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What? Are you working for a hobby or to make money? Do you not believe you earn every penny that comes your way?
Pacific Palisades, CA
John McCormack, CRS
Basking Ridge, NJ
Work for free for a few months and wait until those bills come in, that'll cure you!
But seriously, I charge the customary area rate and have seldom had anyone balk at it because I show the client what I do to earn that commission before the number gets mentioned. The general public doesn't think you do anything once the house is listed, which is why they hate to pay it. Show them that you work hard for that money. My favorite counter to the objection is "would you like to work for less money at your job? Right, no one does." Get them to agree with you that you are worth the money before the money is discussed and it won't be an objection.
If that doesn't work, I saw a great visual in a class for if the client balks because they think you get the full amount. Take a dollar bill out and start folding it in half to show how much goes to the buyer's agent, then fold it again to show your commission split (usually 50/50 or worse for new agents), then again for agency fees, paying a transaction coordinator, marketing, yada yada yada. By the end, you have a sliver left and in theory they get it. I haven't tried it yet, because it hasn't come up in the month since the class.
Nina Hollander, Broker
Only when you recognize value within, will others see the same!
Take pride in who you are and what you have to offer. Too many people place the needs of others before their own, but in order to respect others, you need to meet your own needs first. How can you truly learn to appreciate others if you can’t even appreciate yourself?
When everything else in the world fails you, you will always have your self-respect to fall back on. And, in this business every thing can fail you every.single.day!
Working without compensation is not a sustainable business model.
Let's begin here...."Are you going to CHOOSE to believe a lie or walk in the liberty of truth?" You present this question BECAUSE you are believing a lie.
Here is what you need to do.
Spend the next week listing all of the value you bring to the table in the disciplines of a real estate transaction.
Do it again focusing on all the value you bring as a real estate professional to every buyer who hires you.
Do it again focusing on all the value you bring as a real estate professional to every seller who hires you.
Do it again focusing on all the value you bring as a real estate professional to every investor who wants to work with you.
Strip that list of ALL real estate jargon. Strip it of all references to things that are part of what you agree to do to play in the arena.
Make no reference to the CODE OF ETHICS and the fees you pay.
Now, create a 'this is the value a bring' presentation.
Present it to several of your close friends who are not in real estate.
Do they see your value and understand your message?
NOW you know what you are worth. Truth releases the shackles of a lie.
If you don't know what you are worth, working for FREE seems right.
Stevens Point, WI
Basking Ridge, NJ
Don't apologize for what you are asking for in commission. Mention to your clients the things you are going to do to get their property sold. We do a lot more than put a yard sign in their yard and hope that the property sells.
I don't have a problem asking them how would you like working 60 hours a week and only getting paid for 30?
It's your job don't be bullied.
You have a contract, the discussion of commission and what to charge is before signing it. I like to tell them what they will get, what i do and all the advantages that come with hiring me.
I do not work for free or expect others to do so! People should expect to pay if they want to play!
How long have you been a realtor? I agree with what everyone else is saying, but I wonder what brought you to real estate and whether it is a good fit for you. I always say that if you want to do charity, go to church. This is a business. It is about helping people but it is much more than that. It is protecting them through the contract process. It is marketing. It is negotiating. It is pricing and assessing value. When done well, it is a very skilled profession and if you are not comfortable with all the intricacies of that profession, it honestly may not be a good fit for you. We need more Mother Teresas - the world is very short on them - but we also need more ethical and professional realtors. It is a great career - and it definitely is a career.
Good morning Ashatra. I am with Sam you need to do something to get compensated for your time and efforts otherwise you will be homeless.
Ask yourself this: Are you hungry to make a commission or hungrier to be a slave?
You hate imposing on others? Please start to value that your knowledge & time will benefit clients greatly and than present it in the best way possible. Soon impose your value, skills and strength and I believe you'd be imposed upon with professional pay.
In short you have to get out of that mindset, but save that mindset for charitable work outside of real estate.
You're not imposing on clients; you are working for them.
No one is going to value what you provide if you don't value it yourself. I think you need to change your perspective.
I go find the property you write the offer. Can I get 90% you and your broker gets the rest? People use realtor as springboard for personal gains.
If you do not draw the line you will be a homeless realtor.
Jill Murty, Realtor - ...
Laguna Niguel, CA
If you work with Buyers this doesn't have to come up. If you work with Sellers - different story.
You will be used and abused until you are no longer in business. Find value in yourself before you have to find a real job.
I would never work for free. I see companies using interns for free labor and it's just baffling. Sometimes these internships can last more than a year and up to two years. I've never had to do such a thing. Would you take a job at a big corporation and work for free? I hope not. You deserve to be paid for your work.
They wont respect you or your work if you are afraid to charge a fair fee for it.
Just ask yourself: would your doctor or lawyer or accountant not charge you for a visit? They are not shy about sending invoices. You are performing a service for which you deserve to get paid.
I had a seller beg me to reduce my commission because she was super "tight" financially. I did it out of the kindness of my heart. The most fun part was at closing when I saw that she was taking home over $30,000.
We work our butts off and earn every penny of our commission.
Value your worth, or nobody else will.
Ashtara Smiles Wow! You are in the wrong business. You have to value your self worth. You need to treat this as a business and charge for your services.
Everyone has to eat even though some eat less than others. Eat well
Ashtara Smiles charity is good - however, I want to get paid for my work and decide who I want to give my dollars for charity, compared to working for free.
Susan Emo has a great answer.
I agree with what everyone said and advised. Perhaps, real estate is not where you should be working. This field is not for everybody. A
If earning a livelihood via commission compensation is an issue you are definitely not suited for this industry in a sales capacity. It has nothing to do with overcoming an imposition but everything to do with providing food and a roof over your head. The very definition of a real estate salesperson begins as: One who for another AND FOR A FEE..........you have to believe you're worth it first!
Real estate is my chosen profession - it is not a hobby or charity, it is my career and I expect to be compensated for my hard work.
You will find plenty of consumers that will be happy to do business with you if you expect no compensation in return. But the journey will be a short one for you.
Who works for free?