March 2020 Income At-A-Glance
Gross Income for March: $31,991.01
Total Expenses for March: $7,356.86
Total Net Profit for March: $24,454.15
% of Net Profit to Overall Gross Income: 76%
Real Estate Sales Income: $21,435
- Briscoe Leaf - $6,840
- Tristant Rdg. - 14,595
Other Income: $10,556.01
- revenue share - ,404.62
- Affiliate - $151.39
eXp Realty Revenue Share Group:
- Net Personally Sponsored Agents = 0
- Personally Sponsored Agents = 36
- Net Total Agents = +3
- Total Agents = 223
Total Gross Income for March: $31,991.01
- Auto: $131.98
- Brokerage Fees: $408.38
- Education/Dues/Travel: ($399.00)
- Marketing/Advertising: $281.48
- Office Supplies/Operations: $4,856.74
- Payroll Expenses: $1,011.80
- Technology/Systems/Tools: $1,245.48
Total Expenses for March: $7,536.86
Payroll to Kyle: $4,306
Total Net Profit for March 2020: $24,454.15
Total income for March 2020, $31,991.01. This was higher than my average for 2019 of around $26,533.45. This can be attributed mostly to a good sales and good revenue share from the team.
In March, I closed two transactions. One was a referral from another eXp Realty agent, the other was a repeat past client. The referral was a buyer and the past client was a seller. This totaled $21,435 in gross commission income (after paying out the referral).
Revenue Share Team Income
My team, which consisted of 220 agents closed 78 transactions in february. eXp Realty revenue share paid out in March totaled $10,404.62. This time last year, the team consisted of 126 agents and closed 24 transactions which paid out $3,406.55 in revenue share.
A net of 3 agents joined my team this month. This brings my total team count to 223 agents. Personally, I stayed the same for March, keeping my total at 36 agents sponsored.
Other income totaled $151.39 and consisted of miscellaneous affiliate income.
Total expenses for March, $7,536.86, were 5% below my 2019 monthly average of $7,995.77.
March expenses were about the same as my 2019 monthly average. This is due to having lower marketing and brokerage fees but also higher rent costs. My sublessor paid rent for February and March both in February. This created a surplus last month but a deficit in March. Without this discrepancy, March 2020 expenses would have been $5,000 and February 2020 would have been 6,500. So a reduction month-over-month.
Net Profit Overview
Overall, net profit for the month, $24,454.15, was 31% more than my 2019 monthly net profit average of $18,537.68. This amount equals 76% of the total income for the month.
Compared to March 2019, net profit for 2020 was around $27,000 higher. It's funny how real estate is but if you remember my income report for last month, I mentioned that February the year before, in 2019, was my best month ever in real estate. I had netted over $50,000 that month. I went and followed that up by having my worst month of 2019 in March at a negative ($2,500).
This was not the case this year, 2020. I've now strung together 12 straight months of positive net profit. This is something I'm very proud and excited of!
Overall, here's what the first quarter of 2020 looks like:
Gross Income has increased from 83,357 (2019) to $88,126 (2020).
Expenses have dropped from $20,973 (2019) to $18,347.65 (2020).
Finally, net income (profitability) has increased from $62,384.71 (2019) to $69,778.35 (2020).
It's been a great start to the year. However, with the Coronavirus likely to impact real estate and most other industries, it will be interesting to see how the second quarter and remainder of the year shape up.
2020 and Future Outlook
My continued focus will be to my revenue share team and helping them to grow while continuing to give the best service possible to my sphere of influence and referrals. I have now officially only worked by referral and repeat business for the past 15 months. I made the conscious decision at the start of 2019 to turn off the majority of my lead magnets (Facebook/ google ads).
I knew then that I would only have enough time in my real estate business to focus on two things. Those two things were my sphere/referral real estate sales and growing/supporting my eXp Realty revenue share team.
That's turned out to be an amazing decision. Come to think of it, just about every decision that I've made to simplify my business has turned out to be a good thing. That must be saying something. 🙂
- Mid-2017 - I rolled my brokerage into eXp Realty and stopped offering property management services
- Early 2018 - I stopped doing flips and investment real estate and focused on sales, my sales team, and my revenue share team.
- Late 2018 - I dismantled my sales team and focused on simply sphere/referral sales, and my revenue share team.
I've run that way now for all of 2019, which ended up being my best year ever for profitability (and lifestyle). 2020 is starting to look great as well, even in the midst of what we are dealing with.
I hope and pray this post finds you in the best health and safety possible. I know many have and will be effected by this terrible virus. If there is anything I can do for you in any way, don't hesitate to reach out.