The Optimized Entrepreneur

Optimizing Entrepreneurs so they can do more

Tag: Real Estate

  • How Much Is Your Real Estate Database Actually Worth?

    How Much Is Your Real Estate Database Actually Worth?

    2–3 minutes

    Most real estate agents say they “have a database.”
    Very few treat it like the six-figure asset it really is.

    A database isn’t just a list of names. It’s not a spreadsheet. It’s not sticky notes. And it’s definitely not a data dump of people who don’t know who you are. A real database is made up of real relationships—people who know you, recognize your name, and trust you enough to raise their hand when real estate comes up.

    What a Database Really Is

    At its core, your database is your data bank—every person you know and every person who knows you. If you have a pulse, you have a database. The problem isn’t whether agents have one. The problem is where it lives and how it’s used.

    A proper database lives inside a CRM that:

    • Reminds you when to follow up
    • Tracks conversations and timing
    • Automates emails, tasks, and reminders
    • Helps you stay consistent

    Excel can crunch numbers. It cannot build relationships. That’s the difference.

    Step One: Assign a Dollar Value

    Here’s where it gets uncomfortable.

    If your database disappeared tomorrow and you had to rebuild it from scratch, what would it cost? Industry data estimates about $26 per lead to acquire a contact. Keller Williams further estimates that a properly run database produces results over a three-year lifecycle.

    So the math looks like this:

    • 250 contacts × $26 = $6,500
    • $6,500 × 3 years = $19,500

    That’s what your database is worth—before a single transaction closes.

    Most agents aren’t treating a $20,000–$30,000 asset with anything close to that level of care.

    Step Two: The Conversion Reality Check

    This is where most agents feel the pain.

    In large national studies, agents often convert their database at around 1–1.5%. That means out of 100 contacts, they close one deal a year.

    That’s the floor—not the goal.

    A healthy, nurtured database should convert at 4–6%. Referral-based agents routinely hit this number by staying consistent, personal, and intentional.

    Let’s look at what that means:

    • 250 contacts at 1.5% → ~4 transactions
    • 250 contacts at 4% → 10 transactions
    • 250 contacts at 6% → 15 transactions

    Same database. Completely different outcomes.

    This Isn’t a Growth Problem

    Most agents think the solution is more leads.

    It’s not.

    If your conversion rate is low, adding more people just multiplies the problem. The opportunity is already sitting in your CRM—untouched, unorganized, and under-communicated.

    Only once you’ve maximized your conversion should you worry about growing your database.

    Most agents don’t have a lead problem—they have a conversion problem.

    Why 12 Deals a Year Is Already There

    Almost every new agent has the same goal:

    • $100,000 income
    • 12 transactions a year

    Here’s the truth most don’t realize: if you’re born and raised locally, you already have the people needed to hit that goal. They’re friends, family, coworkers, neighbors, parents from school, gym acquaintances—already in your life.

    The work isn’t finding them.
    The work is organizing, tagging, and communicating with them consistently.

    The Big Takeaway

    Your database is not a future asset.
    It’s a current one.

    When you stop treating it like a list and start treating it like an investment, everything changes—your confidence, your predictability, and your income.

    The solution isn’t complicated.
    But it does require intention.

    GabrielCruzPerez
  • How to Use AI as a Thought Partner to Build a 1-Page Business Plan

    How to Use AI as a Thought Partner to Build a 1-Page Business Plan

    3–5 minutes

    AI is creating a weird split in business right now.

    Some people see it as “that AI garbage” you can spot from a mile away. Others are quietly using it to write faster, plan smarter, and execute with more consistency—without ever letting AI replace their voice.

    The difference isn’t the tool.

    It’s how they’re using it.

    AI isn’t the final product. It’s scaffolding.

    If you use AI to generate the finished thing you post—your newsletter, your caption, your marketing copy—people will often feel it. It can sound generic, overly polished, or disconnected from your real tone.

    But that’s not what AI is best at.

    AI is best as an internal tool: the scaffolding behind the scenes that helps you build the house faster. You still decide what stays, what goes, and what sounds like you.

    The guiding question that changes everything is simple:

    How can AI help me do this?

    Not “do this for me.”

    Help me do this.

    That framing turns AI into a thought partner instead of a shortcut.

    “AI is scaffolding, not the house.”

    The old “AI fear” is just recycled tech panic

    A lot of resistance to AI sounds familiar. People used to say:

    • “Students will stop learning basic skills.”
    • “It’ll become a crutch.”
    • “What happens when the batteries run out?”

