Humber/Ontario Real Estate Course 4 Exam Practice

What correct action should a salesperson take if the seller demands a much higher listing price than suggested?

1. The seller's judgment prevails for the listing price.

2. Insist on the recommended CMA price.

3. Agree but note that higher prices can decrease buyer interest.

4. Suggest a middle ground between seller's and salesperson's prices.

5. Provide market analysis for better understanding.

6. Re-evaluate the market before finalizing the price.

The correct answer is: The seller's judgment prevails for the listing price.

In this scenario, the correct action for the salesperson is to accept the seller's judgment on the listing price, as reflected in the answer that suggests the seller's judgment prevails. This approach acknowledges the seller's control over their property and respects their autonomy in deciding the asking price. Salespersons are trained to present facts and analyses, such as a Comparative Market Analysis (CMA), to inform sellers about what the market might support, but ultimately, it's the seller's prerogative to set the price. This fosters a collaborative relationship and allows the seller to feel empowered in the decision-making process. While providing market analysis can help facilitate a more informed decision, this is an explanatory action rather than a directive one. Similarly, proposing a middle ground or insisting on a specific price may undermine the seller's authority and trust in the salesperson's counsel. Therefore, recognizing the seller's preference is essential for maintaining a good working relationship and promoting trust in the process.