Impact of COVID-19 on the U.S. Real Estate Coaches
A new RealEstateBees.com survey of over 2,000 active real estate coaches found that despite the negative impact on their business caused by the COVID-19, more than 75% are seeing new opportunities opened by the pandemic.
The following segmented report provides results of a large scale survey—Impact of the Coronavirus on the U.S. Real Estate Businesses—conducted by the Real Estate Bees research team, leading real estate platform for real estate professionals.
The following statistics reflect the situation among the US real estate coaches. We reached out to over 2,000 active real estate coaches from all the 50 U.S. states and Washington D.C. to collect their insight on the impact of the COVID-19 pandemic on the industry in general and their businesses in particular.
The report is divided into the following two parts.
1. Multiple choice questions where the professionals had to choose one of the suggested answers to each question:
1.1 Is there a negative impact the pandemic is having on real estate coaches?
1.2 Has the pandemic opened any unexpected opportunities for real estate coaches?
1.3 How are you adjusting your marketing budget?
1.4 Are you transferring your business to a “work from home” basis?
1.5 Have you noticed any benefits of transferring your business processes to a “work from home” basis?
1.6 Have you noticed any drawbacks of transferring your business to a “work from home” basis?
1.7 Will you keep your business processes transferred to a “work from home” basis after the pandemic is over?
2. Open questions that allowed the experts to share their insights on various aspects of the impact of the coronavirus pandemic on the U.S. real estate coaches:
2.1 What are the specific negative impacts the pandemic is having on real estate coaches?
2.2 What unexpected opportunities have the pandemic opened for real estate coaches?
2.3 If you knew the impact of this situation on your business in advance, how would you prepare your business to mitigate your losses or even profit from it?
2.4 What marketing channels do you prefer to use during the pandemic over the rest and why?
Is there a negative impact the pandemic is having on real estate coaches?
Has the pandemic opened any unexpected opportunities for real estate coaches?
How are you adjusting your marketing budget?
Are you transferring your business to a “work from home” basis?
Have you noticed any benefits of transferring your business processes to a “work from home” basis?
Have you noticed any drawbacks of transferring your business to a “work from home” basis?
Will you keep your business processes transferred to a “work from home” basis after the pandemic is over?
What are the specific negative impacts the pandemic is having on real estate coaches?
Key takeaways from the real estate coaches’ answers:
- Agents are choosing to postpone coaching sessions to wait until the situation normalizes and they go back to the income level they were once used to, where they can afford coaching.
- The current situation also lowers the morale of agents. Being quarantined makes it harder for them to feel motivated to get clients as they couldn’t go out to network and organize open houses. This, in turn, makes it difficult for real estate coaches to encourage agents to keep going despite the pandemic.
- Coaches are also finding it hard to motivate agents, particularly new ones, to stay in the game, given that personal interaction for lead generation is prohibited.
- Coaches aren’t only struggling in securing work that requires face-to-face interaction. They also find it hard to get job opportunities using online tools, as most of them depend on live seminars and aren’t proficient yet with virtual-based coaching.
- Coaches who are still working are struggling to get to where their clients are, as traveling is prohibited.
- Despite the negative impacts, coaches believe the pandemic has given them the opportunity to be closer to their clients and provide the guidance and mentorship they need in these trying times.
Erik Hatch, Hatch Realty & Hatch Coaching
When COVID-19 really hit in mid-March, we saw close to 40% of our coaching clients put a pause on coaching. Our clients were scrambling. In fact, everybody was scrambling. Those that put a hold on their coaching saw what we do and regarded us as a “luxury” add-on. It was seen as something that was expendable for nearly 40% of our users.
The other 60%? They told us that coaching would be the last thing that they would cut because guidance, mentorship, accountability, and leadership were more important now than ever. Fast forward four months, and our coaching company is on fire with more momentum than we had prior to the original COVID outbreak. The word is out – and our clients are CRUSHING IT.
Chris Fosgate, Keller Williams Kansas City North
COVID-19 has had a medium impact on our newer agents as many of the state and local board and licensing offices were shut down for six to twelve weeks. For agents already licensed, they were asked to refrain from advertising and growing their businesses beyond those people who were already in their database/sphere.
