Skip to content
Real Estate Investor or Realtor?
The market is full of sellers who instinctively think "realtor" when they need to sell. Your job is to shatter that default assumption with a more compelling alternative. We will dissect a proven framework for pitching sellers and a battle-tested strategy for handling buyer agent commissions to protect your bottom line. This isn't theory; this is a field guide.
Part 1: The Ultimate Pitch: Investor vs. The 6% Machine
When a seller is on the fence between listing with an agent or taking your cash offer, you need a script that clearly and decisively frames the choice. The goal isn't to bash realtors; it's to illuminate the expensive and uncertain reality of their process compared to the clean, predictable exit you provide.
The Core Problem with a Traditional Listing
This is the ammunition for your pitch. You must highlight the friction and costs baked into the traditional model.
The Seller's Pain Points
The 6-Month Prison:
Column 2
Commission Black Hole:
Column 2
The Price You See Isn't the Price You Get:
Column 2
The Repair Gauntlet:
Column 2
Concession Bleed:
Column 2
Battle-Tested Script: Framing Your "As-Is" Offer
Use this framework to guide the conversation. The power is in the contrast you create.
"Mr./Ms. Seller, let me lay out the two paths in front of you.
Path A is the traditional route with a realtor. You'll likely be locked into a six-month listing agreement. When you do get an offer, the price you agree on isn't what you walk away with. You'll have commissions cut from the top, you'll pay your own closing costs, and if the buyer's inspection finds issues, you'll either be paying for repairs or giving them a credit.
Path B is with us. We agree on a fair price today. That price is a net number to you. We handle the closing costs. You make zero repairs—we buy it completely 'as-is.' Instead of a drawn-out, uncertain process that could take months, we can close this in 60 days or less.
So, the question is, which path sounds better for your situation? The uncertain one with hidden costs, or the guaranteed one where you know your exact take-home number from day one?"
This script positions you as the clear, simple solution to a complex and expensive problem.
Part 2: The Commission Game: How to Underwrite and Negotiate
In today's market, handling the buyer's agent commission is a strategic minefield. Ignoring it will get your properties ignored. Overpaying will kill your profit. Here’s how to play the game and win.
The Ground Zero Rule: Never List with 0% Buyer Agent Commission (BAC)
Many new investors think they can save money by offering 0% to the agent who brings a buyer. This is a fatal error. Agents are steering their clients, and they will steer them away from any property where they aren't getting paid. You won’t get showings, you won’t get offers, and your property will stagnate.
Proactive Underwriting: Bake the Commission into Your Numbers
From the very beginning, when you are first analyzing a deal, you must factor in the cost of the buyer's agent commission. This is a non-negotiable project cost, just like materials or labor.
By building this into your initial numbers, you ensure you're protected, and the deal is still profitable after paying the people who bring you the money.
Advanced Tactic: The Leverage Squeeze
This is how you optimize your commission payout once you have market validation.
Generate a Frenzy:
List the property with a competitive BAC (e.g., 2.5% or 3%). This incentivizes every agent in the area to show your property to their clients. The goal is to get a flood of interest and, ideally, multiple offers.
Identify Your Leverage Point:
Once you have a "shit ton of traction," as one expert puts it, you have all the power. A bidding war or multiple strong offers is your signal.
Execute the Squeeze:
You can now go back to the agent with the winning offer and negotiate their commission. You have proof (the other offers) that your property is in high demand. An agent is more likely to accept a slightly reduced commission on a deal that is guaranteed to close than risk losing it entirely.
There are no rows in this table
Case Study Example: An investor received multiple offers on a property, with one coming in $10,000 over the asking price. Because the demand was so high, the investor successfully negotiated with the winning agent to waive their commission entirely in exchange for accepting their client's high offer. This is an outlier, but it demonstrates what's possible when you have leverage.
Actionable Intelligence Summary
Pitch the Certainty:
Column 2
Underwrite the Commission:
Column 2
Don't Start Low:
Column 2
Negotiate from Strength:
Column 2
Struggling to find consistent deals? Prexium connects you with the opportunities you’ve been missing. Get started now 👉
Want to print your doc?
This is not the way.
This is not the way.
Try clicking the ⋯ next to your doc name or using a keyboard shortcut (
CtrlP
) instead.