[vc_video title=”” link=”https://youtu.be/OggHacJGuGM”]

In the absence of clearly communicated value, commission will almost always be an issue. Learning to communicate your value to potential buyers and sellers has never been more crucial to your bottom line. Here are 5 steps designed to make the negotiation process easier and more successful.

Step 1

Pre-Qualify. Always, always, always prequalify your leads. Ask questions like: Where are you moving to? When would you like to be moved by? May I ask, why you are moving? The answers to these simple questions will reveal motivation so you can stop spending time with unmotivated prospects before you start.

Step 2

Start Delivering Value Before You Meet. What you do before you meet potential buyers and sellers is equally as important as the presentation you perform in person when it comes to the negotiation process. The process of clearly communicating your value begins the moment you speak. If you set an appointment, send a thank you note and consider sending an Informed Sellers Guide by courier to begin the education process while delivering value at the same time. Confirm your appointment at least 24 hours in advance to bring confidence to your potential new clients.

Step 3

Use Facts and Stats. Statistical based data is a black and white way to communicate your value, and one of the most successful, in my opinion. Remember, the secret to this idea is “don’t tell them what you can show them.” Most sellers and buyers have no idea how many homes the average agent sells, how long a home is usually on the market or what percentage of homes listed actually sell. Compare the current market averages to your stats or your company’s stats to clearly set yourself apart. Teaching your potential buyers and sellers something they didn’t know is one the most effective value-based communication tools you can use.

Step 4

Professionally handle the objection. This one is unavoidable. You must handle the objection when it comes to commission. There will always be people who ask you to reduce your commission. Be confident in yourself and the value that you bring to the table. This is another area where statistics are a great resource. Use the market stats to dollarize your negotiating expertise. For example, perhaps your listings are selling for 99% of list price vs. the market average of 96% This means you are negotiating 2% more than the market average for your sellers which translate to thousands of more dollars to their bottom line. Powerful information.

Step 5

Don’t Be Attached to the Outcome. Give every appointment 100% of you and at the end of each one, be proud of what you accomplished. Whether you get the listing or not, have confidence in your process and learn from every experience.

I have favour to ask. I’m conducting a quick survey – please share in the comments what your most common objection is. Is it commission, price or competition? I appreciate your help and watch for the survey results coming soon.

Until next time, make it count.

Richard