For those agents, we recommended that they make “care calls” to people they already know and love them to “check in” and see how they were doing. This actually delivered good results in most cases.
James Houghtaling, Real Estate Mastery Coaching Center
There are a number of agents who would otherwise invest dollars into training, coaching, and consulting but are holding onto their income because of uncertainty.
Just like many homeowners who might be choosing to list their homes yet don’t because of fear or concern for their safety or the direction of the economy, so too are some real estate professionals seeing a drop in their cash flow and limiting their spending.
Mike Opyd, Mike Opyd Real Estate Coaching and Consulting
The main negative impact I have seen is agents holding off from starting coaching (or pausing it) for a little while as their markets figure out how to handle the pandemic. Agents in some markets are choosing to save their money as they wait for things to get back to some sense of normalcy and they can go back to an income level they are used to in order to afford coaching.
Michelle Bailey, Forward Coaching/ Ben Kinney Team at Keller Williams Realty Boise
The initial reaction to any change is to look at expenses and cut as much as possible. The knee-jerk reaction is to include coaching in those cuts. However, a good coach is more of an investment and you should see a positive return on that investment. A good coach will help their client survive and thrive!
Andrea Lupo, West USA Realty
Coaching new agents has been a challenge during this time. It’s hard to keep new agents motivated when they are quarantined and can’t get out and network. Majority of new agents rely on facilitating open houses to gain new clients and boost their base. With the pandemic, this is very hard.
Kathy Mackay, American Dream Coaching
For coaches, I feel that it has been hard to motivate real estate agents to stay in the game and call their sphere during tough times. New agents in particular struggled because they couldn’t do any face-to-face contact for lead generation.
Carla Cross, Carla Cross Seminars, Inc.
Agents are uncertain of the future of their businesses, and so are reticent to invest in themselves right now. However, now is the best time for an agent to gain a coach. The foundational work that needs to be done to help an agent go from “careerist” to business owner is best done now.
Roland Nairnsey, New Home Sales Plus
We have many clients all across the country who would like us to travel to them to provide coaching. With the health situation, this has to wait until it is considered safe to travel and gather in larger groups.
Orlando Montiel, The Montiel Organization
Most coaches depend on live seminars and are not adapting fast enough to online services, training, and product.
What unexpected opportunities has the pandemic opened for real estate coaches?
Key takeaways from the real estate coaches’ answers:
- Since only a few areas are affected by the virus, agents get job opportunities in areas that aren’t affected. This has lowered the competition for coaches’ agent-clients in terms of listings and providing service to buyers.
- Due to lesser competition, coaches’ agent-clients are able to improve lead generation efforts on highly competitive markets.
- With people staying at home, coaches’ agent-clients are able to get in touch more with target customers. As they have fewer distractions, customers better appreciate the value-filled offers of enthusiastic agents.
- Due to the uncertainty of the times, some agents play the waiting game and prefer to see what happens next. This allows coaches to strategize with agent-clients who are bolder and want to take advantage of opportunities that can help grow their business despite the pandemic.
- The pandemic has opened doors for coaches to offer their expertise to a variety of real estate professionals needing coaching. Brokers commission group coaching sessions to help agents cope with the pandemic and ensure their well-being, while title companies require mastermind sessions to keep agents updated on the latest real estate news.
- Coaches who are adept at online-based coaching are able to get additional job opportunities from entities requiring continuing education or workshops. They are also able to utilize online tools to create educational webinars that reach a wider audience.
- As virtual platforms are being used more now than ever before, coaches who use this medium are able to save time and pack in more meetings within their schedule to talk with potential clients and participate in more coaching sessions.
- With virtual platforms being used more often now, coaches are discovering new ways to innovate their business and gain more sales via this medium. Some have integrated virtual coaching into their curriculum and plan to bring this new coaching system post-pandemic.
- Overall, the pandemic gives coaches the opportunity to reiterate their value and the assistance they can provide their agent-clients. This positions them as the go-to expert that agents need on their side to weather the negative effects of the pandemic. At the same time, this affords them the chance to elevate their skills and be ready for whatever help their clients need to level up their skills as well.
- In general, real estate professionals are reevaluating themselves and what they need to do moving forward. This includes how they want to work and spend their time on, and what really matters to them.
