I sure did.
Especially when we’ve done a professional job bringing our clients property to market…
- Given superb and realistic advice up front (Blue-skying them to get the listing has never been my style).
- Helped our clients prepare themselves and their property.
- Followed the clients instructions regarding their desired pricing.
- Provided quality multimedia marketing…
However, that all important first few weeks has generated little interest. Few inspections, with zero offers. While similar properties are selling around it.
What’s the issue? Why isn’t it selling?
Bottom line – none of the buyers, currently in the market, are seeing it as the best home for their needs & budget.
What else could it be?
Objectively, in this situation our clients have three choices:
- Adjust their expectations to the market and get on with their life.
- Wait. Stay on the market waiting for it to rise to the level they want. Or wait for that one in a million buyer to turn up – who’ll pay over the odds.
- Not sell. Withdraw from the market and stay where they are.
In short, they can either sell sooner, later or not at all.
The thing is, traditionally, with the commission-only business model, it’s not so great for us if they choose #2 or #3.
If they stay on the market waiting, our outgoing costs to serve them (time, effort, money) continues to rise. The longer they take to meet the market the worse off we are.
If they choose #3… not only do we get nothing, we’re also out of pocket for the work and expenses we’ve incurred to that point.
Creating a disconnect… a conflict of interest between what our clients may want, and what we want.
In my opinion, this is why it’s such a friction point between salesperson and client. It’s why often sellers feel like the salesperson is not on their side… has an ulterior motive in pushing for that reduction… creating distrust.
And for the salesperson, I never enjoyed feeling like my livelihood depended upon me talking them into accepting the market – regardless of what they wanted.
I’m pleased to say that’s a thing of the past.
I no longer need to talk clients into anything. There’s no longer underlying mistrust in the discussion. That disappeared the day we restated real estate as a ‘Professional Service’.
Clients engage us like they would any other professional – paying fees based on the work and outgoing costs needed to act for them – regardless of the outcome…
Because fundamentally, whether or not they actually sell is 100% up to them. We can certainly affect the outcome. We can do a fantastic job extracting the best offer from the market. But we cannot control the final outcome. Only the client can, by ultimately choosing to accept it or not.
So now, we get compensated regardless of what they choose to do. Meaning there’s no longer a conflict of interest. We can openly and transparently consult with our client, on the choices best for them.
If they choose to price correctly, enabling a quicker sale, they pay fewer fees. Which is fair, because there’s less work & outgoing costs for us as their agent.
If they choose to wait, then they understand their overall fees increase. Which is also fair, because in reality our costs to serve them increase over time.
If they choose to withdraw, we’re still reimbursed for the work done to that point, on their behalf. Meaning we don’t lose by acting for them. And why should we?
This has totally changed our client relationship.
It’s enabled us to shift from ‘commission-only salesperson’ to ‘trusted advisor’. In both our minds and the minds of our clients.
You see a commission-only salespersons purpose is to influence the clients’ decisions in the salespersons’ favour. Or lose.
While as a true professional, our purpose is to empower our client with professional advice and transparent choices. Explaining the possible consequences of each choice, then follow through on their decisions.
After all, we are working for them, right?