video where I actually said it. And I said, prices, I believe, have bottomed out because prices went down from June to peak, came down, half the people are talking about it's gonna crash worse in 2008, last fall. How many people here already follow me? Okay, last fall, I'm talking about multiple offers are coming again. You better stack up your inventory. And then what started to happen in December and then January happened full force in February and it's still happening right now. Are you guys getting multiple offers on your listings? Okay, here in February 26th, I said it, but long before that, I said prices are bottoming out. This is just Richmond. And I wanted to have fewer slides so I don't have to go through so looking at the slide and more talk to you guys, but you can see here, and this is the same at every market that I've pulled up. There's only a few where it's either dead even from January 1st of the day or lower. I'm talking about like two out of a hundred markets. Most markets are just like this. Started at some point here, bottom out somewhere here and is higher here than we started for the year. Positive on the year. This is just Richmond. You can go to Redfin and look at all the markets if you want to. Redfin's a good place to get data because this gives you till about two or three weeks ago versus Case Shiller, NAR, Fannie Mae, Mortgage Bankers, all the other associations. They're about two months lag. So then you can start comparing Redfin to all the other entities from what Redfin was saying two months ago and it gives you a nice picture to kind of go by. Okay, so that's what I thought. That's what's happened. And this is where I think we're going. Perfect storm. And it involves supply, demand and rates. It's going to be the perfect storm of supply, demand, and rates. Now, before I get started on that, let's see how loud you guys can get for just one second. Ready? One, two, three. All right. I said that in Nashville and I was like, okay, let's see how loud you guys can get. I was like, one, two, three. And it was literally crickets. I was like, I'm fucking out of here. I believe we're headed to a perfect storm. Now let's break it down. Supply, demand, and rates, okay? This article came up where Zonda said 98% of millennials want to be homeowners. And I said, wow, it's a survey by Zonda. Who's Zonda? Let's say it's 90%, 85%, whatever. It's a lot of them. And they want to be homeowners because they don't want to build somebody else's equity and they want something locked in. They don't want to be in a situation where they don't know what their monthly expenses are going to be next year. When their lease is up, what's the rent going to be? 3% higher, 10% higher, 20% higher, or the same? They don't know. So I started going down the rabbit hole. And I said, okay, who are the first-time home buyers? Well, our National Association Realtor says the average was 33 years old. In 2021 was 33 years old, and last year was 36. So that tells me that the first-time home buyers are anywhere between 33 and 36 years old. And 98% of these people want to be homeowners? Let's go down the rabbit hole. So I pulled up birth rates. I went back 33 years. And what did I see? Lo and behold, in 1990, 33 years ago, we see a massive spike. Now look at what it was, look at what it's been since the 70s. It's been out about the same level. I started creeping up a little bit, but we've never seen this many 33-year-olds that we're seeing this year in our lives. And look, it stays at this level for 16 years. Now this is 33-year-olds. They're gonna turn 34 next year, 35 the next year. Then there's more 33-year-olds coming in behind them, 34, 35, 36. Do you guys realize that right now, and first-time home buyers only made up about 27% of total sales volume last month, 27%. That's a big chunk. It's not all of it, right? This is part of the picture, but we had more of them now than we've ever seen. There's more pent-up demand right now than we've ever seen in our lives. And we don't even know it because interest rates are to the point where we feel like we're kind of in this normal market and interest rates haven't really affected it. No, if interest rates, if mortgage rates were lower, we would, it would be absolutely out of control. And that's why I'm calling this the perfect storm because we are headed towards lower mortgage rates. We do have more 33-year-olds ever in history. And that there's so many more, there's so many more reasons for pent-up demand, right? How many of you have been, you feel like you're kind of trapped in a house you may not like because you have a low mortgage rate? Nobody? Okay. Well, you guys are real estate agents. Most real estate agents don't even own a house. So a nation of renters like real estate agents. No. People feel, how many of you own a house? Okay, you bought your dream home right before everything went crazy, right? We did. We're locked into 3.2% on our dream home. And it just worked out like that. We have no intentions of leaving if any rates were lower, but not everybody's in that boat. And there is a lot of pent-up demand on that side of people who want to upgrade or move or do something they feel kind of trapped right this second, but that's gonna change too. So we have a massive amount of 33-year-olds entering in the market that average age is 33 to 36. Hello! And a lot of them are just sitting on the sidelines because of interest rates, mortgage rates, not interest rates, mortgage rates. The average mortgage payment went from about 1,000 in 2020 to up to 2,000, but we're down to 1,700-ish right this second. So affordability did peak out in November, but it's down right now from where it was. And I believe it's gonna continue even though prices are coming up, interest rates, mortgage rates are gonna help. Now, let's talk about rates for a second. Inflation drives mortgage rates. The feds going up on their rates last week didn't affect mortgage rates. Mortgage rates are affected and they're driven by investors on the second market. When they buy the mortgages, they wanna see a return on their investment more than what they could get in a 10-year treasury or something that's not gonna be any risk. And that's why, too, I was talking to Lawrence Ewing, the chief economist for National Association Realtors yesterday in his office about this, about that spread between the 10-year treasury and 30-year fixed. And that not only inflation getting better and better, which there's a huge report tomorrow. One of the biggest reports that we're gonna see is tomorrow, CPI