Special offer
Home > Blogs > Jackie Connelly-Fornuff > Jackie Connelly-Fornuff's (jackieconnellyfornuff) Blog
bookmark_border

Real Estate Agents Aren't Walking Bags Of Money

By
Real Estate Agent with Douglas Elliman Real Estate in Babylon NY

jackie connelly fornuff century 21 aa realty

Real Estate Agents Aren't Walking Bags Of Money.

Did someone open the communication floodgates recently? I am hearing more and more stories about folks that want us to cut our commissions to make deals "happen". I was even asked this recently during a listing presentation. I flat out said no. Then I was told a small profit is better than nothing. Yep, that's right, it is. However, what we agree to in the beginning is what we agree to, period. Just because you "need" to walk away with a certain number, doesn't mean I'm cutting my salary in order for you to be happy just in case negotiations get stuck towards the end. Deals do come together without everyone digging into the agents' pockets.

Contrary to popular belief, real estate agents aren't walking bags of money. Just as parents tell their kids money doesn't grow on trees. You have to work for it. We all work for our money. Commission or a set weekly salary. It doesn't matter. The only difference is that real estate agents have upfront expenses that we pay for whether or not the home sells. If the home doesn't sell, we are out any monies we spent on our own to market that home.

I know in my heart that the majority of homeowners agree we all work hard and would never dream of asking us to cut our salary. Heck, I have some clients that think we do not get paid enough sometimes. How's that for a shocker?!

Years ago I had a former boss tell us that since the last few weeks were slower than normal, we didn't work as hard and no one was getting fully paid in order to save money. I told him that if he does that, I will walk out and never look back. Find other ways to cut back. Do not cut paychecks. He listened.

My point is this, If I "cave" in order to get that listing, that homeowner will not have any respect for me. Why would any homeowner want me to represent them during the sale of their home in this case? What would make them think I would do a good job? Some of the listings I did get recently were because I didn't cave about what I get paid. But I am fair. And they see that.

The next time you meet with an agent to help you sell or buy a home, remember that they have families to feed and bills to pay. We are no different than you.

Comments(17)

Subscribe to Comments Comment
Submit
Show All Comments
Kimberly A Norgard
Devlin McNiff Halstead Real Estate - East Hampton, NY

I completely agree with you.

Jan 18, 2011 08:43 AM
K.C. McLaughlin
RE/MAX United - Cary, NC
Realtor, e-PRO, Homes for Sale - Cary, Raleigh NC

I like that "walking bags of money" Aren't we though - that is definitely the consensus! I had a seller try to negotiate commission at the listing presentation when the negotiating the price of the offer AND when negotiating repairs. The deal closed even though I did not cave to "make it happen" and then proceeded to delete him from my database. He was very happy with my service - I just did not want to ever work with him again. The people that he referred wiould probably be just like him as well. Just not worth it - life is too short.

Jan 18, 2011 08:45 AM
Stacey Smith
Keller Williams Realty - Aliso Viejo, CA
Your Orange County Beach Cities Realtor

I know that every corner we turn we have someone that wants us to buy something because they know we are realtors and just have soo much money but like you said that is not the case! We work hard for our money and I had a seller try to cut my commission before but after explaining to him how the commission split works and by cutting the commission your decreasing your odds of getting maximum exposure an marketing for your property, realizing that the more you cut my costs the longer it is going to take to sell your house.

Jan 18, 2011 08:48 AM
Karen Burket
Bank of Oregon a division of Willamette Valley Bank - Medford, OR
Valley Mortgage Grou, Conventional, FHA, VA, mortgages

Great post, Jackie and I agree 100%.  As a loan officer, we get the same thing on our end as you might imagine.

A bunch of us in our office were just discussing this recently.  It seems like there are so many people out there looking to "cut a deal", and for whatever reason they somehow expect the professional service they are seeking, to cut their costs.  I think what the consumer fails to realize that because of this shift in the housing and lending business...our jobs have become much more difficult and we are working harder than ever!  I think that if you "cave" once, people will begin to expect it from you; then where does that leave you in terms of future respect.  There is some truth to the phrase "you get what you pay for"

Jan 18, 2011 08:53 AM
TeamCHI - Complete Home Inspections, Inc.
Complete Home Inspections, Inc. - Brentwood, TN
Home Inspectons - Nashville, TN area - 615.661.029

You aren't? Somebody lied to me then...

Jan 18, 2011 09:11 AM
Steve and Jan Bachman
RE/MAX Gateway, Reston, Herndon, Ashburn, Sterling, Fairfax - Herndon, VA
Realtors - Northern Virginia

Advertisements by low to no service real estate companies lead the public to believe we are all the same.

Not so Mr. and Mrs. Public. Hire Jackie and see what full service means.