    Those exact arguments were made about calculators.

    And before that? People were convinced automobiles were a dangerous fad.

    AI is different in one big way: you don’t really get to opt out. It’s being embedded into search, email, phones, software, and workflows. So the real question isn’t whether AI exists.

    It’s whether you’ll use it responsibly—before your competitors do it better.

    The best business plan fits on one page

    Most business plans fail for a simple reason: they’re too big to run.

    If it’s 12 pages long, it’s hard to measure. Hard to review. Hard to delegate. Hard to keep visible.

    A one-page business plan forces clarity—and clarity drives execution.

    One of the cleanest formats is the GPS / 135 plan:

    • G = One big Goal
    • P = Three Priorities to achieve the goal
    • S = Five Strategies under each priority

    Example (simplified):

    • Goal: $250,000
    • Priority 1: 60 appointments
    • Strategies: social content, database outreach, geo farming, coffee meetings, referral asks

    Then repeat for priorities 2 and 3.

    The power move: this becomes a scorecard. Weekly check-ins. Monthly reviews. Minimum quarterly adjustments.

    Use AI to build it the right way (one question at a time)

    Here’s where most people mess up: they open AI and type, “Make me a business plan.”

    That’s how you get vague, vanilla output.

    Instead, prompt AI like this:

    “I’m a commercial real estate agent and I want to create a GPS (135) one-page business plan. Act as my thought partner. Ask me questions one at a time until you have enough clarity to build the plan.”

    That one line fixes three problems:

    1. It anchors your identity (what you actually do)
    2. It defines the output (GPS/135)
    3. It controls the process (one question at a time)

    Now AI behaves like a coach, not a vending machine.

    Pressure-test your plan with challenger questions

    Once you have a draft plan, don’t stop. Invite the challenger.

    Ask AI:

    • What blind spots have I not considered?
    • Are there missing KPIs?
    • If you could change one thing, what would it be?
    • If capital/time/team got cut by 30%, what must change?
    • Simplify this plan by removing low-impact work.

    This is where AI becomes genuinely valuable: it can debate with you without ego, without fatigue, and without you worrying you’re “bugging” someone.

    Add your personality profile (and stop fighting yourself)

    If you’ve ever taken DISC (or similar), you probably got a PDF with your style… and then did nothing with it.

    Upload it.

    Then tell AI:
    “Overlay my personality profile onto this business plan. What doesn’t align with how I naturally operate?”

    You’re not giving AI your soul. You’re giving it context so it stops recommending strategies you’ll never stick with.

    The plan shouldn’t just be smart.

    It should be executable by you.

    Find your 20% and time-block it first

    The Pareto Principle shows up everywhere: 20% of actions drive 80% of results.

    Ask AI:
    “Based on this plan and my personality, what’s my highest-impact 20%?”

    Then ask:
    “Help me time-block these tasks. I work Mon–Fri 9–4, lunch at 12, and I have hard-stop constraints.”

    You’ll get a draft schedule in seconds. The key is to revise it with back-and-forth until it matches real life.

    Final reminder: verify everything

    AI can accelerate your thinking. But it’s still a machine.

    Use it to plan faster, write cleaner, and test assumptions—then verify, edit, and own the final output.

    Because the goal isn’t to sound like AI.

    The goal is to move faster than you could alone.

    GabrielCruzPerez

  • Build Your Big Why, Mission, and Vision (Before You Touch Your Goals)

    Build Your Big Why, Mission, and Vision (Before You Touch Your Goals)

    2–3 minutes

    Most goal setting begins in the wrong place. We rush to numbers—$100,000, one home a month, “learn more”—and then wonder why the energy fades by February. The problem isn’t motivation. It’s sequence. Goals are step four. The first three steps are Big Why, Mission, and Vision.

    Start with your Big Why (the soil).
    Your Why is the emotional foundation. It’s the reason a setback stings and a win matters. “Family” is a beginning, not a destination. What about family? College tuition for your twins? Retiring your parents? Buying the lake cabin where you host every holiday? The more concrete the picture, the more your brain treats it like a commitment instead of a wish.

    Try this: close your eyes and jump five years forward. Where are you? Who’s with you? What changed about your mornings and evenings? Write what you see, hear, and feel. Then refine it into three sentences: (1) What you experience, (2) who benefits, and (3) the defining moment that proves it matters. If your Why doesn’t move you, it’s not specific enough.