report, consumer price index, that you all need to be paying attention to tomorrow about what inflation looks like tomorrow during that report and how that affects the market and what it was compared to last year. It's gonna be a huge indicator of where mortgage rates are going. But we also have downward pressure based on the spread between the 10-year treasury and 30-year fixed, because normally it's about a 1.5 to 2% spread and right now it's a 3% spread. One of the reasons is because investors want that return, they know people are gonna refinance when rates go down, so they want a short-term return on their investment. So inflation drives mortgage rates. You see this? When inflation popped up, mortgage rates kind of delayed reaction, then they called up with it, right? Then it came down, then a little delayed reaction, then it popped up, peaked out about the same time, and here we are. So that's something to keep an eye on. Now, there's gonna be a recession, okay? Well, mortgage rates normally go down during recessions and real estate prices normally hold firm or even go up during recessions. How many of you guys here think we're gonna go into a recession or in a recession? No, of course not. You're real estate agents. You're making so much money, I don't even know what to do. Still driving like Teslas and Ferraris and stuff, okay? Oh, okay, just, I don't even need that anymore. I'm gonna let this sit here and marinate for just a second. Look at, this is inventory, total houses for sale, okay? Just think about this for a second. Have you guys ever seen this? All my videos from a lender, okay? This is the two million mark. This is the three million mark. Through the entire time of the 80s, the entire time between two and three million homes for sale. In the 80s, when there were 30% less people, 30% less existing homes, okay? Then, we'll get the four million during the crash oversupply under demand. Bum-bum-bum-bum-bum-bum-bum-bum. That's Alabama talk. Bum-bum-bum-bum-bum-bum-bum-bum. Go all the way down, look at where we are. The lowest that we've ever been. Now, look at these last 10 years. Straight up, straight down every year. Straight up, straight down. It's not like even it's straight up, straight down. It's boom to the moon, crash. This is inventory. to the moon crash, to the moon crash. And then we get down to here, you know, in 2022 is right here. They say, oh my God, an inventory just, just, ah, it's going crazy. It got caught up to where we were in 2021, which was one of the craziest years we've seen. Another thing interesting to note is in 2021, when things were going for more than 100,000 more 15 offers for property, inventory went up. The same way it does every year, even during that crazy year, inventory went up from February to August, just like it does every single year. But think about this for a second, where we are now compared to the 80s, not to mention 2008. This puts things into perspective. Now my question is I'm in a room full of really smart people, where's the inventory going to come from? Builders, any other ideas? What's that? Uh-huh, short sales. In order to short sell, the property has to be worth less than what's owed on the property, right? On average, Americans have 58% equity in their houses. The average loan to value is 42%. That doesn't mean that there's not 400 houses in America that are underwater, because they bought with a VA or FHA loan last June at the peak of the market, yeah. But those people didn't buy it to sell it the next year. They bought it to keep it for 10 years. And by the way, that's 400,000 houses out of 100 million homes in America, not going to happen. So where's inventory going to come from? Builders couldn't even keep up. We were like a million homes behind before the pandemic. I always heard, we're down five million homes this side or the other. You know, I heard that all through the, from 2010, 2015, I heard that at the back of my head, you know, just over here and stuff. We're down so many houses. Never made sales, like, okay, whatever, let me just go sell a bunch of condos and make some money. And now I'm realizing it after we're in this crunch, how right they were, and has a lot to do with population growth of people that are younger, the millennials. This is another illustration just to put it on a linear line. This is just 2017, 18, 19. This isn't 15, 10, this is, it's coming down. This is 2017, 18, 19. Here was 20. Here's where the pandemic happened. And then, boom, boom, bam, this is where we are right now. How are we gonna get back up to just pre-pandemic levels? And this right here, ladies and gentlemen, is where the perfect storm starts to create. When you have more pent-up demand than we even know about, because mortgage rates are suppressing the demand, you've got mortgage rates that are going to ease down and buyers are gonna come out the woodworks and you got no inventory, perfect storm. Now we're already, well, and this is an interesting illustration. This shows you new completions, new builds, and the blue line are basically new families being created. Let's just call it 33-year-olds hitting the market. And you see where we were in 2000 and during the crash. Here's where we were, the formation of families. You know what's so interesting? If I could go back to the birth rates, you'll see that 33 years before 2004 and then you'll see a dip in birth rates. 33 years before 2006, you see a dip in birth rates. And it looks just like this. And remember that when we saw it started to ease up on the birth rate before that 1990 pop? That birth rate looks just like this, exactly the same. And this is what we're looking at this year. These are our new 33-year-olds who want houses on top of everybody else who wants to upgrade, downgrade, all that stuff. But builders are probably gonna end up about the same amount of houses built as they built last year. This is a serious issue. And this, ladies and gentlemen, is the actual housing crisis. Not that we're gonna have a crash and things are gonna go down 40, 50%. Anybody who says prices on houses are gonna go down 30, 40% has lost their mind. They haven't even looked at data. They're just trying to get views and clicks. Just trying to get views and clicks. This is real data. This isn't the most popular thing to talk about on YouTube. But I'm telling you the truth. And I'm trying to prepare you for either scenario. Cause I want you guys to think about this. If a 2008 happened and prices went down 30, 40, 50%, think about how easy it would be to sell houses at 50% less prices, 