KGCI: Real Estate on Air - How to Ask for and Justify Your Commission

Episode Date: October 15, 2025

Summary:This episode provides a tactical guide on how to confidently ask for and justify your real estate commission. It focuses on the importance of having a clear and confident value propos...ition that demonstrates why you are worth your fee. The discussion offers specific language and strategies for handling the "discount" conversation and positioning yourself as a premium service. Listeners will learn how to shift the focus from a discussion about price to a conversation about the tangible results and value they provide, ensuring they get paid what they are worth.

Transcript
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Starting point is 00:00:00 What is going on and welcome to the Real and Raw show. I am your host, John Marone. Thank you so much for tuning into today's episode. If you haven't done so already, please take a second to like, subscribe, and write a review. This show is based around everything, real life, real estate, and real tools for real change. So if you're ready to go ahead and have some real change in your life,
Starting point is 00:00:34 get your pen and paper, and let's get real and raw. What is going on and welcome back to the episode of the Real and Raw show. I'm your host, John Marone. Today we're going to get into the elephant in the room, which is we are now in the season of changes with the NAR settlement. I want to talk about that today. I want to go into some details on it. I don't want to get into the weeds too much, but I just want to just have a chat with you. I don't know where you're sitting right now as far as your thoughts on it.
Starting point is 00:01:14 Maybe you're thinking, man, this is scary or maybe like, ah, this is business as usual. Whether it's one side or the other side, I just want to bring some clarity to the situation. And maybe some ideas on how to articulate certain things that are going to help you with managing this change. And when I say this change, I'd let you know that not much has changed.
Starting point is 00:01:36 There's actually other cities, other states have, operated this way for a very long time. And it hasn't hurt their production. So if you're in a place where they're worried a little bit that it might hurt your production, just know, there's a good chance it's not going to hurt your production unless you allow it to. I'll say that again. Okay.
Starting point is 00:01:56 The NAR changes should not and will not change your production in your business unless you allow it to. Just think about that. because if you just take strong, strong consideration into that, okay, you will find yourself at ease a little bit more than you were two minutes before this podcast. But let's just talk about the realness of this, right? So just go on a by side. Let's stay there for a second.
Starting point is 00:02:25 So on a by side, what's going to have to happen now is that you have three options here, right? You can go ahead and have them sign a per home, per showing document that you are going to be representing them. and it's going to be for X percent. You can't say up to X percent. You've got to give an exact amount. Okay? And once again, I'm going to give you guys ideas on how to work around these things as far as how to do it as of right now,
Starting point is 00:02:52 you know, legal ways to make sure that you guys are covering yourself. Number two is you could do it per area. You could say, hey, anything I show you in zip code 3, 2,459, which is my area code here in the Santa Rosa Beach area, you are going to pay for the services, you know, and it's going to be 3%. It's going to be 4%. So you can do a per area, zip code or town,
Starting point is 00:03:18 whatever case might be. Or number three, you just say in general, right? Anything I show you, you're going to pay us a fee to partner with you of 3%, 4%, whatever it might be. So you have those three options. Here's what I'll tell you.
Starting point is 00:03:34 Don't do number one if I were you. That's going to be a lot to kind of, first off, get them to keep signing. It's going to become annoying to everybody. Right. And also when you do that, you don't lock them into seeing more than one home with you. And we all know it's going to take probably a few more homes than one for them to decide. And I don't want that one home to be a reflection of you if they don't like it. So we want to have a bigger, broader opportunity.
Starting point is 00:04:03 So I want to do that. Number two is say per area, which is fine because you know what? If you want to do that, then you could just say, you know, anywhere from, you know, these zip codes. And those are the only zip codes you work anyway. But it gives them a little bit of breathing room, a little bit of sigh of relief if they are thinking about looking maybe in a zip code that's an hour and a half from you that you won't really want to work. Okay. So number two will work. Or number three, just go right in and say, hey, look, I'm fully committed.
Starting point is 00:04:34 Obviously, you know that I understand your problem and you have said that you believe that we can go ahead and get you from A to B. And so what we like to do next and what the next step in the process is just making sure that you're committed to us. And the way we do that is this. I'm going to give you guys how to articulate it. Just hold on. But that's the way to do it, right?
