As a realtor, you know dealing with unreasonable sellers is simply part of the job.
These sellers may have sky-high expectations about their property's value, refuse to budge on price or terms, or dig in their heels against making needed repairs or updates.
Navigating these tricky situations requires a blend of patience, clear communication, and a strategic mindset.
In this comprehensive guide, we'll explore proven tips and strategies for working effectively with unreasonable sellers.
By the end, you'll have the tools to set realistic expectations, negotiate with confidence, and ultimately close more deals.
The Takeaway:
Dealing with unreasonable sellers requires patience and clear communication. Focus on setting realistic expectations, provide data-driven market analysis, and maintain a professional demeanor. If necessary, be prepared to walk away to avoid potential conflicts or unfavorable deals.
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Chapter 1: Understanding the Unreasonable Seller Mindset
Unreasonable sellers come in all shapes and sizes, but they share one core trait: an unwavering refusal to accept reality when it comes to their home's true market value.
Some may have an overinflated sense of what their property is worth, while others become emotionally entangled, making it difficult to accept anything less than their idealized asking price.
External pressures like financial strain or tight moving timelines can also feed into unreasonable behavior and demands.
And in some cases, sellers simply lack up-to-date knowledge of current real estate conditions, fueling impractical expectations.
As an agent, it's crucial to approach these situations with a balance of empathy and firm boundaries.Seek to understand the root of the seller's motivations, while still setting clear, realistic expectations from the very start.
Common Red Flags of Unreasonable Sellers
Overpricing: Setting an asking price far above comparable properties and market realities
Refusal to Negotiate: Rigid inflexibility on price and terms, even for fair offers
Neglecting Repairs: Resisting needed repairs or updates while expecting top dollar
Emotional Attachment: Allowing sentimental value to distort realistic market pricing
Recognizing these red flags early can help you proactively manage unreasonable seller situations.
Try to view things through their lens, as flawed as it may be, and approach with a mix of empathy and firm resolve.
Identifying the True Motivation
One key strategy is to get to the heart of why the seller is listing their home in the first place.
Are they relocating for a new job?
Downsizing after retirement?
Or facing financial pressures from an underwater mortgage?
Understanding their specific circumstances allows you to tailor your approach and counsel more effectively.
It's also critical to back up your positioning with objective data that supports a realistic asking price and marketing strategy.
Provide comparable sales data and recent market trends to give unreasonable sellers a much-needed reality check.
Hard numbers can be a powerful negotiating tool.For example, if a seller is being stubbornly overpriced, presenting a comparative market analysis report showing the sale prices of similar nearby homes can help reframe their expectations.
Brace for Unrealistic Requests
Be prepared for unreasonable sellers to make any number of irrational requests or demands over the course of your interactions.
They may insist you find an all-cash buyer willing to overpay and close in a week.
Or demand that you list their home as-is, with no repairs or legal disclosures made.
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Chapter 2: Effective Negotiation Strategies
Even in the face of an unreasonable seller, there are productive paths forward if you employ the right negotiation strategies:
Set Clear Boundaries Upfront
Before negotiations start, get crystal clear on your limits - the maximum price and minimum terms your buyers will accept.
Communicate these limits politely but resolutely to the seller from day one.
Be prepared to walk away if they won't meet you partway after you've made every good faith effort.
Listen and Show Empathy
While holding your ground, take the time to really listen to the seller's perspective and demonstrate empathy for their situation.
Let them vent any frustrations.
Showing you're on their side, even if you disagree, can build rapport and may reveal a solution you both can live with.
Leverage Market Data
As mentioned, impartial market data comparing similar properties and sales is one of your most powerful negotiating tools.
Be ready to walk the seller through the data and explain any discrepancies between their expectations and reality.
Get Creative with Solutions
If a seller remains fixated on a specific price or term, think outside the box.
Offer innovative compromises that achieve their goals within the bounds of market reason.
For instance, suggest including valuable appliances or furniture in the sale instead of raising the price.
Bring in Third-Party Support
If you reach an impasse, don't hesitate to involve reinforcements.
Bring in your broker, manager, or suggest the seller consults with an attorney or financial advisor for an impartial third-party view.
Sometimes an outside voice helps unclog stubborn stances.
