Jim Allen on Simplicity on the Other Side of Complexity

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You are you ready to become awesome. Our hello everyone this is you meet your host and welcome to the no limit selling podcast where industry leaders shared their tips strategies and advice on how to make you better stronger faster. Get ready for another episode. Hello everyone today. I'm excited to have jim allen here with me. He's with the jim allen group the founder. Jim welcome to the program. Hi autism are among. Jim one of the things i really wanted to kind of take a look at is you started in real estate and then the financial crisis you know jimmy. Carter was around. I remember. one of our neighbors didn't take the one year loan to like everyone else. He decided this going to get worse and he took like thirty year at twenty one percent and just lost his home out of it. What i wanna take you back to as as this recession hit you. What were your thoughts your new in the industry and then we'll talk about how you got out of it so what was happening. When all of a sudden everything crashed on when the first one happened Interest rates because of oil had just gotten completely out of hand and as interest rates continued. Escalate Qualifying figure out your front line programs so for someone like me especially brand new to the business at the time. No clue what. I was doing I didn't know that. I didn't that mortgage brokers worth wednesday. It handled mortgages. I took it upon myself to really become a lending expert. When i would take a client of mine to a lender i never would have thought of letting them go by themselves because they made comeback and not wanna purchase anymore because once they could potentially scare them to death So you know the the simple solution in it how how followed the platform for my entire career. Once you find out what a problem is or what's causing it. Then you become an expert in that individual portion of it and it just assist you every time it happens. I mean owes much as start now in. The middle of recession was a bad thing The truce is it armed me with the ability to fight off the next within the next decade in the next one and the next decade because every ten years we run into some kind of stumbling block right Is just a matter of which one is which. What's kind of interesting a couple of things that i picked up from what you were talking about. one of the things that people that are successful do is when a problem comes up they lean into it like you said you wanted to learn everything about it whereas most people either ignore it or run away from it and a mark of a leader is hey less. Lean into it for grout. What's going on so a kudos for that and to it's really interesting before we started recording. You were talking about you know. It's those recessions and the problem areas. That rulli slingshot your business forward when you come out of it if you've got the right mindset a try amin an example for me. I had a pretty steady volume of in back in two thousand seven before the. Oh eight banking crisis yet. About one hundred twenty million a year would. I was closing up pretty decent average. Just kinda very good while win over eight games. Obviously you know everybody else had to kind of figure out what direction to go in and kind of went in low cocoons or they pulled their heads way back because they didn't wanna get exposed or get hurt. While i saw that as a growth opportunity and i went around to all the local banks who at the time did more loan money out to builders or do anything else. And i had been saving my money for some tom. And so i started bargaining with banks on behalf of my clients. I said listen guys If i put x. Amount of my own personal money here. What we alone out while it i. It was like almost dollar for dollar the first year. Is they really didn't take on new construction loans. They were like terrified. And then it got to be two to one and five to one and then you know it's not quite back up to the ten to one that it was pre recession in in a way. But it's pretty close now so this is pretty quite literally putting your money where your mouth was. That's right and they average real estate broker. And i. I would quote this person but i don't want them offended. A sitting in a bank office in away and the bank was trying to decide how to save themselves. How do we keep from going out of business. And they called myself and several other leaders in our community and we're sitting there and one of the brokers sitting there said. Well jim i'm a broker. I'm make six percent. If they lose two hundred thousand and i make six percent if they make two hundred thousand so i'm a broker and i said well that won't help right now. 'cause you made money on the backs of all these guys you're talking about losing money. What happens if they all go out of business. He said well. Guess what there'll be a new group of pickup trucks right behind them their sons or whoever in acid not this time because this could be generational you know if if a gentleman who's done it for fifty years goes out of business. Do you think his child's gonna become a builder. You know in a lot of orders in our marketplace children of people who have been builders previously in the president of that bank kind of agreed with me they were looking for. What are all your good ideas. And at the time i suggest starting to do a buyback program where you know we could still sell our new home. It full price. But we bought the other person's house to leverage into so at least we got our money back out of the new one and then over time we try to sell the resale or we keep as ronal to get building. But now eric different tools that you use and you gotta have all your tool chastity get successful but out of that launch Last year we closed right at five hundred million dollars whereas a business Win in oh eight. We were lucky to do a hundred million and we actually In in nine drop down to eighty eight