    Define your Mission (the building).
    Mission is why you exist—not a task list. It should be big enough to outlive a single quarterly target. Use this formula:
    “The mission for my life is to [do something I’m passionate about] by [method] using my [unique gift/skill].”
    Maybe it sounds like: “To empower families to find belonging by guiding them home using my calm coaching and systems.” Or: “To help entrepreneurs do more than they thought possible by installing clarity and simple processes.” Notice how a Mission isn’t married to a job title; it travels with you as seasons change.

    Picture your Vision (the impact).
    Vision is your mission in motion—the effect on the world when you’re doing the work. If an orphanage’s Mission is providing safe shelter, the Vision is graduates who become thriving adults, perhaps opening orphanages of their own. Your Vision answers, “Whose life is different because I show up, and how will we know?”

    Now earn your numbers.
    Only after Why→Mission→Vision do we set goals. A teacher whose Vision is 100 confident readers can choose a tutoring goal like “25 students per quarter,” a cadence that ladders directly into the impact. When motivation dips, reconnect to the Why and Vision; numbers make sense again.

    Put it together this week:

    1. Write your Why in vivid detail.
    2. Draft your Mission with the formula.
    3. Describe your Vision in outcomes anyone could observe.
    4. Translate Vision into one measurable goal you can celebrate—then design your plan.

    You don’t need more discipline; you need more clarity. Clarity fuels commitment. When your goals stand on the soil of a compelling Why, housed in a sturdy Mission, and aimed at a living Vision, inaction becomes impossible.

    You don’t need more discipline—you need more clarity. Clarity fuels commitment.

    GabrielCruzPerez
  • How Real Estate Agents Can Turn 200 Contacts Into 10 Deals a Year

    How Real Estate Agents Can Turn 200 Contacts Into 10 Deals a Year

    2–3 minutes

    The most overlooked asset in a real estate agent’s business isn’t a fancy CRM or the latest marketing trend—it’s their database.

    If you’ve been working in real estate for any length of time, chances are you already know a few hundred people. But the big question is: are you doing anything intentional with that list?

    Let’s talk about how you can turn your existing database into 10–20 deals per year using a simple, proven system called the 36 Touch Plan.

    Your Database: The Hidden Goldmine

    Most agents fall into one of three categories:

    1. They don’t have a database at all.
    2. They have one, but it’s scattered across different platforms.
    3. They have one, but it’s disorganized and missing contact info.

    If you’re in any of these camps—good news. Fixing it is your fastest path to more business.

    The first step? Consolidate your contacts into one place. Excel sheet, CRM, Google Contacts—it doesn’t matter. What matters is that it’s clean, centralized, and accessible.

    The ROI of Staying in Touch

    Here’s the math:
    A database of 200 people × 5–10% return = 10–20 opportunities per year.

    “You don’t need thousands of leads—you need to work the list you already have.”

    And no, that doesn’t mean 10–20 guaranteed closings. It could include leases, referrals, or warm leads. But over time, this compounds into consistent business you don’t have to chase.

    The 36 Touch Plan, Explained

    Originally popularized in The Millionaire Real Estate Agent by Jay Papasan, the 36 Touch Plan is a structured way to stay in front of your contacts year-round.

    Here’s how it breaks down:

    1. Quarterly Calls (4 touches)

    Use the FORD method:

    • Family
    • Occupation
    • Recreation
    • Dreams

    You don’t need to pitch—just check in, stay human, and be present.

    2. Handwritten Notes (4 touches)

    These are rare and powerful. Ideas include:

    • Birthday cards
    • Home anniversary notes
    • Holiday cards
    • “Thinking of you” notes

    Even sending one per quarter makes a big impression.

    3. Monthly Newsletters (12 touches)

    You’re not sending a novel. Two paragraphs will do.

    Include:

    • A market update (what YOU are seeing locally)
    • Any recent closings or client stories
    • Wins, tips, or lessons from the field

    Pro Tip: Use AI tools like ChatGPT to polish your draft. Add royalty-free images from Pexels and hit send.

    Photo by Vidal Balielo Jr. on Pexels.com

    4. Quarterly Events or Giveaways (16 touches)

    Yes—16 touches from just 4 events. Here’s how:

    • Save the Date
    • Reminder Call/Text
    • At the Event
    • Post-event Follow-Up

    “It doesn’t matter if they show up—the magic is in the touches.”

