JL's Columbia SC Real Estate Blog: The Death of the Multimillion Dollar Producer

The Death of the Multimillion Dollar Producer

 Lately I have noticed a trend on the part of local Realtor boards and real estate companies to downplay the use of the phrase multimillion dollar producer. I have discussed it with several agents, brokers, and instructors from out local Realtor board. It seems the decision to do so stems from misconceptions on the part of the public as to the exact definition of a multimillion dollar producer in the industry.

 You see, many consumers hear the phrase and immediately think that it means the carrier of the title makes millions of dollars by selling real estate. This is not at all the case, in fact it may not be further from the truth. However, I can understand why people would have this misconception when I stop and think about the phrase for a brief moment.

 A multimillion dollar producer sells enough real estate to total in the millions. While they do indeed make commission off of these sells, that commission does not total in the millions. If you sell two $500,000 homes in a year, then you are a million dollar producer. Selling two homes in a year doesn't really sound like you are setting the world on fire now does it? If you sell four $500,000 homes in a year, you are now a multimillion dollar producer because you have sold two million dollars worth of real estate.

 This is how one becomes a million dollar and a multimillion dollar producer. It has nothing to do with the amount of money that a Realtor makes, at least not directly. Obviously the more you sell the more you make, but the phrase doesn't make you a millionaire by a long shot. Instead, it simply tells the volume of sells that you have made which is directly tied to the number of and the price of the homes you sell.

 So, with all the confusion out there over these phrases, and the obvious misconceptions that follow we are experiencing the death of the multimillion dollar producer. We still have them, we just have more and more of them that no longer use it as part of their advertising campaigns. It's just one more effort on the part of some Realtors to clear up the publics confusion as to how our business works.

 

www.jlboney.com

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JL Boney, III - Columbia, SC Realtor - Coldwell Banker Residential Real Estate

 I specialize in Columbia, SC real estate and the surrounding areas, including Blythewood, SC, Kershaw County, Fairfield County, and Lexington, SC. If you are in the market to buy or sell a home in Columbia, SC or any of the surrounding areas, I would love the opportunity to speak with to see how I can help. Thanks for reading and feel free to contact me if I can be of service to you.

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Comment balloon 7 commentsJL Boney, III • May 09 2009 02:29PM

Comments

JL...

You are so right my friend. Our board went from "Million Dollar Club" a few years ago to "Professional Achievement Awards." I actually like it better, but it will take the public a few more years to "catch on!"

Posted by Richard Weisser, Richard Weisser Retired Real Estate Professional (Richard Weisser Realty) about 9 years ago

HI JL-Thank you for sharing that as I just learned something I didn't know. COOL!!! Have a great evening. <SMILE>

Posted by Sharon Lee, Retired and loving life (Sharon Lee's Virtual Assistance) about 9 years ago

JL- Sumter Board of Realtors has done away with this recognition due to the misconception of the public.  I wish what they thought was true, I would be able to retire sooner!

Posted by Kim Peasley-Parker (AgentOwned Realty, Heritage Group, Inc.) about 9 years ago

I would take ten One Hundred Thousand dollar sales, or 5 two hundred dollar sales or ..OK I'll say it any sales at all would be nice.

Posted by Steve Loynd, 800-926-5653, White Mountains NH ( Alpine Lakes Real Estate Inc., ) about 9 years ago

I removed the designation from my business cards years ago but of the publics assumption that all Realtors were "rolling in dough".

Posted by Tom Boos, Providing the very best of service to Sellers and (Sine & Monaghan Realtors, Real Living) about 9 years ago

I never liked that phrase.  There is someone who thinks you are rivh and then look for someone else!

Posted by William Feela, Realtor, Whispering Pines Realty 651-674-5999 No. (WHISPERING PINES REALTY) about 9 years ago

Richard- They'll catch up in time.

Sharon- Glad I could help.

Kim- That would be nice.

Steve- Hang in there my friend, help is on the way.

Tom- And that's why so many here have done the same.

Bill- I never liked it either.

Posted by JL Boney, III, Columbia, SC Real Estate (Coldwell Banker) about 9 years ago

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