30% less prices, 40% less prices. How easy would that be? I was in the market in 2008. I got back in and guess what? Easy. Guess what? No real estate agents and everything was half off. And here I am. You think that was easy? It was. So if the market explodes, you win. If the market crashes, you win, right? So who cares? And we're already seeing this. Here's a guy in Atlanta. Listed two houses, showed them 88 times, got 12 offers, didn't even have a sign in the ground. We're seeing this all over. Ladies and gentlemen of the jury of the court, may I present to you the most powerful piece of evidence I can show you today. This is appreciation every year from 1942. What goes up must come down, right? It went up so much. Can't go up anymore. It's gotta go down now. No, sorry, Billy. This isn't the stock market. In 2043, we had one, two, three, four, five years of double digit increases in prices. And three of the last two years were 20 in the 20s. What were they saying during that time? Gonna crash, gonna crash, gonna crash worse in 2008. Nope. Still went up 2%, zero, four, six, four, 12. Never had a negative year. If you fast forward, we see we had a double digit year. We had three double digit years here, really five strong years, six, five strong years, six, seven and eight right there, six strong years. And this was when rates went to 18%, 19%. That everybody tries to scare you with today. Oh, you don't want none of that 19% rate, mortgage rate world, okay? Well, what happened back then? We had a nice little run up that slowed down but kept going, 7%, 5%, 1%, 5%, 5%, 7%, 10%. Hello, all this, all this to have collectively over two years, negative 1% at one point, 90, 91. Collectively over two years and basically flat was the worst years we had. And then we fast forward to 2008. We had four strong years. None of them were in the 20s, mind you, that everybody knows. This was subprime mortgage world. Completely different than the mortgage world that we live in now where everything is. They basically draw your blood and put a chip in you like make an AI version of you to make sure you can get a loan. But we had five years of negative appreciation during that time. Fast forward to today, two years of double digit appreciation. Now, what do we think is gonna happen? Well, if you look at history and when you think about what goes up must come down, no, it doesn't. That's not the golden rule. That's not in stone. This is real estate. They don't make any more real estate. And when you build a house it starts depreciating day one. It's unique from that point forward. Every piece of property is unique. It's in a different lot and has a different elevation, different age, different colors. Let's get a round of applause for the data. You guys feel more confident in the market after seeing this data? Okay, this is my entire premise for today. It's to help you become more knowledgeable because when I was building my business I never looked at data. I was focused on one thing, talking to the most people more than anybody else and building the largest business in town, period. Didn't care about anything else. I didn't care about this. I didn't care about Facebook. I didn't know the start market crashed. Nothing, except for how many calls can I make today? How many letters can I put out? How many emails can I do? That's it. This is very interesting. This illustrates closed sales, the number of transactions nationwide. But if you look at every different local market it shows the same trend. Starts out, another Alabama sound there. Hits bottom, starts coming up, kind of flans out. But look at this. Look at the peaks and valleys, how they line up. Look at that. What? How in the world is the same amount of transactions in this seasonality happening? Okay, look at this. Pa, pa. Alabama, pa, pa. You can't even see the red line right there. It's almost exact. All the way. All the way. Now, does that blow your mind when you look at this and see the visual how really seasonally this market moves? Wow. When I saw this, I was mind blown. Now, what does this mean for your business? Anybody? What's that? We don't keep sales of houses. I agree. I agree. Come on, I like doing impressions. What's that? Stack up listings. Anybody else? Prices are still going up, man. Predictability. Anybody else? Don't be scared, one more. You in the hat, can't see your eyes, let's do it. What? Crashed. Jesus crashed. I know you say crashed. All right, here's what it means for your business. All that data, that's what it means. Okay, crash. Wait a minute. I was too busy trying to make a joke out of that. What do you mean crash? Okay, I was like, wait a minute, let me back up. Nothing. Why? Because closings happen every single day by the truckloads for the rest of your life, regardless of market conditions. Alabama. Every single day for the rest of your life, there's gonna be closings happening. So who cares? I'm doing less closings this year. So, the market will fluctuate your business, but it will never go to zero. If you continue doing what you're supposed to do to go out there and help people buy and sell. If you slow down with the market, then you really screwed. And that's what happens to most people. That's what happened to me in 2005. The market slowed down, I tried and tried, but I didn't realize it was about people not deals. So I slowed down with the market little by little until I had no business, but I still had bills. So I had to leave the business. I had to go roof houses again. I had to go get a job on an oil rig. I was serving tables, sleeping in my car. I didn't care. Why? Because every day when I wake up, I'm gonna get up and I'm gonna go work as hard as I can. I'm gonna come home, I'm gonna go to bed, I'm gonna do it again. I don't care what I'm doing. That's why a lot of part-time agents, who's part-time? Hi, hi, hi, hi. Hi, yeah, yeah, let's see y'all. Everybody look around, let's see who it is. I'm just kidding. Okay, there you are, there you are. Are you, do you want to be full-time real estate agent? You was, you went the other way. You hate real estate. You trying to get out of real estate. Are you trying to go full-time real estate? Do you hate your job? No? Okay. A lot of agents who are part-time, they come to you and they're like, I hate my job. Like, I hate my job. I say, well, wait a minute here. You wake up every day at your job right now. You get up, you work as hard as you can, you go home, you do it again. Right? When you go full-time real estate, what are you gonna do every day? And they say, hmm, I'm