Some of the best real estate deals I’ve ever been part of made us absolutely nothing.
I know. That’s a strange thing for a businessman to say.
A few years ago, for several months, we gave away every dollar of commission we earned to help build a new women and children’s center for Phoenix Rescue Mission. My company contributed its commissions. My agents contributed theirs.
Together, we raised a lot of money to help build a home for homeless women and children, something our city desperately needed. A newspaper column about the effort said I’d gone from a man of wealth to a man of worth. Those words have stayed with me.
I’ve spent more than five decades in real estate. It’s been very good to me, and I’m grateful. Along the way, I’ve learned something. When you concentrate on giving rather than getting, good things have a funny way of finding their way back to you.
Which brings me to something I’ve decided to do for the next three months.
As you know, today’s housing market is difficult. High mortgage rates have made buying a home painfully expensive. Sellers are struggling to find buyers, and many need every dollar of equity to afford their next move.
So I started thinking. What could we do to help? Here’s what I decided to do.
Through the end of January, we’re helping Arizona homeowners who are short on equity sell their homes. We will charge them a flat fee of less than $1,000 instead of a percentage commission. And if waiving even that fee is what it takes to make the numbers work, we’ll do that, too.
We expect the average seller to save $15,000 to $30,000 in commissions. The goal is to help them pay off their mortgage and have enough left to begin their next chapter.
This won’t be some discounted, do-it-yourself version of real estate service. The whole enchilada. Compelling ad copy, optimized photos, listing on the MLS and home search portals, expert negotiation of offers, protection of the seller’s interests in the contract, and full representation through closing.
No upcharges. No strings attached. If a seller isn’t happy, they can cancel any day and walk away.
We’re limiting this to homes priced under $1 million and sellers who genuinely need the help because their equity is tight, not those simply looking to increase their profits. That generally excludes our community of Paradise Valley, where homes tend to be considerably more expensive and most of us are fortunate not to face the same financial pressures.
My agents deserve to be paid fairly for their work, so I’ll personally contribute to each sale to make sure they are.
Is that sustainable forever? I honestly don’t know. But we can do it through January, and that’s where we’ll start.
Some sellers may buy another home locally and choose one of my agents. Others may recommend us to friends and family. Perhaps that future business will help us keep the program going longer.
But even if it doesn’t, think about what we might accomplish.
A seller could make a home more affordable without giving up the equity needed to move on. A buyer could finally afford a home that was previously out of reach. Two families helped by taking thousands of dollars in selling costs out of the middle. That’s a satisfying day’s work.
At this stage of my life, I’m fortunate to be able to do things like this. And frankly, it feels good.
Maybe that’s the lesson I’ve learned after more than fifty years in business. What you do with what you’ve been given matters more than what you’ve accumulated.
You don’t always have to make money to come out ahead.
