One of the recurrent themes I experience on coaching calls is the issue of confidence. Surprisingly, a lack of confidence is just as likely for a Realtor earning $400K per year as the one just starting out. Self-doubt does not discriminate. This market is scrappy enough without your inner voice undermining you. Walking into a listing appointment, what is your inner voice saying? Do you believe in yourself? Are you your client’s best option? What do you do when your potential client asks you about your commission?
The best defense is a great offense. Every Realtor gets that question. Here is how I recommend you prepare:
1) Expect the question. There are advertisements everywhere for 1% listing services and, frankly, it would be remiss of a home owner NOT to ask what they are getting with what they pay for. If you are surprised, you aren’t paying attention. This question is not personal! This question is an opportunity to educate your client on the process of selling a home and the value you bring to the process as their advocate. Embrace it.
2) Know your own value as a Realtor and a human being. Ahead of time, have your listing presentation worked out. What do you do when you get there? What questions do you ask? How do you build rapport? When do you talk about the process? When do you bring up price and the net sheet? How do you conclude/close?
You are a valuable human being: If you have insecurities, are you working on them? The truth statements from your Heritage Profile can be a great tool. Check out Brian Buffini’s Recommended Reading List, as well.
3) Respond maturely. If you feel defensive, you may not be prepared or you may be fearful of the outcome. Remember, fear is just False Evidence Appearing Real. A defensive response will not move you towards your goal of effectively landing and serving the client.
First, thank them for the intelligent question. Then, appreciate the opportunity to outline what you do for them: pre-listing, while listed and once it is under contract. Highlight the pain points and how you protect them by negotiating well; getting under contract, inspection, connecting with all involved parties. A well negotiated home sale at full commission to the agents may still be a higher financial value than a 1% listing executed poorly.
4) Know ahead of time what you are and are not willing to do. What are you already paying for? Make sure you tell them, do not assume they know anything. What else do you want to throw in if it gets to it? Have a dollar amount or a service in mind so that you don’t give away the kitchen sink in the moment. Have faith in the take-away. If the seller won’t agree to your terms, it is ok to walk away. Walking away demonstrates your character and belief in yourself. It is an important negotiation tool. It is always ok to say “no.”
Speaker Jon Gordon would ask, “Are you talking to yourself or listening to yourself?” It’s time to start talking.