million production. We launched down five hundred. Will this year. So far we've got pending over seven hundred million this year and You know our goal right now is we'd like to start doing a billion dollars in annual sales so We started I've been thinking about this goal for a while. But october was really the first time i implemented it to my team and started showing them where i thought we need to go in order for that to occur in you know last october. Same time period. We did like one hundred. Twenty seven sales and fifty seven million in sales. Well fifty seven million in sales The ends up getting you. The numbers real quick cash have been hundred ish which is where we are right now said i implemented beginning of september so we got macaroni. Taber numbers we just said an all time record for our entertain but sides assault one hundred and seventy five homes in october At ninety one. Megan is what we did in a grossly volume in in in october. So take ninety one million and malt flat you get to my billion just a little over a billion so if we can launch forward in october certainly is not normally You think of is being your best sales month right but it's good. That is the one so if we start from there in traditionally. October is actually Normally my second. Worst month of the year september being my worst typically and then october on the back end of it and then filters the rasp. If we've got our second worst numbers there with our goal changing than in setting it up differently with my team than now. I feel like we were looking at a three year projection to try to get there safely shoot. We might get to obey next year. Jim one of the things that's interesting is A lot of people just do what they both is done. It sounds like you see the world like you know. How do we need to solve this problem. How can we show up different. How can we do offer something different. What do you think that comes from. That need to solve problems. I my background's in engineering. I got my degree in engineering When i was in college and obviously wouldn't engineer is is a problem solver. Now now when you're trying to sell them a house sometimes you say oh lord the hard to speak to. But on the other end i mean. They're so used to handling people's problems in you. Come to whether the water doesn't flow properly somewhere trying to figure out how to support a house. It's just a lot of different elements that engineers deal with. And so you know i. While i didn't like the physical aspects of being an engineer the problem solving and everything in in a in a solution where i could figure the platform out of it it works in real estate is well didn't know would i. But i didn't realize how few people really have plans though it it. It helps you plan for the future. And that i think the only way to do anything is i plan and then steps in measures how to get to your plan and then holding yourself accountable to your steps and measures i mean you know if you formulate a plan but then you do nothing to put it into action or you really. Don't hold yourself accountable. Then you're never going to reach your goals while once we set goals for ourselves and we put a plan in action. I don't allow us not to do our goals you. That's my personality tight that i'm not going to accept failure from myself. And i don't impose that same on others You know what. I've learned to do as a team leader every time you can't make everybody in du path to accept the best them that convey. But so let's talk about that. Jim for second. So this probably people on your team maybe currently or agents in the past where you saw more promising them then they saw themselves. Can you tell us a story about one of those situations where you help. Bring out the best out of one of your team members. I mean almost always You know like there's a there's a stumbling block for each person and what you have to do is figure out you know what's the what's the block. They put in front of themselves. But give me an example of a couple of them Actually my number one agent on my team right now. had been a fairly successful broker on their own previously You know had four people standards had had gotten out there was was doing fairly well But was capped in and kept doing the same amount of business every single year light. That was the rookie of the year in the office. They were in. And you know that viacom they were doing as a rookie. Don't put him in play mazda months when they were competing with the other brokers in their office. And that was the problem all right so so often. Brokers are competing with other people that may not have their skill set or anything else rather than making themselves competition so in mind we were it with others compete with spell and sometimes. That's the hardest thing to do because a lot of times our beliefs around self-worth dictate. How well we do unless we change those beliefs. We get stuck in that same threshold. Is some people. Call it the comfort zone. We also have a financial comfort zone and we get stuck there and once you change those beliefs around money and self worth it just changes the entire world so so the first thing i do when i'm bored people to my team. I first day in the office. I give him three things. I give him here. First nice i given the mirror and turn it. I say this in. Because you're beautiful. And i don't want you looking at your reflects too much only year. Remember if you're talking to someone on the phone or do anything else. The problems are august star. Right there writing your hand and yet burn the reflection back because the moment you start making excuses the moment you start accepting something last than what. The other person desires need All of us are filled with excuses. Can either say wishing mirror on the wall. Give me what oil unless you got a magic formula. That's not gonna happen. So the solution is right there in it you have to resolve the own your own issue get out of the way of the transaction and allow it happen