Erik Hatch, Hatch Realty & Hatch Coaching
Using some of the extra time that COVID provided, we pivoted a number of aspects of our business. Most notably, we were able to build out scalability and reach in ways we simply didn’t have the time or opportunity to do so with a robust schedule daily.
Hatch Coaching has proudly built what we believe is the next level for training packages and video modules that will provide massive scale and impact for those we have the privilege of helping.
In addition, we have brought to a new level the solutions to effectively maximize and systemize your business. Without COVID, these “dream” projects would still be sitting idly by, waiting for someday to arrive!
Karen Coffey, Karen Coffey Coaching and the Making Agents Wealthy Programs
Agents need the guidance of expert coaches with strong track records now more than ever because they just don’t know how to handle the chaos successfully. The opportunity for coaches is to level up their game to address the step-by-step systems and results that will quantum leap their agents.
Coaches can’t sit back and offer the same old-fashioned ideas and get their clients the results they want. We found the results were astounding during the pandemic. Yes, we taught new skills and strategies but as a company, we are so highly focused on the mindset needed to achieve success and that is exactly what worked.
The opportunity coaches have is to grow their mindset now in this time to their biz.
Walter S. Sanford, Sanford Systems
Government officials are not using science in scaring everyone when only certain segments of the population are being affected. This has eliminated competition for listings and service to buyers.
Smart lead generation has increased my clients’ pipelines with less competition on the hot demographics such as expired listings, FSBO, mature people in large homes, long-term owners, non-owner occupied listings, out-of-area owners, fully amortized properties, neighbors around recent sales, and others.
People are home and picking up the phone more often. They have less distractions which allows them to listen to value-filled offers. They appreciate the upbeat attitude of my realtor clients.
Kevin Smullin, 2Q Lead Generation Strategies
The pandemic has created an environment where people who weren’t serious about growing their business are waiting and watching. Agents who want to grow are experiencing increased market share while their peers are waiting.
As an example, my clients would normally generate leads on Facebook for around $3-5 per lead, and leads are now coming in at $1-2 because there is much less competition than before. It’s the perfect time for agents to fill their pipeline if they have the strategy and vision on how to do it. If the coach is clear about their strategy and message, it’s a great opportunity to grow.
James Houghtaling, Real Estate Mastery Coaching Center
Out of any potential negatives there are always positives if you are willing to be creative and innovative. There are many different hybrid options that are less expensive but still offer the chance for agents to get cutting-edge information, have a sense of community and collaboration, and feel more confident that they can navigate their way through and beyond this situation.
The chance to deliver more impactful and valuable content via Zoom or online training platforms is one example, as the relevance of this type of engagement between a coach and their clients is now dramatically more acceptable and sought-after.
LeAnn Riley, Real Estate Investing Made SIMPLE
So many people WANT to invest in real estate but just don’t know how to get started. COVID-19 has given ambitious people time for training and learning. There are many strategies that work for investing but the biggest challenge is to figure out which one to begin with.
I’ve noticed more people are READY to quit thinking about real estate and now will take action to acquire property when they understand the formula of how to tell a good deal from a bad deal. Investors in the single family and smaller multifamily categories are doing well and the pandemic hasn’t affected their rental business greatly. All people need a home so those categories are holding strong.
Amy Stoehr, Real Estate Masters Guild
Perhaps not unexpected, although important: real estate coaches need to step up their own level of understanding of how real estate professionals and their teams can continue to serve their client bases with virtual options.
From open houses to showing properties and virtual listing presentations, the technology all existed prior to the pandemic. Those professionals who have embraced the role of technology in this change now realize that, going forward, people will expect virtual alternatives to always be available.
Theresa Barnabei, Course Creators
Since there is more concern for the overall well-being of their agents, brokers have reached out for me to offer extended group coaching sessions.
In order to keep their agent-clients in the loop with updates and camaraderie, title companies have reached out for me to conduct mastermind sessions.
And, as the states have approved virtual training, the online continuing education and instructor development workshop opportunities have increased.
Roland Nairnsey, New Home Sales Plus
The inability to travel has caused me to increase the amount of virtual training that I do. I have been coaching sales teams via Zoom for years anyway, but now I have created a whole virtual curriculum to be shared via video conference.
