I’m so sick of hearing it. Where there’s high risk, there’s high pay.
Every morning, I wake up unemployed. I have to figure out where my next paycheck is coming from.
When I list a property for sale, I take the risk. I pay for all of the upfront expenses. I recoup those expenses when and if the house sells. The seller signs the contract, the home may not actually be available for purchase for months while the house is prepared for sale. Then it goes on the market. I pay for the advertising, marketing, the sign, the flyers, the virtual tour, the website, etc. An offer comes in. I negotiate it. I fight for my client’s price. I fax. I copy. I drive back and forth. The house goes into contract. I manage the process. The buyer hires an inspector. The inspector finds something negative with the property. The negotiation starts again. Maybe the buyer and seller come to an agreement, maybe they don’t. Maybe I get paid, maybe I don’t.
It’s the same scenario when working with a buyer.
I’m not saying these things for empathy. I love my job and can’t imagine doing anything else. However, the risk I expend with my time and money is high; and therefore, so should the reward.
Are all Realtors good? Of course not. Is everyone at your place of employment good? No.
The lower the commission goes, the less interested professionals will be to engage in the work. Then most will be standing behind a Starbuck’s counter saying, “I can sell your house.”
Be a responsible consumer. Interview the agent you’re hiring. Go with your gut.
July 6th, 2007 at 11:29 am
I feel your pain… you should check out my series on commissions….
http://www.agentscoreboard.com/blog/2007/06/13/the-commission-paradox-part-1/
August 5th, 2007 at 10:20 am
What you’re saying is your experience and expertise trump what your client can accomplish. It also trumps 90% of your competition.
You offer an easy choice via your value proposition. This is why I’ve been laughing for nearly four decades at the RE business models who continually try to give Mercedes performance at Yugo prices. They come, they go, they’re forgotten.
My all time favorite saying is what you’ve said between the lines – and it works both for you and your clients.
About the time the farmer got the old mare to work without eating – she died.
August 7th, 2007 at 7:02 am
Vicki, great post. I’ve referenced you! Thanks for writing my thoughts!
August 11th, 2007 at 6:54 am
As the late great Bear Bryant would say, “Bingo, that’s a goodie!” Great post that expresses how all of us who are trying to make a living and a difference in this business feel. Jeff comments were right on as well.
August 23rd, 2007 at 9:29 pm
What a great article – thanks so much for putting it out there and so well! “every morning I wake up unemployed”….a quote to remember.