I totally agree with you on the don't take any of it personal it is all business.  The sooner your sellers realize this the better.

I agree, 

I use the words "brokerage fee" instead of commission - but I really like the "marketing fee" words even better!

I use the psychology behind the word HOUSE with sellers and HOME with Buyers and instead of saying "they want you to pay some of their closing costs, I say they want a closing credit of $.

Brandon-that's right business...it's not just seller's either...it's people...personal feelings aside...no emotion...better outcome.  Thanks for commenting, see you on your post.

Debbie-Good, glad it helped.  Closing credit....I like it...psychology plays a huge role in what we do everyday!  I appreciate the input and thanks for stopping by 

It's so important to be informative and still keep the sellers feelings in mind when explaining the Real Estate process.  When in doubt, speak the truth.

you make some excellent points, but sellers need to be aware that if an agent is working with a buyer IT WILL BE A LOW BALL OFFER.....it is all about negotiations and getting the best price for the buyer from the buyer's agent's point of view - the seller needs to realize that and it is up to the seller's agent to pick up the ball on the negotiations on the other side -

Midori,

Excellent Post!! and it's sad but your right, The terminology that is used, can make or break a Deal.

I learned that already,

Tom Weiss

Barbara Jo and Bill-you are right....and I have conversations with sellers in low ball offers.

When seller's find offer's offensive and "TOO LOW TO WORK WITH!" here it goes, "It's a great starting point. Don't take it personal. You want the best price for your property and so do they. It just so happens they want the best deal and you want to net the most money.

Now let's try this again, Wouldn't you consider working with this offer, its a good starting point!"

I just went on an appointment yesterday....but I was almost tempted to talk baby talk just to make them laugh...I say brokerage fee in my net-sheet..not commission...it sounds too tacky. Also I consider a commission to agents as my compensation or brokerage fee as well. But you know that already!

Oh, I like that "marketing fee". I'm changing today. What a way to say it without all the negative connotations.

Ok, a big speaker that we all know and love, said we should say to our sellers, to get a price reduction, "the market has rejected this price". He said people don't like to feel rejected. What say you, Midori ? Too offensive ? I've used it and it worked.

As in life...we must always choose our words carefully. You said it beautifully.

David 

Midori - I do not understand -"Often times these words play a key role in getting a customer where you want them. That is to buy or sell real estate. "

I thought my job was to represent them in where they want to be.

Language does make a big difference, but understanding your position in every transaction is equally important. Your job is not to get them to buy or sell real estate. Your job is to assist them in the purchase or sale of real estate. Just like the rest of your post, words make a large difference.

Midori, Thank you, You have thought me more than the coach I am currently paying. He is a goner!!!! :0)

Midori,

This is excellent!  All too often people forget that the words they use project the kind of person they are! 

Great post!  Definitley worth wording things corerctly for better results!

Courtney

Great points sounds like the class i went to Leaders Choice but again its nice to hear it Thnaks

I am in training sessions but thought I would address one comment now!

I thought my job was to represent them in where they want to be.

Language does make a big difference, but understanding your position in every transaction is equally important. Your job is not to get them to buy or sell real estate. Your job is to assist them in the purchase or sale of real estate. Just like the rest of your post, words make a large difference.

these are your words above!

John -"You have to have good timing and you have to be a great listener. No matter how you slice it, our objective is to get the buyer or seller to make a move. Not a forced move but provide words of encouragement." 

While you are correct John our job is to keep our customer focused on their move...that is what I am saying....  If they are currently your customer and if you screened them properly....they are a buyer and seller that you are working with....While representation is part of the equation there is much more service to provide when a buyer or seller hires you! 

Where do we want our customer?  The key word here is customer...so if you are working with them....it would make sense to keep them focused on their move!  so sorry if that is not clear to you.... Representation is only a small piece of the pie!  thanks for commenting

I think your blog addresses a very important issue.  I've met agents who toss about our terms with the expectation that prospective clients simply accept it. 

Anyway, my preferred term for commission is "service fee".  I feel "marketing fee" seems to confine your services to just marketing, without emcompassing the consulting, advising, negotiating strategies, etc.  Just a thought.

Words are powerful tools.  People who become experts in communication earn the most money!  Thanks for the inspiration.

Words do matter a great deal.  You are not just a marketing professional, but a sales professional when you sell real estate.  The best sales professionals rely on words to guide them, on words to make an impact on their clients.  Something I would add is that it is important to really listen to the words your clients are saying so you can use the proper words in response.  It is easy to jump in, talk over people, and make assumptions.  It is much more difficult to listen, even if part of that listening encompasses some silence.

Rebecca D. Levinson-Connect2Agent 

Midori - I agree with you that there is much more service to provide when you are hired to represent a buyer or a seller. I also agree that language is very important.