but if you're talking to someone on the phone and you get aggravated or something they're saying to you doesn't flow properly for you pull that mirror out who's up at your facial expression is gonna be reflecting what the person on the other end of the call is hearing right now and feeling the affection and gonna feel it right through the phone lines you kinda interesting. Jim is that we don't use language accidentally. And one of the things we a phrase we have is rationalizing and if you break that down is rationalize the lies we tell ourselves are so believable that we believe our own. Es we don't realize that we're creating it. That's right so i wanted to things i inherently. Tell people about myself. And what i would like to get to this point is. I don't have filters like my mom. Used to warn people coming in. Oh shit be careful have filters built her t as he is liable to tell you what he really thinks. Well the world doesn't necessarily always oumar like hearing the tree. I mean they'd prefer by to tell them they're covered up. Live will never smart enough to remember the lies. So i tend to just get rid of that completely in the white but i also so the next thing. I'll tell you this won't be popular with all all your guests. But next thing i do is i give him a daily read bible and i suggest to them listen. I don't care if you read it cover to cover you. Don't read it at all but the four matic comes into got an old testament new testament proverb in assam everyday. If you don't read anything a proper you'll start finding that the proper be re will be the solution to the problems you ran into today or maybe you can put your problems back in that little problem solver and start working from there. Because i don't know if you've read much properties but it's really common sense solutions to the redmond. But i've heard them right so anyway that's bats the second thing i handle in third is and this teaches them in all formats game up here scissors. Okay why would you give me scissors well. Every time there's a string hanging off of one of my signs or balloons still hanging or we've left trash somewhere and i'm trying to get him to understand this everywhere. If a bird poops on one of my for sale signs is sitting out from the property you may still be able to see the number but the person looking at a number won't see the same side. Yes selection all the way through on everything. Little things are the most important things i can't sell. Something is big as a two million dollar house because it's too large to sell what i can sell them. Instead as a sink faucet. I can sell a countertop can sell a door poll i can sell the thing at our sellable. No one on earth wouldn't be able to afford to pay for capital so i can reduce my sales equation to the very smallest detail of something rather than trying to sell the whole. I believe in selling the details of the whole thing. Is you go through. And if you sell something that someone that way it. Many wins and a bunch mini wins. Add up to will. There's all our wins. I don't see any losses on this other side. Maybe that's a good thing for you to follow through to jim. One of my favorite quotes. And i've got a million but this one is from einstein. It goes something like this you know. I don't like simplicity but simplicity on the other side of complexity is a beautiful thing and what you've described his those three things the mirror to really let the authentic you show up and reveal your own. Bs when you need to The the bible to give you knowledge every day that you can use because you need to get better as yo and the third thing with the scissors which is a great metaphor for looking. After the small things is is that right is the some interesting the other side of complexity that allows realtors to shine. San what's wrong though. Like if you're trying to coach someone else or trying to help someone else gain footing. If today i mean whom are few join my team. And you want to duplicate my footprint at the you'd get swallowed up in it before we got started and unfortunately the methodology that all big brokers us and also big accompanies us is they. They put this big plaque up on the on the wall for age of the mont or annual sales of the month or guest annual sales of the year in now everybody no matter where their entry point is is a minute. This huge target over time. They've realized that water down so now they got. Oh well this is for teams under two and this is for teams at three. And this is if you're an individual agent that's just to make everybody feel of cagey about because we've all gotten into a society That rather than there being one winner in one loser. Everybody gets a trophy for participation. Now our whole societies become while it's because the you know we were not put into categories already. We weren't You know we were playing baseball instead of everybody. Being in the major leagues with the lowest level minor league team trying to compete with world championship team from the previous year. And the only way either one. I'm supposed to be successful. As if they reach this one goal of winning the world series and we know that lower team has no possibility a beating this top one but we tell him to go ahead and try. Will i mean lynn. Yes you learn out of your defeats. I do not doubt that but get you learn just as much out of your success as you do your defeats you. Everybody i know only preaches. Oh you learn all the bat you do know quest but you also learn how to handle things better out of successes too because it's just as important to be a good winner is it is to be a good loser. All of us learned our whole lives had to be good losers. It's just as important when you sit on top of its of a mountain to learn how to be there humbly because guess what all the people who helped you gain your footing that helped you build your business over the course of time. Same people that you see go in if your head get so large. You can't get through a door. You will