For over three decades, I have trained agents how to overcome client objections. A critical step in this process is understanding whether your client is a “moving toward” or “moving away” buyer or seller. Once you understand that distinction, you know exactly know which closing strategies will work best when they object.
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For “moving toward clients,” they’re excited and happy about their move, while “moving away clients” are escaping a painful situation.
If President Trump does indeed end the war with Iran, it will be due to the application of this principle, coupled with what he calls “leverage” and what I call a “turn-up-the pain” close.
‘Moving toward’ vs. ‘moving away’ clients
One of the most important questions you should ask during your listing consultation or buyer interview is “What is motivating you to move?” The “moving toward” clients are excited about moving into their next home and can’t wait to be there. On the other hand, sellers going through an ugly divorce or some other horrible situation can’t wait to “move away” from the situation they are currently in.
In terms of how you negotiate, with “moving toward” clients, paint “brightness of the future” — all the good things they will enjoy once they make their move.
If you’re working with a “moving away” client who is a renter, a great close is a “turn-up-the-pain” close, one I used for our marketing for many years: “Did you pay your landlord’s mortgage again this month?” Our marketing postcard had a guy with a cigar and a handful of bills spread out in his hands.
The ‘Art of the Deal’ playing out right now
When Donald Trump published The Art of the Deal in 1987, it became a huge bestseller. Here are the 11 core principles from Trump’s book that explain his key elements for successful negotiation.
- Think big: Go after deals that are truly ambitious rather than settling for small wins.
- Protect the downside, and the upside will take care of itself: Always structure the deal so that your worst-case scenario is still acceptable.
- Maximize your options: Keep as many paths open as possible, so you’re never forced into a corner.
- Know your market: Do deep homework, so you understand every player, every price and every motivation better than the other side.
- Use your leverage: Figure out exactly what the other party needs (or fears) most, and use that pressure point.
- Enhance your location: Improve the perception and reality of whatever you’re selling, so it becomes more desirable.
- Get the word out: Promote aggressively, so the right people know what you have.
- Fight back: When someone tries to push you around, push back harder and immediately.
- Deliver the goods: Once the deal is made, execute flawlessly, so your reputation becomes part of your leverage on the next deal.
- Contain the costs: Watch every expense ruthlessly, so profit doesn’t leak away.
- Have fun: Treat the process like a game you enjoy; the energy is contagious and keeps you sharp.
Leverage and turn-up-the-pain negotiating
There’s no question that the bombings, the decimation of Iran’s military, along with the killing of their top leaders, was a massive “turn-up-the-pain” move, but it seemed to only make the Iranian leadership even more determined to fight.
While you can certainly be aggressive about “turning up the pain” when negotiating, that often makes the other side even more defensive of their position, as we have seen in Iran.
A method I have found extremely useful comes down to a simple question that lets them answer for themselves. This is the reason this approach is so powerful; it’s them saying what the issues are, and you staying out of the decision. The simple question to ask:
“If you decide not to sell (or buy), what is the quality of your alternatives?”
In many cases, this surfaces people who are on the fence about transacting. If someone really does need to move, they will generally realize that, based on what they just told you.
Will Trump’s strategy win?
While the 11 core principles can certainly apply to how you conduct your business, the question that asks the client about the “quality of their alternatives” is a powerful strategy that really works.
The reason that it works is that you’re not pushing or arguing. Instead, you’re simply asking your client to consider the pain they’re experiencing now and what will happen if they don’t make their move.
We’re currently seeing the ultimate “turn-up-the pain” scenario playing out in real time in Iran. We will soon see whether President Trump will be able to close the biggest deal of his lifetime.
Bernice Ross is president and CEO of BrokerageUP and RealEstateCoach.com, the founder of Profit.RealEstate and a national speaker, author and trainer with over 1,500 published articles.
