How not to conduct your business in a down market

I am currently in my office today getting ready to do the preliminary work for the 4th quarter numbers. I am overhearing a conversation a team of brokers is having with a potential client. They are arguing (negotiating) over commission costs, a fairly common argument I am sure with fairly common rebuttals justifying the commission my guys earn.

Now is not the time to be unreasonable and blow-up a deal over a 0.5% commission. There are many buildings on the market and being cheap with the agents you employ is not in your best interests.

For about an hour the back and forth went on, to the point where everyone in the office gathered round, silently cheering our side on. At one point or another, everyone has been on that side of the call, trying to convince someone that being cheap is not a way to win friends or to incentivize your brokers.

This is, after all, a relationship driven business. It is still a business and the bottom line still matters, but being a penny wise and a pound foolish will not be forgiven in times like these.

The relationships are changing, the residential and amateur brokers are moving in. It is easier to get and share the information and the competition is looking to get fierce for the first time in a long time.

After the hour long conversation I was reminded that we are indeed professionals, and when push comes to shove, we are able to get people to sign on the dotted line. The sad part is, the work has just begun, we have the listing but now need to market it and find a buyer. The end of this conversation is just the beginning of another one.