3 Things You Do That Hurt Your Real Estate Agent Business<\/span><\/h1>\n

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[mashshare]\n

As a real estate agent I’ve done it. You’ve done it. You said something during negotiations that didn’t feel right, but at the moment seemed appropriate, even necessary. You laid down the law without any finesse or respect for the art of negotiation.\u00a0 It made you feel in control and yet, afterwards, you lost all control of the deal. Every veteran agent has done it.\u00a0 It is your job to fight for your client’s best interest, and sometimes fighting for the client’s best interest means finding a middle ground for both parties. Did I get all “Beautiful Mind” on you yet? Not really. I’m not that deep. Here are three things that you do in the best interest of your client that actually kill deals.<\/p>\n

1. Over-Negotiate Pricing<\/h2>\n

The pricing is completely different depending on which side you represent.\u00a0 The seller wants the highest price possible. The buyer, on the other hand, wants the lowest price possible.<\/p>\n

I never argue or negotiate pricing with a seller over the phone. If they press me with, “Can you get me X dollars for my home?” my response is always, “I will make note that X dollars is your target list price. Is Friday good or Saturday better?” Prior to your listing consultation you should have emailed or dropped off your pre-listing package with the comparables and listing agreement. Doing this eases the shock, if any, of your suggested list price being different than what they want. During the listing presentation go over the comparables and shut up.<\/p>\n

If the seller refuses to be reasonable even after being presented all the facts, there is nothing you can say that will convince them otherwise. Trust me. I’ve engaged in hour long debates over this and all it did was hurt my relationship with that client. Some real estate coaches will tell you not to take the listing. Some real estate coaches will tell you to take an even longer listing period in liue of the overpricing it. I’ve success with both. My point is, it will leave a very sour taste in the mouth of the seller when you try and beat them down with price. Now some of you will argue, you’ll end up beating them down during the listing period anyway so what difference does it make? Touche. But it’s much easier to justify a price reduction after you’ve put in some work and yielded zero results.<\/p>\n

Buyers has the polar opposite intention than the seller. They want to pay the lowest price possible. When a buyer lets you know they want to make an offer on a home and you know it’s a low, perhaps even insulting, I’ve heard agents say, “I’m not going to write it up that low.” or “You need to offer more.”<\/p>\n

I realize that we are advisers. I get it. We advise them on how to best make an offer that will get accepted, but that doesn’t always mean full price does it? In addition, what does it tell a client when you tell them that you wont write up an offer that low for them? It’s okay to let the buyer know the offer is low. In multiple offer situations it even makes sense to instruct buyers to offer more, but don’t beat them up on it or you may lose a client.<\/p>\n

When I do have an offer that is less than the asking price, or perhaps even offensive, I\u00a0treat the offer like it’s full price. In other words I don’t discount the way I service it or present it. I then call the listing agent and prep them that it is on it’s way. Yes, the listing agent may say that it’s too low, or that I shouldn’t even bother, and that’s when I push my weight and remind them that it is their job to present all offers. If your lowball offer is rejected, it then gives you more authority when you return to your client demonstrating that “their way” didn’t work and that is more convincing then beating them up from the beginning. Capiche?<\/p>\n