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Bill Thompson, REALTOR®

Earn It

By: Bill Thompson, REALTOR®
Friday, June 20, 2008 2:32 PM

        When does a REALTOR® earn his or her commission? Oh sure, I know the legal definition, but in the current market, it occurred to me the other day, that the time I REALLY earn my commission is that period of time right after the inspection and right up until closing.

 

Keeping the deal alive after the inspection, keeping an already apprehensive buyer motivated to close and a seller flexible enough to work with that buyer, that is where the real talent and experience come into play. I think almost any real estate agent could get a client to the contract stage, but after the inspector presents their report, that is when the “fun” begins!

 

Any thoughts? ;-)

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Comments

Nate Covington
Member Since '07

Nate Covington said:

Bill,  you bet!

"Let the games begin".  

It is early in the 1st quarter, no score,

the ball is on the 50 yard line, 1st & 10.

Is it a run, or pass play?  

are we going to fumble?

will it get intercepted?  

does the referee have one bad eye or TWO?  

are the cheerleaders cheering?

is the team ready?

is the call on one or two?

ready,set,hut,hut?????????????

June 20, 2008 10:36 PM
Bill Thompson, REALTOR®
Member Since '07

Bill Thompson, REALTOR® said:

Nate, I like the analogy!

June 21, 2008 6:06 AM
Candice A Donofrio
Member Since '07

Candice A Donofrio said:

AMEN to this! It's where the rubber meets the road, Bill. :)

Another thought: we get paid not just for what we do but for what we know. The transaction process can only be well managed by a knowledgeable and professional agent.

You can tell the difference between one who is and isn't when that process begins in earnest. We have to know where the experts and resources are, how to contact and coordinate with them and keep everyone performing.

Nate, it IS like a football game . . . or like being the stage manager of a theatrical production . . . makeup and costumes, mediating egos,  blocking the action, feeding lines, cueing lights, taking tickets and counting the net at the end . . . hahaha

June 21, 2008 8:50 AM
Mary Welch
Member Since '04

Mary Welch said:

Bill, I just explained this to a converted fsbo recently who listed with me. They had experienced John Q. Public first hand and they were tired of the weird questions.

I promised them that I would be a "buffer" (what that is in football lingo, I don't know, Nate) but I certainly had them at "buffer".

Sellers don't hear the mean comments buyers make. We tweak them a little so they are presentable. I buffer alot.

Of all the things these fsbos were impressed with, was that they didn't have to deal with the public. Because they had, and it wasn't pretty. They started as fsbos and it was worth my commission to keep people away from them. lol. Just one more service I offer.

His wife was beaming when I told her if anyone comes to the door, or asks about their house at the grocery store or anywhere, just tell them to call me. I think they were ready to write me a check right there. lol

June 21, 2008 10:40 AM
Cathy  Clark
Member Since '06

Cathy Clark said:

Great points.  And it is during this timeframe that we do things that are never seen by our clients by AVERTING issues, dousing smoldering embers before they turn into raging wildfires.  

More often than not, our Clients never know about how we defuse these ticking time bombs and that's our job.  But it's a double-edged sword.  The really good ones make it look easy hence, the appearance that we make easy money!

If they only knew......

June 21, 2008 7:32 PM
Bill Thompson, REALTOR®
Member Since '07

Bill Thompson, REALTOR® said:

Keeping the deal alive is not as easy as people might think. I had a deal "on life support recently" and we almost lost her. It was a real estate ER or ICU there for a while. Cathy, you are so right. The better we are at keeping a deal alive the easier it looks, but that is just the way it has to be I guess. I did tell my sellers, "It was close there for a few days, I thought we were going to lose this deal but we pulled it through!"

I have started to use this sort of reasoning in listing presentations. I explain that any real estate agent and perhaps most homeowners themselves working as a fsbo can find a buyer at some point but keeping the deal alive especially after the inspection is a job for a true professional. I may even start saying, "The truly talented and experienced professional will often make this look easy, but it is not an easy thing at all. This is where deals are truly made or lost!"

June 23, 2008 7:01 AM
Don Merrifield Jr. ABR
Member Since '03

Don Merrifield Jr. ABR said:

I think we earn our money by protecting clients from themselves.

June 23, 2008 10:30 AM
Lori Bee, NC/SC Owner/BIC
Member Since '03

Lori Bee, NC/SC Owner/BIC said:

This is especially true in New Construction believe it or not, but I find as being usually the new home listing agent, that the buyer's agents OFTEN disappear after they go to contract.  Then I am left trying to handle the walk thru list /inspection list with upset customers who think their new homes should be perfect  (I am sometimes tempted to tell 'em unfortunately Jesus wasn't available to build this house - lol).  

It has come to be expected for the builder's agents to have to carry the load of these transactions, and then at least here, area agents wonder why most commission rates are less.   More work and more liability for the listing ones, if you ask me.

But I do ALWAYS appreciate those who stick around and actually manage their fiduciary duties to their clients and actually earn that commission. They are few and far between.

Have any guesses to how many times I have even NEVER EVEN SEEN the agent?   LOTS & LOTS in my business.  Hate writing those checks out to them...  have to admit it.

June 23, 2008 10:36 AM
Bill Thompson, REALTOR®
Member Since '07

Bill Thompson, REALTOR® said:

Lori, I have listed quite a bit of new construction and I know exactly what you are saying. What really gets me is when I am the one that has shown the home(s) to a buyer "without their own agent" only to get a contract from an agent I have never heard of, expecting their half of the commission, and that same agent does not help at all after they submit the contract, just like you said above.

June 23, 2008 11:14 AM

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Bill Thompson, REALTOR®
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Member Since '07

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