Objections for real estate agents. Objections are inherent in sales and some handle them better than others. These are the men and women who understand that an objection isn’t a rejection.
We like the way Mike Schultz, president of RAIN Group thinks about objections.
“A sales objection is an explicit expression by a buyer that a barrier exists between the current situation and what needs to be satisfied before buying from you. Beyond that, it’s an indication that the buyer is engaged, which sure beats apathy.”
Once you figure out a solution to break down that barrier, you’re on your way to the next closing.
Let’s take a look at some common objections for real estate agents, and how to counter them.
You aren’t the only agent in town
Don’t you hate that one? It’s easily the most common in the list of objections for real estate agents.
You finish your listing presentation, hold out your pen, gently shove the listing agreement across the table and they sling this one at you:
“I have two more agents to interview”
First, this is probably not an accurate statement. We know from NAR studies that buyers and sellers typically go with the first agent they speak with. But we’ll play along.
Face the fact that if you’d convinced them that you are trustful, if you’d built rapport with them so that they truly like you, they’d cancel their appointments with the other agents and sign the listing agreement.
Handling this objection, then, is to never allow it to cross their minds. It starts before you knock on their door. It starts with planning your presentation.
How to make them trust you? Plan on peppering your presentation with testimonials. How to make them like you? Listen to them. Feed back to them what they’ve said, letting them know that you’re hearing them.
Add some storytelling in the form of a verbal case study. Take one of your success stories, memorize a shortened version of it, add some photos to show to go along with it.
For example, Jolenta Averill, Madison, WI broker once successfully sold a home that lacked a front door. She hired a writer to create a case study to explain her success story. It’s the perfect thing to leave behind after your listing presentation. Check it out, here.
You make too much money
Your rate tends to be one of the most common objections for real estate agents to deal with.
And, although the patient doesn’t get to determine how much the doctor earns, and the homeowner can’t dictate how much the plumber charges, potential listing clients want to dictate how much you earn off of their transaction.
Many will try.
There’s not anything inherently wrong with negotiating your commission. It’s the law, after all. Most agents I know hold themselves to a higher standard, however.
If you’re among them, and feel that your work, your customer service, is worth every penny you make, start with the basics when it comes to a commission objection.
Explain how a typical commission check is divvied up between buyer’s broker and seller’s broker and how much of it finally trickles down to you.
Then explain how much it costs you to market a home like theirs and what percentage of that “huge” commission check you actually pocket when all is said and done.
If all else fails, let them know that you will be the one who negotiates with the buyers’ agent on everything from price to repairs. If you cave in negotiations about your commission, what are the chances you’ll cave in negotiations with the buyer?
Do they really want to take a chance with an agent like that?
I’m not interested
This one isn’t so much an objection as it is a way to get rid of you. This is the retail shopper’s version of “I’m just looking.”
“When they say, ‘I am not interested”, they are trying to end the conversation. Don’t try to make them interested, just try to keep the conversation from ending,” suggests Michael Halper, author and founder of SalesScripter.com.
Acknowledge that you understand but then jump right into the reason for your visit or phone call:
I understand and I’m not here to sell you anything. I just dropped by to let you know that your neighbors at 123 Sycamore just listed their home for sale. I am wondering if you know anyone who is looking for a home.
Hopefully, this will start a conversation. But it doesn’t always. If not, leave a card or other handout with the homeowner and move on.
Need more tips? Check out Borino’s YouTube video that will show you how to crush objections from the owners of expired listings and another about how to deal with the commission objection.
Brian Casella goes over the 10 Most Common Objections for Real Estate Agents and check out Tom Ferry’s Fearless Objection Handling.