I have also been teaching salespeople how to sell virtually, which we even role-play with them. This has been very well-received and proving to be highly beneficial with increased virtual sales.
Vanda Martin, Vanda Martin Inc.
There are many opportunities right now. With the unprecedented times, no one wants to gamble their business or future. With this time of uncertainty, real estate agents need more than ever the best real estate coaches with the best tools, strategies, tactics, proven systems, and processes to help them to succeed at this new market.
In the last four months, I have had some of the best months ever with all my coaching programs.
Mike Opyd, Mike Opyd Real Estate Coaching and Consulting
Agents are a lot more willing to do virtual meetings than in the past. Many of my clients prefer to meet in person (if they are in my market). Now they prefer and are OK doing virtual meetings where before they didnt think this would be a benefit or really refused to want to do so.
Being forced to do it and still seeing results has opened them up to considering keeping with it. Which, in turn, helps me save time and schedule more clients.
Mike Gandolfo, RE Solutions
Coaches who focus on what their clients can do instead of what they can’t will lead the way helping agents be more innovative. The real estate industry is a crisis management business – we are generally managing people’s personal crisis instead of a global pandemic. This is the perfect time to lean in to your clients and demonstrate your value.
Louis Parrish, United Real Estate Southern Arizona
The pandemic not only brings new challenges into the industry but has reduced face-to-face interaction, which tends to be time-consuming. As agents lean on communication technology to replace face-to-face interaction, they have more time to participate in the coaching that helps them adapt to the needed changes in their business practice.
Karmen Dadourian, Liz Bentley Associates
People in general are reevaluating their values – how they want to spend their time, how they want to work, and what is really important to them. Everyone and every industry is disrupted. As coaches, we support our clients when navigating through these challenging times. Our real estate clients are no different.
Orlando Montiel, The Montiel Organization
We’re seeing more demand for online lead generation and conversion training (marketing and sales). Moreover, agents are now more open to online tools and resources (distance learning). We’ve also invested in webinars that have given us larger reach at a lower cost.
Jim Remley, Erealestatecoach.com
Responding to a new crisis requires new skills, new competencies, and new technology. We have been able to provide coaching in all three areas to our coaching students and help them not just survive but thrive during the COVID-19 pandemic.
If you knew the impact of this situation on your business in advance, how would you prepare your business to mitigate your losses or even profit from it?
Key takeaways from the real estate coaches’ answers:
- Bolstering marketing efforts can help coaches reassert their relevance during the pandemic. Coaching clients on how to keep their business afloat has never been more important in these trying times.
- The natural progression to online-based coaching is inevitable. Thus, coaches who are ahead of the game by having online real estate coaching programs ready and sending the importance of learning through this medium during the pandemic will be able to lessen, if not avoid, the impact of business loss.
- However, those who go online for coaching should realize the importance of integrating lively interactions. To harness the full potential of this medium, coaches should know how to keep their clients glued to their sessions.
- Pandemic or no pandemic, coaches should be able to have a deep pipeline of clients. Moreover, they should always have reserves in place and reevaluate their expenses, as well as prepare a contingency plan for whatever emergency that is coming their way. Being a step ahead cushions the impact of any unexpected changes in the industry.
- The pandemic likewise puts coaches under introspective mode to evaluate the aspects of the business that need calibration, particularly how to interact and keep communicating with clients, as well as adjusting their systems to save on costs.
- Taking proactive steps at the first sign of any unexpected event can also help mitigate the impact of any devastating blow to the business.
- This is the best time to nurture relationships with clients. Coaching is a relationship-based business, and coaches who value high-quality relationships with their clients will reap long-term rewards.
LeAnn Riley, Real Estate Investing Made SIMPLE
In the coaching business, I was already revamping my campaigns and funnel. The pandemic gave me time to adjust systems, implement some new technology, and also switch some vendors to save expenses.
In real estate sales, I am a team leader of realtors. There was a definite lull during March and April. May came back with listings and buyers. We are in an inventory shortage, so listings are getting multiple offers and gone in just a few days.
Buyers are more challenging. Investors have cash and we are finding them deals. I’m specifically in the investor market as they are repeat buyers and I advise them. I put out “Market Shifts in COVID-19” training so my audience could be informed.