gonna wake up every day. I'm gonna work as hard as I can, I'm gonna go home, I'm gonna do it again every day. I said, so how's your life gonna change if you go full-time real estate agent? It's just gonna be what you do, what you're doing is changing, but your life is not changing at all. So when I lost everything and went back, people said, how was your mental health during that time? It was great for two reasons. One, I still had work to do. So I was getting up working just like I was when I sold real estate. But on the flip side, on the deeper philosophical level, I knew that what I was learning in my mid-20s that a lot of guys next to me were learning in their 40s and 50s and 60s was gonna take me to places I've never even imagined. And I was happy about that, even though I knew that I was having to work hard labor, you know, during that time, I was still in my mid-20s and I actually liked that kind of stuff at that time. Now, if I lost everything, I'd probably just be a real estate agent. But the fact is that the market always, 110% of the time, surges back. Not just... It surges back to the moon. And that's why every time that the market goes down, this is how you can just exponentially blow your business up over time. Every time the market slows down, throughout a seasonal slowdown or a big 10-year cycle slowdown, when it slows down, you get to, when you put your blinders on, you don't listen to nobody, nothing, no media outlet, other agents, mom, dad, nobody. And you say, it's slowing down. I need to build my database. I need to double the people in my database, right now, as fast as I can. Thank you, mom. Because it will surge back. And if you go into the next surge with double the people to know who you are, guess what happens to your business? And it's every single time, 110%. Let's go. Now, this was my business when I got back in the business in 2008. This is just an illustration. It's not exact. I created this, but here's my business. I kind of just floundered, maintained market share as the market was dwindling. You can just maintain. But I didn't do anything different from 08, 9, 10, 11, 12, 13, 14. I didn't do anything different. The difference was database growth, snowball growing, and then the market re-expanding. Now, market's always going to re-expand. You look at houses right now for 350,000, and you think, oh, it'll take forever to get to 500. No, it doesn't. You know, in Mexico, it's like 500 pesos for a hamburger? That's called hyperinflation. That's never going to happen here in the U.S. I don't think anything of that massive degree, but let me tell you something. It's real. We perceive the value of a dollar by the way that we grew up. If we have a million dollars on a bank account at age 20, 20 years ago, and we left it in cash, it's worth about 500,000 right now, just speaking out of my ass, right? It's worth way less. But if you bought a million dollar house 20 years ago, what's the house worth now? Three mil, four mil, five mil, 10 mil? Own assets. But the market is going to re-expand. And we're going to see $350,000 houses that are going to be six, seven, 800 in 10 years, 20, whatever. I don't know how long it's going to take for all this inflation and the value of a dollar and just the normal ebbs and flows of the market to get to that place, but it will happen. Your kid's right now. You remember when you were a kid? You remember how much your coke was? You know how much they are right now? Well, how much they are right now? What, at $3, $2? Okay, $2. And they used to be big cents, okay? Your kids right now are growing up when coax are $2. When they get to be our age, they're going to be $15, right? Or $8 or $7 or $11 and 50 cents. And they're going to say, man, I remember when coax were $2. We're going to say the same thing about houses. You can't buy a $400,000 house anymore. You know, that's what we're going to say later. You can still buy one today, but the value of $400,000 is not going to be the same. My point is when the market slows down, take that time that you don't have to spend showing property and go to listing appointments to go out there and try to find people to show property to and have listing appointments with, but also build your databases as large as you can go. It's super simple stuff. And so that 2014, this was January 14th to the end of 2021, so eight years. This is out of my MLS. So 14, as you guys saw, that was the first year I did a hundred deals. Bam, it's because of what I did when the market was slow. Fast forward, that was just the beginning of me dominating my entire market, all agents in my entire county as a single agent. This is one guy, this is a 20-person team. This is about a 10-person team. This is a kajillionaire. These are legends and I crushed them. And I did a hundred deals a year for eight years in a row because of what I did during 2008 and nine and 10. So what's the opportunity to write this second? Since most of you guys are agents, so where's the opportunity right now in the market for real estate agents? Again, how many real estate agents? Okay, how many not real estate agents? Okay, cool, that's okay too, because it's the same business, right? You talk to sellers, try to buy their houses. Okay, same thing. You know, for you to go out and put something, you do wholesale. For you to go on wholesale, that's the same thing as us getting a listing. We're trying to get a seller on a contract so we can make some money. All right, so the name of the game right this second is Stack Listings. Now, stacking listings, how do we stack listings? Well, those are a couple of things. Number one, you gotta realize the origin of a listing. Okay, where do listings come from? Sellers, relationships, people, right? Nard did a study a while back. It said how people choose who the real estate agent is. The number one answer was they had a friend in the business with a great reputation. By far, it's like 33%, everything else was 1% or less. Brokerage, online, da, da, da, da, da. Great friend in the business, the great reputation. Whoever can create the most friends in the market, it's gonna win. And if you have a system on the back end, actually retain those relationships to make sure they never forget who you are for life, you're gonna have the largest business. Real simple stuff. Now, so we know that creating friends with simply creating friends with property owners in our market, boom, okay? Being able to communicate who we are as people, who we are as a real estate agent to them, that we're a real person. We're not just a real