Know When to Walk Away
Despite your best skillful efforts, some unreasonable sellers simply won't come around.
If you've put your best fair offer on the table and they still refuse, it may be time to walk away.
Prolonging fruitless negotiations helps no one.
Cut your losses and move on to better opportunities.
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End the vicious cycle of wasted time and money on dead-end leads.
Chapter 3: Maintaining Professionalism and Perspective
Dealing with highly difficult sellers can test your patience and be emotionally draining at times.
But it's absolutely critical you maintain your professionalism and a level head, no matter how confrontational the situation becomes.
Remember, this is an intensely personal transaction for the seller, while for you it's business as usual.
It also helps to keep a broader perspective.
While crazy frustrating in the moment, this is just one of countless deals you'll navigate over your career.
Don't let a single difficult transaction sour your entire outlook.
In fact, successfully resolving and closing a hugely challenging seller situation can be an invaluable learning experience that builds negotiation skills for the future.Analyze what worked, what didn't, and how you can improve next time.
Those hard-earned lessons will serve you well.
The Role of Legal Counsel
In some extreme cases, an unreasonable seller's demands or behavior may cross ethical or even legal lines that necessitate involving professional legal counsel on your side.
For example, if a seller attempts to insist on terms that potentially violate fair housing laws, that's an immediate red flag warranting your broker's guidance on next steps.
Simply making the seller aware their demands are unlawful may be enough to correct course.
But even requests that aren't outright illegal could still be unethical or so far outside the bounds of reasonable that third-party intervention is justified.A seller trying to conceal known property defects or back out of a binding contract may require attorney involvement.
At the end of the day, as licensed real estate professionals, we must prioritize upholding ethical standards and all applicable laws and regulations at all times - even when dealing with highly unreasonable sellers.
Our reputations and livelihoods depend on it.
Remain vigilant about:
Stringently following all disclosure laws by ensuring material facts are properly disclosed to buyers
Adhering to fair housing rules in every interaction and negotiation
Maintaining the highest standards of professional conduct and integrity
Upholding your duties to diligently represent your client's best interests (within ethical bounds)
If an unreasonable seller pressures you into compromising any of these core principles, don't hesitate to escalate the matter and seek guidance as needed.
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Chapter 4: The Path Forward: Persistence and Resilience
Let's be real - dealing with totally unreasonable people will never be easy.
But if you employ the right mindset and proven strategies, even the most arduous uphill battle can be resolved successfully.
The keys are:
Setting clear boundaries and sticking to them, while still leading with empathy
Providing objective, data-driven market analysis to realign expectations
Getting creatively resourceful in pursuing compromise through skilled negotiation
Maintaining consummate professionalism, no matter how heated things get
Knowing when to walk away from a deal that's simply not viable
Above all, your resilience, creative thinking, and unbending commitment to doing business ethically must remain rock solid in these difficult situations.
With experience, you'll develop a sixth sense for defusing unreasonable scenarios before they escalate too far.
You'll guide more seemingly-doomed transactions to a successful close.
That's what defines a true real estate pro - the ability to navigate any hurdle and deliver for your clients, time and again.So embrace the challenges.
Continue leveling up your communication and negotiation skills.
Be mentally prepared for the occasional obstacle.
In the end, your perseverance and street smarts will ultimately win the day.
Leverage Ylopo's Real Estate Solutions
Ylopo's innovative real estate technology provides the tools and expertise you need to confidently tackle even the most complex negotiations.
From high-quality seller lead generation powered by artificial intelligence to practical product training based on real-world scenarios, Ylopo equips you with the resources to present objective market data, nurture leads effectively, and maintain professionalism throughout.
Don't let difficult clients derail your success—partner with Ylopo and unlock a world of possibilities for closing more deals and building a thriving real estate business.
Book your free demo with Ylopo today and elevate your real estate game to new heights.
About the Author
Aaron “Kiwi” Franklin
Head of Growth
Aaron "Kiwi" Franklin is the Head of Growth at Ylopo and an innovative technologist and serial entrepreneur who has over 25 years of experience creating digital solutions for major brands and pioneering companies at the intersection of technology and real estate. His depth of expertise stems from leading development of the first website for Apple to founding a global community of over 1,000 elite athletes. Connect with me