Vanda Martin, Vanda Martin Inc.
If I knew this in advance? At this time, I believe we did the best adjustment we could. I don’t think I would have done anything differently. We kept our marketing budget up and going, and I was present on many platforms.
I understand that the best strategy is to be prepared; I believe we adjusted very fast with the pandemic. I improved and optimized my presence on Facebook. I was more present on all platforms, providing a great amount of free value and great content.
During those times of worries, anxiety, and fear, people need more help and assurance. I am not positive I would have done anything differently.
Karen Coffey, Karen Coffey Coaching and the Making Agents Wealthy Programs
We would have addressed the great need to have a coach during this time earlier in the “getting to know you” conversation. In the beginning of COVID, we were asking the same questions we normally would ask to find their needs.
Now, we know we need to address the desperate need agents have to navigate the market and the shelter-in-place orders, right upfront vs. waiting. There are so many great things agents can do that they had no idea how to do. We got them there and transformed their businesses. That’s what we want more of and so when we changed that conversation, it was a game changer.
Carla Cross, Carla Cross Seminars, Inc.
I would have more online courses ready. I have two now. There is a natural reticence to learn online for real estate professionals. We generally believe we learn more in the classroom. That is due, I think, to the poor quality of most real estate online courses.
It’s also due to the fact that most real estate online courses do not have interaction with the instructor. I’ve been careful to make ‘hybrids’ of my courses, so I am interacting ‘live’ at several points during the course experience.
Matt Bonelli, Ninja Coaching
The only constant is change. If you are complacent with your business, change is going to always be a challenge when it comes to your P&L. If we knew that something like this was coming, our message probably would have adjusted slightly to highlight even more the value of high-quality relationships.
As a coach, we only make money if our clients find value and make even more money themselves. Long-term value should always be the focus, not short-term gains or losses.
Mike Bowler, Keller Williams Realty – Lansing
In this business we have always had to deal with the unknowns that might come our way. It’s always smart for broker owners and others to have a reserve of savings and also a contingency plan for “what if’s.”
I think the shutdown has been an eye opener for all to be better prepared in the future. We can profit from all crisis situations by becoming better at what we do now and in the future.
Michelle Bailey, Forward Coaching/ Ben Kinney Team at Keller Williams Realty Boise
It’s a good reminder to stay focused on expenses and have reserves in place. Often when we are doing well financially, we stop paying close attention to our money and we end up spending more.
Given our business, we should have 3-6 months of business reserves. When there’s trouble, we should immediately get into action with generating business. Areas were affected differently and not everyone was as fortunate.
Mike Opyd, Mike Opyd Real Estate Coaching and Consulting
I would have run ads and posted more items about how important it will be for agents to keep with their normal routines, including coaching, and how the agents that prepare themselves for when it’s over will be the ones who succeed the most. The idea would be to keep the same clients and ideally pick up more with my message.
Walter S. Sanford, Sanford Systems
Always be ready for changes in demand, interest rates, mortgage availability, etc. Since you never know what is around the corner, have a deep pipeline. Every problem can be cured with more clients whether you are a great agent or a coach.
Theresa Barnabei, Course Creators
Oh to have the crystal ball! I took proactive measures as soon as the situation started showing itself. Staying visible and causing business to happen is the pillar of every business and it paid off in profits for us.
Mike Gandolfo, RE Solutions
The pandemic is not the problem, but it does make you acutely aware of the holes in your business. We have been taking a close look at our systems to interact and follow up with our clients.
What marketing channels do you prefer to use during the pandemic over the rest and why?
Key takeaways from the real estate coaches’ answers:
- Coaches find social media platforms like Facebook, Instagram, and LinkedIn the best tools to use for marketing during the pandemic. These platforms are where most potential clients are spending more time on, getting their information from, and spending more money on.
- Creating video content to be posted on video platforms like YouTube is also being utilized to meet the demand of users for more educational media content.
- Coaches complement their content creation activities with advertising efforts through Google Ads and Facebook Ads to reach more clients.
- Apart from social media channels, their own websites are being harnessed as well to produce quality content like videos and blog articles.