Jan 18, 2011 09:15 AM
Andrea Swiedler
Berkshire Hathaway HomeServices New England Properties - New Milford, CT
Realtor, Southern Litchfield County CT

Jackie, so many people are either not aware of the costs to us even if the house doesn't sell... or just don't care. Either way it is not acceptable. :(

Jan 18, 2011 09:43 AM
Ellie McIntire
Ellicott City Clarksville Howard County Maryland Real Estate - Ellicott City, MD
Luxury service in Central Maryland

Good for you Jackie. Stand your ground. That seller can go to a discount agency and get discounted services.

Jan 18, 2011 09:46 AM
Jackie Connelly-Fornuff
Douglas Elliman Real Estate in Babylon NY - Babylon, NY
"Moving at The Speed of YOU!"

Hi Kimberly, Thank you :)

Hi K.C. It's a good thing that the majority of people do not feel the way he did. :)

Hi Stacey, I'm glad I do not come across this often. No one will feel compelled to tell an attorney to cut their rates. :)

Hi Karen, I can't imagine. I didn't realize that loan officers are being asked the same thing. Ouch! And yes, you get what you pay for :)

Hi Michael, ROFL! :)

Hi Steve, aw, thank you :) Consumers have choices. It's either full service or not. They have to weigh the options and make the choice.

Hi Andrea, it's never acceptable. :)

Hi Ellie, This homeowner changed their tune as I was leaving. Maybe I'll get the listing. Maybe not. They are not ready yet. I tell homeowners the truth. Not what they want to hear. :)

Jan 18, 2011 09:55 AM
Nick T Pappas
Assoc. Broker ABR, CRS, SFR, e-Pro, @Homes Realty Group, Broker/Providence Property Mgmnt, LLC Huntsville AL - Huntsville, AL
Madison & Huntsville Alabama Real Estate Resource

Jackie, I do agree with you, but I also go as far as I can to make the deal work...case by case.  It does drive me up the wall when someone reaches into my pocket...try reaching into theirs for something extra if you want to see a little back peddling. 

Jan 18, 2011 02:26 PM
Roger D. Mucci
Shaken...with a Twist 216.633.2092 - Euclid, OH
Lets shake things up at your home today!

Don't cave..................it's amazing to me that people would even ask you to cut your commission.

Jan 18, 2011 10:10 PM
Toula Rosebrock
Diane Turton, Realtors, Forked River, NJ - Lacey Township, NJ
Broker/Sales Associate, Realtor, Lacey Township,

Hi Jackie:

Well said!  I'm hearing this as well...

We ALL stick to this, then it wouldn't be an issue.

Jan 19, 2011 12:37 AM
Chris Ann Cleland
Long and Foster Real Estate - Gainesville, VA
Associate Broker, Bristow, VA

That's a smack in the face when it comes to that.  I literally had one client that needed me to take a promissory note for part of my commission.  He just didnt' have enough money to bring to settlement.  That's right, he wasn't making a profit.  I did what I felt the right thing was and helped him close by fronting my commission.  I was 100% convinced I'd never see that money.  But you know what, he had a check for me within two weeks.  Our work does not go unappreciated.  But it is work and we deserve to be paid for it.

Jan 19, 2011 03:05 AM
Chris Ann Cleland
Long and Foster Real Estate - Gainesville, VA
Associate Broker, Bristow, VA

Featured in the group:  BARTENDER, MAKE IT A DOUBLE.

Jan 19, 2011 03:06 AM
Laura J. Lycans
Sandhills Choice Realty, LLC - Southern Pines, NC
Your Dream + My Passion = Success!!

I received an email once, a broker sent to all agents by accident instead of keeping it inhouse. In this email she was telling her agents "you will be expected to cut your commission to get these deals thru". I just think it is wrong for your broker to force you to take a cut in the commission so they can try to get there office higher on the Local Rankings. If they wanted to give away the commission it should have been from the office side not the agents.

Jan 19, 2011 03:36 PM
Jackie Connelly-Fornuff
Douglas Elliman Real Estate in Babylon NY - Babylon, NY
"Moving at The Speed of YOU!"

Hi Nick, LOL! In this business, it's par for the course. It shouldn't be.

Hi Roger, I never cave in this instance. I'm more fair as it is and it's not nice to try to get even more.

Hi Toula, Agreed! :)

Hi Chris, Now, I would have done the same thing in that case. And, your client is a class act!

HI Laura, My Broker never would send an email like that to any of us. That's insane!

Jan 20, 2011 01:35 AM
Michael Jacobs
Pasadena, CA
Pasadena And Southern California 818.516.4393

Jackie --- I can appreciate it if someone asks upfront and I hope they can appreciate it if I decline or "counter" their proposal.  It's the people who do this at the end of the transaction or when it is used as a part of the negotiation stage. 

Jan 20, 2011 04:45 PM
Back to Top

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?