estate agent trying to sell their house, but we more so wanna help them do what it ever it is they're trying to do. That's what's gonna separate us from the other agents and help them do it. Now, a couple of things with stacking inventory. How many people here would take an overpriced listing? Let's say it was worth like 450 and they want, say, 575 for it, 125,000 more, okay? How many people won't? I need to see you guys' hands. All right, anybody that won't, and then there's a lot of people who didn't say either, so anybody that won't, please send me all those overpriced listings. Please send all those straight to me. I will get them sold and gladly pay your referral fee and I'm gonna do all the business with that person for the rest of their life and get all the referrals. I've got a listing right now. We're down to 899 on it. It was worth 750 when we listed it eight months ago. He wanted to list it for 1.25, okay? Whatever, dude. That's what you wanna do. Let me send you the paperwork. Bam, we get it on the market, right? Just sits there and nobody's looking at it. No showings. We get a couple of showings here and there. They're just trying to use it to sell other properties. Boom, boom, boom. He starts reducing it. 50 here, 100 there, 10 there, five here. We get an offer for 825. He turns it down. Right now we're at 899 and the market's about 825. It moved up from 750 to 825 is probably where it is. And that was a month or two ago, so it might be a little higher. We might be even getting a little closer now. But my point is, is that we're almost there. We're just one price adjustment and one market adjustment away from selling that property and we took it at 1.25 and it was worth 750 at the time. I'm not scared. Now this is an extreme example, right? 50% more than what it's worth. But my point is, is if somebody has houses worth 500 and they wanna list it for 599, take it. Why? Because you can stack your inventory like this and the market is moving up. And with our supply and demand issue with the perfect storm coming, you don't know what's gonna happen. Things I thought would never sell, sell in a day. And things I thought would sell in a day, never sell. All the time. You know how many listings I took that were overpriced that literally sold in a week? That I thought it would sit there forever and it sold in a week because the buyer had to have that property for whatever reason happened to me so many times. But nevertheless, I digress there and I wanna say this. When I take a listing, I tell the seller at the listing appointment, hey, as we're signing, hey, you can cancel this at any time for any reason. I put it in there in the contract. You decide tomorrow you wanna cancel. You decide next week. Your wife says that y'all are, this is a sentimental property or somebody else wants to buy it. You just let me know. I'll tear this up. At the same time, I'm gonna try to sell it forever until you tell me to stop. So basically, I'm gonna try to sell this property till you tell me to sell it or you tell me to stop. Now guess what? My listing doesn't expire in three months and all of you guys call my client. Nobody here calls expired so I did it. Nah, nevermind. I'll keep the listing anyway though. Y'all send letters to expires? See, I don't need anybody sending my client letters either. So I wanna keep the listing forever. Do you know how many listings I have for three, four, five years and then sold it and then they bought three other properties and referred 10 people to me over the course of eight years? So many, I can't even count. Set expectations with your seller. Here's where it needs to be. But if this is where you wanna be, as long as you realize we ain't gonna sell it, let's go. I don't care. I'm not trying to sell the listing. I'm trying to help them do what they wanna do. So that's a little trick. What I'm trying to tell you guys is that right now in this market, you need to take, if a seller is dead set on a price, that's not necessarily in line with what you think, you need to take that listing, why? Because the market's gonna catch up to it, in my opinion, number one, don't tell the seller that, but in my opinion, it will. But number two, if you don't take it, you're gonna see it pop up on the market under another agent, and then go under contract in two weeks. And you're gonna say, damn, I could have had that. And all you gotta do is lose one of those, or two of those before you start taking those overpriced listings. And if it doesn't sell, that's okay, you got it forever. Stack them, stack up to 25 listings, stack up to 30s, stack up to 45s, stack up to 60 listings. There was a time when I had 70 active listings in 2015, 13 or 14 or 15, I had like 70 active listings. It's pretty insane. Okay, so that's a little tidbit. Here's what you need to be doing every day. I have all this right here, just can't see it, okay? Our daily goal needs to be to create five new friends with property owners every day. If you do that for 250 working days a year, you're gonna have 6,000 friends with property owners in your market in five years, 6,000 in five years. Think about for just a second, how big your business would be if you were friends with 6,000 property owners in your market who are getting a weekly email from you every single week on the same day of the week forever. How big do you believe your business would be if you had that? If you actually talked to 6,000 people, they knew who you were, they loved who you were, you were here to help, you weren't here to sell them, here to help them with whatever they wanna do, and they get a weekly email from you every week on the same day of the week forever. How big is your business? Now, when you're talking to people, okay? I'm just throwing out a bunch of nuggets. When you're talking to prospects about a property, don't focus on that property. Too many of us are, there's two problems. One, every prospect that most agents talk to, they want to try to turn that prospect, every prospect into a deal today. They'll come to me and say, hey, this buyer said they're worried about interest rates. How do I turn that around? How do I combat that? I'm like, you don't, like ask them why they're worried about interest rates. Go down the rabbit hole, see what their concerns are, see if it's a real concern, see if it's not a real concern. See why they would buy if they were to buy. The reason you do that is to try to understand if somebody's blowing smoke, or if they actually wanna do something. Most people are just telling you what they think you