By Harriet Murray ● Cochran Real Estate ● December 2013
The following are various responses to how some agents handle objections from sellers:
1. Mr. Seller, did you ask the agent before me to cut her commission, or did she offer? How long did it take to get to this subject in your discussion? If she will give her commission away that quickly, how quickly will she give away your money to a buyer for the price of your home? Do you want that same person negotiating your money when she gave hers away so quickly? I can’t give my commission away, but I do not want to give your house away either.
2. Why would I give my commission away? My job is to get the house sold and come to settlement with you. I’ve done my job. This is just like anybody else doing their job. If I happen to have the buyer, what you are saying is that you would rather have me show another houses versus showing yours and getting it sold. Is that this what you are telling me?
3. Do you have mutual funds? How do you purchase them? Was your purchase based on commission or yield to you? As in mutual funds, look at the yield. You get what you pay for.
4. I can’t take less. If you put $6usd on the table: $3 goes to the other company, $1 goes to our broker, and $1 goes to marketing. Do you want to take the last $1 from me?
B. Talking to other agents or a friend in the business:
1. I can appreciate your request. Let me ask you a question. If I could show you that I would be the best person for you to hire to market your home, would you hire me this evening? What is it that you are looking for in other agents which you think I might not have?
2. When we get into this, your life and personal finances and your bottom line, all your problems and blemishes are going to be laid out on the table. Do you want to share this with your friend? When you are irritated or mad, would you rather be yelling at your friend or at me?
C. For Sale by Owner:
1. I understand many people like you like to do For Sale by Owner, but the biggest reason that people sell FSBO is to try to save the commission. Most buyers are trying to save the commission. If you can tell me how you can save two commission on one house, then I should get out of the business. The challenge is not to write up the sale. The challenge is to find a buyer who will pay your price. Chances are it will not cost you to use my services. Instead, you will actually net more money than if you do it yourself. Wouldn’t you rather have me handle the sale for you?
D. Buyer Agency Agreement:
1. I can understand your reluctance to sign a contract, but please understand that you will be doing yourself a disservice by not signing. I can only represent you if you sign: otherwise, I must represent the buyer. I am sure you can see the benefit in working with your own advocate who has your best interests at heart.
E. Presenting Low Offer from Buyer:
1. Let us avoid going back to the buyer with an ego move which says I am not going to negotiate at all; you have given us an insulting offer: go away; you are too low: I won’t talk to you. This would be like cutting the line before we get the fish close enough to see it.
I suggest we approach the offer by agreeing to all the little things we can. We can accept the closing date and personal property inventory. Then we will counter price with the smallest possible dollar amount and see what happens. Ok?
This article is based upon legal opinions, current practices and my personal experiences in the Puerto Vallarta-Bahia de Banderas areas. I recommend that each potential buyer or seller of Mexican real estate conduct his own due diligence and review.