May 9, 2021

Seller Objection: Can You Reduce Your Commission?

In this lesson, we're going to talk about how to handle an objection on commission. What I'm talking about specifically is when a seller requests that you lower your commission. Here's what you do:

So you presented your commission and let’s just use a round number and say, you’ve presented 6% as the listing commission. The seller says, well, I’d list with you, but you need to reduce your commission. I’ll pay you a four and a half percent.

So here’s what I encourage you to do. Have a prop for this particular script. In fact, if you just simply had six, $1 bills, each dollar bill representing 1% of the commission, this is a visual demonstration. I think the seller can really get their mind around. So you put them out on the table and you say out of these $6 in each dollar represents 1% of the commission, see three of these dollars. Well, they’re going to go to the buying agent. We’re going to pay half the commission to the agent that brings the buyer that leaves over $3.

As you know, uncle Sam is going to get their piece. I intend to invest this in marketing your home so that we can get the highest price possible. And this is what’s left over for my business expenses. And for me to take care of my family, now I could list it at a lower commission yet, you know, which, which dollar is going to suffer. It’s the marketing dollar it’s going to cause your home to sell for top dollar. So it just makes sense to make certain that I have the marketing money to market your home aggressively and get you the highest price.

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