Buyers and sellers may scoff at what they deem to be high commissions for real estate sales in California. But all they need is your patience and willingness to educate them about the fact that, while comparably higher residential real estate prices mean higher dollar amounts on commissions, a “discount” agent is not in their best interest.

 

 

Here are some ways to prepare yourself to demonstrate the value you bring buyers and sellers without getting into conversations about proving yourself.

 

 

1. You’re a local marketing expert

 

The more you market, the better you market. Full-time agents, including those who are newer to the industry, possess skills, ingenuity, energy and success with marketing that can’t be matched by part-time professionals.

 

More important than the time and expense that a good agent puts behind every listing is the fact that the busiest agents are those who are constantly marketing. Experienced agents are so tuned in to the buyers and the neighborhoods in their local communities that they know instinctively how to tailor listings to the ideal buyer profiles. 

 

 

If a prospective client says they are looking for an agent who is willing to discount their commission, help them by ensuring they know what to ask the discount agents. If an agent is willing to split a 4% commission, rather than 5% or 6%, are they going to cut some marketing out of their costs? 

 

Professional photography, professional design consultations, tailored content marketing, advertising and targeted social media require resources, money and expertise. Demonstrate to prospects that you’re willing to find and utilize those resources; that you won’t skimp.

 

 

2. You thrive on preparation

 

Even the buyer who is extremely eager to list and sell their property quickly wants to command a good price. But stale listings – those that are not selling because they’re either overpriced, have issues or aren’t staged or advertised well – get a bad reputation among buyers.

 

Meanwhile, many of the reasons that contracts fall apart can be prevented with preparation and detailed disclosures. That’s why timing, teamwork and transparency are everything.

 

 

Show your client that you value the importance of knowing what might arise in the request-for-repairs stage. Show them how, long before listing the home, you want to take the time to uncover any surprises; that the seller is in a much better position to negotiate with buyers when they’ve already repaired or are ready to discuss concessions for any likely requests for repairs. 

 

 

3. You’re a consultant, a confidante, a professional communicator

 

Real estate is a lifestyle. The busiest and most active agents and brokers aren’t in the business just for the commission. Busy agents are so embedded in real estate that they think about their clients constantly.

 

 

While boundaries are important and you won’t want to promise clients you’ll answer calls and texts in the wee hours, adhere to a schedule for communicating with clients. Then demonstrate how you stick to that schedule, even adding in a few extra “touches” per week.

 

 

4. You understand home finance and prefer pre-approved buyers 

 

Buyers and sellers who hire you should know that you appreciate the importance of high-quality offers. During conversations about what happens when they make or receive offers, explain to people how you delineate between solid offers and those that are likely to hit roadblocks.

 

A buyer who’s already pre-approved is much more attractive to sellers than the one who hasn’t gone to the effort. And for some listings, pre-approval may be required if the seller decides that pre-qualification isn’t enough to allow a buyer to see their home. 

 

Pre-approval can take several weeks, especially at a time when banks are still processing backlogs of loan applications that built up during the pandemic. 

 

 

When working with buyers, let them know that you’ll be there for them during the pre-approval process; that you’ll keep looking for available and coming-soon listings; that you have mortgage loan professionals who can help expedite their pre-approval. 

 

When being interviewed by sellers, explain to them in precise terms, how you recommend they evaluate offers from pre-approved or pre-qualified buyers. This conversation may even be a new opportunity to learn more of the backstory behind why your sellers want to list their home.

 

 

Ready to explain why you, not a discount agent, are the best choice for sellers and buyers? Create your ad today.