We all know that in the real estate business, things often “come up.” However, while some concerns are small and manageable, others are larger in nature. Which brings us to the question, “What is an objection?” This refers to an issue that requires resolution before you can close a real estate deal.
One way to stop these issues before they stop you? Take a note from the most proactive real estate agents and familiarize yourself with the top objections — and how to overcome them.
Read on for a roundup of seven common seller and buyer objections in real estate, along with tips for overcoming objections and moving forward with a home sale.
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“I know another agent who will take a reduced commission.”
Certainly, there are plenty of inexperienced real estate agents out there who will work for a lower commission because they’re eager to get more business.
The first step toward countering this objection? Ask for the name of the other agent. This way, you can compare and contrast your experience and track record.
Next, explain to your client the value you bring to the table: Not just experience, but also commitment to helping them sell or find a home. Unlike an agent who’s doing the same job for a lower commission and therefore may be over-committed and/or unmotivated, your services will more than pay for themselves in the long run.
Whatever you do, do not reduce your commission rate. Your value is true and non-negotiable.
A variation on this objection is that the client is planning to work with a friend or family member. This is a good time to point out that there is a lot of personal and financial information involved in real estate, and that many people prefer to avoid disclosing this kind of data to their inner circle.
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“We aren’t quite ready to move forward at this point.”
Buying or selling a home is no small endeavor. It’s perfectly natural for buyers and sellers alike to have second thoughts. The more you can learn about their specific concerns, the better you can mitigate them with motivating factors, such as low interest rates, seasonality, or favorable market conditions.
For example, if they’re currently renting and aren’t sure they’re ready to make the leap to buying, remind them of the specific financial benefits of ownership, such as building equity and getting more house for less.
But remember: This is not the time to try to talk clients into something they don’t feel right about. Instead, let them know that their comfort level is your top priority, and that your primary goal is to serve them.
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“I’ve got an interview scheduled with another agent.”
Even if the interview is scheduled, there is no commitment or obligation for it to take place. Try to get to the root of why the client feels this interview is necessary. Make sure to reiterate that you know their situation, you have a plan, and you’re ready to start acting on their behalf.
If the client does have a specific concern about your skill set or experience, be prepared to speak about your success, along with sharing any unique skills and abilities that you have to offer.
In some cases, the client may be proceeding with the interview just to avoid an awkward conversation. A simple way to circumvent this? Offer to call the agent yourself to inform them of your involvement.
If handled right, this can also be an opportunity to start building a relationship with the other agent, who may have a listing your client might be interested in or know of a potential buyer for the listing.
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“We are very firm on the price we’d like to sell our house for.”
Some sellers overvalue their homes because they’re emotionally attached to them. Others simply may not understand the current market. In both cases, the starting solution is the same: review all recent comps with the client.If they continue to object, explain that while you’d like nothing more than to help them sell the house for their desired price, it’s ultimately not up to you.
Reiterate that it’s your job to know the market, and to determine a price point that will attract the most interest from qualified buyers and agents. In order to have the best chance of success, the home must be competitive with other homes on the market.
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“This listing and marketing plan look the same as all the others I’ve seen.”
Marketing and listing presentation objections are common because there is bound to be overlap in these documents. This only underscores the importance of choosing the right agent.
Use this conversation as an opportunity to shift focus to why you’re the best agent for the job. Ask the client what qualities they’re looking for in an agent, then focus on how you’re a fit. At the end of the day, a marketing plan won’t sell the house — you will.
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“You’re so busy. I don’t think you’ll have the time to give my listing the attention it deserves.”
There’s a reason why you’re busy: you get the job done. Explain that you have a list of satisfied clients, and take great pride in the level of attention you show all of your clients.
Furthermore, having multiple listings can also be positioned as a boon. The more listings you have, the more calls you’ll get from potential buyers. Every house they call about won’t work out, which means you’ll have many chances to direct them to other listings, such as your client’s.
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“I don’t want to put my house on the market until I find one.”
Timing can be tricky for home buyers and sellers. No one wants to end up homeless… or with two houses when they only want one. However, a client may not understand how much time it takes to sell a house — not just while it’s on the market, but also before and after.
One strategy for overcoming this objection? The sooner you list your house, the sooner it will sell. Explain to your client that you will start looking right away. (If possible, point them in the direction of listings they may be interested in to jumpstart the process.) That way, you’ll be ready to move quickly on both when the time comes.
These are just a sampling of the common objections that come up. Looking for even more help with objection handling? An objection-handling script can make all the difference. Check out one guru’s detailed real estate agent scripts for handling objections.
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Speaking of help, the digital strategists and management consultants at The Light Digital are at the ready to help you plan and implement a comprehensive digital marketing plan. To start reaching more real estate clients, getting more listings, and closing more sales, connect with us today.