    Low-cost ideas:

    • Ice cream meet-up
    • Local park coffee gathering
    • Giveaway of a Yeti cooler or gift card

    Bonus: The DTD2 System

    Created by a KW agent, this weekly calling system makes the whole plan manageable.

    Each week, you contact people based on the first letter of their last name:

    • Week 1: A & W
    • Week 2: B & X
      …and so on.

    This keeps your outreach steady and removes the guesswork.

    You Don’t Need More Leads—You Need a System

    Let’s recap:

    • Organize your database
    • Work the 36 Touch Plan
    • Stick with it for 12 months

    You’ll see your pipeline fill—not from cold leads or paid ads—but from the people already in your world.

    If you’re ready to start seeing consistent closings from the contacts you already have, the system is waiting. All it takes is structure, consistency, and a bit of follow-through.

    GabrielCruzPerez
  • The Altadena Prediction

    The Altadena Prediction

    3–4 minutes

    I had worked on this article in the weeks following the fires. I had my gut-feelings, but as more and more things started coming to fruition I knew it could be time to publish. This prediction is not to be used as fact – it is exactly that, a prediction, my prediction.

    Altadena Is Burning—But What Will Rise From the Ashes?

    There are moments that divide the timeline of a town—before and after. For Altadena, this fire was that moment. Over sixty percent of its homes are gone. That’s not just lumber and drywall—that’s porch swings, photo albums, backyard BBQs, and generations of story. And now, as the smoke settles and the sirens fade, a question lingers in the air like ash: What’s next?

    0–1 Year: The Shock and the Standstill

    Insurance checks will come. But the numbers won’t match the need. Some families will hope to rebuild. Others will pack up quietly and start over somewhere else. And the ones who stay? They’ll be met with silence—empty lots, closed roads, and a stack of paperwork thicker than a phone book.

    The government, though well-meaning, will move slowly. Permits will crawl. Cleanup will stall. Infrastructure teams will be stretched thin. What was once a vibrant hillside town will feel frozen in time, paused mid-breath, waiting for someone to press “play.”

    The Next 5 Years: Scarcity and Silent Change

    While rebuilding drags, demand will quietly rise. Fewer homes mean higher prices, and the law of supply and demand doesn’t sleep. Scarcity will send values climbing, especially for the single-family homes that made it through.

    This is when the opportunists step in. Cash-heavy investors will be first, willing to wait. Later, high-income buyers will come—drawn to the view, the location, and the quiet. But with those buyers comes change. New builds won’t mirror the past. They’ll go up denser, taller, newer. And that soft-spoken charm Altadena was known for? It’ll begin to fade.

    That’s not just lumber and drywall—that’s porch swings, photo albums, backyard BBQs, and generations of story.

    5–10 Years: Developers Arrive, Charm Retreats

    Developers will roll in with polished presentations and promises of progress. They’ll pitch walkable streets and housing “for all,” but the foundation of their blueprints will be density. More units. Less yard. Bigger margins.

    The government may try to preserve affordability. They’ll hold meetings, issue statements, pass resolutions. But in the tug-of-war between nostalgia and necessity, necessity tends to win. And just like that, the character of the community will be rewritten in concrete and steel.

    Local businesses won’t all return. The ones with decades-old lease deals won’t find terms like that again. The corner café, the shoe repair shop, the bookstore—they may be replaced by brand-name coffee, luxury pet boutiques, and sleek coworking spaces.

    “Some who stayed will hold out hope. They’ll plant flowers again. Wave at a new neighbor. But as the skyline shifts… they’ll feel it in their bones—this isn’t the Altadena they fought to save.”

    10+ Years: A Whole New Altadena

    Rebuilding won’t happen overnight. Just look at Lahaina. Over a year and a half after the fires, only three homes had been rebuilt out of thousands. Altadena will face a similar wait. But while construction delays, property values will not. They’ll rise and keep rising.

    The single-family home will become a status symbol—rare, expensive, and out of reach for many. And those original residents who stayed through it all? Some may eventually decide to sell, realizing the town they waited for isn’t quite the one they get.

    The Town That Was, the Town to Come

    So, what does Altadena become? A high-priced suburb. Desirable, sure. But not the same. Not the Altadena where your neighbor shared lemons from their tree or where kids rode bikes past handmade fences. That version may not return.

    But something else will grow here. New dreams. New families. New stories. Altadena will still have a future—it just won’t look like its past.

    GabrielCruzPerez