wanna hear to get you down the road. But when, like, let's just say we're a circle prospect and calling a subdivision, right? And we're calling about a house. Please don't be so hung up on trying to get that house listing or trying to figure out what they wanna do with that house. If they don't wanna do something with that house, it's like, okay, great, cool. Do you have any investment properties? Do you have some Airbnb's? Do you have a second home somewhere? Are you looking to invest? Would you like a good deal on a rental property? What else can I do to help you? If you took every prospect and exhausted it for every single opportunity that could be available within that conversation, think about what your business looks like. Instead of being just laser focused on this one possible outcome of listing this property or selling this property. There's way more opportunities in there that you don't even see because you're so focused on the 1980s scripts, the Tom Ferry scripts, five new friends a day with property owners, 6,000 over the course of five years. The next thing you're gonna do, every single time is a weekly email on the same day of the week, on the same time to your entire database forever. It's real simple. You can go to startmyweeklyemail.com. Somebody go to that on their phone and make sure that I'm telling you right. Startmyweeklyemail.com. You can see every email I did since November and copy the same format. I've been doing that email since 2007 and in 2017 I quit prospecting altogether and I continue to sell 100 properties every single year just the email. No social media, no direct mail, no following up, no nurture, just create the weekly email, sell two properties a week. Email to a week, email to a week. That's all I do now. Okay, cool. Startmyweeklyemail.com. Okay, the next thing you wanna do every day is watch the MLS hot sheet. 15 minutes, whatever. Scan the hot sheet for all the new listings, all the new pending deals, closings, spires, withdrawals, cancels, glance through. If you see something interesting, something that you sold, you sold a buyer a house in a subdivision, you saw another house pop up in there. That piques your interest. Oh, let me click here. Who's the agent that has it listed? Let me see pictures. Let me see what it looks like compared to the one I sold. Matter of fact, let me call the guy that I sold it to. See how he's doing. See if he saw this house pop up. See if there's anything I could do to help him. Maybe he wants to buy a rental property. Maybe his brother wants to buy a house. I don't know. But when you're scanning MLS, not only do you become a market expert, just spending 15 minutes a day, you can become a market expert within like a week or two because your finger's on the pulse of the market. But it also spurs these thoughts about clients that you have that might wanna buy certain properties or own certain properties and it makes you, it initiates the action to reach out to them. See how they're doing. See if they saw this market activity. See if there's something you could do to help them, which further develops and deepens the relationship. Watching MLS does a lot of things for you and you're gonna see properties come up and it's gonna spur activity that you're gonna use to build your business. Make calls between nine and 12 every day. How many of you guys make calls? Okay, wait, sorry. How many people don't make calls? Okay, how do you do business? Telepathically, what's that? Okay, you make some, but not many. So you sell some properties and not many. There we go. There's gonna be a direct relation there, guys. I'm not, and I'm not talking about cold calls necessarily, but you better be talking to somebody. Okay, how many people get leads? It's not cold calls. Okay, okay, how do you get leads? SOI, sphere of influence. Okay, your business is kind of plateaued, right? You can't really, that's not really growing every year. It's just kind of plateaued, right? Slightly, if you wanna see exponential growth, you have to add to your sphere. If you're just working on your sphere, your business just plateaus, right? Who else had outside of cold calls? How you get leads? Referrals, business just flat line, right? Just plateauing. You make more and more money every year? Oh, she said that. You make more and more money every year or just the same every year about? What is it? Okay, yeah, yeah, yeah. Does anybody get online leads? Social media, you do? Okay, when you get a lead, social media, what's the process? Ah, ah, ah, ah, right there, that's enough. Office admin, what, calls them? So somebody's calling somebody. Okay, so you got your leads online. Yeah, just got me a conversation, right? Or anything you can initiate, so you work, right? Where do you get your leads? Where do you get your leads? When you get a lead, what's the process? And then what? Call! If you don't know, so you got leads corrected and you too. Put them in the CRM, so you create a list of people that you then call. Sounds like cold calling to me. I pull up a list of people and then I call them, right? It's not cold calling because it's warm. They saw your video and stuff. I get the difference. Property owners, go to redxdiscount.com and get geoleads plus. Redx, R-E-D-X, discount.com and get geoleads plus, expireds plus. That's all you need, geoleads. So geoleads plus gives you emails as well. For any property owner you want in your market, cell phones and emails, call all. For like a penny, right? It's 7,500 a month and it costs like $120 a month. You get 7,500 property owners that you pick. Now what I rather spend time, money and energy making videos and paying $200 for one lead on Zillow, a random lead or even doing direct mail when all of that leads right back to calling them. Or what I rather just spend a penny on the exact person I want to do business with and just call them right now. You better call Tyrone. I got you, better call them. Got it, yeah. That's it, man. I'm just gonna let it marinate for just a second because that's some deep stuff. Not the Tyrone part, but the social media, they gotta call them. YouTube, gotta call them. Anything you can think of, you gotta talk to them before anything's gonna happen. Well, here I am, the little roof and hustler from Alabama. I said, well, if that's the case, just go, if the conversation is the key to all closing, that's the gatekeeper, the conversation with the person you want to do business with. If conversations is the key to all closings, then just go ahead and give me every single phone number in my market and