Starting point is 00:04:57 One, two, or three, I would not do one. Now, look, you have a broker that tells you one thing or the other. I'm not telling you to go against your broker. maybe telling you to challenge your thinking, but that's it. But number two, number three is the way I would go when you talk on a buyer's side on how I'd get a buyer broker agreement signed as far as the way that NAR wants it. Okay. Now, the other side of this is that how do we get them to sign it, John?
Starting point is 00:05:26 Right. How do we get them to sign it? And I have a lot of people, you know, we did a coaching call about this last week, a week before that. And a lot of people have this, oh my God, it's another thing that they don't have the money for it. Look, this has been done the entire, you know, entire time. It's always been in a way wrapped up into the price of the home, right?
Starting point is 00:05:50 So it just looks different. It sounds different. So you're going to have to articulate it maybe a little bit different. And so what we do in this manner is once we add value, that's the biggest thing. Okay, so step one is when you are going to get your buyer broker agreement sign, you must make sure that you add value before asking for commitment. Add value before asking for commitments when you are getting anything signed. Don't be the person that jumps in there way too early to get somebody to commit to you,
Starting point is 00:06:26 someone to commit working with you, someone to commit paying you. to do a service for them. Before you've added value. What's value, John? Value is not showing them homes. Value is not sending them homes. Value is not opening doors. Value is simply this.
Starting point is 00:06:46 They have a problem. You have them understand that you understand their solution and you are the vehicle to get them from problem to solution. That's it. So you understand their problem and they know that you understand their problem. They need to know that. And then you can go ahead and help fill the gaps in that problem. And that problem could be lifestyle change. That problem could be school change. Problem could be, you know, going ahead and downgrading, right, into, you know, a smaller home.
Starting point is 00:07:15 Or it could be going ahead and getting a bigger home because they're having additions to the family. There's so many different pieces that we could dive into here. But the reality is this. Stop trying to get people to commit to paying for your services or even committed to signing anything to working with you and partnering with you until you add value. The greatest part is that the dialogues and framework that we use adds the most value that I've ever seen before in a conversation on a call, right? We dive three wise leap for every what. And it's really cool because after training 15,000 agents, what we've seen is that now,
Starting point is 00:07:53 more than ever, have those dialogues and those scripts been really emphasized because because they understand the importance of it. No longer can you say, how many bedrooms three, how many bath two? You now could use these dialogues and these scripts to add real value because that's what these scripts
Starting point is 00:08:08 and dialogues and frameworks are the best in the industry at. That's just a little side dope. And those that work with us and that coach with us of a real estate master coaching, you know that and you could speak to that. Those that don't,
Starting point is 00:08:20 you're missing out. Okay, let's go back to it though. So we got to add the value, right? Once we add the value, we make it like business. as usual, right? And we say something like this. Hey, next step in the process, right? It's really simple. What we want to do is we want to obviously go show you some properties that align with your needs. But we want to make sure that we partner up, right? We're going to be
Starting point is 00:08:44 working our butt off to make sure that we find you the proper property. We do the digging on it, make sure that it's a good deal for you. And then we go to war and we negotiate for you. And so to utilize our services, it's only a 3% of the purchase process. that's going to go to us. Now, here's the greatest part is that we're a pretty good track record to go ahead and get that covered from the seller and or multiple ways to go ahead and make sure it's not coming out of your pocket or very, very little. But the greatest part is our track record proves that, you know, we're able to negotiate
Starting point is 00:09:20 that into the deal pretty well. Does that sound good? All right. So I'll do it one more time. Once you've added value to your client, or let me ask you to say this, once you've added value to your soon-to-be client, that's when you need to get them to sign the agreement when you're going to see properties, right? When you're going to go see properties. You say, hey, look, next step in the process, it's real easy. What we're going to do is obviously we're going to get you the right homes that match your criteria.
Starting point is 00:09:50 We're going to make sure that we do the digging on the homes of anything that you love so we can make sure that. We're not walking into anything that's unknown. Then we're going to go to war and we're going to negotiate for you. And to utilize our services, it's only a 3% commissions on it, right? So it's 3% to work with us of the purchase price. Now, here's the greatest part is that we have a really good track record that has given us the reputation and the proven results that we can get the 3% covered multiple ways, whether wrapping into to deal or the seller paying so that you don't have to pay anything or little to nothing at all.