The tone of these sentences - Often times these words play a key role in getting a customer where you want them. That is to buy or sell real estate. - may be misunderstood by some. I am sorry if you can not see that, but the admonition to get a customer where I want them may be perceived as creating a situation in which an agent presses someone to place an offer because the agent feels it is the best home for them or it may be perceived as creating a situation in which an agent presses someone to accept an offer because the agent feels it is the best offer for them. There are times when these actions may be acceptable. There are times when they are not. The difference is the motivating factor. When you use the term "where you want them", you leave out the indication of what they may perceive to be best for them.

In markets that are slower, there are agents that are motivated by the commission check attached to their advice. I did not mean to insinuate anything other than the focus should always be on what the client wants and not what the agent may want. The key word here is client which carries the fiduciary responsibilty of acting in their best interest. Some of us feel that representation is the pie.

Absolutely excellent post!!  The one I haven't been using is the term marketing fee.  I always discuss the marketing as the explanation for the fee; but never used that term.  It is now part of my vocabulary.  Thank you.

Hi Midori,

Spoken like a true "professional" and we're proud to consider ourselves to be in that same category!  Thank you for your insightful post.

I love the way you described your commission as a marketing fee, I will definitely use that. Thank you for the great post!

Home Run Midori! Marketing Fee! Congrats on the Feature!

Midori - Another excellent post. I do like your use of the appropriate terminology. We all need to remember this as we approach our business each day!

I learn something new everyday......Newbie here

Lori-Thanks for commenting.

Neal-you have no problem with words!  I like your style....I know just how professional you are! 

Tom-I agree...don't feel bad...how do you think I learned.......MISTAKES>>>>and lots of them. Thanks for commenting.

Missy-I think if it feels natural then you use it!   I love the words, its putting the blame where it belongs...price and market.... and off of you!  You hear words similiar come out of my mouth.... I do share market value and appraised value with buyers and sellers.  I feel they need to understand the difference.  Here are my words  "The Market is the Market!"  Well Midori what does that mean?  "It means that I do not decide price, you do not decide price but the buyers that have bought in the past 3 months do!  If you have had no showings or little showings... it's the buyers in the marketplace that do not see the value of the property.  My best advice to you is a price adjustment!  Have you considered a new price!  I say 3 months but its more like 3 to 6 months....it depends on the activity in the area.  I say if it works for you.....stick with it!  

David-gentlemen like yourself keeps the trainer on her toes! 

Hi John-I am back....I think maybe you took my words incorrectly...BUT..you made me think...Thank you!   We do want and expect things from buyers and sellers.  I want them to make a good sound decision, I want them to feel good about the decisions they make, I want them to price the property to get it sold....so yes I this is where I want them...with the right mindset. 

I would never ever do anything to force someone to do something against their will...I can't...I won't.  So if I was implying that I was I apologize for not getting my message across.  Thank you for the interaction and I will see you on your post!

Mana-I am pumped...so while I am I have to get it out!  I will be taking a short break soon as my focus will be on recruiting real estate professionals. So if you are interested in relocating...I am sure you would be happy to join us! 

Midori,

Excellent advice and tips!  I love using a service pledge as well. Makes a difference when you put it in writing. 

Rey-you are so right!  Words you can never take back....

Courtney-Thank you

Joseph-I have never heard of it.  Do they have a website?  Would love to know more!

Hi Max-I have a few... marketing fee, service fee, professional fee,  consulting fee...whatever you like it sure sounds better than commission.  You have to use judgement and sometimes realize there are some people who like it spelled out, some who like the skim through and they will read it on their own and then you have people who are well versed at buying and selling.  We can't assume everyone understand the real estate terms.  I actually created a cheat sheet for sales contracts for our company....it makes it easier for people to learn and help them to explain and really understand what they are saying.

 Dan-my pleasure and thanks for reading!

Rebecca-I really consult customers and I listen.  I try to build a bond before meeting face to face.  It can be done, it's simple just listen and they will tell you everything you need to take to your appointment.  With a little probing.....it's in the bag! 

Hi Randy-So nice to see you!  Thank you...I take that as a huge compliment. 

Lisa and Robert-That you are....true professionals.  I enjoy your post.

Christina-Thank you...

Lysa-Thanks...thank you...THANK YOU! for everything this week especially! 

Gary-Thank you! 

Congrats...Newbie...Roger...stick around the rain...you'll be seasoned before you know it!

Midori,

Nice lesson on how to communicate with customers. When you try to bring two sides together, buyer and seller here, it's vital to be able to start a dialogue with them. And that's where the agent's language will play a major role. For best results he should learn from your tips.