let me go ahead and get to work and have these conversations right now. I'm not gonna send out a mail out and wait on you to call me. I'm not gonna spend $200 a lead on a random lead that just wants to rent a house. I'm not gonna make a video, hope people reach out to me because I can get the exact person I wanna talk to right now, but I digress. Do YouTube, do social media. This is how you guys, I know people that, I know a guy that made, that sold 75 million just YouTube and just Facebook and Instagram. I know a guy that did 75 million quickly YouTube all day long, everything works. I'm just telling you, I'm gonna use, I'm gonna go back door, I'm gonna hack the system. And instead of doing all this stuff to try to extract the data, I'm just gonna just, the data's laying in my lap. I want the data in my lap or I don't wanna work really hard to get the data. I just take the data that's in my lap. Someone made my calls from nine to 12 every day, whether I'm calling people from social media, whether it's my assistant calling them, whether it's from YouTube, whether it's Zillow leads, I don't care where the leads come from. But you better be talking to somebody. You're gonna talk to somebody, either prospects or bill collectors or the banks. Yeah. So we're gonna do calls from nine to 12 every day. And then what are we gonna do all afternoon? Huh? A point, a point might, what are we gonna do all afternoon? Hmm? Follow us. Yeah. Yeah. Eddie Murphy. I'll tell you what we're gonna do all afternoon. How many of you guys do video for social? Okay. What do you guys do besides video for marketing? By the way, I like this. I think we're having a moment here today. We're gonna know each other real well. What kind of marketing do you guys do besides video? Anybody? Real fast, let's go. Little bit of everything. Pictures, mailers, emails. Okay. So in the afternoon is gonna be marketing. If you're a video person, make videos all afternoon. If you're a direct mail person, do direct mail all afternoon. If you doorknock, if you do social media, if you take pictures, whatever it is that you do, do that all afternoon. Yep. If you do that, you can sleep the rest of the day if you want to. Everything else is extra credit. When we're gonna do appointment, Trev Ricky, whenever somebody wants to see a house or do a listing appointment. So that's it, right? I can't, I don't have the visual. So let me just break it, break through real quick. Five new friends a day of property owners is your goal. We're gonna create a weekly email same day of the week forever, your entire database. Go to createmyweeklyemail.com. Watch MLS Hot Sheet every day. First thing you do after you schedule your day in the morning, boom, look at the Hot Sheet for 15 minutes. Become incredibly familiar with the market. Make your calls from 9 to 12 every day. If you don't have anybody to call, go to redxdiscount.com and get you leads plus and expires plus and get to work. There's no excuses. And do social media or whatever your marketing is all afternoon. All right. Anybody closing one deal a week? Okay. Anybody closing 100 deals a year? One, you keep your hand up high. People wanna see who you are, bro. Give it up for him. You're closing 50 or more or between 50 and 100. That's you. Back Bay, back Bay. We got a condo named back Bay. 20 to 50. Okay, okay. Under 20. Zero deals. All right. The people that did zero, they're like, I finally got a chance to raise my damn hand. Okay, cool. This little formula has worked time and time and time and time again. It's what I use to close 100 deals a year for eight years in a row. I've seen agents, every time an agent sticks to this process, they close how many deals they wanna close. Okay? If I wanna close one deal a week, you're ready to write down. You're like ready. If you wanna close one deal a week, this is all you gotta do. You need to have a separate list, whether it's on a Google sheet or a notebook or whatever your system is, okay? That maintains 15 to 20 active buyers and sellers. That's it. Now let's talk about it for just a sec. What's 15 to 20 active buyers and sellers? An active buyer or seller is someone who said that they're gonna buy something or sell something in the next six months and quite possibly could use you as a real estate agent. You're in the running to be the real estate agent on that deal with that client. They're gonna do something and within the next six months, that's an active buyer or seller, right? You need to stack the most common answer when I say how many active buyers and sellers are you working with? The most common answer is, what do you guys think? Or statistically speaking, that's point eight deals which means you ain't working on nothing. You need 15 to 20 and maintain that number to do one a week. If someone on that 15 to 20 list ghosts you, they come off. If they move forward with you and buyers or list of property, they're off that list now. Now they're moving forward. If they buy or sell through another agent off the list, if they tell you they've decided to go a different direction or don't wanna buy or sell right now, whatever, things have changed, they're off the list. So it's your job to continue following up with these 15 to 20 people to see who's still on the list and take the people off the list that don't need to be on the list anymore, replacing them with new people coming into the list. So it's a, there's an attrition there. You need to have a system where people are coming into the list and you're gonna have people leaving the list whether that's buying with you or not. And this is where you get to 15 or 20 and it might go down to 10. It's like, well, you ain't gonna close one a week unless it stays at 15 to 20 true active buyers and sellers, do you understand? If you wanna close two a week, which is 100 deals a year, it's 25 plus. And if you will live by this formula, you will close as many deals as you wanna close. If that makes sense, let me hear a really loud roll tie. Okay, y'all ain't scared? Y'all ain't scared? No, I'm not an Alabama fan. Go Tigers. I'm talking about Auburn, this kid. All right. Hey, obviously I can't go through every little script. That's that and the other. I do wanna take some questions and go through maybe objections you guys are hearing and stuff like that. So I'm gonna do that in just a second. Take a couple of questions that might be on you guys's mind. Make sure I'm helping you guys to the fullest ability. All my free coaching and stuff is here. Oh man, I'm not gonna be able to, oh, it's going. See this happening? Oh, yeah. Yeah, yeah. All right, I'll just tell y'all. I did a survey for zero to diamond. 