Starting point is 00:10:31 But biggest thing is making sure that you got somebody that understands your problem and, you know, goes to war for you. And that's why I'm excited to make this thing happen for you. Sound good? Sounds good. All right. That's it. Casual.
Starting point is 00:10:44 Business as usual. Hey, we got to prove track record that we can get this thing covered because guess what? You do. You've done it. How many transactions already where you've got it covered? Right? Like it's, it's happened probably 100% of it. of time so far and it's going to continue to happen.
Starting point is 00:10:59 All right. So that's that's the way to articulate it. Now, what I will say is this is that if there's somebody that does not want to sign that, there's a good chance you just have not articulated your value enough. And then you're just going to ask, okay, you know, just curious, you know, is there something that maybe you feel that, you know, I missed the boat on or that I didn't connect with to to really help you understand, I understand your problem and I can help you get from A to B.
Starting point is 00:11:28 No, I just really want to get it, you know, down to where I'm not paying any commission. Well, like I said, you know, my goal is to make sure you're not paying any commission. That's, that's a whole point. And we have a 95% you know, proven result method or we have 100% proven result method that allows that to happen. Like, I'm not going to make you miss out on a deal because of a few thousand dollars. We will make it happen. Right, give them the ease.
Starting point is 00:11:55 Right. So that's on the buy side. Now on the list side to that small 30% of the market, which makes your home sit on a market longer, which sits on a market longer, you end up dropping the price. So then you end up still netting the same amount, then going ahead and just giving the concessions up front and exposing it to more people. Does that make sense? Right.
Starting point is 00:12:17 So there's, it's just articulated very, once again, cool, casual, comment. confidence right but give facts behind it give facts behind it and so on a seller side you know I've seen a few things here one is I've seen people say hey we're not gonna put down a percentage until we talk to the buyer which is fine I'm okay with that but still make the seller aware that there's a chance that they will be paying X percent don't just be like hey we can get this thing for 1% to the buyer's agent, make them aware of almost a worst case scenario. So if they come in at 2%, hey, great news is, you know, it's only a 2% versus 3%.
Starting point is 00:13:04 You're going to save yourself 4 grand right there. Right. So make, if you don't want to put it on a piece of paper saying that, that's fine, right? But, you know, you can do a per transaction. But what you don't want to do is leave them in a dark thinking that they can do it without it. Right. So once again, I don't want to beat a dead horse.
Starting point is 00:13:24 I know you've listened to a thousand podcasts about this probably. You've seen tons of broker meetings about that. You've seen enough, guys. Get back to work, right? Get back to work. Understand that it's not going to be as hard as you're going to make it out to be. Understand that if you are somebody that's making dials, there's people that are stopping making their phone calls because they're scared to have this
Starting point is 00:13:43 conversation. What does that mean? That means opportunity. That means massive opportunity for you. So take it. Take it and run. It is your chance to explode in a market while agents are imploding because they're not willing to make calls because they're scared to have this conversation we just talked about. But hopefully after this podcast, you heard how easy and simple it is and can and will be.
Starting point is 00:14:07 So now it's time just to get to work. Keep it simple. Keep it casual. Keep it confident. And do the work. All right. If you guys want some more training on this, reach out to me on Instagram. at real John Morone.
Starting point is 00:14:23 Let me know how we could help you. And we can give you some training through our coaching or just some advice. But definitely reach out to me or send an email to info at go real estate mastery.com. I'm about to head out here. We got our coaching call tomorrow. And then we're heading to Key West for a few days. So if I don't hear from you, if I don't see you, make sure you guys are crushing it. And as always, don't wait for the door of opportunity to open.
Starting point is 00:14:50 go kick that damn door down and take what is yours side note the door opportunity is actually open right now the door is open right now with a lack of people calling with a lack of people committing with the lack of people having confidence in what we just went over the doors open are you going to take advantage of it or are you going to allow it to just slide right past you like maybe you've done to other opportunities decision is yours hope you make the right one talk to you soon guys

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