Closed Purchase and Totals

Modeling Your Business Serving Real Estate Investors

We’re going to continue working through The Real Estate Investor’s Agent One-Page Business Plan™ spreadsheet.

We’ve already covered the following blocks:

• Group Members

• Per Meeting

• Total For All Meetings

• Meet One-On-One

• One-On-One Meeting to Client Conversion Rates

• Signed Agency Agreement

• Showings

• Offers Made

• Under Contract

Now, we’re going to look at closing on the purchase and then:

• Total time invested

• Total money invested

• Total money made

• Net money (profit/loss)

• Dollars per hour

• Return on money invested

Under Contracts That Closed

Not every property that goes under contract will make it to closing.

• Some properties will fall out of contract after the buyer inspects the property and finds something that—no matter what the seller is willing to do—the buyer no longer wants the property

• Some properties will fall out of contract when the buyer and seller can’t come to an acceptable compromise based on what is uncovered during inspection of the property

• Some properties won’t appraise for what the buyer offered and the seller is unwilling or unable to negotiate an acceptable price

• Some buyers will experience an adverse event while under contract (job loss, divorce, accident, change of health conditions, etc) and cause them to not close

• Some buyer’s financing will fall through

• Some buyer’s were buying based on the sale of another property and that property falls through causing this one to fall through

• And many other variations of this…

In our spreadsheet, we’re showing that the vast majority… a full 90% of properties that go under contract will close.

What does that mean? It means…