Midori~ 

I like the use of the term "marketing fee" in lieu of "commission"...because it takes what we do as real estate professionals up to the level of the service we perform

Hi Midori - we do need to make sure we use professional language when speaking with consumers.  Professional words they'll understand, not inside-the-industry-lingo.

I use 'professional marketing fee' when I meet with sellers.  I started using that phrase a few years ago, and it's so much better received.  And I love a service pledge, too!

Congrats on the feature!
Ann

Midori~ I really like your suggestion of marketing fee versus commission.  This would help sellers realize that a good portion of the commission does go towards marketing their home.  So many clients still seem to think the listing agent just pockets the commission without spending a dime.

Wording is everything.  I took a Staging Class a while back and most of it was on how to discuss things with the seller so as not to offend them but rather motivate them.  One of the big ones I remember was "The way we live in our home and the way we market our home are two different things".  Many agents are afraid to discuss with the seller things they need to do so it shows better but with the right words it can be do professionally and effectively.

Midori, This post is right on!

One of my favs:

Price Improvement sounds so much more appealing than Price reduced

Ginger

Good post. Like your ideas.

Midori, this is a bookmark post.  I agree that is one is a home run!

I totally agree that "marketing fee" is a much more professional term.  Thanks for a great post.

I love your term 'marketing fee'....that sounds like you are giving them more for their money.  Lots of great advise.

Execellent Post!  Great tips and links!  Keep up the great work!

MIDORI:  I agree with you that the way that we say things is as important as what we say.  Recently, I had an experience where another agent presented an offer in "take it or leave it" terms.  The offer was incredible for this market, and I let the homeowner's know that this is how it was presented because I had a personal relationship with them.  The wording almost killed the deal.  In retrospect, I realized that I needed to be more of a filter for the other agent.  I learned from that slight error in judgement.  Good post, Midori!

Midori, I really enjoyed reading your blog and  wanted to thank you for posting and sharing your thoughts and ideals and the great advise.  

If you studied public speaking or persuasive speaking, Aristotle would suggest you're on the right track.  Indeed he would agree that persuasive speaking should not only be an art that's studied but also ethical.  According to Aristotle all persuasive speaking is a balance of "ethos" ethical, "pathos" emotional, and "logos" logical.  These elements are set in balance by always considering your audience.  He would say and I agree, you must consider your audience, and I think before that you must first know yourself. Great post.

Great post I liked your words

Here is a case where a rose by any other name would NOT smell as sweet.

Words and titles used to describe real estate terms and conditions, like house and home, marketing fee or commission do make a big difference.

Great Points 2 Remember.

Wow, Does this post put it all in perspective. I remember getting into this business and listening to all the other brokers. The jargon was flying and closing lines were a dime a minute. It took me for ever to quit using those words like um um um, and, and,,,,,,, and, well,,,,,well,well,um,okay, and on. I finally had to learn to be a little more polished in my speaking. IT would seem any one I was talking to must have that they were talking to electroencephalogram IT took time. I finally became my self, and the rest is history,   Yours TRuly Tom BRaatz

Monika-yes I love the service pledge as well it makes it a little easier getting that committment from a buyer or seller.

Ahhh Esko thank you for the kind words... Yes words are strong...it's hard to take them back...pick and choose them carefully they can and will sometimes make or break a transaction.

Hi Janeanne-I have never been fond of commission...it makes me think cheap!

Hi Ann-I know I am slow on the responding to comments...Thank you...Yes I love the service pledge...

Lisa-we have to educate sellers to let them know you spend a portion of your marketing fee on marketing.  Its very helpful

Julie-You are right, sometimes we are gutless but its those words we need to express to buyers and sellers.  They deserve it! 

Ginger and Roger-yes I agree...adjustment is a much better term....sending a seller a message...especially in our current market where prices change daily.

Bob and Carolin-Thank you...

David-Thank you..

Diane-Thank you.. 

Kay-Thank you

Scott-Thank you

Adam-Yes, sometimes we have to get the other agent focused...It is sometimes frustrating but necessary.  I don't get why would someone kill their own deal?  

Cynthia-my pleasure 

Hi John Higgins...Very interesting info you gave me!  I have to check out your blog.  Let me just start with it's nice meeting you!  I will see you on your posts.

Rebecca-Thank you

Tom-I did the same thing trying to speak like some of the seasoned agents when I first started...I was really suprised with their lack of customer service skills, their morals and the way they addressed the public.  I learned quick who to talk to and who not too!  After a while many things began to just fall into place and I became better with words and skills.  Took some training along the way! 

Hi Mott-thanks for visiting...Yes right now we need all the help we can get!

It's not personal, it's business.  Great advice that I will certainly give a lot of thought too.

I like the wording proper market placement.  We also seen price improved TOO much recently.

Hi Donna-that's right...it is business...

Jennifer-Yes I too have used proper market placement for years...