Mark Peek - HOW I SELL HOMES OTHERS FAILED TO SELL

CHAPTER 7 Avoid This Rule at Your Own Risk

The key to a successful home sale lies in a principle discovered by Italian economist Vilfredo Pareto. Known as the Pareto Principle or the 80/20 Rule , this concept reveals that a small portion of effort produces the majority of results. Understanding and applying this rule to selling your home can save you time and maximize your return.

What is the Pareto Principle?

In 1906, Pareto observed that 20% of the pea pods in his garden produced 80% of the seeds. Fascinated by this pattern, he expanded his study and discovered that 80% of the land in his region was owned by just 20% of the population. This same ratio appeared in various aspects of life, business, and economics. The Pareto Principle essentially states that 80% of outcomes come from 20% of inputs. While the ratio isn’t always an exact 80/20, the core idea remains: a small portion of effort, focus, or elements drives the majority of results.

The 80/20 Rule in Action

Here are a few examples of how this principle applies: • 80% of your income likely comes from 20% of your work. • 80% of a business’s revenue often comes from 20% of its customers. • 80% of an employee’s value to a company comes from