see them as you shrink in. Go back down to the on the other way as well right. It'll be the same people. But we all i think the the brokerage community is starting to learn that we all need each other and that we're not really out there eating each other alive because While there are some people you may compete heads up for a one little particular piece of business of the course of your time if you if you take time to recognize it you only run into that person competing for other property. You know maybe five or six times in a career where it's it's heads up. You know it's near you. You know unless you're the only to brokers in a little small town that's not gonna happen but if you're in a yup always not an enormous town but you know we're about two million able of across a bunch of little mini towns around year So you know. In comparison to other metropolitan areas in the country is not a big population. But we've got about nine thousand realtors in my little area. We compete with so for me to go heads up with just one isn't gonna happen every day but not every day and we all have different. Things were good One of the things i learned to do. And it's what i learned to do in the last recession in it in it went along with putting my money in some of these banks learned to get off my knees begging for listings and to create my own listings. So i do an awful lot of urban infill. I do an awful lot of lot development myself where am taking actually just begun to purchaser. So you know. I get home in certain price ranges rather than waiting for the market sell it. I go by split Repackage it and sell it to someone else. I mean what i find. In order. at some point. You will outgrow what the best of sales approaches in the little marketplaces you work in. You'll outgrow your ability to continue to grow your business unless you find new ways to get business and or to learn to start producing it yourself. So i'm in a market place. Where my team like say. we'll do. Seven hundred million this year. Guess what second-place team and my market or do this year. Two hundred hundred eighteen so we're seven times bigger than second place. While if i'm competing with second place was remar- you're gonna go down to two hundred. Like i suggested i'm get late. I'm we'll get lazy. I'm all. I'm gonna be complacency. Yeah many of their signs but if you if you today wherever you sit in your life whatever it is you're working on I guarantee you whatever you did. Yesterday did not kill you if you were the hardest. Thank yesterday you've ever worked in your life but you didn't die at guarantee if you come back today you got one percent more me. You may not be able to jump on in become a different Become warren buffett tomorrow. But i can become one percent. Jim allen tomorrow than i was yesterday and you know that hundred percent deaden cap so if you keep becoming one percent bedroom every year like next thing you know and i just told you i used to be one of those hundred maters. That's what our that's still in away. When i was at one hundred million that was you know would the highest anybody was doing will come forward to twenty twenty. Now i'm at seven hundred million but second-place is still at one hundred million. I could have stayed at one. Hundred million had chosen to really easily. You know how by i could kept almost systems saying i could have not open to grow. I could have never bought a house or property or taking any risk. I could have been that broker that makes my money going one way or makes it go in the other so in other words if the market gets in trouble i go out. Take a class on get help. People go through foreclosures idea. Help them do short sales and then when it gets good again i just sit back and catch whatever little portion my biz can catch or i can take control of my own business. Put the financial gains. I making any particular time over here on the sidelines to wait and and be conditioned that once things get to the bottom of the trough again to go full in while everybody else is taking a break waiting to find out what to do. I strike and to your three years before the eggs back in now. That's that's a risk taker. But you know you put your shot little bit on the side is your comfort and then you go back in jim. This was such a great interview on the one thing that i took away from this more than anything else is when there's a problem. Lean into it. That's what you find opportunity jim. We need to do another Podcast later on. We're going to talk about how you built your team and grow your people and thanks so much for being on the program. You're you're welcome one thing. I do want to say before a short one thing all of us to the profession. we'd take something out every day. Think about what your contribution bat can be you. You made your money a certain way. You took all the all the all of it out now. Once you get to a position success how do you get back. The reason i agreed to do this with you. Today is one of those things i'm not afford. I'm not charging people who talked to me about it. You know we figure a lot of tax lidge anything you think of. We have something we can help you with. Well i offer that all up to every other brokers that comes in contact with me for free. Because i realized only the ones on the top four tyler. Do anything with it. The rest of them. It'll be good for their tool shed in one of these days. Maybe they'll use some of it. They may not but at least we improve. Our business is knowledge is not meant to be locked away. It's meant to be share. We're solidified thank you so much. Jim art like thank. You feel if you enjoyed this episode please to issue of viva five star rating. And if you're looking for more tools go to my website at no limits selling dot com. I've got a free online training. Course their desks. Teach you some insights from the world. Neural realistic programming. And that is the fastest way to get better results

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