Matt Liss Talks Discounting Real Estate Commissions
In the realm of Chicago real estate, few topics evoke as much debate as the issue of commissions. Matt Liss, a seasoned Chicago real estate professional, fearlessly discusses this contentious issue, acknowledging the discomfort it might cause among fellow brokers in the Windy City. In this blog post, we'll explore Matt's unfiltered perspective on commission-related challenges, negotiation strategies, and the controversial practice of discounting commissions in the pursuit of success in the vibrant Chicago real estate market.
The Chicago Broker's Balancing Act
Matt begins by recognizing the multitude of articles defending commission rates published by real estate agents. Understanding the financial responsibilities that come with the Chicago real estate profession, he empathizes with the challenges Chicago brokers face. However, he asserts that for those handling substantial volume in the Chicago market, the impact of commission reductions to close deals is more manageable, even if it means challenging the traditional norms of the Chicago real estate industry.
Discounting Commissions in Chicago: A Pragmatic Game
Matt openly acknowledges that cutting commissions to close deals is not only a common practice but an integral part of the Chicago real estate game, particularly among top-producing brokers in the city. Unapologetically, he invites challenges to his approach, asserting that his proven track record gives him the "street cred" to lay out his plan. This includes reducing commissions to get deals done in the unique landscape of the Chicago real estate market, aligning with his belief that success in Chicago real estate is a volume game.
Chicago Seller Attitudes and Commission Negotiations
Referencing a CNBC article, Matt highlights statistics revealing Chicago seller attitudes toward commission negotiations. Despite approximately 60% of the Chicago public being aware they can ask for reduced commissions, many Chicago sellers either don't bring it up or fail to negotiate. This, according to Matt, reflects a cultural reluctance within the real estate market to engage in negotiations, an aspect he emphasizes repeatedly.
Matt's Personal Approach in the Chicago Market
Matt talks his personal approach to commission negotiations in the Chicago real estate market, detailing instances where he adjusted commissions during Chicago listing appointments and even reduced them on the front end if clients were selling and buying. He emphasizes that his strategy is not just a business tactic but aligns with his genuine moral compass, emphasizing the massive financial gains made through sales and purchases in the dynamic Chicago real estate market are made by doing the right thing for his clients.
Transparency and Client-Centricity in Chicago
A recurring theme in Matt's approach is transparency. He describes how he clearly outlines commission splits between the Chicago buyer and seller agents to clients, aiming to build trust through honesty within the unique Chicago real estate market. Additionally, Matt goes beyond traditional negotiations, sharing instances where he invested personal funds to solve problems during transactions, ensuring deals closed successfully within the dynamic Chicago real estate landscape.
Building a Like-Minded Brokerage in Chicago
Towards the end of the transcript, Matt shares his mission of building a brokerage with like-minded Chicago realtors who prioritize client needs in the city. He emphasizes creating a culture that cares deeply for both brokers and clients in the unique Chicago real estate market, a philosophy that evolved from his successful business practices in the city.
Matt challenges traditional norms within the Chicago market, embracing controversy to share insights gained from his extensive experience. Whether one agrees or disagrees with the approach of discounting commissions in the Chicago real estate landscape, it's evident that Matt's success lies in a combination of strategic business decisions, transparency, and an unwavering commitment to prioritizing client needs in the bustling Chicago real estate market.
Chicagoland real estate agents, do you want to learn directly from Matt Liss and how he made $1,000,000 in annual GCI consistently? Agents at Mark Allen Realty have access to Matt's mentorship to learn from someone who cares deeply for his agents. Matt's goal is to change the landscape of Chicagoland brokerage by offering a transparent 90/10 commission split and a $250 transaction fee, transitioning to 100% commission after a $20k cap with no monthly fees. Learn more and schedule a call with the ownership team at: joinmar.com