70% of agents that go through the 60 day challenge get more listings, close more deals. Okay, 85% have better time management. 75% read more. Okay. And 98.8% say they enjoy being a real estate agent more. So the reason that I started zero to diamond, I'll just go back since we can't even see this. The reason I started zero to diamond in 2017 was for one reason, the mission statement that remains today to reduce the failure rate in the real estate industry one agent at a time. And that's why it's free. But, oh, no, I didn't hear you. Where are you at? Let me hear you louder. Oh, oh, thank you. Thank you. 0.000000478% say they found their significant other on ZTD. Ricky, I got 30 actives under contracts coming soon. I have to 12 months of your method, man. I feel like I met the love of my life through ZTD. Will you marry us? I said, bro, are y'all engaged? He said, dead serious, man. Not yet, but soon we met six months ago through ZTD. I said, yeah, I'll marry you guys. So, you know what we did? We did that. Oh, they were camera shy. They didn't want their faces shown. Haters say it's fake, but it's the real thing. I got ordained. All right. Since most of you guys are real estate agents, how many of you guys own investment properties, long-term rentals? Oh, I love that. I love that. That most of the time it's not that big of a percentage. Most real estate agents don't own real estate. As funny as that is. But the end game for real estate agents, that's it. So, if you're a wholesaler, if you're flipping property, or if you're a real estate agent, it's all kind of the same game, right? You're trying to convert this relationship into a transaction where you get a piece of this deal, whether it's a wholesale, whether you bought it and flipped it, whether you made a commission. It's all kind of the same game, just a little twist. All that needs to build your income up to the level where you buy and keep real estate. I flipped over 100 houses in the last five years, and if I would have kept the best 30 houses that were the best locations and the best rentals, the best condition, I would be much, much, much wealthier than the little bit I made, 20, 30, 40, 50,000 on a flip. I'd made way more money and still have cash flow coming in, have tax write-offs. I'd be so much more wealthier if I'd have kept the 30 best properties. This is the end game for real estate agents. If you understand how this game really works, a quick example, if you buy a rental property and you're going to make $200 more than the mortgage, people are like, I'm only going to make $200 a month. I've got to go fix toilets? No, it's more than $200 a month. You've got appreciation, you've got depreciation, tax write-offs, you've got debt pay down, and when you look back in five years, we're going to be glad you bought that house and changed a few toilets and made you a little $200 a month. It ends up being so much. It's called internal rate of return, IRR, that figures in appreciation as well as your cash flow at the end of the day. And if you look at that, your cash on cash return versus your cash flow versus appreciation and rent increases over the years and consider all that on a conservative basis, you're making like 15 plus percent a year on your money, which is insane and it's solid. So this is my goal this year. So if you guys have commercial, have multifamily, please send them to me, DM me on Instagram, answer all my messages. If you guys want to throw in on deals with me, DM me on Instagram. I'll throw in with you, I'll buy properties with you. You send me deals, I'll buy deals. It could be a cool little relationship, right? If you want a chance for a signed book, I'm going to pick somebody out to do a coaching call with and today's slides, text me the word book at this number right now. Okay, you guys good there? 2513128844. There's my socials. Ricky Karuth everywhere. This is my tagline. Always value relationships over transactions in every situation. Focus on the person, not the property. Most of the expires I did business with, I represented them as a buyer, as a buyer's agent. Call them, tell me what's going on with your property. They're telling me. I end up realizing they want to buy something, help them buy something. Most people are just focused on trying to set the appointment and list that expired. I'd rather just find out what this person wants to do and help them do it, no matter what it is. And that's how you build a large business. Remember guys, I told you that the most common answer when I asked somebody how many active buyers and sellers are working with, the most common answer is four. I saw the number four. Last year, NAR said that, what was it, 8% of realtors closed for more, 8% closed for more transactions up to the six month mark last year. So think about the second, 8% of agents sold four properties or more. Okay. The other 92% sold four properties or less up to the first six months last year. So I saw the four number again. And then when it hit me like a ton of bricks, I realized that every speech I do, every Zoom call I do, and I lay out the game plan, the blueprint, or I give a challenge and say, hey everybody, let's go read a book or let's work on our fitness, let's work out six days in a week, we'll meet back up. When we meet back up, it doesn't matter if it was a hundred people, a thousand people. Guess how many people say, I did it, four. So the four number kept coming up to me. I was like, there's something there. And so what I realized is that when I'm talking to a group, there's probably four of you guys in here that are actually going to go out there and execute over the next decade to do something really special. So if you're one of the four people that are going to take something you learned here today, something you learned yesterday, whatever, and you're going to go out there and over the next decade or two, do something incredibly special, make some noise. There can only be four of y'all. Let's try again. Who are the four? What? Okay, listen, I know you guys came here today, which means so much, not just to me, but to yourself, the fact that you would show up. And I know all of you are here because you're searching for something. And I don't know what it is, but whatever it is, I hope you found it or at least a piece of it today. Okay? I'm going to take some questions, but this concludes the presentation. Thank you guys very much. So thank you everybody. Give it up for Ricky Karuth again.