- Aside from online efforts, traditional methods like text messages, snail mail, postcards, and phone calls are also being utilized to ensure that coaches are exploring all available avenues to generate more response from clients.
- Coaches are also taking advantage of referrals from other agents to gain new customers.
- For coaches, it is a must to tailor their marketing efforts to the needs of their target demographic to accelerate response rate and make necessary changes to increase customer engagement.
LeAnn Riley, Real Estate Investing Made SIMPLE
I use Facebook advertising for my coaching program, though I noticed a decrease in performance during the crux of the crisis. I use organic reach through social media and LinkedIn. I accelerated my Real Estate Investing Club livestreams during the pandemic and grew my YouTube channel with educational videos.
I also took the time to study further with my marketing coach to revamp systems and funnels. Just relaunching now the entire new marketing plan. Made a lot of videos.
James Houghtaling, Real Estate Mastery Coaching Center
I have seen more impact through text campaigns and email, especially in the early stages of the pandemic. Initially, many agents were not as busy and so taking the time to read and respond to these communications increased and gave me a chance to capture their attention as compared to when they were significantly busier.
In the last 30 days, the pendulum has swung a bit away from those again, as markets have opened up and agents have gotten a lot more active again.
Kevin Smullin, 2Q Lead Generation Strategies
I use Facebook and YouTube specifically. These are my primary channels prior to the pandemic, but we have been using both increasingly as people are consuming more media than they have previously. When people were quarantined, they had more time to consume information and social media is where they spent a lot of their time.
When people consume more media, it’s an opportunity to produce even more quality content. I’ve doubled down on the amount of content I create and it has paid off.
Erik Hatch, Hatch Realty & Hatch Coaching
We have found that our best marketing channels are raving fans and Facebook groups. Frankly, we have never paid for business. It has all come organically. And whoa – the stories people are telling of our services and coaching NOW are standing out in such a big way!
We spend a good majority of our time fielding inquiries rather than chasing people down. And it all is happening through our current clients/users and Facebook groups.
David Fanale, Real Estate Skill Builder
Emails and Facebook Ads. Emailing my email list got more opens than typical, as well as the ad network on Facebook because some big advertisers pulled out. We were able to take advantage of these channels. Instagram was huge as well. What I was able to do was to make changes to my approach and quadruple my engagement and exposure for no added cost.
Mike Opyd, Mike Opyd Real Estate Coaching and Consulting
Facebook, YouTube, and my website. To me, these are the best channels whether there is a pandemic or not. I use my personal page on Facebook, along with running Facebook Ads. On YouTube, I post a video once a week, which I also post on Facebook and LinkedIn. On my website, I write a blog weekly, which I also post on Facebook and LinkedIn.
Walter S. Sanford, Sanford Systems
Potential real estate buyers and sellers have more time to read narrowly directed snail mail, explore media and the search engines, and take calls. Therefore, all of our previous marketing efforts are working better. We are finding that fashioning the message to the need of the demographic we are soliciting is accelerating our response at this time.
Jim Remley, erealestatecoach.com
Social media is the dominant player in marketing channels, along with YouTube and Google PPC, and display marketing. We are focused heavily on Facebook, Instagram, and LinkedIn as being where most clients are spending their marketing dollars and receiving a strong return on investment.
Amy Stoehr, Real Estate Masters Guild
My marketing is primarily through my private Facebook group, direct messages on Messenger, text, and email. That hasn’t changed because of the pandemic. The frequency with which I’m communicating has increased out of necessity, care, and concern.
Karen Coffey, Karen Coffey Coaching and the Making Agents Wealthy Programs
Referrals from our agents and speaking are my favorite marketing channels. We are the No. 1 results-oriented coaching company for women in residential real estate and so I love speaking at association conferences such as WCR and NAR.
Deb Cleveland, Deb Cleveland
I offer valuable information on my YouTube channel and have a proven system in place where I offer a lot of value to potential clients before they would consider hiring me as a coach.
Andrea Lupo, West USA Realty
I have done a lot of social media and 3D tours of my current listing. I have also made a number of phone calls to check in on Sphere. Also just did my marketing postcard.
Mike Gandolfo, RE Solutions
Facebook is still a great place to interact and distribute content. That’s where the majority of our demographic is spending their social media time.
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