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Seller asks: "How Much Money Did Your Make Last Year?"

By
Real Estate Agent with RE/MAX Compass 0524642

I've been asked a lot of questions over the last 8 years but I've never had a seller to be pop me with the question: "How much money did you make last year?"

Perhaps the seller could have asked.. "How many homes did you sell last year?" but he didn't, he asked about my income. To me this was none of his business. So I answered him dishonestly.... I told him I made close to 1 million dollars in commissions - and that was just from leases. Well I didn't exactly say that. I told him I made enough for X X and X. Maybe that was enough for him to read between the lines. 

Would you disclose this to a seller if asked? How would you answer it?

  

Posted by
Greg Nino
Realtor
RE/MAX Compass 
Direct & Text 7 days a wk: 832-298-8555 
 
 
Realtor since 2004
Mediator & Arbitrator for the TX Assoc. of Realtors
Member of the Professional Standards Committee for the TX Assoc. of Realtors
Arbitrator for the Comptroller's office for the State of TX for Arbitration of Property Tax Values

 Member of the RE/MAX Hall of Fame & Platinum Club

 

The information contained in this blog is believed to be reliable and while every effort is made to assure that the information is as accurate as possible, the author of this blog, and its comments disclaim any implied warranty or representation about it's accuracy, completeness or appropriateness for any particular purpose. All information is copywritten and the property of Greg Nino.  

Comments (16)

Kim Frasier
Best View Imaging - Millbury, MA
Showcase Your Listing with its Best View

Hmm...that is quite the interesting question to ask...not sure how I would answer somethign like that

Nov 27, 2011 01:03 PM
Wallace S. Gibson, CPM
Gibson Management Group, Ltd. - Charlottesville, VA
LandlordWhisperer

Greg * many real estate agents think they make MORE money than property managers.  I've probably made more than 90% of the agents in our association.....wear a Rolex, drive a Lexus and Mini, own rental property and have a SET monthly income.  I work as MUCH or as LITTLE as I want

My goal for 2012 is to UP my income by 10% and lower my expenses by 10%

Nov 27, 2011 01:03 PM
Brenda Mullen
RE/MAX Associates - San Antonio, TX
Your San Antonio TX Real Estate Agent!!

How bout Nonya...that's always a good answer, lol :)!  Honestly, I think I would probably answer that with a question on why he wants to know.  It isn't relavent to the topic at hand.  Interesting.

Nov 27, 2011 01:10 PM
Eric Kodner
Madeline Island Realty - La Pointe, WI
CRS, Madeline Island Realty, LaPointe, WI 54850 -

When a seller is prepared to share his or her 1040 form with me, I'll consider reciprocating.

Nov 27, 2011 01:16 PM
William James Walton Sr.
WEICHERT, REALTORS® - Briotti Group - Waterbury, CT
Greater Waterbury Real Estate

Greg, that was a bit over the top. For what purpose? Was he going to give you the listing if he felt "you needed the money"? or Was he going to deny you the listing if he felt you made too much? BTW, I liked Brenda's response: Nonya is exactly right....

Nov 27, 2011 01:20 PM
Sussie Sutton
David Tracy Real Estate - Houston, TX
David Tracy Real Estate for Buyers & Sellers

What I have found is that buyers and or sellers all seem to think we make a killing with each home we transact. After I explain the commission split and re-split you can see a bright light shine above their little heads. I don't know how they got this impressions...maybe those late night info lying commercials.

Nov 27, 2011 01:24 PM
Dorie Dillard Austin TX
Coldwell Banker Realty ~ 512.750.6899 - Austin, TX
NW Austin ~ Canyon Creek and Spicewood/Balcones

Hi Greg,

I would simply say "Why do you ask?" It is none of his business. I would not make up a number or give him any number but turn the tables around to put him on the hot seat :).

Nov 27, 2011 01:35 PM
Alan May
Jameson Sotheby's International Realty - Evanston, IL
Home is where the hearth is.

I'd say "less than I'd like to make"... if they push the issue... I'd say "I'm not comfortable discussing that".

Nov 27, 2011 01:46 PM
Loreena and Michael Yeo
3:16 team REALTY ~ Locally-owned Prosper TX Real Estate Co. - Prosper, TX
Real Estate Agents

Enough to put food on the table.

Nov 27, 2011 01:50 PM
Donne Knudsen
Los Angeles & Ventura Counties in CA - Simi Valley, CA
CalState Realty Services

Greg - I have never disclosed my income to a client and if asked I tell them that is private info.  Btw u&me - it's none of their !#$%^&* business.

Nov 27, 2011 01:56 PM
Larry Story ALC
Total Care Realty - Greensboro, NC
Beneath it all is the Land, Covering all of NC

I like Alan's answer but, look at him and ask him how much he makes?  Some people will go either one of two ways: either they will think that since you make so much you can negotiate on your commission, or that you are successful and get the job done

 

Nov 27, 2011 01:56 PM
Heather Russo
Keller Williams Realty - Kerrville - Kerrville, TX
SRES , REALTOR, Kerrville, Texas Homes for Sale

It is NONE of anyone's business except yours, your spouse & the IRS.

I have answered, "My income is a mix between Real Estate and another business I have on the side selling crafts I make - it's what I do to relax at night. As far as the dollar amount, I don't believe how much I made last year is pertanant to how well I do at selling homes - every house sale has completely different expenses and comissions."

Nov 27, 2011 02:11 PM
Debbie Gartner
The Flooring Girl - White Plains, NY
The Flooring Girl & Blog Stylist -Dynamo Marketers

That sounds like a no win question.  I might try to get at the context of the question - what is the seller really trying to understand and why.  I do like your answer, BTW.

Nov 27, 2011 10:15 PM
FN LN
Toronto, ON

Hi Greg - You could always try "It is between me and the IRS (and the state tax authorities, if any)".

 

Nov 27, 2011 11:14 PM
Peggy Chirico
Prudential CT Realty - Manchester, CT
REALTOR® 860-748-8900, Hartford & Tolland County Real Estate

Hi Greg - That is an odd question and no one has ever asked me.  I guess we will all be prepared with some kind of answer now--just in case we are asked!

Nov 28, 2011 02:52 AM
Marge Piwowarski
Phoenix AZ Horse Property - Phoenix, AZ
Phoenix AZ Horse Property, LLC

I would say "I heard you worked for the IRS, until you asked me that, I didn't believe it!  Now you will never find out until you read my 1040. " 

Nov 28, 2011 03:00 PM