Sam  Green

Sam Green

Broker of Record

HomeLife Classic Realty, Brokerage*

Office:
647-479-8477
Toll Free:
1-844 HL CLASS
Email Me

Commission Cutting 101

Commission Cutting 101

 

Ever been asked to reduce your commission by the Seller?

Ever been told by a buyer that some agents give back a portion of their commission to their buyers and they want the same?

Ever have a buyer ask for part of your commission after the sale has become firm and before the closing?

Besides greed is there anything else operating here?

Yes… ignorance.

Try this…

“What do you do for a living?” and “How would you feel if you were applying for a job and you were told you would get paid less for the work than you are worth, or less than others are earning for the same work?” and “Would you take that job?”

 “Are you happy with the work I did for you?”

“Tell me… What do you do for a living?”

“How would you feel if your boss called you in to his office and said, ‘Thanks for the great job you did. It took you less time and you outperformed anybody else I know. So, how about, as a reward, I pay you 25% less than we agreed upon?’”

“How would you feel about that? Isn’t that what you are asking me to do? Take less for the great job you said I did?”

They are not trying to hurt you or insult you or diminish what you did. They want to save some money. They want something for themselves which they have not, as yet, put into perspective… the perspective of what they are receiving versus what you are receiving.

So, put them into your shoes, your perspective. Let them understand how it might feel; how it might seem; how it might hurt.

And if they still don’t get it. And if they really don’t care. And if they still want what they still want and that’s what it will take to get their business or keep them happy, then DO NOT GIVE IT TO THEM!

Trade it off for something.

Offer it to them if they will give you 3 referrals.

Offer it to them if they will give you a glowing testimonial (with picture of them).

Offer it to them if they will allow you to hold a seminar in their office to potential buyers and sellers.

Reciprocity.

Get creative.

Try to find out how you can use them to make the money you should have made but didn’t make, because of them.

You have value.

Don’t let anyone bully you into giving up your value.

 

 

Comments

You litterally have an agent marketing as "Agent Cash Back"

I like all the points you make in this blog, but you literally have an agent with a website and branding as https://www.agentcashback.com/ which even describes how much cash back you will get if you look at less than 26 properties...
Might be worth showing this blog post to some of your team so they can get some confidence to differentiate themselves from the pack by providing other forms of value, rather than cash back.
Promising cash rebates seems to be a pretty odd way to run a profitable business.

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