What do you do when a client tries to cut your commission before closing?

Most Popular Reply

Jay HinrichsBusiness Member
Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
1y
Quote from @Erik Estrada:
Quote from @James McGovern:

I walked away from banks and hard money lenders due to burdensome underwriting and now only use private money lenders who employ more of a common sense underwriting approach 


 That works up to certain amount. Maybe for the small time investor doing a few deals a year or smaller deals. 


James clearly is not your target borrower.. this is just RE  1 0 1 .  I just had one of my high frequency clients as about my fees.. And I was just up front and said I cannot. gave a few reasons why like over head  MY speed  NO junk fees NO appraisals close in 2 to 5 days etc etc my business is relationship based. NOT fee based IE who is cheapest but I am only doing short term bridge / fix flip .. And I only work with experienced folks.

In your line if your doing a lot of DSCR which I have to think you are then of course there are 1000 brokers out there doing the same thing. and some folks just will move a file over .25 bps and not blink and Eye.. I personally have been with the same banker for 33 years now and while I will negotiate fees I get cold called by other local commercial banks looking for our deposit relationship and would never move over a few bps.. relationship in this business is far more important.. Now for you were you might only do one loan every 2 to 5 years with same entity loyalty is much harder for you.. And like i said a guy like James and his attitude about how you earn a living is not you target.
Podcast Guest on Show #222
JLH Capital Partners51 Review
WebsiteView Page
4Reply
See this reply in the discussion

29 Replies

Jump to latestLatest
    Join the conversationCreate a free account to reply, vote on answers and follow this thread.
    Log InJoin for Free